Relazione
Finanziaria Annuale
2021
Annual Report
2023
2019 Consolidated Non-Financial Statement
ANNUAL REPORT
AS OF
31 DECEMBER
2023
CONTENTS
Board of directors’
report
as of 31.12.2023
13 First Section
15 Letter To The Shareholders
16 Financial highlights
17 Corporate bodies
18 Group Organisational Chart
21 The Technogym brand
31 Wellness®
31 Strategy
32 The business model
37 Production
38 New products launched in 2023
48 Distribution
50 Events, references and partnerships
51 Technogym Village
54 Human resources and organisation
55 Technogym and Sustainability
63 Technogym and the stock markets
69 Second Section
70 Foreword
71 Operating performance and comments on the
economic and financial results
71 Macroeconomic scenario
74 Comments on the Group’s economic
and financial results
79 Comments on the economic and financial
results of the parent company Technogym S.p.A.
(TG S.p.A.)
81 Risk factors
85 Investments and acquisitions
86 Own shares
87 Related party transactions
88 Significant events
after the reporting period
88 Outlook
1
Consolidated
Financial Statements
as of 31.12.2023
92
Technogym Group consolidated
financial statements
92 Consolidated statement of financial position
94 Consolidated income statement
95 Consolidated statement of comprehensive
income
96 Consolidated cash flow statement
97 Statement of changes in consolidated
shareholders’ equity
99 Explanatory notes to the
consolidated financial statements
101 General information
102 Summary of accounting standards
127 Estimates and assumptions
130 Notes to the statement of financial position
160 Notes to the income statement
168 Net financial position
170 Financial risk management
179 Non-financial risks
180 Related party transactions
183 Contingent liabilities
184 Commitments and guarantees
185 Non-recurring events and transactions
186 Significant events after the reporting period
2
Separate financial statements
as of 31.12.2023
198
Technogym S.p.A.
financial statements
198 Statement of financial position
200 Income statement
201 Statement of comprehensive income
202 Cash flow statement
204 Statement of change in equity
207 Explanatory notes to the
financial statements
209 General information
210 Summary of accounting standards
215 Estimates and assumptions
219 Notes to the statement
of financial position
220 Property, plant and equipment
223 Intangible assets
225 Deferred tax assets
226 Equity investments
232 Non-current assets
234 Inventories
235 Trade receivables
237 Current financial assets
239 Assets for derivative financial instruments
240 Other current assets
241 Cash and cash equivalents
242 Equity
246 Financial liabilities
250 Deferred tax liabilities
251 Employee benefit obligations
252 Provisions for risks and charges
255 Other non-current liabilities
256 Trade payables
257 Current tax liabilities
258 Liabilities for derivative financial instruments
259 Other current liabilities
3
261 Notes to the income statement
263 Revenues
264 Other revenues and income
265 Purchases and use of raw materials, work in
progress and finished goods
266 Cost of services
267 Personnel expenses
268 Other operating costs
269 Depreciation, amortisation and impairment /
(write-backs)
270 Net provisions
271 Financial income
272 Financial expenses
273 Income/(expenses) from investments
274 Income taxes
275 Earnings per share
276 Net financial position
277 Financial risk management
287 Non-financial risks
288 Related party transactions
293 Remuneration of directors and key management
294 Contingent liabilities
295 Commitments and guarantees
296 Non-recurring events and transactions
297 Significant events after the reporting period
298 Proposal for approval of the financial
statements and allocation of profit for the
2023 financial year
1
1
BOARD OF
DIRECTORS’
REPORT
FIRST SECTION
Board of directors’ report
Board of directors’ report – First section
Letter to the shareholders
Dear Shareholders,
In an increasingly uncertain global scenario, sport and health are emerging as a key consumer
trend all over the world, and Technogym is showing that it can respond to this opportunity
through its exclusive ecosystem, able to offer people personalised and engaging wellness
experiences anywhere: in the gym, at home, in hotels, at work, at the doctor’s and outdoors.
Our 2023 results, positive across all economic-financial indicators, despite the significant
investments made in digital transformation, confirm our path of sustainable and profitable
growth over the years, as promised during the listing phase.
At Technogym, we coined the term wellness over 30 years ago and today this legacy
allows us to be credible and relevant in the areas of life sciences and healthy longevity, fields
in which, thanks to our connected ecosystem and our AI-based products and services, we
see strong potential for future development.
2024 will be a special year for Technogym, marked by two extraordinary events: the Paris
2024 Olympic Games and the “Design to Move” exhibition during the Salone del Mobile.
Paris 2024 will be Technogym’s ninth time as Official Supplier to the Olympic Games,
a position that will give us a significant competitive advantage in the fast-growing sport
performance market, not only among athletes, but also among the general public. The
Design to Move exhibition at the Salone del Mobile, on the other hand, will celebrate 40
years of Technogym through 40 unique Technogym Benches created by 40 designers and
artists from around the world and will provide a further opportunity to position Technogym
as a leading design and luxury lifestyle brand.
Therefore, starting from the solid results in 2023, from the rich programme of events and
innovations planned for 2024, we are confident about continuing our profitable, sustainable
and long-term growth path with the aim of creating value for shareholders and for all
stakeholders, becoming increasingly prominent in the area of education on wellness and
healthy lifestyles, in line with our mission “Let’s Move for a Better World”.
Nerio Alessandri
Board of directors’ report
Financial Highlights
.
721.490
85.306
131.927
66.141
808.091
101.192
152.003
78.425
Revenues
Adj. EBITDA 2
Adj. EBITDA 1
1. The Group defines:
› adjusted EBITDA as the net operating income, adjusted by the following income statement items: (i) net provisions;
(ii) depreciation, amortisation and impairment losses (write-backs) and (iii) non-recurring income/(expenses);
› EBITDA as the net operating income, adjusted by the following income statement items: (i) net provisions; (ii) depreciation, amortization and impairment losses
› the adjusted EBITDA Margin as the ratio between adjusted EBITDA and total revenues.
› the EBITDA Margin as the ratio between EBITDA and total revenues.
2. The Group defines adjusted net operating income as the net operating income adjusted for non-recurring income/(expenses).
3. The Group defines the adjusted profit for the period as the profit for the period adjusted for non-recurring income/(expenses) and non-recurring taxes.
Adj. Profit 3
2022 2023
[in millions of Euro and ratios]
+12% +15.2%
+18.6% +18.6%
Board of directors’ report – First section
Corporate bodies
Board of Directors
President and Chief Executive Officer Nerio Alessandri
Deputy Chairperson Pierluigi Alessandri
Directors Erica Alessandri
Francesca Bellettini
(1)
Carlo Capelli
(2)
Maurizio Cereda
(3)
Chiara Dorigotti
(1) (3) (5)
Melissa Ferretti Peretti
(1) (4)
Vincenzo Giannelli
(1) (4)
Maria Cecilia La Manna
(1) (3) (5) (6)
Luca Martines
(1) (4) (5)
Board of Statutory Auditors
Chairperson Francesca Di Donato
Standing Auditors Pier Paolo Caruso
Fabio Oneglia
Alternate Auditors Laura Acquadro
Stefano Sarubbi
Supervisory Body
Chairperson Andrea Ciani
Members Giuliano Boccanegra
Riccardo Pinza
Financial Reporting Officer William Marabini
Independent Auditors PricewaterhouseCoopers S.p.A.
(1) Independent Director.
(2) Director Responsible for the Internal Audit and Risk Management System.
(3) Member of the Control, Risks and Sustainability Committee.
(4) Member of the Appointments and Remuneration Committee.
(5) Member of the Related Party Transactions Committee.
(6) Lead Independent Director.
Board of directors’ report
Group Organisational Chart
My Wellness Inc
(USA)
TG Holding BV
(Netherlands)
Technogym AO
(Russia)
TGB Srl
(Italy)
La Mariana Srl
(Italy)
DWL Srl
(Italy)
Wellness
Partner LTD
(UK)
Technogym
E. E. Sro
(Slovakia)
Wellness
Partners USA Inc
(USA)
Sidea SRL
(Italy)
70%
99,98%
0,02%
0,06%
Technogym UK Ltd
(UK)
100%
Technogym Asia Ltd
(Hong Kong)
100%
Technogym
Australia Pty Ltd
(Australia)
100%
Technogym Japan Ltd
(Japan)
100%
Technogym
Shangai Int. Trad. Ltd
(China)
100%
Technogym USA Corp
(USA)
100%
FKB
Equipamentos LTDA
(Brasil)
99,94%
TG Technogym SA
(South Africa)
100%
Technogym Saudi
(Kingdom of Saudi Arabia)
100%
Technogym Canada Inc.
(Canada)
100%
Technogym Emirates Ltd
(UAE)
49%
Technogym Arabia LLC
(Kingdom of Saudi Arabia)
70%
Technogym
Germany GmbH
(Germany)
100%
Wellink srl
(Italy)
40,0%
Physio Ag
(Germany)
31,5%
Qicraft Finland OY
(Finland)
10,0%
Qicraft Norway AS
(Norway)
10,0%
Qicraft Sweden AB
(Sweden)
10,0%
Fimex AG
(Switzerland)
5,0%
Pubblisole Spa
(Italy)
2,4%
Consorzio
Romagna Iniziat.
(Italy)
12,5%
Crit Srl
(Italy)
1,2%
Sviluppo Imprese
Romagna Spa
(Italy)
4,44%
Technogym
Benelux BV
(Netherlands)
100%
Technogym
France Sas
(France)
100%
TG-Technogym
Portugal LDA
(Portugal)
100%
Technogym
Trading SA
(Spain)
99,99%
100%
75%
100%
100%
100%
100%
100%
Technogym
International BV
(Netherlands)
100%
100%
0,01%
Technogym SpA (Italy)
Services Trading
(UE)
Trading
(Extra UE)
Production
Jointly controlled Entity Other Companies
Full Consolidation Method
Equity Consolidation Method Not Consolidated
Board of directors’ report – First section
My Wellness Inc
(USA)
TG Holding BV
(Netherlands)
Technogym AO
(Russia)
TGB Srl
(Italy)
La Mariana Srl
(Italy)
DWL Srl
(Italy)
Wellness
Partner LTD
(UK)
Technogym
E. E. Sro
(Slovakia)
Wellness
Partners USA Inc
(USA)
Sidea SRL
(Italy)
70%
99,98%
0,02%
0,06%
Technogym UK Ltd
(UK)
100%
Technogym Asia Ltd
(Hong Kong)
100%
Technogym
Australia Pty Ltd
(Australia)
100%
Technogym Japan Ltd
(Japan)
100%
Technogym
Shangai Int. Trad. Ltd
(China)
100%
Technogym USA Corp
(USA)
100%
FKB
Equipamentos LTDA
(Brasil)
99,94%
TG Technogym SA
(South Africa)
100%
Technogym Saudi
(Kingdom of Saudi Arabia)
100%
Technogym Canada Inc.
(Canada)
100%
Technogym Emirates Ltd
(UAE)
49%
Technogym Arabia LLC
(Kingdom of Saudi Arabia)
70%
Technogym
Germany GmbH
(Germany)
100%
Wellink srl
(Italy)
40,0%
Physio Ag
(Germany)
31,5%
Qicraft Finland OY
(Finland)
10,0%
Qicraft Norway AS
(Norway)
10,0%
Qicraft Sweden AB
(Sweden)
10,0%
Fimex AG
(Switzerland)
5,0%
Pubblisole Spa
(Italy)
2,4%
Consorzio
Romagna Iniziat.
(Italy)
12,5%
Crit Srl
(Italy)
1,2%
Sviluppo Imprese
Romagna Spa
(Italy)
4,44%
Technogym
Benelux BV
(Netherlands)
100%
Technogym
France Sas
(France)
100%
TG-Technogym
Portugal LDA
(Portugal)
100%
Technogym
Trading SA
(Spain)
99,99%
100%
75%
100%
100%
100%
100%
100%
Technogym
International BV
(Netherlands)
100%
100%
0,01%
Technogym SpA (Italy)
Services Trading
(UE)
Trading
(Extra UE)
Production
Jointly controlled Entity Other Companies
Full Consolidation Method
Equity Consolidation Method
Not Consolidated
Board of directors’ report
SHAREHOLDERS
As of 31 December 2023, the Issuer’s share capital was held in the following proportions: (i)
33.78% by TGH S.r.l., a limited liability company incorporated under Italian law, whose share
capital is 75%-owned by Oiren S.r.l. and 25%-owned by Path S.r.l.; (ii) 4.38% by NIF Holding
S.r.l., a limited liability company incorporated under Italian law, with the Public Investment
Fund (PIF), based in Saudi Arabia, at the head of its control structure. As of 31 December
2023, the remaining 61.84% of the Issuer’s share capital was free float on Borsa Italiana’s
EXM (screen-based stock exchange).
The Issuer is not subject to the management and coordination of TGH S.r.l., nor of the
direct and indirect parent companies of that latter nor third parties.
Refer to the “Corporate Governance Report” for more details; the report is based on the
model prepared by Borsa Italiana for corporate governance reports and is available in the
“Corporate Governance” section of the website, at http://corporate.technogym.com, in the
section “Governance/Shareholders’ meetings” and “Governance/Reports”.
Board of directors’ report – First section
1 Technogym
1. THE TECHNOGYM BRAND
The Technogym brand was created in 1983 when Nerio Alessandri, a young industrial
designer and sports enthusiast, designed and built his first piece of fitness equipment in
his garage in Cesena, aged just 22. It was a hack squat machine, designed to enable squat
exercises to be performed in a guided and safer way. Since then, Technogym has become
known for its strong focus on safety and accident prevention, and for its easy-to-use, well-
designed products. The brand name Technogym combines Alessandri’s two passions:
technology (TECHNO) and sports (GYM).
We’re in the early 1980s, when Europe's fitness industry was still considered a small niche
market. Gyms, often equipped with very rudimentary machines, were mainly the preserve of
body-builders. Nerio Alessandri sensed that there was a growing need for technologically
and functionally superior physical exercise equipment that respected consumers’ health. He
also saw that the fitness industry could potentially appeal to a wider, more diversified public,
as society gradually realised the importance of physical exercise in mental and physical
health and wellness. Today, nearly 40 years on, Technogym is recognised worldwide as a
leader in the supply of technologies, services and design products for the fitness, wellness
and sports sector, thanks to its comprehensive range of cardio, strength and functional
training equipment, apps and services (after sales, training and consultancy, interior design,
marketing support and finance). All Technogym products are integrated into the Technogym
Ecosystem, the digital ecosystem that allows users to connect to their personal Wellness
experience wherever they are, through Technogym products or mobile devices.
Over the years, the range of Technogym products has broadened to cover all market
segments belonging to both the BtoB and BtoC channels. More specifically, Technogym
products are now used in 85,000 Wellness centres and more than 400,000 homes worldwide.
Technogym was chosen for the ninth time as Official Supplier to the Paris 2024 Games,
following on from Sydney 2000, Athens 2004, Turin 2006, Beijing 2008, London 2012,
Rio 2016, PyeongChang 2018 and Tokyo 2020, and is the go-to brand for the training of
champions around the world.
Board of directors’ report
Board of directors’ report – First section
Alessandri household - garage
Board of directors’ report
Nerio Alessandri
founds Technogym,
combining his passion
for technology (Techno)
and sport (Gym). Aged
22, he designs and builds
his first machine in his
garage.
1990
Launch of Unica, the first
machine designed for
domestic use. A complete
gym in the space of just
one square metre, it soon
becomes a status symbol
and an icon of Italian
design worldwide.
1986
Just one year after being
founded, Technogym
develops and launches
the Isotonic Line, the
first comprehensive
strength training line.
1984
Technogym introduces
the first rehabilitation
equipment in its
product range, opening
a new market segment.
1992
Technogym launches
partnerships in football and
Formula One, becoming the
oicial supplier of athletic
equipment for several leading
football teams (including A.C.
Milan), world-famous athletes
(including Formula One
drivers Ayrton Senna and
Michael Schumacher) and for
major international sporting
events (the 1990 World Cup
in Italy).
End of
the ‘80s
Milestones in Technogym’s history
Technogym invents the
CPR (Constant Pulse
Rate) system. For
the first time, training
intensity is automatically
regulated by the user’s
heart rate.
1983
Board of directors’ report – First section
For the first time,
Technogym is chosen as
Oicial Supplier of the
Olympics.
In Sydney, more than
10,000 athletes train on
Technogym equipment.
2000
Launch of the Wellness
System, the world's first
training management
software. Users can now
automatically activate
Technogym machines
using the portable TGS
Key and keep track of
their training programme
and data. The TGS Key
can be considered the
world's first wearable
device, well before the
mobile revolution.
1996
Technogym launches the
Wellness TV: the first TV
screen integrated into
fitness equipment.
Nerio Alessandri
creates the Wellness
Foundation, a non-
profit organisation that
researches and promotes
wellness as a social
opportunity. One of
the Foundation’s main
projects is Wellness
Valley in Emilia-Romagna,
intended to be the world's
first Wellness district
designed to enhance
people’s quality of life
and well-being.
2002
Visioweb is created,
the first piece of fitness
equipment connected to
the internet.
DISTRIBUTION
Segments
TECHNOGYM opens its
first stores in Milan, New
York and Moscow.
2010
2007
Board of directors’ report Board of directors’ report
Technogym is appointed
oicial supplier to the
2018 Winter Olympics
in PyeongChang, the
company’s seventh
appointment as an
oicial supplier to the
Games. In the same
year, Technogym
launches Skillathletic,
a new training method
inspired by the training
programmes of sporting
champions.
Technogym is a major
partner at Expo Milano
2015 with the ‘Let’s
Move & Donate food’
campaign which, thanks
to equipment connected
to the Technogym app,
allows visitors to turn
movement into meals
donated to countries
aected by malnutrition.
2015
Technogym opens its first
flagship experience in
Milan and launches the
SKILL line for athletic
performance training.
Launch of MyWellness cloud
– the first cloud platform in the
fitness and wellness sector.
Users can now access their
personal programme anywhere,
at any time, while fitness and
wellness professionals can
connect with their customers
inside and outside the gym,
using a web and mobile system.
On September 29, in the
presence of the President of
the Italian Republic, Giorgio
Napolitano, and former
President of the USA, Bill
Clinton, Technogym Village
in Cesena is unveiled, the first
Wellness campus in the world,
which is home to Technogym's
headquarters, research centre,
factory and Wellness Centre,
and is open to customers,
partners and influencers from
all over the world.
Milestones in Technogym’s history
2016
2018
Technogym is listed
on the Milan Stock
Exchange on 3 May.
For the sixth time,
Technogym is chosen as
Oicial Supplier of the
Rio Olympics.
Technogym launches
the first edition of Let's
Move for a Better World,
a social media campaign
aimed at reducing obesity
and sedentary lifestyles.
Thanks to the Technogym
Ecosystem, Fitness and
Wellness Club customers
around the world can
donate their movement to
a good cause.
2014
2017
2012
Board of directors’ report – First section Board of directors’ report – First section
Technogym introduces
the new Excite line: the
revolutionary range of
fully-connected cardio
training equipment
with the innovative
Technogym Live
interface, oering users
a completely new training
experience customised to
their passions and targets.
2020
2021
Technogym is Oicial Supplier
to the Olympic Games for the
eighth time, at Tokyo 2020.
In June, the Technogym App
is launched on the market,
the application that oers
customised workouts with on-
demand videos with the best
trainers, allowing users to train
at home, in the gym, at the oice,
while travelling and outdoors,
thanks to the smart coach.
In October, Technogym and
Dior announce their partnership
to create exclusive limited-
edition fitness products available
in Dior Vibe pop-up stores.
Technogym presents
Technogym Run, the
first treadmill for cardio
and strength training that
oers a wide range of
on-demand training modes
and programmes.
Technogym is named
Oicial Supplier to the
Paris 2024 Olympic
Games for the ninth time.
Technogym Village hosts
the arrival of the ninth
stage of the Giro d'Italia.
2019
2023
Starting from the “Wellness on
the go” strategy, which saw the
development of a seamless and
integrated digital ecosystem
consisting of smart equipment,
Mywellness cloud and apps,
oering a custom training
experience - in 2019, Technogym
unveils the Technogym Live
platform, oering training
experiences and group classes
run by trainers from all over the
world on Technogym equipment
at home, at the gym, in hotels and
at work.
Technogym Bike is the first product
integrated with the Live platform,
to access the best indoor cycling
classes of fitness studios around the
world live or on demand.
2022
Technogym launches
Technogym Ride, the indoor
training bike designed together
with cycling champions which,
with just one log-in, allows
users to connect to the most
popular apps among cyclists.
Technogym introduces
Biostrength, the new
Technogym strength training
line that adapts to the user
thanks to a patented technology
based on artificial intelligence
and scientific research.
Board of directors’ report
Board of directors’ report – First section
Board of directors’ report
The Technogym Wellness
Lifestyle® Pyramid
Wine, beer,
confectionery
Competitive
sport
Cycling
and running
Bread, biscuits,
potatoes, pasta, rice
Structured
exercise
Meat, eggs, seafood,
pulses, cold meats
Amateur
sport
Millk and dairy
products, dressings
Power
walking
Fruit and
vegetables
Walking,
climbing the stairs
Get enough
sleep
Look after social and
emotional relationships
Nurture interests
and hobbies
Stay positive
and motivated
Manage
stress
Water
(1.5-2 litres a day)
MOVEMENT NUTRITION
MENTAL APPROACH
Board of directors’ report – First section
1.2 WELLNESS®
“Wellness®” is a lifestyle, promoted by Technogym, aimed at improving quality of life through
education and regular physical activity, a balanced diet, and a positive mental attitude.
During the early 90s, while the stereotypical muscle-bound image of fitness personified by
Jane Fonda and Sylvester Stallone was all the rage in the USA, in Emilia-Romagna Nerio
Alessandri was launching a new vision: Wellness®, an all-Italian lifestyle whose roots lie in
the Roman concept of “mens sana in corpore sano” (healthy mind, healthy body). It was
nothing short of a revolution, which transformed a business based on hedonism into a social
one, from looking good to feeling good, from attracting only a small number of super-fit gym
enthusiasts to the possibility of embracing the whole population.
Wellness
®
is a social opportunity for all: for governments to cut their healthcare bills,
for companies to benefit from employing more creative, more productive workers, and for
ordinary people, to improve their lifestyles and health. This was the idea behind the Wellness
Foundation, the non-profit organisation created more than 10 years ago by Nerio Alessandri,
with the goal of sharing his twenty years’ experience in the fitness, Wellness and health
sector to create a more sustainable society by promoting wellness and a healthy lifestyle.
Internationally, thanks to the commitment of Nerio Alessandri and the Wellness
Foundation, Wellness® has become a key theme of the World Economic Forum in Davos,
and was also the subject of a United Nations event in New York.
Within the Romagna region, where the Wellness Foundation is located, it launched
the Wellness Valley project, which aims to create the first Wellness district in the world,
capitalising on the natural DNA of the Romagna region and on wellness as an economic
(tourism, food, technology) and social (health and prevention) opportunity for the area.
Mission and Vision
Technogym’s Mission is to help people live better through regular physical exercise and
the promotion of the Wellness Lifestyle. Wellness as a lifestyle is a social opportunity for all
stakeholders: for governments, which can reduce health spending by promoting prevention,
for companies, which can increase productivity by investing in wellness programmes, and
for the general public, who can improve their health and the quality of their everyday lives.
Technogym’s Vision is to be the world’s leading Wellness Solutions Provider. Technogym
strives to be recognised as a benchmark in its industry, promoting an authentic lifestyle
by creating customised solutions for private customers and fitness professionals: not just
equipment, but also services, content, devices and networking solutions.
1.3 STRATEGY
Technogym’s objective is to help people to access their own customised Wellness experience,
anytime, anywhere, by implementing a three-pillar strategy:
› Wellness on the go: the Technogym Ecosystem is a platform that helps everyone enjoy a
personalised Wellness experience by accessing content and training programmes on any
Technogym machine and on any personal device, at any time, anywhere in the world. The
Technogym Ecosystem integrates equipment, dedicated mobile apps, the MyWellness
cloud digital platform and specific content, programmes and services, offering fitness
professionals the opportunity to connect with their clients wherever they may be.
› Brand Development: in recent years, the Technogym brand has followed a positioning
strategy based on two principal objectives: being a Premium brand in the Club, H&R and
HCP segments, and being an aspirational brand in the Home and Consumer segments.
Board of directors’ report
Through marketing and communication, the Technogym brand establishes its values with
a clear, coherent strategy that has helped Technogym to position itself as an internationally
recognised name.
› Global presence in the different market segments: Technogym is expanding globally in
various market segments, thanks to an omni-channel distribution strategy which includes
Retail, Field Sales, Wholesale and Inside Sales.
1.4 THE BUSINESS MODEL
Over the years, Technogym has become well-known for interpreting and anticipating its
customers’ needs, creating a global community of over 50 million people who train every
day on its machines in 85,000 fitness centres and in more than 400,000 private homes in
100 countries worldwide. Today, Technogym is an international benchmark in the wellness
sector, and as such is able to offer complete solutions for fitness, sport and health.
Innovation, design and product development
Since its foundation in 1983, Technogym’s guiding principle has been all-round innovation
in products, processes, its digital ecosystem, sales, marketing and in every other area of the
company.
Products are at the core of Technogym's innovation strategy. Our Research and
Development area employs more than 200 professionals including engineers, sports doctors,
designers and software developers. It also collaborates with external medical practitioners,
physiotherapists, architects, athletes and sports trainers.
To date, Technogym has an intellectual property portfolio of 388 patents, 497 designs
and 428 national and international trademarks, which include 24 patents, 36 designs and 4
trademarks registered in 2023.
Product innovation has always been the Technogym Group’s driver of growth. The capacity
to innovate is based primarily on the expertise acquired over time by the division dedicated
to product research and development, activities traditionally considered an essential tool for
reaching and consolidating a leading position in the international fitness equipment market
owing to the quality, innovation and design of its products.
2023 saw the continuation of the Technogym Ecosystem rollout on the market, the first
and only cloud-based platform in the wellness sector; it allows individual users to access
their personal data and training programmes and provides a complete range of (consumer
and professional) apps to access their individual wellness programmes, including via mobile
devices. The platform makes it possible to connect end users, professional operators and
Technogym products (“Wellness on the Go”) in real time and in any environment, by aiming
to offer, on the one hand, greater personalisation and general improvement in the wellness
experience for users and, on the other, new opportunities for professional operators to widen
their customer base and retain customers.
In March, Technogym launched Technogym Run, the first treadmill for cardio and strength
training that offers a wide range of on-demand training modes and programmes.
As part of its digital strategy, Technogym has presented a number of connected training
solutions such as Technogym Visio, the first display designed to provide training assistance
and engaging fitness content, and which offers unsupervised one-to-one training
experiences that can be configured based on the available equipment, and Teambeats, the
digital solution for group training that allows users to train easily and without distractions,
while also having fun and achieving better results more quickly.
Board of directors’ report – First section
In November, Technogym launched Skillup, Technogym’s new ergometer for complete
and intense upper body training. Designed to train the whole body and especially all
the upper muscle groups by simulating the athletic movement of cross-country skiing,
thanks to MULTIDRIVE TECHNOLOGY, the one-of-a-kind dual resistance technology from
Technogym, Skillup allows you to build more power into a cardio workout, for a complete,
effective workout. Skillup enriches the Technogym Skill Line, designed alongside athletes
and sports champions from all over the world and in collaboration with prestigious research
institutes and universities.
Medical-Scientific Research
A scientific approach is an integral part of TECHNOGYM’s product development, and
the company works with many experts in the field as well as with numerous Italian and
international universities. The collaboration with sports federations and professional teams
for the testing of high-level athletes is also well structured.
These partnerships focus on the biomechanical and physiological analysis of products
being developed, in order to certify their security and effectiveness and study the benefits for
sport and health. For athletes, TECHNOGYM offers them training support using Technogym
Lab technologies. In the new ‘Technogym Lab’, located at the headquarters in Cesena
and equipped with the most advanced technologies, both elite athletes and Technogym
products under development are tested.
Scientific research in the area continues, with publications of scientific studies in
indexed journals and the participation of Scientific Department managers at national and
international conferences as speakers, both in person and online.
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Digital innovation
Digital innovation is a fundamental part of Technogym’s activities. Back in 1996, Technogym
launched Wellness System, the world’s first training management software. Today,
Technogym’s offer incorporates the Technogym Ecosystem, the only system of its kind in
the world of fitness and wellness. It connects equipment based on an ‘Internet of Things’
approach, and incorporates a cloud platform that stores personalised data and training
programmes for individual users, and a complete range of wellness apps for consumers and
professionals.
Radical changes have also been made to the user experience: The Technogym Ecosystem
is an open application that integrates Technogym products and services with leading
tracking apps and wearable devices, giving users a “Wellness on the Go” experience anytime,
anywhere: in the gym, at home, at work, outdoors, at the doctor’s or while travelling. Users
each have a personal account containing their personal data and training programmes.
Exercise data can be accessed from various touchpoints: apps, websites or directly on
Technogym equipment, thanks to the LIVE interface.
Technogym’s Mywellness is the only platform in the sector that gives users a completely
personalised experience (training programmes, data and content) throughout their whole
training path, both on the gym floor and during classes (cycling, rowing, heart-rate based,
and much more) as well as during outdoor training.
Since its launch in 2012, the Mywellness platform has become a point of reference on the
market in the field of Connected Wellness. Today, more than 23,000 wellness and fitness
centres around the world connect to the Technogym Mywellness digital platform, with over
22 million registered users.
Starting from the “Wellness on the go” strategy, involving the development of a seamless
and integrated digital ecosystem consisting of smart equipment, the Mywellness cloud and
apps, and able to offer a customised training experience, in 2020 Technogym launched
Technogym LIVE, the new platform that offers a completely new and engaging training
experience and allows users to access a variety of live and on-demand training videos from
all Technogym product consoles, from the new Mywellness 6.0 app, on-screen during virtual
gym classes or on personal digital devices and from the very latest Technogym App, the
new app available on Android and iOS devices.
The Technogym App offers customised workouts with on-demand videos with the best
trainers, allowing users to train at home, in the gym, at the office, while travelling and
outdoors, thanks to the smart coach.
Whatever your fitness goal, with the Technogym App it has never been easier or quicker
to achieve it, with a wide selection of on-demand training videos and a customised plan
that adapts to the user, the user’s progress and lifestyle. Every day, the app proposes the
most suitable training, combining scientific research, artificial intelligence, and engaging
and challenging video content.
Users can access their personalised training programme, services and results at any time,
anywhere, thanks to their personal Technogym ID, which allows them to connect to their
profile at all contact points of the Technogym Ecosystem: the smartphone app, equipment
consoles and the website. The Technogym App offers a wide variety of programmes dedicated
to fitness, sport and health, developed by a team of trainers and athletes specialising in
various disciplines. For those with access to Technogym equipment, at home or in the
gym, the Technogym App will guide the user through the best use of the equipment with
the option to access training videos on the console. Moreover, it will suggest bodyweight
workouts or training using accessories, directly on the user’s device or by mirroring the
device on a TV, for a unique and compelling Technogym wellness experience.
As part of these options and content, the brand-new Technogym Coach – the first
application of artificial intelligence to fitness – guarantees each user a fully customised
experience. Technogym Coach manages the details and preferences of users and guides
Board of directors’ report – First section
them, day by day, suggesting different training options depending on their interests, needs
and personal tastes.
Following the success in Europe of the Technogym App – the app that offers consumers
customised training programmes every day – the app was launched in the USA in February
2022.
In order to enrich and customise the Technogym App training experience, new content
related to mindfulness and nutrition was added in 2022. In addition to the daily training
proposed by the Technogym Coach, users have access to meditation content and customised
nutritional advice based on their goals, to achieve a balance between body and mind.
Starting from November 2022, users can seamlessly access their favourite Apple Music
playlists through the Technogym App directly from workouts in the app thanks to the
integration with Apple Music. Furthermore, users with Technogym home fitness equipment
can access their Apple Music playlists through the app on Technogym Live, directly from
the iPad.
Design and Innovation awards
Italian style and design have always been distinctive characteristics of Technogym
worldwide. For over 13 years, the company has participated in the Salone del Mobile in
Milan, the most important design event in the world. It collaborates with Antonio Citterio,
one of Italy's most renowned architects, and boasts a top Design Department within its
Research and Development Centre.
Over the years, Technogym products have been recognised with a long list of international
design awards, including 3 Compassi d’Oro, 19 ADI Awards, 14 Red Dot Design Awards, 3
International Design Excellence Awards, 6 iF Awards, 11 Good Design Awards, 2 German
Design Awards and 1 German Innovation Award.
1.5 PRODUCTION
The products offered by Technogym are designed, produced and distributed according to
an operating model characterised by direct control of all the production phases.
The purchase of raw materials represents one of the main areas of the value chain.
Technogym attaches great importance to the materials used in its products, which must
meet the highest industry standards. The company uses a global sourcing system that
includes more than 800 suppliers from around the world.
Assembly is performed at Technogym’s two production facilities: at the Technogym
Village in Cesena and in Malý Krtíš (Slovakia).
The Cesena facility, designed to guarantee both maximum production efficiency and a
work environment inspired by the principles of Wellness, covers an area of around 40,000
square metres. The production facility only includes product assembly lines designed
according to lean production and total quality criteria. The Slovakian facility covers a
total area of roughly 30,000 square meters (including an office area) and includes vertical
production lines with integrated carpentry, painting and product assembly processes.
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The offer: Total Wellness Solution
Technogym’s unique offer is the Total Wellness Solution, a bespoke Wellness solution for
professionals and end users alike. It includes:
Content
Digital training videos available
on product displays
Equipment
Technogym boasts a complete range of cutting-edge equipment for cardio, strength,
functional and group training. All machines are specially designed to meet the needs of the
different market segments. We are constantly committed to developing new products and
technologies to offer safe, effective and engaging training.
1.6 NEW PRODUCTS LAUNCHED IN 2023
Technogym Run
Technogym Run is the first treadmill for cardio and strength training, and offers a wide range
of on-demand training modes and programmes. Developed from Technogym’s forty years
of experience in the fitness and sports sector, Technogym Run offers home users the same
level of quality and technology as they would find at the best gyms, plus an unprecedented
variety of training types: from cardio to strength and bootcamp.
The 27” Technogym Live console allows users to choose their preferred training
experience from a wide range of training programmes and modes (cardio, strength or high
intensity) or from the on-demand training video library, which includes trainer-led sessions,
goal-specific routines, as well as virtual immersive outdoor training sessions that adjust
the speed and gradient according to the chosen trail. In addition, Technogym Live offers an
infinite number of entertainment options (including Netflix, YouTube, TV channels, social
media and more). By choosing Bootcamp mode, the console provides exercises to be
performed on the ground, off the treadmill, including using the Technogym Bench.
Fitness, Wellness
and sports equipment
Cloud platform
and digital products
Services
After sales, Training, Interior Design,
Marketing Support and Finance
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Technogym Visio
Technogym Visio is the first display designed to provide training assistance and engaging
fitness content - ideal for gyms, hotels, apartment blocks or unsupervised fitness facilities.
Users can instantly access a vast library of workouts tailored to the available equipment
and their training goals and needs. The 32” touchscreen display makes Technogym training
content immediately accessible and easy to view, offering unsupervised one-on-one training
experiences that can be configured according to the available equipment. Technogym Visio
is the right solution for any type of facility or business model to create an individual training
experience without supervision or with a Personal Trainer through the variety of available
content and modes, transforming any training space into an engaging and tailored fitness
experience.
Technogym Skillup
Technogym Skillup is Technogym’s new ergometer for comprehensive and intense upper
body training, developed based on the company’s performance training experience. Thanks
to its experience as official supplier of fitness equipment at nine editions of the Olympic and
Paralympic Games, Technogym offers users the most advanced biomechanics and training
methods to accurately achieve the desired level of sports performance.
Designed to train the whole body and especially all the upper muscle groups by simulating
the athletic movement of cross-country skiing, thanks to MULTIDRIVE TECHNOLOGY, the
one-of-a-kind dual resistance technology from Technogym, Skillup allows you to build
more power into a cardio workout, for a complete, effective workout. Skillup enriches the
Technogym Skill Line, designed alongside athletes and sports champions from all over the
world and in collaboration with prestigious research institutes and universities. The Skill
products are for those who want to train like a professional athlete and achieve high athletic
performance.
Teambeats
Teambeats is the digital solution for group training which allows users to train easily and
without distractions, while also having fun and achieving better results more quickly. In the
fitness market, the demand for group training solutions has skyrocketed. Now more than
ever, users want to train together with other people who share the same passion. Teambeats
adapts to any functional training or HIIT workout, and is designed to guide users in the best
possible way during the class. The user interface has been completely revamped to avoid
any problems at the start of or during a class, ensuring the best training at the right intensity.
In addition, trainers have full flexibility to create classes on one or more screens, drawing
on a vast library of training content. In this way, they can offer users variety and fun at the
highest level, not forgetting the instructions for the correct performance of the exercise.
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Artis Line
Artis embodies the state of the art of the fitness and Wellness
sector, and is the result of thirty years of scientific and
technological research applied to the design and production
of fitness products. It includes a complete collection of over 30
products, integrated and coordinated in terms of design and style,
as well as connected and sustainable, for cardio, strength and
functional training, allowing users to enjoy a unique experience.
The line also includes OMNIA, the product for training in small
groups, with training programmes for dierent levels of ability.
Personal Line
Technogym’s Personal Line is a collection of iconic products
dedicated to Wellness at home, which combines innovation,
technology and design. The result of collaboration between
Technogym, with its thirty years of experience in developing fitness
and Wellness products, and the design concept of Antonio Citterio,
the Personal line products are inspired by nature and science.
The result is a line of interior design products, created using
sophisticated materials and the best craftsmanship techniques.
The Personal Line includes: the innovative Kinesis Personal for
gentle gymnastics, which, thanks to the FullGravity patent, allows
free and natural movement, oering 360° resistance; the new
Power Personal for strength training, the Run Personal treadmill,
the Elliptical Cross Trainer and the Recline exercise bike, equipped
with LIVE, the most advanced multimedia interface on the market.
Skill Line
Skilline is a collection of products equipped with the exclusive
Multidrive Technology™ developed by Technogym in collaboration
with professional athletes and designed for anyone that wants to
improve their athletic performance or loves high-intensity training.
The line includes Skillmill, the first non-motorised product
which combines strength, speed, resistance and agility training;
Skillrow, the first indoor rowing product that increases the
potential of the rowing exercise to improve anaerobic power and
aerobic capacity; Skillrun, the unique treadmill that guarantees
maximum training eiciency, not just cardio training but also
strength, thanks to the option to follow running and resistance
training sessions; and the new Skillbike, the only indoor bike
with a real mechanical gearbox that allows you to simulate uphill
training for a truly realistic experience.
Excite Live Line
The new Excite line is the revolutionary range of fully-connected
cardio training equipment with the innovative Technogym Live
interface, oering users a completely new training experience
customised to their passions and targets. The new Excite is based
on 4 key concepts – variety of training content, connectivity,
compact design and eco-sustainability – to give users an
engaging and customised training experience, and to guarantee
sector operators added value and the possibility to innovate the
business model. The new Excite line includes: the Excite Run
treadmill, the Excite Synchro elliptical machine, the Excite Bike,
Excite Vario, the Excite Recline recumbent bike, the Excite
CLIMB stairclimber, and EXCITE TOP for the upper body.
TECHNOGYM PRODUCT RANGE
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Med Line
Products for cardiovascular exercise from the Excite Med line are
sophisticated pieces of equipment dedicated to stress testing,
patient assessment and rehabilitation. In terms of strength,
Selection Med is characterised by the completeness of the
range, its application versatility and the innovative Multiple
Resistance System (patent pending) on Leg Press Med, a device
which combines the benefits of elastic resistance with those of
traditional weight stack training, to meet both rehabilitation and
muscle strengthening needs. Finally, Technogym has designed
a time-based circuit training solution, which is completely
customisable according to specific patient needs: Biocircuit Med.
Thanks to the patented Biodrive technology, the circuit machines
are able to replicate dierent types of resistance in a precise and
smart way. All medical lines are 93/42/EEC certified.
Pure Strength Line
The comprehensive line of Pure Strength equipment is the
result of many years’ experience in helping Olympic athletes get
stronger and faster. The most innovative solutions in terms of
biomechanics, ergonomics and product durability ensure that
Pure Strength oers the maximum results to everyone looking for
the best form of strength training and the highest level of sports
performance.
Group Cycle
The new Technogym Group Cycle format is the ideal solution
for creating an immersive indoor cycling experience that oers
participants excitement, motivation, an engaging group workout
and a personalised workout all at the same time. This new
training solution includes dierent indoor cycling classes that
combine music, visual eects and accurate performance data to
create an interactive workout that inspires people to move.
The videowall is essential for viewing personal and class results
or simply to become immersed in the atmosphere, listening to
and visualising the music and performance.
Kinesis Line
Kinesis is not merely a product, but an actual training discipline.
Kinesis line products for functional training are designed to help
users recover the functionality of free and natural movement,
oering eective and adjustable training based on the level of
experience and specific targets to be achieved.
The “Full Gravity” patent allows natural 360-degree movements,
which fully activates the kinetic chains. The “Kinesis Class”
configuration allows personal trainers to easily manage an entire
class. Kinesis innovation and technology are also available in
one single unit. Developed as a single free-standing unit with
a reduced footprint, Kinesis One provides a complete training
solution. Kinesis Stations are also part of the line.
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Skillathletic
Skillathletic Training is the new training format created thanks
to Technogym’s experience as Oicial Supplier of the last 7
editions of the Olympic Games and its partnership with the
best teams and sports champions the world over. The format –
developed by Technogym’s Research Centre with the support
of numerous coaches and trainers – targets the improvement of
athletic performance and oers an extensive range of training
programmes based on Skillathletic Training’s four key skills –
Power, Agility, Speed, Stamina – which can be used at varying
levels of diiculty, to manage people with dierent fitness levels in
the same class.
Biocircuit
Biocircuit is the new circuit-based method able to oer clients
bespoke training to meet their goals in a short time. The guided
programme guarantees an engaging experience without the need
for adjustments or waiting times, as the exercises, workloads,
exercise/rest ratio and speed are predefined and integrated into
customised programmes. Through the Biodrive patent, Biocircuit
is able to oer a safe, guided and eective varied workout
suitable for any type of user. Based on revolutionary aerospace
technology, Biodrive includes a motor controller which oers
personalised and adaptive training to help users achieve the best
results in a short space of time.
Home Line
Ideal for Wellness at home, the Technogym line includes the
Technogym MyRun treadmill, which is the new iconic Technogym
product for the home, boasting an elegant and minimalist design,
silent operation and compact dimensions; Technogym Bike, the
indoor bike that allows users to access indoor cycling classes
by the most engaging trainers, live or on-demand, from fitness
studios in various cities around the world; and Technogym Bench
is the new all-inclusive functional training solution designed
to combine the maximum variety of training exercises with the
minimum footprint. It allows users to perform the widest range
of resistance, strength and core training exercises in a limited
space, thanks to its innovative design and to the equipment it
contains. Technogym Cycle, the exercise bike which combines
functionality, ease of use and design: get on and o with ease
thanks to the walk-through access; the seat is the widest
and most comfortable ever, and it has compact dimensions;
Technogym Elliptical, the home elliptical machine for a workout
with no impact on the joints, oering an incredible variety of
on-demand workout videos, ideal for everyone; Wellness Ball
Active Sitting, the dual intensity ball that can be used as both
an alternative to a chair at home or in the oice and as a tool for
doing a full programme of exercises; as well as Unica, designed
by Nerio Alessandri in 1985 and today a design icon in the world
of fitness. Unica was in fact the first training product to also be an
item of furniture. Thanks to the compact design and revolutionary
ergonomics of Unica, for the first time it was possible to
concentrate an entire gym in 1.5 square metres.
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Service
Technogym’s Total Wellness Solution offers a series of services designed to offer an enhanced,
personalised Wellness experience for end users, while giving fitness professionals a range
of diversified options to expand their client base and gain their loyalty.
Interior Design
Thanks to the Wellness Design service, Technogym can offer the full design of Wellness
areas in hotels, businesses, medical centres or private homes. The objective is to create
attractive and stimulating spaces and environments and enable customers to stand out
thanks to a unique and personalised style.
Financial Services
Technogym provides its customers with safe, fast and transparent financing, together
building a personalised and reliable plan in collaboration with a number of leading
international banks and insurance companies.
After Sales
Technogym's aftersales service is designed to ensure that our equipment stays reliable
and performs well over time, thanks to tailor-made contracts designed to ensure the best
operation and constant quality of the equipment. We have a global network of Authorised
Technical Assistance Centres, able to provide a fast, competent response.
Marketing Support
The promotion of Wellness, sporting partnerships and our global community give the
Technogym brand a distinctive appeal, and make a positive contribution to our customers’
business. Educational and promotional tools are used to raise awareness about Technogym
Technogym Tools
The Technogym Tools have been designed to oer a wide
variety of training combinations and allow users to work out
dierent parts of the body and muscle groups to achieve any
fitness, health or lifestyle goal thanks to Technogym Precision
Training. All the accessories guarantee long-term performance
and are perfect to take with you when travelling, transforming
any workout into a high-level fitness experience. This selection
of fitness accessories ensures the best in terms of quality, design
and attention to detail. Technogym has also designed 3 Training
Kits containing dierent tools for an infinite number of training
options. The Kits include dumbbells, resistance bands and loop
bands, or a practical mat to allow you to train and take the healthy
habit of wellness with you everywhere.
Board of directors’ report
equipment and its benefits, and allow customers to exploit our brand and communications
as an asset for their business.
Networking Apps, Devices & Content
Thanks to the MyWellness cloud, an open platform integrated with equipment, apps and
portable devices, fitness professionals and users can stay in touch wherever they are. It offers
complete lifestyle management that builds customer loyalty and business opportunities.
Operators can take advantage of a vast range of professional applications that increase
their potential, while users can engage with the Technogym Live console, which offers a
huge library of on-demand video content such as live classes, one-to-one cardio or strength
training sessions, athletic training routines, and basic exercises or virtual programmes set
in the countryside or in the city.
Technogym University
The Technogym University encourages the exchange and sharing of ideas and projects
through the use of multimedia resources, thus placing the Technogym Village at the heart of
a network that is capable of reaching millions of individuals. Technogym Village facilities host
numerous conferences, seminars, and workshops organised by the Technogym University
and the Wellness Institute, Technogym’s dedicated training school. The Wellness Institute
is where fitness centre operators, doctors, and researchers can come together to share
their ideas, projects and new scientific discoveries; this encourages a multi-disciplinary
approach, and contributes to the development of the Wellness culture. Continuous training
of industry professionals is also ensured by on-line and on-site courses, as well as specialist
technical seminars given by highly experienced university professors.
1.7 DISTRIBUTION
Fitness and Wellness Clubs continue to be one of the most significant market segments
for Technogym. The growing awareness of consumers about the importance of health and
the benefits of regular physical exercise led to a solid recovery of the global fitness club
business in 2023. Large international groups are confirming plans for expansion and the
opening of new locations, and several new players have entered the market by opening
even just one club to benefit from the expected growth of the sector.
Furthermore, the process of digitalisation of clubs is continuing at a rapid pace, with
the aim of offering members a completely customised and connected training experience,
engaging them more and offering services not just at the club, but also at home and outdoors.
In this context, Technogym continues to be the trusted supplier for the most important
chains of clubs in the world.
In the Hospitality & Residential sector, Technogym products are already present in the
most prestigious hotels throughout the world, and in 2023 remained the leading brand for
luxury hotels.
Increasingly, travellers around the world are interested in staying fit and active during
their hotel stay, without neglecting exercise just because they are on holiday. Technogym,
leader in the global promotion of an all-round healthy lifestyle, offers premium solutions that
allow travellers to train with personalised workouts and maintain their wellness habits even
when away from home.
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In the year just ended, Technogym was present in the top 35 of the 50 most prestigious
hotels in the world as ranked by Forbes, and in 41 out of the total 50 top-ranked hotels.
Furthermore, the Group continues to be a key reference in the development of the most
prestigious residential projects and in equipping the most important cruise ships.
As far as the Corporate sector is concerned, more and more companies all over the world
– aware of the benefits in terms of both welfare and productivity – are launching their own
corporate wellness programmes. For them, Technogym is the perfect partner, able not only
to equip company gyms, but also to create a comprehensive programme for the health and
wellbeing of employees, offering facility management services, among other things.
More than 10,000 global companies use Technogym for their corporate wellness projects,
some of which are located in Silicon Valley. Moreover, in 2023, the Group initiated numerous
new collaborations with leading companies in Italy, the United Kingdom, Spain, Germany
and many other countries.
In Education, the best universities and business schools chose Technogym for the
promotion of the right lifestyles to young talent.
In the Sport Performance sector, in the first few months of the year, Technogym continued
to equip numerous athletic training centres around the world, from sailing to motor racing,
from the most important football clubs to tennis stars.
In the medical sector, Technogym was chosen by many healthcare centres of excellence
at a global level, some of which are located in the United States, Hong Kong and the United
Kingdom.
Regarding the home consumer segment, Technogym is now present in more than 400,000
private homes. The main focus for the development of the segment is still concentrated in
certain European countries, although there were notable performances compared with the
previous year in many geographical areas, demonstrating the significant growth potential
of this segment.
In terms of products, the company has consolidated its strategy of creating bespoke
solutions for the home based on the space and service level requested by the customer: in
this segment, the company is positioned in the Luxury sector, represented by the Personal
line, for those who want to fully integrate one or two products into their living room or
bedroom furnishings, and the Performance sector, represented by more active customers
who want professional equipment at home to always push them to the limit. The range also
includes compact products, such as MyRun, Technogym Elliptical and Technogym Bench or
professional solutions such as Artis, which can also be adapted to the needs of a Full Home
Gym of high-net-worth individuals, and vertical solutions for enthusiasts of specific sports
such as Technogym Ride.
In 2023, new retail spaces were opened in New York, Hamburg, inside the famous London
Selfridges department store and in Sydney, Australia.
Channels
The distribution of Technogym products follows the omni-channel approach, through 4
sales channels:
› field sales, represented by Technogym sales personnel and sales agents;
› inside sales, including telemarketing and online sales;
› retail, represented by our ten directly-managed stores;
› wholesale, involving third-party distributors who operate in markets where we have no
direct representatives.
Field sales, Inside Sales and Retail are direct channels used by Technogym to reach
end users and professionals directly, while the Wholesale channel is an indirect channel,
through which end users and professionals are reached by exclusive distributors who can
cover markets in which we have no direct outlet.
Board of directors’ report
Geographical areas
Technogym is present in all the major global markets. In 2023, around 90% of company
sales occurred outside Italy and roughly 45% outside Europe.
In 2023, the group recorded growth in all parts of the world, with the exception of APAC
countries, which were affected by the international macroeconomic situation in China in the
first half of the year.
The results achieved in Europe were significant, driven by substantial growth in the UK,
Spain and the MEIA area.
Marketing and communications
Marketing and communications at every stage of the Technogym operating model are the
pillars of our strategy to develop and consolidate our position in the fitness market and in
the Wellness industry as a whole. Over time, this has contributed significantly to making
Technogym a distinctive brand, which is recognised worldwide for its quality, innovation and
Italian design. A cornerstone of Technogym’s marketing and communication strategy is its
participation in the sports industry. Technogym is the official supplier to a large number of
top teams and athletes, and has been the Exclusive Official Supplier of athletic training at
eight Olympic Games and again at the upcoming Paris 2024 games.
1.8 EVENTS, REFERENCES AND PARTNERSHIPS
A central element of Technogym’s marketing strategy consists of taking part in numerous
industry events in sectors of interest for the company business: fitness, Wellness, sports,
rehabilitation, design and technology. Events are chosen based on consistency with
corporate values and on both business and brand positioning opportunities.
Key events in the year
In 2023, Technogym took part in numerous trade fairs and industry events at an international
level. At the same time, the company organised a number of digital events and seminars
as well as in-person events, with the aim of continuing its cultural and scientific outreach
activities and maintaining contact with its customers and stakeholders. Events covered the
most important topics of the fitness and wellness sector, in 4 main categories:
› Education: events dedicated to training for Technogym products;
› Digital Solutions: training on digital solutions for the sector;
› Technogym Experts: a selection of speeches by international experts on health, fitness
and sports;
› Virtual products presentations: sessions dedicated to the launch and further development
of new Technogym solutions.
In 2023, the company organised the TECHNOGYM INNOVATION OUTLOOK event
at Technogym Village, with attendees coming from all over the world. Among the many
Technogym innovations connected to the Technogym Ecosystem presented at this event
were the new digital solutions such as Teambeats and Technogym Visio, two new pieces of
equipment from the Pure and Universe range, the versatile training solution for functional
and strength training that offers a huge variety of workout, resistance and digital content
options. The TECHNOGYM INNOVATION OUTLOOK concept was replicated in many
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international markets, including the USA at Lake Nona, Canada, Germany at the FIBO trade
fair, Australia, Spain at the Spanish Olympic Committee, South Africa and Brazil.
With the strategy of bringing the industry and consumers closer to the Technogym
Experience, a number of TECHNOGYM CLINICS were organised in 2023. There were three
main themes: strength training with the new Biostrength line, and connected, digital training
experiences aimed at promoting the Technogym Ecosystem open platform. The events
were held on an international level in several countries, the most important including Spain,
Italy, the UK, Malaysia and Kuwait.
In terms of the design and luxury segment, in 2023, Technogym had a presence in exclusive
locations on the Costa Smeralda and Capri and took part in numerous international design
fairs.
Partnerships
For many years now, the world’s most prestigious sports clubs have worked with Technogym
on the physical training of their athletes. In Italy, some of the country’s main football clubs
partner with Technogym, including Cesena Calcio as part of a local sponsorship project.
In addition, thanks to its wide range of products, which are perfect for athletic training in
all sports disciplines, Technogym collaborates with some of the top teams in other sports,
such as basketball, cycling, tennis, Formula One, golf, sailing and many more.
The Paris 2024 Olympic and Paralympic Games have chosen Technogym as the Exclusive
Official Supplier of fitness equipment and digital technologies for the training of athletes. For
Technogym, Paris 2024 will be the company’s ninth Olympics experience, following on from
Sydney 2000, Athens 2004, Turin 2006, Beijing 2008, London 2012, Rio 2016, PyeongChang
2018 and Tokyo 2020. In Paris, Technogym will equip around 26 athlete training centres
before and after the Olympic Games. The main training centre, equipped for the needs
of all sporting disciplines, will be at the Olympic and Paralympic Village in Saint-Denis in
Paris, while other training centres designed for the various disciplines will be located at the
competition venues and at the Olympic Villages in Lille, Marseilles and Tahiti.
1.9 TECHNOGYM VILLAGE
On 29 September 2012 in Cesena, in the presence of the Italian President of the Republic,
Giorgio Napolitano, and former President of the USA, Bill Clinton, the Technogym Village
was inaugurated, the first Wellness campus in the world; a cultural centre, an innovation
laboratory and a production centre, where partners, clients, suppliers and guests from
around the world can enjoy a real experience inspired by Wellness.
Technogym Village reflects the vision of Nerio Alessandri, who, together with architect
Antonio Citterio, conceptualised a place where lifestyle, quality, design and productivity
are all combined. The design, which houses Technogym’s corporate headquarters, research
centre, factory and a large Wellness Centre, is based on the concepts of eco-sustainability
and bio-architecture applied to create a place of work and inspiration devoted to excellence.
In 2023, Technogym Village was chosen for the arrival of the ninth stage of the Giro d’Italia
on Sunday 14 May 2023, for the Savignano individual time trial on the Rubicone-Cesena
route. To mark the occasion, as well as the cycling champions involved in the competition,
the Wellness Campus welcomed numerous personalities from the world of sport and
celebrities, over 200 journalists (both Italian and international) who were covering the
stage arrival and roughly 200 Technogym guests from all over Europe (including customers,
athletic trainers and industry operators), as well as invitees representing other Giro d’Italia
sponsors. Attendees were able to view the arrival of the Corsa Rosa (Pink Race) and were
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Board of directors’ report – First section
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also given the opportunity to try out the numerous new Technogym solutions for the cycling
world.
1.10 HUMAN RESOURCES AND ORGANISATION
TECHNOGYM recognises the fundamental importance of its personnel, both at its
headquarters and those working for the 14 subsidiaries worldwide, as well as their health,
training, motivation and rewards. Development of their qualities and skills is considered
essential for the implementation of the global corporate strategy.
In 2023, TECHNOGYM employed on average 2,255 staff (2,146 for the year ended 31
December 2022), which comprised 613 blue-collar workers, 1,572 white-collar workers and
70 managers.
(in numbers)
Year ended 31 December
2023 2022
Average Year-end Average Year-end
Number of employees
Managers 70 67 69 71
White-collar 1,572 1,607 1,431 1,456
Blue-collar 613 611 646 616
Total number of employees 2,255 2,285 2,14 6 2 ,143
Training is an important way of developing and consolidating personal skills, while
promoting the Group’s values and strategy.
This is why the company organises training programmes through the Technogym
University with its in-house trainers on the key company processes, as well as transversal
training programmes based on developing soft skills or new expertise, mainly through
external trainers, and information sessions on the Technogym culture, open to all staff.
Training is delivered in various forms: on-the-job training, so that employees can learn
through projects and new, challenging activities; continuous feedback, coaching and
mentoring to support staff through the growth process, and e-learning to ensure regular
updating in self-training mode. Training is also provided at classes and seminars.
Training is categorised as follows:
› Technical and Managerial Training: aimed at developing expertise for specific roles,
including positions with a high managerial content and/or supervisory roles in order
to develop relational, communicative and behavioural capabilities at all levels in the
organisation;
› Commercial Training: for Sales and Marketing roles;
› Health and Safety Training: mandatory health and safety training for the company’s
health and safety officers.
In 2023, in line with the company’s values and to promote a leadership culture at all levels,
a Team Leadership project was developed for top management, through an innovative
methodology for developing successful, winning teams. The work on the Technogym
Leadership model continued, involving managers and team leaders, with a particular focus
on newly appointed and developing managers, through classroom training, hands-on
workshops and team coaching.
Board of directors’ report – First section
The training plan focused in particular on the development of interpersonal and sales
skills, on time and project management, and on digital skills.
For the production areas, a special training catalogue was created with courses open
to all and those dedicated to specific professional figures. Training for blue-collar workers
continued with the Scuola dei Mestieri (Skills School) Project. This involves new entrants in
the production area, i.e. mainly temporary staff (temps), who do not fall within the scope of
the figures included in the Sustainability Report.
In 2023, the company worked on continuously improving a unique programme called
“Working for Wellness” (W4W), which is aimed at guaranteeing the quality of the work
environment and corporate climate, offering the chance to all personnel to live a Wellness
lifestyle to the full in all its aspects.
Working for Wellness is the only corporate wellness programme that is aimed at all
aspects of mental and physical wellbeing, with services dedicated to movement, nutrition
and mental approach according to the Wellness Lifestyle Pyramid developed by the
Technogym Wellness Science Center.
Corporate Wellness is an example of one of the programme’s flagship services, which
gives all staff in the branches around the world the chance to train at the Wellness Center
at the company headquarters or to use a specific Welfare Credit for an annual subscription
to an affiliated Wellness Club equipped with Technogym equipment and digital solutions.
Moreover, the W4W programme also undertakes to enhance the different aspects of the
personal life of employees by offering and providing various services, including: special
agreements with stores, tax advice, supplementary healthcare policy, a summer camp
and even the opportunity to access a dedicated web platform - T-Welfare - with additional
online services (shopping, tickets, travel, experiences, leisure, prevention, social security
and reimbursements).
1.11 TECHNOGYM AND SUSTAINABILITY
Technogym is known throughout the world as ‘The Wellness Company’ and in parallel
with its business model, based on technology, software and services in support of physical
activity, sports, health and prevention of illness, the company has a strong sense of
corporate social responsibility, centred on the idea of exercise as medicine and promotion
of the Wellness lifestyle as an important concept, and social opportunity for governments,
businesses and individual citizens. The company also implemented a number of corporate
social responsibility initiatives in 2023, developed locally, nationally and internationally. For
more information, refer to the 2023 Non-Financial Statement, which provides details of the
activities implemented by Technogym during the financial year.
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Sustainability objectives and commitments
Technogym’s approach to sustainability has strong synergies with its corporate mission.
Our aim is to disseminate the Wellness Lifestyle globally with a view to promoting regular
physical exercise and healthy lifestyles and improving people’s quality of life. Wellness, the
corporate philosophy of Technogym, is key to defining our strategic objectives. It reflects our
commitment to building shared value with all stakeholders.
The close correlation between business strategy and sustainability is what guides the
Group in its decisions and actions, which are designed to meet the health needs and
demands of ordinary people. The wellbeing of end users, and therefore of the community
as a whole, is central to our corporate objectives, and it starts at the product design phase.
We maintain this focus throughout the production process, through to the after sales and
marketing stages.
This combination of factors makes the Group’s business model unique, and fosters
strategic alignment with the United Nations Sustainable Development Goals (SDGs).
Technogym unquestionably contributes to achieving Goal 3 “Good Health and Well-being”,
with specific reference to Target 3.4: “By 2030, reduce by one-third premature mortality
from non-communicable diseases through prevention and treatment and promote mental
health and well-being”.
On the strength of the Group’s commitment to ESG (Environmental, Social, and
Governance) issues and with a view to strengthening the alignment between the SDGs and
its corporate strategy, Technogym undertakes to outline clear sustainability objectives and
commitments.
Technogym approved its Sustainability Policy in 2023, with commitments through to
2025. The policy sets out three main commitments linked to:
› Wellness Lifestyle for All (Commitment no. 1), which underlines the opportunity to create
value starting from the Group’s core business;
› Responsible Innovation and Design (Commitment no. 2), with a strong focus on
sustainable innovation to increasingly guide choices towards the responsible management
of climate change risks¹;
› Wellness for the Community (Commitment no. 3), focused on the wellbeing of the
community in which it operates and of the stakeholders that Technogym works and
communicates with.
Technogym ESG commitments by 2025
Commitment
1
Commitment
2
Commitment
3
WELLNESS
LIFESTYLE
FOR ALL
RESPONSIBLE
INNOVATION AND
DESIGN
WELLNESS FOR
THE COMMUNITY
SDGs
more in scope for the value chain
1.
A point of reference is the
European guidelines linked
to the recommendations
made by the Task Force on
Climate-related Financial
Disclosures (TCFD).
Board of directors’ report – First section
WELLNESS LIFESTYLE FOR ALL
For over 20 years, Technogym has been promoting wellness as a social opportunity for
all stakeholders: individuals, businesses and governments. Using this history of culture
and innovation, and in compliance with the United Nations’ “Good Health and Well-being”
goal, the company is determined to keep helping its stakeholders to achieve wellness by
promoting sustainable lifestyles and behaviours for the wellbeing of the community through
a range of products and services that use the latest technology, meet the needs of private
and professional users, and reach an ever larger number of people.
RESPONSIBLE INNOVATION AND DESIGN
Our mission to help build a better world based on the health of its people must be
accompanied by considerable care and attention for the environment in which we live. That
is why, in pursuing the UN’s “Responsible consumption and production” and “Industry,
innovation and infrastructure” goals, we work to create products and environments in which
functionality and aesthetics can co-exist and where seeking out new green solutions, from
the planning stage onwards, enables us to act responsibly while not neglecting excellence
in design.
WELLNESS FOR THE COMMUNITY
Through several concrete projects, such as the Wellness Valley set up in 2003 and the Let’s
Move for a Better World campaign, which is now on to its seventh edition, we wish to promote
the full expression and realisation of wellness as a concept, using our technologies and
communication initiatives to help improve the quality of life and wellbeing of the community
and the planet. We believe these factors are crucial to achieving the UN’s “Sustainable cities
and communities” goal.
Commitment
1
Commitment
2
Commitment
3
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In addition, in 2023 Technogym took forward its commitment, in line with the path initiated
in 2021, to improve the level of disclosure on issues related to climate change, diversity
and inclusion, as well as responsible business practices. The Sustainability Plan was also
defined and updated, which reflects the Policy commitments, with the aim of having a tool
that makes it possible to communicate the company’s strategic vision of sustainability,
promote organisational synergies and foster a culture of sustainability for increasingly
joined-up thinking.
Finally, since 2017, Technogym has prepared a Non-Financial Statement (NFS) in
accordance with the legal requirements set out in Italian Legislative Decree 254/2016. For
details on its non-financial performance, refer to the Non-Financial Statement prepared in
line with the Global Reporting Initiative Standards (GRI Standards 2021). This was subjected
to a limited examination by PricewaterhouseCoopers S.p.A., and is available on the Group’s
corporate website.
Exercise is medicine
For many years, Technogym has supported a number of cultural activities and campaigns
to promote Wellness as a social opportunity and to encourage regular physical exercise in
partnership with numerous national professional associations (ANIF in Italy, UK Active, NL
Actief, Fitness Australia, etc.). At a supranational level, Technogym has for many years been
a reference partner of the European professional organisation EuropeActive and the IHRSA,
the professional association of fitness clubs based in the USA and operating on a global
scale. Moreover, the company makes its own contribution to international economic events,
such as the World Economic Forum in Davos. In this context, Chairperson Nerio Alessandri
is one of the promoters of the working group dedicated to issues of health and quality of life.
Known worldwide as “The Wellness Company”, the Group’s business model is teamed
with a strong sense of social responsibility focused on the idea of exercise as medicine, and
on promoting the Wellness lifestyle as an important social opportunity for governments,
businesses and individuals.
National and international initiatives
Exercise is Medicine Initiative
The historical partnership between Technogym and the American College of Sports
Medicine continues. Technogym is a Main Partner of the “Exercise is Medicine” initiative,
which is aimed at promoting on a global level the role of regular physical exercise as a form
of medicine for a number of disorders. Indeed, there is a wealth of scientific evidence on the
therapeutic benefits of exercise in the treatment of many metabolic and chronic diseases,
such as diabetes and high blood pressure.
Global Health & Fitness Alliance Partnership
As part of the historical partnership with the IHRSA – the professional association of fitness
clubs based in the USA and operating on a global scale – in 2023 Technogym joined the
Global Health & Fitness Alliance as a Main Partner. The Alliance has the aim of promoting the
role and impact of the wellness sector on people’s health and advocating the introduction of
measures to support and encourage more regular exercise.
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Sponsorship of the “EuropeActive” Annual Publication
For some years, Technogym has been a sponsor of the annual publication of EuropeActive,
a European professional association, which has a dual objective: on the one hand, to raise
awareness among institutions of the impact of the wellness and fitness sector in terms of
better health and wellbeing of people and, on the other, to create culture and training for
industry operators and managers.
In 2023, the first “Exercise for Health Summit” was held in Madrid, organised by
EuropeActive and attended by the World Health Organisation – where Technogym and
the Wellness Foundation presented the new book “Exercise is Medicine: a quick guide to
exercise prescription”.
The publication is aimed in particular at the international medical community, with the
goal of promoting the prescription of physical exercise by GPs by providing them with
scientifically sound and accurate guidelines. Fifteen years on from the first edition, the guide
dedicates a chapter to the healthy population and addresses the main noncommunicable
chronic diseases: high blood pressure, cardiovascular diseases, type 2 diabetes, overweight
and obesity, cancers, osteoporosis and depression; it reports a summary of the scientific
evidence for each condition and provides specific recommendations in terms of type of
exercise, frequency, intensity and duration.
Wellness Valley
The “Wellness Valley” initiative, promoted by the Wellness Foundation and supported by
Technogym, was established in 2002 from an idea of Nerio Alessandri: to create the first
district in the world for wellness and quality of life in Romagna, building on the economic,
intellectual and cultural capital of the region, which is already naturally predisposed to
healthy living. It is a non-profit social project with the dual aim of improving health and the
quality of life of the population and of creating economic development opportunities linked
to Wellness supply chains. In support of the initiative, Technogym granted access to its
expertise and teams, and organised practical activities as well as meetings and thematic
discussions to facilitate networking among all the stakeholders in the area.
Through its multi-stakeholder approach, the Wellness Foundation coordinates the work of
300 local public and private organisations actively involved in the project: public institutions,
doctors, schools, universities, businesses, hospitals, gyms, sports clubs, hotels, spas and
event organisers.
At an international level, the Wellness Valley experience is considered a case study and a
concrete example for the creation of systems promoting health with individual and collective
benefits.
In 2016, the World Economic Forum in Davos presented a study of the Wellness Valley as an
international benchmark of a system that promotes long-term prevention and sustainability
thanks to its focus on the prevention and treatment of chronic diseases.
In 2017, the Wellness Foundation actively contributed to the implementation of the World
Health Organization’s Global Action Plan on Physical Activity 2018-2030, presenting the
best practices of Wellness Valley at civil society hearings in Geneva and New York.
Wellness Valley was presented at Expo 2020 Dubai during the Health & Wellness week,
with the aim of inspiring the creation of districts dedicated to the promotion of healthy
lifestyles.
In 2023, based on the experience developed in the first Wellness region, the “Milano
Wellness City 2030” project was launched. During the year, the Wellness Foundation
completed a detailed study on the state of wellness in Milan, looking at a variety of areas:
demographic and economic trends, health and lifestyle, local area and infrastructure. From
the data collected, Milan appears to have good policies in place, with a strong focus on
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well-being and quality of life, a solid commitment to achieving the 2030 goals in terms of
sustainable mobility and a wide range of opportunities for its citizens. However, an ageing
population and unhealthy lifestyles, combined with the growth of obesity and overweight
conditions – even among the very young – and the resulting increase in chronic diseases,
are generating an unsustainable increase in healthcare spending, as well as substantial
impacts on quality of life.
With the upcoming Milano-Cortina 2026 Winter Olympics, the Wellness Foundation has
launched a forward-looking project to spread a new culture aimed at healthy lifestyles and
prevention, involving qualified stakeholders, including universities, foundations, hospitals,
institutions, sports clubs and businesses.
Wellness Valley activities in 2023
Wellness Valley Workshop
The results of the Wellness Valley Report were presented at the Wellness Valley Workshop,
in the presence of the Italian Minister for Sport and Youth, Andrea Abodi, President of the
Emilia-Romagna Region, Stefano Bonaccini, and the Rector of the University of Bologna,
Giovanni Molari. The impacts of the project in terms of Health, Economic Development,
Tourism and Skills were highlighted.
The research showed that:
› in Romagna, 55% of the population is active compared with the Italian average of 46%
› the percentage of inactive adults is 16% compared with 31% for the national average
› 35% of doctors in the Region prescribe physical activity as treatment, compared with the
national average of 29%
› the percentage of over 65s at risk of disability due to chronic diseases in Romagna is
9.6%, compared with the Italian average of 17.1%
› in Romagna, the Wellness sector recorded 31% economic growth in the 2011-2021 period
despite the temporary drop due to the pandemic.
The Wellness Valley Report is prepared by the Centre for the study and analysis of the
Wellness Valley, an independent body comprising experts and professionals from various
organisations.
Wellness Week
From 16 to 24 September, Wellness Week was held across the Romagna region. This initiative,
dedicated to exercise and healthy lifestyles, was promoted by the Wellness Foundation and
the Emilia-Romagna Region with the support of the University of Bologna and the Emilia-
Romagna Regional Education Office. The event included an extensive calendar of over 300
Sport and Fitness, Outdoor Movement, Healthy Eating, Mental and Physical Wellbeing
and Wellness Culture initiatives, offered by more than 80 Wellness Valley stakeholders,
highlighting Romagna’s qualities as a region of leadership and expertise in well-being and
quality of life.
Among the programmed events, there were many activities organized by the University of
Bologna Sports Centre (CUSB) at the Alma Gyms – the new gyms at the university campuses
of Cesena, Forlì and Rimini – on the occasion of the International Day of University Sport (20
September); “Cesena in Wellness”, a well-established event at the Cesena Racecourse Club
that attracts thousands of people every year and involves local gyms and sports centres;
and “Wellness Valley Walks”, an event that brings together all the Romagna Walking Groups
with a series of walks in different cities. It is also worth mentioning the commitment of
Board of directors’ report – First section
various primary and secondary schools in Romagna, involving more than 1,700 children and
young people in wellness activities during teaching hours.
“Chi si muove, si ama!” - campaign to promote physical activity
A new feature of the 2023 edition of Wellness Week was the launch of an innovative campaign
to promote physical activity and exercise, organised by the Wellness Foundation together
with the Emilia-Romagna Region and Romagna Local Health Authority, in collaboration with
the Medical and Pharmacist Associations of the provinces of Forlì-Cesena, Ravenna and
Rimini, and Agifar.
The campaign is fully in line with the activities of the Regional Prevention Plan 2021-
2025 and represents a joint effort (over 700 Romagna GPs involved) to encourage the most
sedentary people in the 40-60 age group to move more to improve their quality of life and
prevent the onset of chronic diseases.
The campaign is the result of a unique alliance, centred on GPs, together with local
pharmacies, health clinics and walking groups registered on the “Health Map” of the Emilia-
Romagna Region, as well as an extensive network of gyms, swimming pools and sports
centres in the area.
Wellness Congress
The goal for both the world of medicine and the general public is no longer just to live longer,
but to do it in an active and healthy way: exercise is key to growing old while staying fit and
healthy (healthy longevity). This was the central theme of the 25th edition of the Wellness
Congress, organised by the Wellness Foundation at Technogym Village on 6 October.
Aimed mainly at the world of health, the Wellness Congress 2023 brought together
participants from 13 countries and hosted distinguished speakers such as Marco Cardinale,
Executive Director of Scientific Research, Aspetar (Qatar), Matthew Kampert, Sports
Medicine Specialist and Director of the Exercise Medicine for Endocrinology & Metabolism
Institute, Cleveland Clinic (USA), Alberto Mantovani, Scientific Director, Istituto Clinico
Humanitas and Emeritus Professor, Humanitas University (Italy), and Robert Newton,
Professor of Exercise Medicine, Edith Cowan University and Founding Director of Exercise
Medicine Research Institute at ECU (Australia).
Wellness Valley Centre
The work of the Centre for the study and analysis of the Wellness Valley continues. The
independent body set up by the region in 2018, under the Wellness Valley Protocol signed
by the Wellness Foundation with the Emilia-Romagna Region and the University of Bologna,
aims to measure and report the effects of projects undertaken in the region to promote
healthy lifestyles. The Centre’s Working Group, comprising multidisciplinary skills in
health economics, epidemiology, tourism and event economics, statistics, sociology, sport
management and technology development, helped draft the fourth edition of the Wellness
Valley Report, published by the Wellness Foundation in January 2023.
The Report has been widely distributed at a national and European level, helping to raise
awareness among organisations and institutions about the importance of Wellness for the
creation of healthier and more sustainable communities.
Board of directors’ report
Exercise is Medicine – a guide to exercise prescription
Thanks to collaboration with the Wellness Foundation, the new edition of the “Exercise
is Medicine” book was published in 2023. The volume, printed in Italian and English, is a
valuable guide for all clinicians to prescribing physical exercise for the treatment of the most
common chronic diseases, such as diabetes, high blood pressure, cardiovascular diseases,
cancer, osteoporosis and depression.
Emilia-Romagna was the first region in Italy and among the first in Europe to introduce
the prescription of physical exercise in 2014 for the prevention and treatment of the most
common chronic diseases.
The publication of “Exercise is Medicine” was received with great interest by regional
health authority representatives, as well as by professionals from various scientific
organisations, including the FADOI and ANMCO, which work with the Wellness Foundation.
The publication was officially presented in November 2023 in Madrid at the first
international “Exercise for Health Summit” promoted by EuropeActive.
Research Project at the PRIME Center in Cesena
In terms of research, the project initiated in collaboration with the IRST Meldola Cancer
Research Institute continues at the PRIME Center in Cesena, the first centre in Italy
dedicated to Prevention, Rehabilitation and Integrated Medicine. A first-class facility set
up by the Oncology Institute of Romagna (IOR) in 2021 and an expression of the quality
of life culture in the region where the Wellness Valley is located. The PRIMA Center offers
new treatment pathways for cancer patients based on prescribed and monitored physical
exercise as a valuable support to therapy. The partners include the Wellness Foundation and
Technogym, which contributed with the donation of its equipment and digital technologies,
enabling patients to perform precise and customised training programmes. There are
currently more than 100 cancer patients involved and over 500 services provided thanks to
a team of professionals specialising in physical exercise.
Environment and safety
Wellness for Technogym goes far beyond full compliance with applicable laws in the fields of
environmental protection, social protection, and occupational safety and hygiene. It means
contributing in a practical and active way to the improvement of society in all its forms.
Our primary values are respect for the individual, the protection of employment,
diversity and equal opportunities, the health, safety and wellbeing of employees, and social
development in the context we operate in. Technogym also considers the integration of its
vision of sustainable responsibility within the value chain as essential, including through
the promotion of the complete lifecycle system and continuous improvement of energy
efficiency.
Total Quality Management, as a state of mind, is the path chosen by the company to
guarantee reliability and transparency in relation to customers within the context of
continuous improvement. The Technogym group is committed to promoting and supporting
a culture of Total Quality Management through its structured management system to ensure:
› Involvement, Motivation and Empowerment of People
› Development and Innovation through its Products/Services
› Active involvement of Suppliers
› Process Optimisation and Control
› Customer satisfaction and the satisfaction of all stakeholders
Board of directors’ report – First section
In line with its mission and integrated corporate policy, Technogym has for many years
based its production and management processes on internationally recognised standards,
shared with its employees and suppliers, including ISO 9001 and ISO 13485, for its Quality
Management System; ISO 14001, for its Environmental Management System; ISO 50001, for
its Energy Management System, and ISO 45001 for the health and safety of its employees
and work environments.
1.12 TECHNOGYM AND THE STOCK MARKETS
Financial markets
2023 marked a positive turnaround for the global financial markets after a complex 2022.
There was a recovery in portfolios, driven by an improvement in the main stock indexes,
with the exception of the Chinese indexes, and by an increase in bond prices, especially
in the fourth quarter thanks to the expected rate cuts by the Federal Reserve in 2024.
The restrictive policies implemented by central banks since 2022 have begun to produce
the desired effects, with a marked reduction in inflation and signs of sustained economic
growth. Meanwhile, geopolitical conflicts have further increased, from the Russia-Ukraine
war to the Middle East, first in Israel and then in different areas of the Region, including
Yemen, causing growing concerns.
In particular, the latter part of the year marked a strong acceleration of the stock markets:
December saw robust growth in the markets, with the Global Equities Index rising by 5.1%,
the S&P500 by 4.5%, the Eurostoxx600 by 3.8% and the FTSEMIB by 2.1%, following the
policy change announced by the FOMC. The positive trajectory in 2023 saw global stock
markets grow by 22%, fuelled by a number of factors. These include the resilience of the
global economy, particularly in the US, where real GDP exceeded expectations, returning to a
robust growth of 2.4%. In addition, there was a convergence of inflation towards target rates,
combined with expectations of a relaxation of monetary policy. Growth in 2023 was also
driven by the exceptional performance of the US tech giants, boosted by advances in artificial
intelligence. The Nasdaq recorded an impressive 45% increase, driven by top performers
such as Nvidia (+239%), Meta (+194%) and Tesla (+102%). While stock exchanges in the
United States, Tokyo and Milan performed positively, the Chinese markets suffered, with the
Hang Seng and CSI300 down 10.5% and 9%, respectively. The performance of the Chinese
financial market continued to disappoint investors with a series of negative macroeconomic
data. In 2023, GDP growth was at its lowest level in thirty years, while retail sales were
below expectations in December. In addition, the population declined for the second year in
a row and the prices of new houses hit the lowest values since 2015. These factors weighed
on the Hong Kong stock exchange, the most open to international investors, which suffered
a 14% loss in 2023. The more domestic-dominated Shanghai stock exchange recorded an
even more significant decline of 18% over the same period.
The bond market also showed significant gains, with corporate and government bonds
in the US and the EU recording growth. For example, the Global Corporate Bond index
increased by 5.9%, while government bonds such as the BTP recorded an increase of 13%,
with the German Bund seeing an increase of 4%. Interest rates in the United States fell
slightly, with the 10-year yield falling by 34bps to 4%, while inflation expectations remained
stable at 2.2%.
Commodities performed very differently from one another, with gold benefiting from
lower real interest rates and the depreciation of the dollar. At a macroeconomic level,
several factors had an impact. Firstly, the significant expectations of investors regarding
the economic reopening of China post-COVID played a significant role. However, in general
these expectations did not come to fruition, with an economic recovery that turned out to
Board of directors’ report
be below expectations, generating reduced demand for metals and other raw materials.
Secondly, commodities have historically been a hedge against inflation, rising in value
during periods of general price increases. However, in recent months, the main indicators
of consumer price trends, such as the widely followed US CPI, have seen a decrease. This
trend has led many observers to point to the onset of disinflation.
Financial market trends
Market Index QTD YTD
Bonds
Government Italy -12.80% -13.59%
Government EMU 5.83% 8.43%
Government Global (in Local Currency) 5.38% 4.84%
Shares
S&P 500 TR (USD) 6.17% 25.84%
MSCI Europe TR Local Currency 4.78% 11.67%
MSCI World TR Local Currency 6.48% 22.76%
Nikkei TR LC 3.21% 32.88%
MSCI Emerging Markets TR (USD) 4.47% 7.82%
Currencies (vs Euro)
USD 2.40% 4.10%
JPY -1.18% 10.72%
GBP 1.27% -1.44%
Commodity
Bloomberg Commodity Index TR (in USD) -5.92% -4.38%
Gold ($/OZ) 6.02% 10.49%
Crude Oil, WTI (future) -14.94% -2.87%
Source: Bloomberg, data as of 29 December 2023.
(*): average rate and no percentage change.
Board of directors’ report – First section
Information on shares and share performance
In this context, some statistics concerning the performance of Technogym stock in 2023 are
reported below. As of 31 December 2023, the company holds 836,972 treasury shares.
Share performance
The diagram below summarises the performance of the Technogym share price:
Main stock market indicators (Euro)
Shares listing
Oicial price as of 2 January 2023 7.235
Oicial price as of 31 December 2023 9.065
Minimum closing price (January - December) 6.895
Minimum price in absolute terms 6.855
Maximum closing price (January - December) 9.27
Maximum price in absolute terms 9.27
Stock market capitalisation
Stock market capitalisation as of 02 January 2023 1,456,604,500
Stock market capitalisation as of 31 December 2023 1,825,033,800
Ordinary shares
No. outstanding shares 200,490,528
No. of treasury shares 836,972
6.5
7.0
7.5
8.0
8.5
9.0
Jan 23
Jan 23
Feb 23
Mar 23
Mar 23
Apr 23
May 23
May 23
June 23
July 23
July 23
Aug 23
Sept 23
Oct 23
Oct 23
Nov 23
Dec 23
Dec 23
TGYM FTSE MIB Indexed
9.5
Board of directors’ report
Shareholding structure
Shown below are the shareholders who, pursuant to Art. 120 of the Italian Consolidated Law
on Finance (T.U.F.), hold a significant shareholding as of 31 December 2023:
Main shareholders Number of
shares
Share Voting rights
TGH S.r.l.* 68,000,000 33.78% 50.48%
NIF Holding S.r.l. 8,818,650 4.38% 3.27%
* company set up following the partial, proportional demerger of Wellness Holding S.r.l., which became effective on 14 May 2020.
The share capital of the Issuer as of 31 December 2023 amounted to Euro 10,066,375, divided
into 201,327,500 ordinary shares with no par value.
As of the date of publication of this Annual Report, TGH S.r.l. holds 33.78% of the Issuer’s
share capital (representing 50.48% of the total voting rights), NIF Holding S.r.l. holds
4.38% of the Issuer’s share capital (representing 3.27% of the total voting rights), while the
remaining 61.84% of the Issuer’s share capital is free float on the EXM market managed by
Borsa Italiana S.p.A.
2024 Financial Calendar
Event date Corporate events
25 March 2024 Board of Directors’ meeting for approval of the 2023 Draft Financial Statements (*)
07 May 2024 Shareholders’ meeting for approval of the 2023 Financial Statements
09 May 2024 Board of Directors’ meeting for disclosure not subject to auditing on the performance of consolidated revenues
in the first quarter of the 2024 financial year (*)
02 August 2024 Board of Directors’ meeting for approval of the half-yearly financial report as of 30 June 2024
30 October 2024 Board of Directors’ meeting for disclosure not subject to auditing on the performance of consolidated revenues
in the third quarter and in the first nine months of the 2024 financial year (*)
(*) following the Board of Directors’ meeting, a conference call is planned with the financial community.
Option not to disclose information in the case of non-material
transactions
Pursuant to Article 70, paragraph 8, and Article 71, paragraph 1-bis of the Issuers Regulation,
the Issuer opted to defer the obligation to disclose information in cases indicated in Articles
70, paragraph 6, and 71, paragraph 1 of the Issuers Regulation.
Board of directors’ report – First section
Board of directors’ report
Board of directors’ report - Second section
SECOND SECTION
Board of directors’ report
FOREWORD
In accordance with Art. 40 of Italian Legislative Decree 127/1991, as modified by Art. 2 letter
d) of Italian Legislative Decree 32/2007, this report covers both the consolidated financial
statements of the TECHNOGYM Group and the financial statements of the Parent Company
TECHNOGYM S.p.A., both of which were prepared in accordance with international
accounting standards (IAS/IFRS).
Board of directors’ report - Second section
1 Operating performance
and comments on
the economic and
financial results
1.1 MACROECONOMIC SCENARIO
The global economy is showing signs of slowing further, with the United States and China
recording a weakening of economic activity. OECD estimates predict a modest increase
in global GDP for 2024, reaching 2.7%, due to restrictive monetary policies and a lack of
consumer and business confidence. Risks resulting from international political tensions,
especially in the Middle East, continue to be a significant concern. Central banks are
committed to maintaining restrictive monetary policies until inflation returns to its target
levels. The European Central Bank (ECB) is keeping interest rates unchanged and gradually
reducing the reinvestment of securities purchased during the pandemic to support the
return of inflation to the 2% target.
The macroeconomic scenario is therefore once again complex, but in any case better
than the expectations for the year ahead that were being predicted in mid-2023. The decline
in inflation continues, but is less dramatic than previously feared and faster in pace than
initially projected. This scenario paves the way for a potential easing of monetary policy in
both the Euro Zone and North America, although the lowering of rates should take place
more gradually than the current expectations of the financial markets. The return of inflation
to levels consistent with central bank targets is occurring at a steady pace, in line with year-
end forecasts. This trend is driven both by external factors, such as the stabilisation of oil
and natural gas prices, and by a reduction in wage increases and lower global demand for
manufactured goods, as evidenced by the contraction in international trade since the last
quarter of 2022. Experts predict a further decline in inflation in 2024-25, bringing levels
below those seen before the pandemic and European gas crisis. Although oicial rates
increased significantly in 2022-23, it seems that the maintenance of price stability can be
achieved without resorting to an economic recession.
The slowdown in GDP growth in the United States has been below expectations, with the
risk of recession now receding. Although the Euro Zone has shown signs of stagnation since
early 2022, only Germany has recorded a contraction in economic activity. The resistance
of advanced economies to rate increases seems to stem from a favourable mix of structural
and cyclical factors. A modest improvement in economic activity is expected in the coming
months, allowing time for the recovery of real incomes to overcome the eects of restrictive
monetary policies and more cautious fiscal policies. Although the tightening of monetary
policies is over, the eects of previous rate increases have yet to be fully reflected in the
real economy. In Italy, economic activity virtually stopped in the fourth quarter of 2023, with
a significant contraction in consumption and investments. Employment continues to rise,
while wage growth remains solid. However, inflation is seeing a significant decrease, with
Board of directors’ report
a drop in consumer prices. Monetary restrictions continue, aecting the credit market and
the profitability of banks.
With regard to fiscal policies, in 2024 a more restrictive positioning is expected in advanced
countries than in the past, although the cyclically adjusted primary deficits will remain above
pre-pandemic levels. The real estate crisis in China is another element holding back global
growth in 2024. The monetary policy easing cycle could start earlier than expected if inflation
declines faster than predicted or if there are reductions in risk factors, such as a slowdown
in wage growth. However, the rate reduction is likely to be gradual, slower than current
market expectations. In general, with inflation falling and the labour market improving, it is
reasonable to expect a less restrictive monetary policy. However, maintaining price stability
remains a priority even in the event of unexpected adverse shocks.
Compared with previous years, the main risks for the current scenario are of a structural
nature, linked to managing the consequences of an ageing population, climate change and
the energy transition.
Currency Market
On the currency markets, the performance of the euro was mixed, increasing in value
against most developed currencies except the Swiss franc and the British pound sterling. In
the United Kingdom, the Bank of England raised rates five times, taking them to 175 basis
points, successfully bringing inflation back to more reassuring levels. Despite this, the value
of the pound against the euro remained relatively stable, with a narrow range of fluctuation
between 0.85 and 0.90 EUR/GBP.
The dollar closed the year down against the euro, with expectations of further rate cuts
by the Federal Reserve in 2024. However, the dollar could increase in value quickly if these
forecasts do not come to fruition given the strength of the US economy compared to the
Euro Zone. In 2023, the Federal Reserve began to reduce interest rates in response to still
quite strong figures on employment, consumption and GDP.
Japan’s situation remained complex, with an ultra-expansive monetary policy continuing
to weigh on the Japanese currency. However, the country recorded a reduction in inflation
without aecting rates, and a weak exchange rate supported exports, leading the Tokyo
Stock Exchange to close 2023 positively. On the contrary, the Japanese yen was penalised
by the accommodative monetary policy of the Bank of Japan.
Industry scenario
Once again in 2023, the growing interest of consumers in exercise as an integral part of a
healthy lifestyle continued. Focus on prevention significantly increased, in part driven by
the exit from the COVID-19 pandemic, which also increased people’s preference for training
outside their homes. There is growing demand from consumers for an extremely precise
measurement of training parameters in order to reach the targets more quickly.
The wellness sector is growing at rates closer to double digits than to single digits,
thanks also to the increasing demand for luxury wellness-oriented real estate solutions and
solutions that encourage a healthier lifestyle through better nutrition and regular exercise.
If we just look at the fitness sector, research shows a market of approximately 14 billion
dollars, with low single digit growth rates and a growing demand in the BtoB sector (Clubs,
Hotels, etc.) rather than in the consumer sector, which is undergoing a normalisation stage
following the pandemic.
In fact, all the data from the main Clubs (an important indicator because it captures
a significant portion of spending on fitness solutions) showed a marked increase in the
number of members as well as repeat visits.
Board of directors’ report - Second section
More and more consumers consider physical exercise as an essential part of their day,
also preferring hybrid training through digital ecosystems that can be used via an app, so
they can continue training every day in dierent places if they want. There has also been an
increase in the demand for companies to have spaces dedicated to physical exercise and
services related to the use of assets (software) that allow them to measure and make the
most of the investments made. Scientific research increasingly shows that regular physical
exercise has beneficial eects on the body, thus allowing companies to have a positive
impact on their employees, making them more work-oriented and more satisfied when
transitioning from 100% working from home to hybrid working.
Even in the hospitality sector, there is a continuous demand for wellness solutions, where
areas dedicated to training are playing an increasingly central role. Again, fitness is also
seen as a useful way of socialising, an element of newness and change, started by the
younger generations and now pervasive even among older clusters.
The importance of training has also increased in the hospital sector, as well as, more
generally, in rehabilitation centres. The scientific literature now has a considerable level of
data relating to the positive influence of guided exercise on patients with dierent types of
conditions. This type of customer needs certified solutions capable of processing sensitive
data, an area in which Technogym once again has a considerable competitive advantage,
given its pioneering investments in these assets that began some time ago.
Board of directors’ report
1.2 COMMENTS ON THE GROUP’S ECONOMIC AND FINANCIAL RESULTS
The Group uses some of the following definitions as “Alternative Performance Measures”
(APMs) as set out in the European Securities Markets Authority (ESMA) guidelines
(ESMA/2015/1415) and implemented by Consob communication no. 0092543 of 3 December
2015.
The content and meaning of the main measures used by the Group in its presentation of
the economic and financial results for the year ended 31 December 2023 are shown below,
compared with those of the previous year:
(in thousands of Euro
and percentage annual change)
Year ended 31 December Changes
2023 2022 2023 vs 2022 %
Revenues 808,091 721,490 86,601 12.0%
Adjusted EBITDA ⁽¹⁾ 152,003 131,927 20,076 15.2%
Adjusted EBITDA margin ⁽¹⁾ 18.8% 18.3% 0.5% 2.9%
EBITDA ⁽¹⁾ 151,617 129,382 22,236 17.2%
EBITDA margin ⁽¹⁾ 18.8% 17.9% 0.8% 4.6%
Net operating income 97,38 3 82,753 14,630 17.7%
Adjusted net operating income ⁽²⁾ 101,192 85,306 15,885 18.6%
Profit for the period 73,640 63,587 10,053 15.8%
Adjusted profit for the period ⁽³⁾ 78,425 66,141 12,284 18.6%
Adjusted profit margin for the period ⁽³⁾ 9.7% 9.2% 0.5% 5.9%
(1) The Group defines:
– adjusted EBITDA as the net operating income, adjusted by the following income statement items: (i) net provisions; (ii) depreciation, amortisation and impairment losses (write-backs) and (iii) non-recurring income/
(expenses);
– EBITDA as the net operating income, adjusted by the following income statement items: (i) net provisions; (ii) depreciation, amortization and impairment losses;
– the adjusted EBITDA Margin as the ratio between adjusted EBITDA and total revenues;
– the EBITDA Margin as the ratio between EBITDA and total revenues.
(2) The Group defines adjusted net operating income as the net operating income adjusted for non-recurring income/(expenses).
(3) The Group defines:
– adjusted profit for the period as profit for the period adjusted for non-recurring income/(expenses) and non-recurring taxes;
– the adjusted profit margin for the period as the ratio between adjusted profit for the period and total revenues.
The following table summarises the main economic indicators used by the Group:
(In ratios)
Year ended 31 December
2023 2022
ROS ⁽⁴⁾ 12.1% 11.5%
adjusted ROS ⁽⁵⁾ 12.5% 11.8%
ROE ⁽⁶⁾ 20.2% 18.4%
ROI ⁽⁷⁾ 41.1% 37.0%
adjusted ROI ⁽⁸⁾ 42.7% 38.1%
adjusted EBITDA/financial expenses ratio ⁽⁹⁾ 168.76 158.72
Net Indebtedness/adjusted EBITDA ratio n.a. n.a.
The Group defines:
(4) ROS as the ratio between net operating income and total revenues
(5) adjusted ROS as the ratio between adjusted net operating income and total revenues
(6) ROE as the ratio between the Profit (loss) for the year and Equity
(7) ROI as the ratio between Net Operating Income and Net Invested Capital
(8) adjusted ROI as the ratio between the Adjusted Net Operating Income and Net Invested Capital
(9) financial expenses refer exclusively to: (i) Bank interest on loans and (ii) Bank interest and fees.
Board of directors’ report - Second section
Total Revenues came to Euro 808,091 thousand, up by Euro 86,601 thousand (12%)
compared to Euro 721,490 thousand in 2022. Growth is in double digits compared with the
previous year for all commercial segments. Interestingly, the positioning of the Technogym
brand and its strategy also returned a result in line with 2022 for the BtoC business, which
targets consumers. In particular, the Private sector showed a notable rate of acceleration in
the second half of the year, where it returned to growth compared to the same period of the
previous year.
With constant exchange rates, total revenues would be Euro 824,133 thousand (+14.2%
compared with 2022).
Adjusted EBITDA came to Euro 152,003 thousand, up by Euro 20,076 thousand (15.2%)
compared to Euro 131,927 thousand in 2022. This performance is mainly attributable to the
increase in sales volumes, first and foremost in the BtoB segment, and the improvement in
the product mix, in addition to the increase in turnover in digital content and services.
Technogym was able to significantly increase its profitability, reaching 18.8% in terms of
the Adjusted EBITDA margin on revenues, up compared to the 18.3% of the previous year,
while confirming a focus on growth of the sales network, investments in marketing activities,
and despite a complex macroeconomic scenario, also seen in the volatility of transport costs
and the depreciation of the main currencies compared to the Euro.
Adjusted net operating income came to Euro 101,192 thousand, up by Euro 15,885
thousand (18.6%) compared to Euro 85,306 thousand in 2022, also influenced by the
trends mentioned above. Net operating income was also aected by the amortization and
depreciation in the period, standing at Euro 45,712 thousand and up Euro 5,326 thousand
compared with the previous financial year, relating to ongoing investments made by the
group in digital transformation and in the upgrading of its boutique stores in the most
important cities in the world. Adjusted ROS of 12.5% for the year ended 31 December 2023
is up compared to the 11.8% of the year ended 31 December 2022.
Adjusted profit for the period came to Euro 78,425 thousand, up by Euro 12284
thousand (18.6%) compared to Euro 66,141 thousand in 2022. This increase is in line with the
above mentioned trends in net operating income, and also results from positive financial
management, whose net impact is equal to Euro 2,500 thousand, and the measurement
of minority investments at fair value in accordance with the IFRS 9 accounting standard at
Euro 517 thousand. The adjusted profit for the period represents 9.7% of Group revenues
(9.2% in 2022).
In the year ended 31 December 2023, net non-recurring expenses on EBITDA of Euro
386 thousand were recorded, generated mainly by the combination of: positive eects
from the valuation of the equity investment in Technogym Emirates LLC for a value of Euro
4,066 thousand and the departure of Technogym Manno from the Group, which resulted
in the closure in the income statement of the translation reserve with a value of Euro 468
thousand; they have a negative impact on the costs of services item of Euro 1,613 thousand,
personnel costs of Euro 1,764 thousand and other operating costs of Euro 1,544 thousand not
attributable to normal operations. It should be remembered that the valuation of Technogym
Emirates LLC is linked to its line-by-line consolidation starting from the current financial
year, following a modification of the existing shareholder agreements, and not to an increase
in the shares held by Technogym, amounting to 49%.
Non-recurring expenses on EBIT amounted to Euro 3,809 thousand. In addition to the
values described above, the Group reported non-recurring expenses for provisions for risks
and charges of Euro 3,423, of which Euro 1,925 thousand related to part of the liquidity held by
the Russian ailiate Technogym AO, which, following the limitations imposed by the Russian
Federation due to the conflict in Ukraine, is deemed at risk should it be distributed to the
parent company, taking into account the arrangements under assessment. The remainder
of this item relates to pending litigation which is not attributable to the normal operations of
the Group. Lastly, considering the tax eect on the measurement of the equity investment
in Technogym Emirates LLC, amounting to Euro 976 thousand, the Group generated net
Board of directors’ report
non-recurring expenses of Euro 4,784 thousand compared to the Euro 2,554 of the previous
financial year.
The ratio of Net Indebtedness to Adjusted EBITDA is considered insignificant given
that the Group, both as of 31 December 2023 and during the previous financial year, had a
positive Net Financial Position.
The table below shows the consolidated statement of financial position in condensed and
reclassified form, which reports the structure of invested capital and sources of financing as
of 31 December 2023 and as of 31 December 2022:
(In thousands of Euro and percentage annual change)
As of 31 December
2023 2022 % Variations
Loans
Net Fixed Capital ⁽¹⁰⁾ 275,501 270,887 1.7%
Net Operating Capital ⁽¹¹⁾ (38,576) (46,542) (17.1%)
Net Invested Capital 236,924 224,345 5.6%
Sources
Equity 363,712 345,927 5.1%
Net financial position
(12)
(126,788) (121,582) 4.3%
Total sources of financing 236,924 224,345 5.6%
(10) Net Fixed Capital is composed of: (i) Property, plant and equipment; (ii) Intangible assets; (iii) Investments in joint ventures and associates; (iv) Deferred tax assets, (v) Non-current financial assets, (vi) Other non-current
assets, (vii) Deferred tax liabilities, (viii) Employee benefit obligations, (ix) Non-current provisions for risks and charges and (x) Other non-current liabilities.
(11) Net Operating Capital is composed of: (i) Inventory, (ii) Trade Receivables, (iii) Other current assets, (iv) Trade Payables (excluding trade payables maturing in more than 12 months), (v) Current tax liabilities, (vi) Current
provisions for risks and charges and (vii) Other current liabilities.
(12) The net financial position consists of: (i) Current financial assets, (ii) Financial derivative assets, (iii) Cash and cash equivalents, (iv) Non-current financial liabilities (including trade payables maturing in more than 12
months), (v) Current financial liabilities and (vi) Financial derivative liabilities.
Net fixed capital amounted to Euro 275,501 thousand, up by Euro 4,614 thousand
compared to Euro 270,887 thousand for the year ended 31 December 2022. This increase is
mainly attributable to the net eect of (i) higher tangible and intangible fixed assets due to
the normal investment activities of the Group in the development of new digital solutions
and products, as well as plans to expand and upgrade the boutique stores and oices at
the sales branches; (ii) an increase in transferred trade receivables due after 12 months
(see the “Other Non-Current Assets” section for details on the nature of the item); and
(iii) a decrease in investments in joint ventures and associates as a result of the change
in consolidation method of the Technogym Emirates LLC subsidiary, by virtue of an
amendment to shareholder agreements, which gave substantial control to the Group and
involved transition from the equity method to line-by-line consolidation, with the resulting
elimination of the investment in the consolidated financial statements and the recognition
of goodwill of Euro 989 thousand.
Net operating capital came to negative Euro 38,576 thousand, up by Euro 7,965 thousand
compared to the negative balance of Euro 46,542 thousand as of 31 December 2022. The
change is mainly the result of the trend in net operating working capital, and is influenced
in particular by the joint eect of: (i) an increase in the balance of the “Trade receivables”
item of Euro 8,969 thousand, mainly due to an increase in turnover, (ii) a decrease in the
“Trade payables” item of Euro 18,031 thousand, and (iii) an increase in the balance of the
“Inventory” item of Euro 2,890 thousand, the latter being related to the consolidation of
Technogym Emirates LLC of Euro 4,562 thousand; net of this eect, the stock level was
lower than the previous year, thanks mainly to the notable sales achieved in the last part of
the year and to the reduction in purchase prices of materials, partially oset by growth in the
spare part and production component stock level, necessary to meet the Group’s planned
requirements for the first part of 2024. It should also be noted that: (i) the average number of
Board of directors’ report - Second section
days in inventory went from 77 for the year ended 31 December 2022 to 71 for the year ended
31 December 2023 (the inventory turnover ratio went from 4.7 to 5.1); (ii) the average days of
collection of trade receivables went from 45 for the year ended 31 December 2022 to 43 for
the year ended 31 December 2023 (the trade receivables turnover ratio went from 8.1 to 8.4);
(iii) the DPO went from 133 for the year ended 31 December 2022, which had been positively
aected by a dierent purchase seasonality, to 108 for the year ended 31 December 2023
(the trade payables turnover ratio went from 2.7 to 3.3).
Equity totalled Euro 363,712 thousand, up by Euro 17,786 thousand compared to Euro
345,927 thousand in the year ended 31 December 2022. This increase is mainly due to
the recording of a profit for the period of Euro 73,640 thousand, oset by the purchase of
treasury shares for Euro 6,922 thousand and the distribution of dividends for a total of Euro
51,324 thousand, of which Euro 50,332 thousand was approved by the Parent Company,
Euro 706 thousand by Technogym Emirates LLC and Euro 286 thousand by the subsidiary
Sidea. For more details see section 6.12 “Equity” of this document.
The Net financial position as of 31 December 2023, which includes the eects of the
application of the IFRS 16 accounting standard, is positive by Euro 126,788 thousand, up by
Euro 5,206 thousand compared to the balance of Euro 121,582 thousand for the year ended
31 December 2022.
The increase is mainly attributable to cash flow generated by operations of Euro 145.9
million, despite a negative impact deriving from the conversion of cash and cash equivalents
into foreign currencies of Euro 5.7 million, the payment of dividends of Euro 51.3 million, the
treasury share purchase plan announced on 6 November 2023 of Euro 6.9 million, and the
return to normal payment seasonality. The net financial position not including the eects of
the IFRS 16 accounting standard amounts to Euro 170.6 million. As of 31 December 2023, the
Group has no bank debt.
The following table shows the amount the Group’s Recurring Free Cash Flow as of 31
December 2023 and 31 December 2022:
(In thousands of Euro, with ratios)
Year ended 31 December Changes
2023 2022 2023 vs 2022
Net cash inflow from operations 145,937 130,307 15,631
Change in net working capital ⁽¹³⁾ (14,758) 4,216 (18,974)
Investments in fixed assets (35,345) (34,288) (1,057)
Recurring Free Cash Flow Pre-tax ¹⁴⁾ 95,834 100,235 (4,401)
Income taxes paid (24,358) (22,280) (2,078)
Recurring Free Cash Flow 71,476 7 7,955 (6,479)
EBITDA 151,367 129,382 21,986
Cash conversion rate 63% 77% -14%
The Group defines:
(13) the Change in Net Working Capital as the change in: (i) inventory, (ii) trade receivables, (iii) trade payables, (v) other assets and liabilities
(14) the Recurring Free Cash Flow Pre-tax as the dierence between: (i) cash flow generated by operations, (ii) change in Net Working Capital, (iii) Investments in fixed assets
(15) the Recurring Free Cash Flow as the dierence between the Recurring Free Cash Flow Pre-Tax and Taxes paid
(16) the Cash conversion rate as the ratio between the Recurring Free Cash Flow Pre-Tax and EBITDA.
The Recurring Free Cash Flow pre-tax generated by the Group as of 31 December 2023
came to Euro 95,834 thousand. The end-of-year results achieved derive from the joint eect
of a cash flow generated by operations of Euro 145,937, despite the negative eect of the
change in Net Working Capital of Euro 14,758 thousand and of investments in fixed assets of
Euro 35,345 (compared to Euro 34,288 thousand in 2022). Considering the taxes paid over
the year of Euro 24,358 thousand, the Group generated a Recurring Free Cash Flow of Euro
71,476 thousand, compared to Euro 77,955 thousand as of 31 December 2022.
Board of directors’ report
The Cash Conversion Rate generated by the Group normalised in 2023, amounting to
63% compared to 77% in the same period of the previous year, which had been positively
aected by a dierent purchase seasonality.
Please note that during the period in question and in the same period of the previous year,
there were no non-recurring elements in the items mentioned above.
Segment reporting
The operating segment information was prepared in accordance with IFRS 8 “Operating
Segments”, which requires the information to be reported consistently with the method
adopted by the management when making operational decisions.
The Group’s approach to the market follows a unique business model that oers an
integrated range of ‘Total Wellness solutions’ and also pursues higher levels of operational
eiciency through cross-production.
However, for business analysis purposes, Management considers customer-related
aspects, geographical areas and distribution channels to be important, and monitors
revenue trends on that basis.
The type of organisation described above reflects the way that Management monitors
and strategically directs the activities of the Group.
A breakdown of the Group’s revenues by customer segment, geographical area and
distribution channel is provided below:
(In thousands of Euro and percentage annual change)
Year ended 31 December Changes
2023 2022 2023 vs 2022 %
BtoC 165,671 165,382 289 0.2%
BtoB 642,420 556,107 86,313 15.5%
Total revenues 808,091 721,489 86,602 12.0%
Revenues as of 31 December 2023 showed strong growth in BtoB business volumes
(+15.5%) in all its segments, with particular emphasis on the health and prevention sector,
where the related megatrend was captured by the unique Technogym Ecosystem, which
can identify the correct dosage for dierent needs.
Also noteworthy is the performance of the BtoC segment which, despite the international
downturn due to the technical rebound following the pandemic, recorded a result in line
with the previous year, returning to growth in the second half of the year and strengthening
confidence in its ability to grow in 2024.
Board of directors’ report - Second section
(In thousands of Euro and percentage annual change)
Year ended 31 December Changes
2023 2022 2023 vs 2022 %
Europe (without Italy) 378,092 333,171 44,921 13.5%
APAC 115,747 122,336 (6,589) (5.4%)
North America 106,946 101,103 5,843 5.8%
Italy 76,928 63,659 13,269 20.8%
MEIA 108,706 83,737 24,969 29.8%
LATAM 21,672 1 7,483 4,189 24.0%
Total revenues 808,091 721,489 86,602 12.0%
The Group recorded an increase in revenues in all parts of the world with the exception
of the APAC region, which was aected by the international macroeconomic situation in
China in the first half of the year, osetting the growth recorded in several countries in the
geographical area.
Growth was good in North America, in both the US and Canada, with an overall increase
of 10% in local currency. Excellent performance in Europe, driven in particular by significant
growth in the UK (+25.6%) and Spain (+22.7%). In the MEIA area, the overall results also
benefited from the Emirates consolidation at a Group level.
(In thousands of Euro and percentage annual change)
Year ended 31 December Changes
2023 2022 2023 vs 2022 %
Field sales 540,728 465,768 74,960 16.1%
Wholesale 190,639 176,817 13,822 7.8%
Inside sales 61,149 66,280 (5,131) ( 7.7%)
Retail 15,575 12,624 2,951 23.4%
Total revenues 808,091 721,489 86,602 12.0%
As far as turnover by sales channel is concerned, it is worth noting the excellent
performance of the Field Sales channel linked to the growing productivity of the sales
network, and the Retail channel driven by the opening of new boutiques in Germany and the
UK. The Wholesale channel consolidated the excellent growth of the previous year, thanks
to the performance in LATAM driven by Brazil and Mexico, in the MEIA area driven by Saudi,
India, Turkey and Morocco, and in Europe, where significant growth was recorded in Poland,
Switzerland and Austria.
The Inside Sales channel, a combination of Teleselling and E-commerce, bucked the
global trend in the Consumer sector, especially in APAC countries.
In accordance with IFRS 8, paragraph 34, for the years ended 31 December 2023 and
31 December 2022, the Group did not have any clients generating more than 10% of total
revenues.
1.3 COMMENTS ON THE ECONOMIC AND FINANCIAL RESULTS OF THE
PARENT COMPANY TECHNOGYM S.P.A.
The total revenues of TG S.p.A. came to Euro 556,459 thousand, up by Euro 52,126 thousand
(+10.3%) compared to Euro 504,333 thousand in 2022. The increase for the financial year
Board of directors’ report
is due to a strong recovery in the BtoB business in all related segments. The results were
mainly due to increased BtoB volumes and a better product mix.
Adjusted profit for the period of Technogym S.p.A. came to Euro 76,833 thousand, up by
Euro 6,945 thousand compared to Euro 69,888 thousand in the previous financial year. This
increase is in line with the trends in the Net operating income mentioned above.
The table below shows the statement of financial position of TG S.p.A. in condensed and
reclassified form, which reports the structure of invested capital and sources of financing as
of 31 December 2023 and as of 31 December 2022:
(In thousands of Euro and percentage annual change)
As of 31 December Changes
2023 2022 2023 vs 2022 % Variations
Loans
Net Fixed Capital ⁽¹⁾ 365,884 366,600 (717) (0%)
Net Operating Capital ⁽²⁾ (41,225) (34,366) (6,859) 20%
Net Invested Capital 324,659 332,235 ( 7,575) (2%)
Sources
Equity 407,949 390,151 17,7 97 5%
Net indebtedness ⁽³⁾ (83,290) (5 7,91 7) (25,373) 44%
Total sources of financing 324,659 332,235 ( 7,576) (2%)
(1) Net Fixed Capital is composed of: (i) Property, plant and equipment, (ii) Intangible assets, (iii) Investments in joint ventures and associates, (iv) Deferred tax assets, (v) Non-current financial assets, (vi) Other non-current
assets, (vii) Deferred tax liabilities, (viii) Employee benefit obligations, (ix) Non-current provisions for risks and charges and (x) Other non-current liabilities.
(2) Net Operating Capital is composed of: (i) Inventory, (ii) Trade Receivables, (iii) Other current assets, (iv) Trade payables, (v) Current tax liabilities, (vi) Current provisions for risks and charges and (vii) Other current liabilities.
(3) The net financial position consists of: (i) Current financial assets, (ii) Assets for derivative financial instruments, (iii) Cash and cash equivalents, (iv) Non-current financial liabilities, (v) Current financial liabilities, (vi)
Liabilities for derivative financial instruments and (vii) Trade payables and other non-current payables.
Net fixed capital of TG S.p.A. came to Euro 365,884 thousand, down by Euro 717
thousand compared to Euro 366,600 thousand for the year ended 31 December 2022. This
reduction is mainly attributable to the net eect of (i) lower tangible and intangible fixed
assets following amortization and depreciation in the period, despite the Group investments
in the development of new products and digital solution; (ii) an increase in transferred trade
receivables due after 12 months (see “Other Non-Current Assets” section for details on the
nature of the item); and (iii) an increase in the investments item due to the establishment of
Technogym Arabia LLC.
Net operating capital of TG S.p.A. amounted to negative Euro 41,255 thousand, up by
Euro 6,859 thousand compared to the negative balance of Euro 34,366 thousand as of 31
December 2022. The change is mainly the result of the trend in net operating working capital,
and is influenced in particular by the joint eect of: (i) a decrease in the “Trade receivables”
item of Euro 17,795 thousand, mainly due to the constant monitoring of the credit situation;
(ii) a decrease in the “Trade payables” item of Euro 18,765 thousand; and (iii) an increase in
the “Inventories” item of Euro 1,015 thousand. It should also be noted that: (i) the average
days of collection of trade receivables went from 54 for the year ended 31 December 2022 to
33 for the year ended 31 December 2023 (the trade receivables turnover ratio went from 6.7
to 10.8); (ii) the DPO went from 140 for the year ended 31 December 2022 to 102 for the year
ended 31 December 2023 (the trade payables turnover ratio went from 2.6 to 3.5); and (iii)
the average number of days in inventory went from 46.08 for the year ended 31 December
2022 to 38.95 for the year ended 31 December 2023 (the inventory turnover ratio went from
7.81 to 9.24).
Equity of TG S.p.A. came to Euro 407,949 thousand, up by Euro 17,797 thousand compared
to Euro 390,151 thousand for the year ended 31 December 2022. This increase in mainly due
to the recognition of profit for the period of Euro 74,463 thousand, oset by the distribution
Board of directors’ report - Second section
of Euro 50,332 thousand in dividends. For more details see section 12 “Equity” of this
document.
Net financial indebtedness of TG S.p.A. was positive and amounted to 83,290 thousand,
up by Euro 25,373 thousand compared to the Euro 57,917 thousand in the year ended 31
December 2022. The increase is mainly due to an operating cash flow of Euro 100,337
thousand, oset by investments of Euro 27,029 thousand in tangible and intangible fixed
assets, by the payment of Euro 15,356 thousand in taxes, of Euro 50,332 thousand in
dividends and by the payment of Euro 7,682 thousand for leased assets according to the
IFRS 16 accounting standard. The net financial indebtedness before the application of the
standard would be positive by Euro 107 thousand, up by Euro 21,392 thousand compared to
31 December 2022, when the value was Euro 85,469 thousand. As of 31 December 2023, the
Company has no bank debt.
Segment information of Technogym S.p.A.
The operating segment information was prepared in accordance with IFRS 8 “Operating
Segments”, which requires the information to be reported consistently with the method
adopted by the management when making operational decisions.
The approach to the market follows a unique business model that oers an integrated
range of “Total Wellness solutions” and also pursues higher levels of operational eiciency.
A breakdown of revenues by geographical area is provided below:
(In thousands of Euro and percentage annual change)
Year ended 31 December Changes
2023 2022 2023 vs 2022 %
Europe (without Italy) 236,884 214,423 22,461 10.5%
MEIA 93,587 88,460 5,127 5.8%
APAC 72,937 77,194 (4,257) (5.5%)
Italy 76,928 63,659 13,269 20.8%
North America 54,387 42,736 11,651 27.3%
LATAM 21,736 17,860 3,876 21.7%
Total revenues 556,459 504,332 52,127 10.3%
. RISK FACTORS
Financial risks
After a complex 2022 following volatility on the financial markets, 2023 marked a turnaround
for the global financial markets, with an improvement in the main stock indexes and rise in
bond prices. In this context, the Group continued to implement policies to closely monitor
potential risks, while avoiding the adoption of speculative financial positions.
In particular, the financial risks to which Technogym is exposed connected to its activities
are:
› credit risk, arising from commercial transactions or financing activities;
› risks related to supplier relations;
› liquidity risk, related to the availability of financial resources and access to the credit
market;
Board of directors’ report
› market risk, in particular:
› currency risk, related to operations in areas using currencies other than the functional
currency;
› interest rate risk, related to the Group’s exposure to financial instruments that accrue
interests;
› price risk, associated with changes in the prices of commodities.
Credit risk
The Group has an international customer base and a network of known and trusted
distributors. The Group makes use of an internally developed Risk Score Rating system
integrated with data from known external data banks and these help the Group to manage
requests for non-standard payment terms and take out credit insurance policies as
necessary. Tight credit control allowed the Group to record contained levels of past due
amounts.
In 2023, the Group constantly monitored the recoverability of the value of receivables on
which there is a buyback obligation. Given that defaults of approximately Euro 2.5 million
were recorded during the financial year, after a careful analysis of the portfolio as of 31
December 2023, the Group assumed a default risk for the next financial year of around Euro
3.5 million out of a total portfolio of Euro 177 million, increasing the provision for write-downs
on transferred receivables by a further Euro 297 thousand (185 thousand over 12 months
and 122 thousand for the current portion). The balance of the provision for write-downs on
transferred receivables at the end of the financial year is Euro 3,485 thousand (2.2 million
over 12 months and 1.3 million for the current portion) and is able to absorb the amount of
receivables with a probable risk of default.
Risks related to supplier relations
The Group has always been committed to developing innovative, high-performance quality
solutions. To continue this commitment, a close collaboration needs to be maintained with
suppliers, particularly those who produce materials and technologies suitable for use in the
fitness industry, even if they primarily operate in other sectors.
Technogym’s supply chain is divided into suppliers who provide “bill of materials” supplies,
some of which are particularly strategic to Technogym's success, including those that
contribute directly to product creation, and indirect suppliers who provide other services or
materials, as well as the equipment used in production.
The Group works closely with those suppliers considered key to the success of its
products, establishing long-term relationships in order to minimise the risks related to the
potential unavailability of raw materials within the required timescales.
Periodic performance checks are made, and controls carried out regarding compliance
with current environmental and social regulations aimed at guaranteeing a stable supply
chain.
Technogym has also adopted a structured supply chain assessment process involving
on-site audits and checks, which ensures continuous monitoring, and requires its suppliers
to comply with the REACH and RoHS directives.
Board of directors’ report - Second section
Liquidity risk and change in cash flows
The Group's liquidity risk is closely monitored by the parent company. In order to minimise
the risk, the Group has implemented centralised treasury management with specific
procedures that aim to optimise the management of financial resources and the needs of
the Group companies.
Market risks
Exchange rate risk
The Group operates internationally and is therefore exposed to exchange rate risk with
regard to business and financial transactions entered into in USD, GBP, AUD, BRL, RBL and
JPY.
The Group puts in place exchange rate risk hedges based on the ongoing assessment of
market conditions and the level of net exposure to the risk, combining the use of:
› “natural hedging”, i.e. a risk management strategy that pursues the objective of combining
both economic-financial flows (revenues-costs, collections-payments) and balance sheet
assets and liabilities that are denominated in the same foreign currency and that have a
consistent time frame so as to achieve net exposures to exchange rate risk which may be
hedged more effectively and efficiently;
› Derivative financial instruments, to hedge net exposures of assets and liabilities denominated
in foreign currencies;
› Derivative financial instruments used as cash flow hedges relating to highly probable future
transactions (Cash Flow Hedge Highly Probable Transaction).
Interest rate risks
Interest rate risk is related to the use of short and medium/long-term credit lines. Variable
rate loans expose the Group to the risk of fluctuations of cash flows due to interest. The
Company does not use derivative instruments to hedge interest rate risks.
Price risk
The Group purchases materials from international markets and is therefore exposed to the
risk of price fluctuations. This risk is partially hedged by foreign currency forward purchase
agreements with settlement dates consistent with the purchase obligations.
Non-financial risks
Internal risks - eectiveness of processes
The processes that characterise the dierent areas of the Group business are carefully
positioned in a well-structured system of responsibilities and procedures.
The application of these procedures ensures the correct and homogeneous development
of processes over time, irrespective of personal interpretations, also making provision for
mechanisms of gradual improvement.
The set of procedures for the regulation of company processes is incorporated in the
Quality Assurance System and subject to certification by third parties (ISO 9001).
Board of directors’ report
Within the system of processes, the procedures for the management of insider information
and for human resources selection and management are regulated.
External risks - markets, country risk
Market risk is mitigated by the Group’s geographically diverse operations and product
diversification across market segments.
As the Group operates on an international level, it is exposed to local economic and
political conditions, potential restrictions on imports and/or exports and controls over cash
flows and exchange rates.
Management is continuing to constantly monitor developments in the conflict in Ukraine
and the resulting embargoes on the Russian market. It should be noted that the Group’s
Ukrainian operations are all through a local distributor, and the volumes are low. In relation
to the Russian market, Technogym, through its subsidiary Technogym AO, is providing
local business improvement services to operators, whose revenues can be quantified at
approximately 1% of the Group’s total revenues. Technogym has also stopped exporting to
Russia and during the financial year recognised provisions for risks and charges of Euro
1,925 thousand related to part of the liquidity present and which, following the conflict, is
considered to be at risk should it be distributed to the parent company, taking into account
the methods which are now under assessment.
Risks related to cyber attacks
The technological acceleration of digital transformation internally and in relation to the
market, driven by the health emergency, exposes the Group to the potential risk of cyber
attacks (cyber risks). In this regard, the Group has adopted a governance structure and
cyber risk management model based on international standards in order to put in place the
best technological solutions and choose the best partners to defend corporate assets as
well as take out appropriate insurance cover.
In particular, a Security Operation Center (SOC) system is in place, operating 24 hours,
which has the task of preventing cyber attacks using advanced technology solutions and a
variety of approaches. The SOC analyses the activity on networks, databases, applications,
websites and other systems to discover any anomalous behaviour that could indicate a
security threat or system compromise.
Board of directors’ report - Second section
1.5 INVESTMENTS AND ACQUISITIONS
In the 2023 financial year, the Group made investments in property, plant and equipment and
intangible assets totalling Euro 36,179 thousand, up on the figure for 2022, where the value
was Euro 34,964 thousand. The increase is due to the continuous investments made by the
Group, aimed mainly at: (i) constantly updating and extending the Group’s range of products
and services, with a specific focus on the digitalisation of the oer and development of new
content; (ii) adapting production infrastructure; (iii) optimising the Group’s main production
processes; and (iv) creating new showrooms and updating existing ones, both in Italy and
overseas.
The data in this section does not include the recognition of the right of use arising from
the adoption of IFRS 16.
The investments made by the Group in the year ended 31 December 2023 and in the year
ended 31 December 2022 are shown below, broken down by type:
(In thousands of Euro)
Year ended 31
December 2023
Year ended 31
December 2022
Property, plant and equipment 17,358 14,748
Intangible assets 18,821 20,216
Total investments 36,1 7 9 34,964
The table below shows the investments made by the Group in the year ended 31
December 2023 and in the year ended 31 December 2022, relating to the ‘Property, plant
and equipment’ item, broken down by category:
(In thousands of Euro)
Year ended 31
December 2023
Year ended 31
December 2022
Land 486 405
Buildings and leasehold improvements 4,542 2,641
Plant and machinery 1,005 746
Production and commercial equipment 5,200 5,369
Other assets 2,502 2,185
Assets under construction and advances 3,623 3,402
Total investments in property, plant and equipment 17, 3 5 8 14,748
Investments in property, plant and equipment include the purchase by Technogym S.p.A.
of agricultural land, two apartments for use by employees as required, the purchase of new
dies and equipment for production sites, as well as the opening, expansion and upgrading
of boutique stores and oices at the commercial branches. In particular, investments related
to buildings and leasehold improvements refer to the new Technogym Experience Center
of the branches in Australia, Asia and Benelux, as well as the opening and inauguration of
new boutiques in New York and Abu Dhabi and investments made by the Technogym UK
commercial branch for the upcoming inauguration of a store at "One Berkeley Street" in
London.
The table below shows the investments made by the Group in the year ended 31
December 2023 and in the year ended 31 December 2022, relating to the ‘Intangible assets’
item, broken down by category:
Board of directors’ report
(In thousands of Euro)
Year ended
31 December 2023
Year ended
31 December 2022
Development costs 4,085 4,173
Patents and intellectual property rights 7,04 3 6,495
Concessions, licences, trademarks and similar rights 182 506
Intangibles under development and advances 5,666 6,821
Other intangible assets 1,844 2,220
Total investments in intangible assets 18,821 20,216
Investments in intangible fixed assets include long-term costs for the development of
new projects and restyling of existing projects, as well as purchases of software.
1.6 TREASURY SHARES
On 6 November 2023, Technogym launched a share purchase plan following the authorisation
approved by the Ordinary Shareholders’ Meeting on 5 May 2023.
Purpose of the plan
The plan aims to: (i) operate on the market, in compliance with the current provisions in force,
to contain abnormal price movements and to stabilise trading and price trends, in the face of
any distorting phenomena linked to excessive volatility or poor trading liquidity; (ii) acquire
a portfolio of treasury shares that can be available in order to fulfil obligations deriving from
stock option plans, stock grants or any incentive programmes, for consideration or free of
charge, intended for company representatives, employees or associates of Technogym or
its group companies.
Operating methods and trading venue
The purchase transactions took place on the Euronext Milan regulated market, organized
and managed by Borsa Italiana S.p.A. through the authorised intermediary Equita SIM
S.p.A., appointed for the implementation of the Plan, which operates fully independently
according to operating methods designed to ensure the equal treatment of shareholders
established by the provisions of the applicable laws and regulations in force (including,
without limitation, Art. 2357 of the Italian Civil Code, Art. 132 of Italian Legislative Decree
no. 58 of 24 February 1998 (“TUF”), Art. 144-bis (1)(b) of the Issuing Regulations and the
provisions of the Rules of the Markets organised and managed by Borsa Italiana S.p.A.).
Maximum number of treasury shares and maximum disbursement
The maximum number of treasury shares to be purchased through the execution of the
Plan, on one or more occasions, including on a revolving basis, shall in any case not exceed
2,500,000 Technogym ordinary shares. The maximum disbursement for the execution of the
Plan is set at a total of Euro 20 million.
Board of directors’ report - Second section
Minimum and maximum consideration and quantity of shares purchased
Purchases of treasury shares are made under the price conditions in accordance with the
provisions of Article 3(2) of the MAR Delegated Regulation, i.e. not higher than the highest
price between that of the most recent independent transaction and the price of the highest
current independent purchase oer at the trading venue where the purchase is made or in
accordance with the regulations in force.
Purchases are made at a price per share that cannot deviate, neither up nor down, by
more than 10% from the reference price recorded by the share in the stock exchange session
prior to each individual transaction.
In accordance with the provisions of Art. 3(3) of the MAR Delegated Regulation, the
quantity of shares purchased on each trading day shall not exceed 25% of the average daily
volume of Technogym ordinary shares traded on the trading venue where the purchase is
made, calculated on the basis of the average daily volume of exchanges in the 20 trading
days preceding the date of purchase.
Plan Duration
The Plan began on 6 November 2023 and will last until the purchase of all the shares covered
by the Plan and, in any case, no later than the period of 18 months from the approval of the
Ordinary Shareholders’ Meeting of 5 May 2023. The purchase of shares may in any case
be partially implemented, interrupted and/or revoked at any time, subject to appropriate
communication to the market in the manner and within the terms provided for under the
applicable legislation.
It should be noted that the Plan is not aimed at reducing the share capital.
The Group communicates the transactions carried out under this Plan to Consob and
the market, including through publication on its website, in accordance with the terms and
procedures laid down in the applicable legislation.
Treasury shares in the portfolio
As of 31 December 2023, the treasury shares in the portfolio amounted to Euro 6.9 million,
corresponding to 836,972 shares, equal to 0.42% of the share capital. The oicial market
value at year-end was Euro 7.7 million.
1.7 RELATED PARTY TRANSACTIONS
Pursuant to Art. 5, paragraph 8, of Consob Regulation no. 17221/2010 concerning “Related
Party Transactions” and subsequent Consob Resolution no. 17389/2010, in the financial year
there are no Related Party Transactions that significantly influenced the Group's financial
position or results as of and for the financial year ended 31 December 2023.
Related party transactions were regulated under market conditions, and were performed,
where applicable, in respect of the appropriate internal procedure (which can be consulted
on the website http://corporate.technogym.com/it, Governance section), which defines
their terms and methods of verification and monitoring.
Information on relationships with related parties required by Consob Communication no.
DEM/6064293 of 28 July 2006 are presented in the financial statements and in the “Related
party transactions” note of the consolidated financial statements as of 31 December 2023.
Board of directors’ report
1.8 SIGNIFICANT EVENTS AFTER THE REPORTING PERIOD
On 18 March, the completion of the treasury share purchase plan, announced on 6 November
2023 following the authorisation approved by the Ordinary Shareholders’ Meeting on 5 May
2023, was reported. Technogym purchased a total of 2,266,705 shares, equal to 1.13% of the
shares that make up the share capital, for a total value of Euro 20 million.
In January, Technogym took part in the World Economic Forum in Davos, during which
Erica Alessandri, member of the Technogym Board of Directors, contributed to an important
project on the evolution of the health sector through digital innovation and Artificial
Intelligence. On 29 February, Technogym Zurich opened, the new retail space in the heart
of Zurich.
. OUTLOOK
Despite an increasingly complex macroeconomic scenario, in the year just ended, Technogym
demonstrated its ability to grow sustainably and profitably, in line with the plan presented at
Investor Day the previous June.
Growth drivers are solid and expanding, first and foremost health through prevention
(Exercise is Medicine), increasingly considered a priority by individuals, businesses and
governments. While the reference market is showing mid-single-digit growth, Technogym
has a higher growth rate thanks to its ability to innovate and to the large investments made
in the digital ecosystem in 2023. This growth trend is also confirmed in the medium to long
term, based on the current strategies, which are proving to be successful.
EBITDA increased not only in absolute terms but also as a percentage for the second
consecutive year. The recovery of variable margins in 2023 will create a long-term benefit in
terms of operating margins, allowing investments to be guaranteed for future growth.
Technogym also enjoys a positive cash flow situation, allowing it to consider all
opportunities to create value. From the point of view of investments, vertical opportunities
for the internalisation of certain activities and processes upstream of the supply chain are
being assessed to improve product margins and reduce production costs.
In light of all these considerations and what has already been seen in the first few months
of the year, Technogym is facing 2024 with ambition and confidence, aiming to transform
people’s lifestyles and continuing to contribute to changing the world.
Consolidated financial statements at 31 December 2023
2
2
CONSOLIDATED
FINANCIAL
STATEMENTS
DECEMBER
Consolidated financial statements at 31 December 2023
Technogym Group Consolidated
Financial Statements
Consolidated statement of financial position
(In thousands of Euro)
Notes As of 31 December
2023 of which from
related parties
2022 of which from
related parties
Assets
Non-current assets
Property, plant and equipment 4.1 171,560 9,407 164,122 9,094
Intangible assets 4.2 56,686 55,688
Deferred tax assets 4.3 25,902 24,043
Investments in joint ventures and
associates
4.4 1,155 4,058
Non-current financial assets — 201
Other non-current assets 4.5 82,350 — 73,544 13
Total non-current assets 337,652 321,656
Current assets
Inventories 4.6 103,560 100,671
Trade receivables 4.7 119,793 41 110,824 (6 )
Current financial assets 4.8 4,250 227 19,883 233
Assets for derivative financial instruments 4.9 172 637
Other current assets 4.10 28,152 25 27,178 1,292
Cash and cash equivalents 4.11 224,730 205,358
Total current assets 480,657 464,551
Consolidated Financial Statements
(In thousands of Euro)
Notes As of 31 December
2023 of which from
related parties
2022 of which from
related parties
Total assets 818,309 786,207
Equity and liabilities
Equity
Share capital 10,066 10,066
Share premium reserve 7,132 7,132
Own shares (6,922 ) —
Other reserves 34,230 37,698
Retained earnings 236,397 225,438
Profit (loss) attributable to owners of the
parent
Equity attributable to owners of the
parent
4.12 354,544 343,922
Capital and reserves attributable to non-
controlling interests
Profit (loss) attributable to non-
controlling interests
Equity attributable to non-controlling
interests
Total equity 363,712 345,927
Non-current liabilities
Non-current financial liabilities 4.13 69,959 8,788 66,431 8,540
Deferred tax liabilities 4.14 1,193 168
Employee benefit obligations 4.15 2,621 2,600
Non-current provisions for risks and
charges
4.16 13,566 9,586
Other non-current liabilities 4.17 44,771 38,415
Total non-current liabilities 132,110 117,201
Current liabilities
Trade payables 4.18 155,384 575 173,559 1,002
Current tax liabilities 4.19 9,192 9,169
Current financial liabilities 4.13 32,259 4,315 37,501 3,457
Liabilities for derivative financial
instruments
4.20 2 77
Current provisions for risks and charges 4.16 19,472 14,222
Other current liabilities 4.21 106,178 88,552
Total current liabilities 322,486 323,080
Total equity and liabilities 818,309 786,207
Consolidated financial statements at 31 December 2023
Consolidated income statement
(In thousands of Euro)
Notes Year ended 31 December
2023 of which from
related parties
2022 of which from
related parties
Revenues
Revenues 5.1 806,288 43 719,025 15,147
Other revenues and income 5.2 1,803 2 2,465 292
Total revenues 808,091 721,490
Operating costs
Purchases and use of raw materials, work
in progress and finished goods
5.3 (269,845 ) (1 ) (248,077 ) (123 )
of which non-recurring income/(expenses) — (18 )
Cost of services 5.4 (213,569 ) (2,645 ) (195,308 ) (2,368 )
of which non-recurring income/(expenses) (1,613 ) (725 )
Personnel expenses 5.5 (167,666 ) — (145,214 ) (311 )
of which non-recurring income/(expenses) (1,764 ) (1,442 )
Other operating costs 5.6 (9,796 ) (48 ) (5,277 ) (14 )
of which non-recurring income/(expenses) (1,544 ) (360 )
Share of net result from joint ventures 5.7 4,403 1,768
of which non-recurring income/(expenses) 4,534 —
Depreciation and amortisation
and impairment / write backs
5.8 (45,712 ) (1,710 ) (40,386 ) (1,600 )
Net provisions 5.9 (8,522 ) (6,242 )
of which non-recurring income/(expenses) (3,423 ) (8 )
Net operating income 97,383 82,753
Financial income 5.10 23,397 (39 ) 27,436 19
Financial expenses 5.11 (20,897 ) (140 ) (27,177 ) (109 )
Net financial expenses 2,500 259
Income/(expenses) from investments 5.12 517 298
Profit before tax 100,400 83,309
Income taxes 5.13 (23,232 ) (19,434 )
of which non-recurring income taxes (976 ) —
Profit/(loss) for the period 77,168 63,875
(Profit) Loss attributable to non-
controlling interests
(3,528 ) (288 )
Profit (loss) attributable to owners of
the parent
Earnings per share (in Euro) 5.14 0.37 0.32
Consolidated Financial Statements
Consolidated statement of comprehensive income
(In thousands of Euro)
Notes Year ended 31 December
2023 2022
Profit (loss) for the period (A) 77,168 63,875
Actuarial gains/(losses) on post-employment benefit obligations and Non-Compete
Agreements
4.16 (69 ) 602
Tax effect - Actuarial gains (losses) on provisions for personnel
and Non-Compete agreements
Total items that will not be reclassified to profit or loss (B1) (55 ) 451
Exchange rate differences on the translation of foreign operations (4,353 ) 1,425
Exchange rate differences for valuation of entities accounted for using the
equity method
4.4 - 330
Gains (losses) on cash flow hedges 4.20 (521 ) (3 )
Tax effect - Gains (losses) on cash flow hedges 125 1
Total items that will be reclassified to profit or loss (B2) (4,749 ) 1,752
Total Other comprehensive income, net of tax (B)=(B1)+(B2) (4,803 ) 2,203
Total comprehensive income for the period (A)+(B) 72,365 66,079
of which attributable to owners of the parent 68,837 65,790
of which attributable to non-controlling interests 3,528 288
Consolidated financial statements at 31 December 2023
Consolidated cash flow statement
(In thousands of Euro)
Notes Year ended 31 December
2023 2022
Cash flows from operating activities
Consolidated Profit (loss) for the period 4.12 77,168 63,875
Adjustments for:
Income taxes 5.13 23,232 19,434
Income/(expenses) from investments 5.12 (517 ) (298 )
Financial income/(expenses) 5.10 5.11 (2,500 ) (259 )
Depreciation, amortisation and impairment 5.8 45,712 40,386
Net provisions 5.9 6,215 8,435
Share of net result from joint ventures 5.7 (4,403 ) (1,768 )
Other non-monetary changes 1,030 500
Cash flows from operations before changes in working capital 145,937 130,307
Change in inventories 4.6 7,210 4,040
Change in trade receivables 4.7 (5,643 ) (5,617 )
Change in trade payables 4.18 (19,912 ) 13,857
Change in other assets and liabilities 4.10 4.15 4.16
4.17 4.21
Income taxes paid 4.3 4.14 4.18 5.13 (24,358 ) (22,280 )
Net cash inflow/(outflow) from operations (A) 106,821 112,243
of which from related parties (1,821 ) 11,015
Cash flows from investing activities
Investments in property, plant and equipment 4.1 (17,358 ) (14,747 )
Disposals of property, plant and equipment 4.1 820 327
Investments in intangible assets 4.2 (18,821 ) (20,216 )
Disposals of intangible assets 4.2 13 348
Dividends received from other entities 5.12 344 566
Dividends from investments in Joint Ventures 4.4 — 1,611
Sale/(Purchase) of subsidiaries, associates and other entities 4.4 4,182 —
Net cash inflow /(outflow) from investing activities (B) (30,819 ) (32,112 )
of which from related parties — 1,611
Cash flows from financing activities
Reimbursement of leasing costs (IFRS 16) (11,064 ) (9,181 )
Non-current financial liabilities (including the current portion) 4.13 — 4,006
Repayment of borrowings (including the current portion) 4.13 (11,735 ) (54,848 )
Net increase (decrease) in current financial liabilities 4.8 4.13 27,069 41,753
Dividends paid to shareholders (51,324 ) (32,173 )
Purchase of own shares (6,922 ) —
Consolidated Financial Statements
(In thousands of Euro)
Notes Year ended 31 December
2023 2022
Net financial income/(expenses) 4.9 4.20 5.10
5.11
Net cash inflow/(outflow) from financing activities (C) (50,936 ) (50,795 )
of which from related parties (1,851 ) (1,709 )
Net increase (decrease) in cash and cash equivalents (D)=(A)+(B)+(C) 25,066 29,337
Cash and cash equivalents at the beginning of the year 205,358 174,306
Increase/(decrease) in cash and cash equivalents from 1 January to 31
December
Effects of exchange rate differences on cash and cash equivalents (5,694 ) 1,715
Cash and cash equivalents at the end of the period 224,730 205,358
Statement of changes in consolidated shareholders’ equity
(In thousands of Euro)
Share capital
Share premium reserve
Own shares
Other reserves
Retained earnings
Profit (loss) attributable to
owners of the parent
Equity attributable to owners
of the parent
Capital and reserves attributable to
non-controlling interests
Profit (loss) attributable to non-
controlling interests
Equity attributable to non-
controlling interests
Equity of Group and non-
controlling interests
Translation reserve
Reserve for the adoption
of IAS/ IFRS
IAS 19 reserve
Stock option reserve
Other
As of 31 December 2021 10,066 7,132 — 392 954 (115 ) — 30,091 198,256 63,065 309,841 1,519 200 1,719 311,560
Profit for the previous year — — — — (12 ) — — 3,683 59,394 (63,065 ) — 200 (200 ) — —
Total comprehensive
income for the year
Dividends paid — — — — — — — — (32,212 ) — (32,212 ) — — — (32,212 )
Incentive plan (LTIP) — — — — — — 500 — — — 500 — — — 500
As of 31 December 2022 10,066 7,132 — 2,150 942 336 500 33,771 225,438 63,587 343,923 1,716 288 2,004 345,927
Profit for the previous year — — — — (12 ) — — 2,302 61,297 (63,587 ) — 288 (288 ) — —
Total comprehensive
income for the year
Dividends paid — — — — — — — — (50,332 ) — (50,332 ) (992 ) — (992 ) (51,324 )
Purchase and sale of own
shares
Increase in capital — — — — — — — — — — — 2,116 — 2,116 2,116
Incentive plan (LTIP) — — — — — — 1,030 — — — 1,030 — — — 1,030
Other movements — — — (2,209 ) — — — — (7 ) — (2,217 ) 2,736 — 2,736 520
As of 31 December 2023 10,066 7,132 (6,922 ) (4,187 ) 930 282 1,529 35,677 236,397 73,640 354,544 5,640 3,528 9,168 363,712
Consolidated financial statements at 31 December 2023
General information
EXPLANATORY NOTES TO THE
CONSOLIDATED FINANCIAL
STATEMENTS
General information
Consolidated financial statements at 31 December 2023
Summary of accounting standards
Consolidated financial statements at 31 December 2023
Summary of accounting standards
Consolidated financial statements at 31 December 2023
Summary of accounting standards
Consolidated financial statements at 31 December 2023
Summary of accounting standards
Consolidated financial statements at 31 December 2023
Summary of accounting standards
Consolidated financial statements at 31 December 2023
Summary of accounting standards
Consolidated financial statements at 31 December 2023
Summary of accounting standards
Consolidated financial statements at 31 December 2023
Summary of accounting standards
Consolidated financial statements at 31 December 2023
Summary of accounting standards
Consolidated financial statements at 31 December 2023
Summary of accounting standards
Consolidated financial statements at 31 December 2023
Summary of accounting standards
Consolidated financial statements at 31 December 2023
Summary of accounting standards
Consolidated financial statements at 31 December 2023
Estimates and assumptions
Consolidated financial statements at 31 December 2023
Estimates and assumptions
Consolidated financial statements at 31 December 2023
Notes to the statement of financial position
Consolidated financial statements at 31 December 2023
Notes to the statement of financial position
Consolidated financial statements at 31 December 2023
Notes to the statement of financial position
Consolidated financial statements at 31 December 2023
Notes to the statement of financial position
Consolidated financial statements at 31 December 2023
Notes to the statement of financial position
Consolidated financial statements at 31 December 2023
Notes to the statement of financial position
Consolidated financial statements at 31 December 2023
Notes to the statement of financial position
Consolidated financial statements at 31 December 2023
Notes to the statement of financial position
Consolidated financial statements at 31 December 2023
Notes to the statement of financial position
Share capital
Share premium reserve
Own shares
Retained earnings
Profit (loss) attributable to
owners of the parent
Equity attributable to owners
of the parent
Capital and reserves attributable
to non-controlling interests
Profit (loss) attributable to non-
controlling interests
Equity attributable to non-
controlling interests
Equity of Group and non-
controlling interests
Translation reserve
Reserve for the adoption of
IAS/ IFRS
IAS 19 reserve
Stock option reserve
Other
Consolidated financial statements at 31 December 2023
Notes to the statement of financial position
Consolidated financial statements at 31 December 2023
Notes to the statement of financial position
Consolidated financial statements at 31 December 2023
Notes to the statement of financial position
Consolidated financial statements at 31 December 2023
Notes to the statement of financial position
Consolidated financial statements at 31 December 2023
Notes to the statement of financial position
Consolidated financial statements at 31 December 2023
Notes to the statement of financial position
Consolidated financial statements at 31 December 2023
Notes to the income statement
Consolidated financial statements at 31 December 2023
Notes to the income statement
Consolidated financial statements at 31 December 2023
Notes to the income statement
Consolidated financial statements at 31 December 2023
Notes to the income statement
Consolidated financial statements at 31 December 2023
Net financial position
Consolidated financial statements at 31 December 2023
Financial risk management
Consolidated financial statements at 31 December 2023
Financial risk management
Consolidated financial statements at 31 December 2023
Financial risk management
Consolidated financial statements at 31 December 2023
Financial risk management
Consolidated financial statements at 31 December 2023
Non-financial risks
Consolidated financial statements at 31 December 2023
Related party transactions
Consolidated financial statements at 31 December 2023
Contingent liabilities
Consolidated financial statements at 31 December 2023
Non-recurring events and transactions
Consolidated financial statements at 31 December 2023
Auditors’ report
Consolidated financial statements at 31 December 2023
Auditors’ report
Consolidated financial statements at 31 December 2023
Auditors’ report
Consolidated financial statements at 31 December 2023
Auditors’ report
Consolidated financial statements at 31 December 2023
Certification of the financial statements of
the Technogym Group pursuant to Article
81-ter of Consob Regulation No. 11971 of 14
May 1999 as amended
1. The undersigned Nerio Alessandri, as Chairman of the Board of Directors and Chief Ex-
ecutive Officer, and William Marabini as Financial Reporting Officer of Technogym S.p.A.,
pursuant to Article 154-bis, paragraphs 3 and 4 of Legislative Decree 58 of 24 February
1998, hereby certify:
› that the financial statements are adequate, in relation to the characteristics of the
company and
› that the administrative and accounting procedures have been effectively applied in
the preparation of the consolidated financial statements from 1 January to 31 Decem-
ber 2023.
No significant findings emerged from our assessment of the system of internal financial
reporting controls.
2. We also confirm that the Consolidated Financial Statements:
a) have been drawn up in accordance with the international accounting standards rec-
ognised in the European Union under Regulation (EC) No. 1606/2002 of the European
Parliament and of the Council of 19 July 2002;
b) are consistent with the entries in the accounting books and records;
c) provide an accurate and fair view of the assets and liabilities, profits and losses and
financial position of the issuer and the group of companies included in the consoli-
dation.
3. The Report on Operations includes a reliable operating and financial review of the Com-
pany and of the Group, the situation of the Issuer and all the companies in the consolida-
tion perimeter, as well as a description of the main risks and uncertainties to which they
are exposed.
Cesena, 25 March 2024
Financial Reporting Officer Chairman of the Board of Directors and
Chief Executive Officer
William Marabini Nerio Alessandri
Separate financial statements to 31 December 2023
3
3
SEPARATE
FINANCIAL
STATEMENTS
31 DECEMBER 2023
Separate financial statements to 31 December 2023
Technogym S.p.A.
Financial statements
Statement of financial position
(in Euro)
Notes As of 31 December
2023 of which from
related parties
2022 of which from
related parties
ASSETS
Non-current assets
Property, plant and equipment 1 54,429,643 19,187,153 58,634,809 22,209,696
Intangible assets 2 53,913,937 54,072,786
Deferred tax assets 3 10,676,047 9,539,351
Equity investments 4 194,543,817 189,088,399
Non-current financial assets 5 27,271,687 27,271,687 29,919,399 29,719,399
Other non-current assets 5 64,476,983 461,833 58,705,709 361,212
TOTAL NON-CURRENT ASSETS 405,312,113 399,960,452
Current assets
Inventories 6 39,009,024 37,994,447
Trade receivables 7 83,108,675 26,985,793 100,903,660 49,146,394
Current financial assets 8 13,549,153 13,030,737 24,009,898 4,518,572
Assets for derivative financial instruments 9 171,557 637,024
Other current assets 10 18,149,453 235,594 18,213,255 1,444,816
Cash and cash equivalents 11 197,409,400 182,148,366
TOTAL CURRENT ASSETS 351,397,263 363,906,650
TOTAL ASSETS 756,709,376 763,867,102
Financial Statements
(in Euro)
Notes As of 31 December
2023 of which from
related parties
2022 of which from
related parties
EQUITY AND LIABILITIES
Equity
Share capital 10,066,375 10,066,375
Share premium reserve 7,132,311 7,132,311
Own shares (6,921,525) —
Other reserves 88,088,126 85,210,298
Retained earnings 235,120,618 218,765,976
Profit/(loss) for the period 74,462,610 68,976,174
Equity 407,948,516 390,151,134
Capital and reserves attributable to non-
controlling interests
— —
Profit (loss) attributable to non-controlling
interests
— —
Equity attributable to non-controlling
interests
— —
TOTAL EQUITY 12 407,948,516 390,151,134
Non-current liabilities
Non-current financial liabilities 13 52,089,284 14,841,855 58,123,959 18,282,845
Deferred tax liabilities 14 — —
Employee benefit obligations 15 2,156,183 2,210,342
Non-current provisions for risks and
charges
16 8,876,530 6,853,435
Other non-current liabilities 17 28,395,476 24,296,236
TOTAL NON-CURRENT LIABILITIES 91,517,473 91,483,973
Current liabilities
Trade payables 18 129,990,678 31,552,17 1 148,756,384 33,895,116
Current tax liabilities 19 6,188,158 1,728,849
Current financial liabilities 13 75,605,963 51,976,557 90,390,980 59,915,824
Liabilities for derivative financial
instruments
20 1,544 76,981
Current provisions for risks and charges 16 12,027,827 220,315 11,160,852 64,938
Other current liabilities 21 33,429,217 2,774,717 30,11 7,950 4,489,223
TOTAL CURRENT LIABILITIES 257,243,387 282,231,995
TOTAL EQUITY AND LIABILITIES 756,709,376 763,867,102
Separate financial statements to 31 December 2023
Income statement
(in Euro)
Notes Year ended 31 December
2023 of which from
related parties
2022 of which from
related parties
REVENUES
Revenues 22 540,714,023 289,207,353 485,473,367 261,163,058
Other revenues and income 23 15,744,715 14,509,021 18,859,196 18,280,062
Total revenues 556,458,737 504,332,563
OPERATING COSTS
Purchases and use of raw materials, work
in progress and finished goods
24 (283,948,448) ( 10 2 ,5 47,3 5 6) (273,081,477) (89,534,432)
of which non-recurring income/(expenses): (53) (1 7, 520)
Cost of services 25 (88,707,866) (7,41 3 ,85 3) (84,549,975) (3,884,967)
of which non-recurring income/(expenses): (728,365) (426,594)
Personnel expenses 26 (66,617,062) (1,301,381) (63,289,486) (774,064)
of which non-recurring income/(expenses): (779,316) (317,671)
Other operating costs 27 (17,173,550) (12,293,711) (5,347,297) (1,793,958)
of which non-recurring income/(expenses): (66,240) (150,000)
Share of net result from subsidiary — —
of which non-recurring income/(expenses): — —
Depreciation, amortisation and impairment
/ write backs
28 (34,261,612) (5,120,803) (31,663,846) (5,055,438)
Net provisions 29 (3,671,554) (1,241,773) (5,921,449) (3,670,935)
of which non-recurring income/(expenses): (796,420) —
NET OPERATING INCOME 62,078,646 40,479,033
Financial income 30 22,541,794 1,890,956 24,361,222 660,338
Financial expenses 31 (19,953,179) (2,494,588) (24,425,495) ( 1,657,46 6)
of which non-recurring income/(expenses): — —
Net financial expenses 2,588,615 (64,273)
Income/(expenses) from investments 32 27,036,055 26,622,550 40,071,968 20,377,745
of which non-recurring income/(expenses): — — — —
PROFIT BEFORE TAX 91,703,316 80,486,729
Income taxes 33 (17,240,706) (11,510,555)
of which non-recurring income taxes — —
PROFIT/(LOSS) FOR THE PERIOD 74,462,610 68,976,1 74
EARNINGS PER SHARE 34 0.37 0.34
Financial Statements
Statement of comprehensive income
(in Euro)
Notes Year ended 31 December
2023 2022
Profit/(loss) for the year (A) 74,462,610 68,976,174
Actuarial gains/(losses) on post-employment benefit obligations 15 (44,740) 274,309
Tax eect - Actuarial gains/(losses) on post-employment benefit obligations 10,737 (65,834)
Actuarial gains/(losses) for the CNP provision 16 (15,251) 356,320
Tax eect - Actuarial gains/(losses) for the CNP provision 3,660 (85,517)
Total items later reclassified in
income statement (B1) (45,594) 479,278
Gains (losses) on cash flow hedging instruments (521,124) (3,314)
Tax eects - Gains (losses) on cash flow hedging instruments 125,070 795
Total items later reclassified in
income statement (B2) (396,054) (2,519)
Total Other comprehensive income
net of tax (B)=(B1)+(B2) (441,646) 476,759
Total comprehensive income for the year (A)+(B) 74,020,964 69,452,934
Separate financial statements to 31 December 2023
Cash flow statement
(in Euro)
Notes Year ended 31 December
2023 2022
Profit/(loss) for the period 74,462,610 68,976,174
Adjustments for:
Income taxes 17,240,706 11,510,555
(Income)/expenses from investments (27,036,055) (40,071,968)
Financial (income)/expenses (2,588,615) 64,273
Depreciation, amortisation and impairment 34,261,612 31,663,846
Net provisions 2 ,967,1 77 6,628,527
Other non-monetary changes 1,029,818 500,430
Cash flows from operations before changes in working capital 100, 3 37,25 2 79,271,837
Change in inventories (666,181) 6,185,903
Change in trade receivables 16,167,261 (9,627,301)
Change in trade payables (19,090,851) 17,064,255
Change in other assets and liabilities 3,403,525 1,170,769
Income taxes paid (15,355,816) (12,899,523)
Net cash inflow/(outflow) from operations (A) 84,795,190 81,165,939
Cash flows from investing activities
Investments in property, plant and equipment (8,805,494) (7,342,465)
Disposals of property, plant and equipment 194,931 98,286
Investments in intangible assets (18,223,736) (18,540,193)
Disposals of intangible assets — 149,854
Dividends from investments in subsidiaries 26,622,550 16,288,475
Dividends from investments in joint ventures and associates — 1,611,036
Sale/(Purchase) of equity investments (550,195) 1,591,000
Net cash inflow /(outflow) from investing activities (B) (761,944) (6,144,007)
Financial Statements
(in Euro)
Notes Year ended 31 December
2023 2022
Cash flows from financing activities
Reimbursement of leasing costs (IFRS 16) ( 7,681,967 ) (6,929,809)
Raising of loans — 4,006,474
Repayment of loans (11,761,651) (54,847,823)
Net change in financial liabilities and assets 4,691,924 52,584,103
Dividends paid to shareholders (50,331,875) (32,172,880)
(Purchase) and sale of own shares (6,921,525) —
Net financial income/(expenses) (paid) collected 3,741,449 (478,533)
Net cash inflow/(outflow) from financing activities (C) (68,263,644) (37,838,469)
Net increase (decrease) in cash and cash equivalents (D)=(A)+(B)+(C) 15,769,602 37,183,4 6 3
Cash and cash equivalents at the beginning of the year 182,148,366 145,004,423
Increase/(decrease) in cash and cash equivalents from 1 January to 31
December
15,769,602 37,183,463
Eects of exchange rate dierences on cash and cash equivalents (508,567) (39,520)
Cash and cash equivalents at the end of the year 197,409,400 182,148,366
Separate financial statements to 31 December 2023
Statement of change in equity
Share capital
Share
premium reserve
Own shares
Other reserves
Retained earnings
Profit/(loss) for the period
Total equity
Legal reserve
Extraordinary reserve
Reserve for adoption
of IAS/IFRS
IAS 19 reserve
Stock option reserve
Hedge Account reserve
Reserve for unrealised
exchange gains
At 1 January
2022
10,066,375 7,1 3 2 , 311 2,013,275 26,211,773 51,321,074 (314,462) — — 1,331,014 188,288,038 66,360,772 352,410,170
Profit for the
previous year
— — — — 3,990,409 (12,241) — — — ( 3 0 7, 73 3) 62,690,337 (66,360,772) —
Total
comprehensive
income for the
year
— — — — — — 479,278 — (2,519) — — 68,976,174 69,452,934
Dividends paid — — — — — — — — — — (32,212,400) — (32,212,400)
Incentive plan
(LTIP)
— — — — — — — 500,430 — — — — 500,430
As of 31
December
2022
10,066,375 7,1 3 2 , 311 — 2,013,275 30,202,183 51,308,833 164,816 500,430 (2,519) 1,023,280 218,765,976 68,976,174 390,151,134
Profit for the
previous year
— — — — 2,826,190 (12,241) — — — (524,292) 66,686,518 (68,976,174) —
Total
comprehensive
income for the
year
— — — — — — (45,592) — (396,054) — — 74,462,610 74,020,964
Dividends paid — — — — — — — — — — (50,331,875) — (50,331,875)
Purchase and
sale of own
shares
— — (6,921,525) — — — — — — — — — (6,921,525)
Incentive plan
(LTIP)
— — — — — — 1,029,818 — — — — 1,029,818
As of 31
December
2023
10,066,375 7,1 3 2 , 311 (6,921,525) 2,013,275 33,028,372 51,296,592 119,223 1,530,248 (398,573) 498,988 235,120,618 74,462,610 407,948,516
Separate financial statements to 31 December 2023
General information
EXPLANATORY NOTES
TO THE FINANCIAL
STATEMENTS
General information
1 General information
Technogym S.p.A. (hereinafter “Technogym” or the “Company") is a legal entity established
in Italy, with registered oice located in Via Calcinaro 2861, Cesena (Forlì-Cesena); it is
governed by Italian law.
The Company is among the world’s top players in the fitness equipment industry, oering
integrated solutions for the personal wellness (consisting mainly in equipment, services,
and digital solutions) that can be personalised and adapted to specific needs of end users
and professional operators. The Company oers a wide range of wellness, physical exercise
and rehabilitation solutions to the major segments of fitness equipment market and to the
overall wellness industry, and is characterised by technological innovations and attention to
design and finishes. The Company’s oer includes equipment that is highly regarded by end
users and professional operators and has contributed, over time, to the positioning of the
Technogym brand in the high-end bracket of the international market.
As of 31 December 2023, 33.78% of the Issuer’s share capital was held by TGH S.r.l. a
limited liability company incorporated under Italian law, whose share capital is 75%-owned
by Oiren S.r.l. and 25%-owned by Path S.r.l., NIF Holding S.r.l. holds 4.38% of the Issuer’s
share capital (representing 3.27% of the total voting rights), while the remaining 61.84%
of the Issuer’s share capital was free float on Borsa Italiana’s EXM (screen-based stock
exchange).
Technogym is not subject to direction and coordination by TGH S.r.l., within the meaning of
Art. 2497 of the civil code. Please refer to Paragraph 2, letter j) of the “Corporate Governance
Report” for more details, drafted by taking into consideration the format prepared by Borsa
Italiana for corporate governance reports. The corporate governance report is available in
the “Corporate Governance” section of the website www.technogym.com.
* * * * *
These Financial Statements were approved by the Company’s Board of Directors on 25
March 2024 and audited in full by PricewaterhouseCoopers S.p.A.
Separate financial statements to 31 December 2023
2 Summary of accounting
standards
This section describes the accounting standards adopted for the preparation of these
Financial Statements for the year ended 31 December 2023 (the “Financial Statements”).
These standards have been adopted for all the financial years presented, unless otherwise
indicated.
2.1 BASIS OF PREPARATION
Compliance with EU-IFRS
The Financial Statements have been prepared in compliance with the International Financial
Reporting Standards issued by the International Accounting Standards Board, and endorsed
by the European Union (“EU-IFRS”). EU-IFRS means all the International Financial Reporting
Standards, all the International Accounting Standards (“IAS”) and all the interpretations of
the International Financial Reporting Interpretations Committee (“IFRIC”) previously known
as the Standing Interpretations Committee (“SIC”), which, at the date of approval of these
Financial Statements, have been endorsed by the European Union in accordance with the
procedure in Regulation (EC) No 1606/2002 of the European Parliament and of the Council
of 19 July 2002.
The Financial Statements have also been prepared:
› based on the best knowledge of EU-IFRS and considering relative legal theory. Any future
guidance and updates to interpretations will be reflected in subsequent years, according
to procedures established as and when necessary by relative accounting standards;
› on a going-concern basis, as the Directors have verified that there are no financial,
operational or other types of indicators that could indicate any problems with the
Company’s capacity to meet its obligations in the foreseeable future.
2.2 HISTORICAL COST APPROACH
The Financial Statements have been prepared based on the historical cost approach, with
the exception of certain financial assets and liabilities (including financial derivatives) which
are measured at fair value.
Summary of accounting standards
2.3 FORM AND CONTENT
The Financial Statements are presented in Euro, which is the currency of the primary
economic environment in which the Company operates. The amounts reported in the
current document are presented in thousands of Euro, unless otherwise stated.
The Financial Statements comprise the mandatory statements contemplated in IAS
1, namely the Statement of Financial Position, the Income Statement, the Statement of
Comprehensive Income, the Statement of Cash Flows, the Statement of Changes in Equity
and related Notes.
The formats adopted are consistent with those indicated in IAS 1 – Presentation of
Financial Statements:
› the statement of financial position was prepared by classifying the assets and liabilities
according to the “current and non-current” criterion;
› the statement of comprehensive income classifies costs and revenues according to their
nature and indicates the profit or loss; it is supplemented by items which, as provided for
by EU-IFRS, are directly recognised as equity, other than those relating to operations with
the shareholders of the Company;
› the statement of cash flows has been prepared by presenting cash flows from operating
activities according to the “indirect method”.
The formats used best represent the financial position, performance and cash flows of the
Company. Some items on the statement of financial position and the income statement for
the year ended 31 December 2023 have undergone minor reclassifications in order to give a
better presentation of these items. The figures to 31 December 2022 were then reclassified
to enhance the comparison of information between the two years.
2.4 DISTINCTION BETWEEN CURRENT AND NONCURRENT ASSETS AND
LIABILITIES
The Company classifies an asset as current when:
› it holds the asset for sale or use, or expects to realise the asset in its normal operating
cycle;
› it holds the asset primarily for the purpose of trading;
› it expects to realise the asset within twelve months after year-end;
› the asset is cash or a cash equivalent, unless the asset is restricted or limited in such a
way as to prevent its use for at least twelve months after the reporting period.
All other assets that do not meet the above conditions are classified as non-current. The
Company classifies a liability as current when:
› it expects to settle the liability during its normal operating cycle;
› it holds the asset primarily for the purpose of trading;
› the liability must be settled within twelve months after the year-end; or
› it does not have an unconditional right to defer settlement of the asset beyond twelve
months.
All other liabilities are classified as non-current.
Separate financial statements to 31 December 2023
2.5 VALUATION CRITERIA
The accounting standards used in preparing the Financial Statements are the same as those
used for preparing the Consolidated Financial Statements (paragraph 2.4) where applicable,
except for the measurement of investments in subsidiaries and associates and dividends,
as indicated below.
Equity investments
Investments in subsidiaries, joint ventures and associates are measured using the cost
method, including the costs directly attributable, net of any impairment losses.
Subsidiaries are entities in which the Company holds the control, whether directly or
indirectly, as stated in IFRS 10 – “Consolidated Financial Statements”. Thus, control exists
when the company has all three of the following:
› power over the investee;
› exposure or rights to variable returns (positive and negative) from its involvement with
the investee;
› the ability to use its power over the investee to aect the amount of the investor’s returns.
A joint venture is a joint arrangement whereby the parties that have joint control of the
arrangement have rights to the net assets of the arrangement, and therefore interests in the
jointly controlled company.
Associates are those entities over which the Company holds at least 20% of the entity’s
voting power, or rather, it has significant influence but does not have control or joint control
over the strategic financial and operating decisions.
At each reporting date, the Company reviews the carrying value of investments to
determine if there are any indications of a loss of value and, in that case, performs an
impairment test.
If there is objective evidence of loss of value, the recoverability is tested by comparing
the carrying value of the asset with its recoverable value, represented by the higher value
between the fair value (net of disposal costs) and the determined value in use.
The Company writes back the value of investments if the reasons for their write-down no
longer apply.
Dividends are recognised at the date of resolution of the shareholder’s meeting and
are recorded in the income statement, even if they result from the distribution of retained
earnings generated prior to the acquisition date. The distribution of retained earnings may
represent a loss in value and, therefore, raise the need to verify the recoverability of the
carrying amount of the investment.
2.6 RECENTLY ISSUED ACCOUNTING STANDARDS
Accounting standards, amendments and IFRS interpretations applicable
from 1 January 2023
The standards and amendments below, in force since 1 January 2023, have been adopted by
Company but they have no significant eects for the Group:
› Amendments to IAS 12 - Income taxes: Internal tax reform - Rules of the Pillar Two model
and Deferred taxes relative to assets and liabilities deriving from a single transaction, to
specify how companies should treat deferred taxes on transactions such as leasing and
decommissioning obligations, operations for which companies recognise both an asset
Summary of accounting standards
and a liability. In particular, the amendment has clarified that the exemption does not
apply and that companies are required to report the deferred taxes on these operations.
› IFRS 17 – Insurance contracts, which sets out the principles for the recognition,
measurement, presentation and disclosure of insurance policies. This standard requires
a company to measure its insurance contracts using updated assumptions and scenarios
that reflect cashflows and uncertainties relative to these insurance contracts. In June 2020,
the IASB issued amendments to IFRS 17, in order to assist companies in implementing
IFRS 17 and to make it easier for them to explain their financial performance.
› Amendments to IFRS 17 - Insurance contracts: first application of IFRS 17 and IFRS
9 - Comparative information issued in December 2021, which includes a transitional
option for the comparative information about the financial assets presented at the time
of first application of this standard. The purpose of the changes is to help companies
avoid temporary misalignments between the entries of financial assets and liabilities
relative to insurance contracts, thus enhancing the comparative information available to
stakeholders.
› Changes to IAS 1 - Presentation of financial statements and IFRS “Practise Statement
2”, which requires companies to provide information about their material accounting
standards rather than their main accounting standards, and provides a guide on how to
apply the materiality concept to their reporting on accounting standards.
› Changes to IAS 8 - Accounting policies, changes in accounting estimates and errors:
definition of accounting estimates, which clarifies how companies should distinguish
the changes in accounting standards from the changes in their accounting estimates.
According to the new definition, accounting estimates are "monetary amounts in financial
statements that are subject to measurement uncertainty".
Accounting standards, amendments and EU-approved IFRS and IFRIC
interpretations which are not yet mandatory and not adopted in advance
by the Group as of 31 December 2023
On the reporting date, the competent bodies of the European Union had approved the
adoption of the following accounting standards and amendments, which have not yet been
adopted by the Company:
› Changes to IAS 1 – Presentation of financial statements: changes to the criteria for
classifying liabilities with covenants as current or non-current, which requires companies
to classify a liability as “non-current” when there is no unconditional right to defer the
payment for at least twelve months from the reference date. The International Accounting
Standards Board (IASB) has removed the requirement for the right to be “unconditional”.
› Amendments to IAS 1 - Presentation of financial statements: Non-current liabilities with
covenants, in which the IASB has confirmed that only the covenants that a company
is required to meet as of the reporting date, or earlier, will aect the classification of
a liability as current or non-current. Covenants referring to a later period do not aect
this classification, but companies are required to disclose information which may help
stakeholders to understand the possible risks of the liabilities becoming due within
twelve months of the financial reporting date.
› Amendments to IFRS 16 – Leasing: Liabilities for sales with leasebacks, in order to improve
the requirements for a sale and leaseback operation and specify the measurement of the
resulting liabilities, to ensure that the seller-lessee does not recognise any part of the
profit or loss related to the maintained right of use. These amendments will take eect
from 1 January 2024.
Separate financial statements to 31 December 2023
Accounting standards, amendments and IFRS interpretations not yet
approved by the EU and not adopted in advance by the Group
On the reporting date, the competent bodies of the European Union had not yet completed the
approval process necessary to adopt the following accounting standards and amendments:
› Amendments to IAS 21 – Eects of changes in foreign exchange rates: Lack of
exchangeability, in order to provide a guide to specify when a currency is exchangeable
and how to determine the exchange rate when it is not; the amendments specify when
a currency can be converted into another currency and when it cannot be, and how an
entity can estimate the spot rate when a currency is not exchangeable. In addition, when
a currency is not convertible, the entity must provide information that allows the users of
the financial reports to assess how the lack of exchangeability of a currency influences or
is expected to influence its financial performance, financial position and cashflow.
› Amendments to IAS 7 - Statements of cashflow and IFRS 7 – Financial instruments:
Disclosures of supplier finance arrangements, which add further disclosure requirements
and “signposts” within the existing set of disclosure requirements, asking the entities to
provide qualitative and quantitative information about their supplier finance arrangements.
These amendments describe the characteristics of an arrangement whereby the entity
must provide information with two reporting objectives: include in the notes to the
financial statements information that allows stakeholders to assess how the supplier
finance arrangements impact the liabilities and cashflow of an entity and to understand
the eect of the supplier finance arrangements on the entity's exposure to liquidity risk
and how the entity may be aected if the arrangements are no longer available.
There has been no early application of the accounting standards and/or interpretations
whose application would be mandatory for the financial years starting after 1 January 2024,
or which have not yet been approved by the EU.
Estimates and assumptions
3 Estimates and
assumptions
The preparation of the Consolidated Financial Statements according to IFRS requires
management to use estimates and assumptions that aect the amounts of assets and
liabilities reported in the statement of financial position, rather than in the explanatory
notes, regarding potential assets and liabilities at the date of publication of the financial
statements, as well as revenues and costs for the period.
The estimates are based on experience and other factors considered relevant. The actual
results could dier from estimates. Estimates are reviewed periodically and the eects of
each change are reflected in profit or loss, in the period when the estimate is reviewed.
Below is a list of cases that require greater subjectivity by management, in producing the
estimates:
› Measurement of receivables: the provision for bad debts reflects the estimates of
the expected losses on the Company’s receivables. Provisions for expected losses
on receivables have been made, estimated based on past experience with reference
to receivables with a similar credit risk, current and past amounts unpaid, as well as
careful monitoring of the quality of receivables and current and estimated conditions of
the economy and the reference markets. The estimates and assumptions are reviewed
periodically and the eects of each change are recognised in profit or loss as they occur.
Regarding the receivables transferred to third-party financial institutions, note that in
2023, there were defaults of approximately 2.5 million euros. Therefore, after a careful
analysis of the portfolio to 31 December 2023, the Group has estimated for the next year
a risk of default of approximately Euro 3.5 million, on a total portfolio of Euro 177 million.
The provision for the risk on transferred bad debts has thus been increased by Euro
297 thousand (of which Euro 185 thousand after 12 months and Euro 122 thousand for
the current portion). The balance of the provision for transferred bad debts at year-end
was Euro 3,485 thousand (of which 2.2 million beyond 12 months and 1.3 million for the
current portion) and this can absorb the total receivables for which the risk of default is
considered probable.
› Measurement of inventories: obsolete stocks are periodically measured and written down
if the net realisable value is lower than the carrying amount. Write-downs are calculated
based on management’s assumptions and estimates, arising from management’s
experience and past results.
› Measurement of deferred taxes: deferred taxes are measured based on expectations
of taxable income expected in future years. The measurement of expected taxable
income depends on factors that could vary in time and have significant eects on the
measurement of deferred tax assets.
› Income taxes: the determination of the Company’s tax liabilities requires Management
to use measurements for transactions whose tax implications are uncertain on the
reporting date. The Company recognises liabilities that could arise from future audits
by tax authorities based on the estimate of taxes due. If the outcome of the above audits
diers from that estimated by management, significant eects on current and deferred
taxes could be possible.
› Development costs: the Group capitalises the costs for the development of new products
and processes. Costs are capitalised based on Management’s judgement, which confirms
Separate financial statements to 31 December 2023
the technical, financial and commercial feasibility of development projects. In determining
the amounts to capitalise, Management makes certain assumptions about the project’s
expected future cash flows, the discount rates to be applied, and the expected useful life
of the capitalised costs. As of 31 December 2023, the net carrying amount of capitalised
development costs was equal to Euro 22,579 thousand (Euro 22,277 thousand at 31
December 2022).
› Impairment of assets: assets are impaired when events or changes in circumstances
lead to the assumption that the carrying amount in the financial statements can no
longer be recovered. Events that may cause an impairment of an asset include changes
in industrial plans, changes in market prices or a reduced use of plants. The decision to
write down an asset and quantify the write-down depends on management’s evaluations
of complex and highly uncertain factors, including future price trends and the impact
of inflation and technological advances on the costs and models of production, and
the conditions of demand and supply. The write-down is determined by comparing the
carrying amount with the relative recoverable value, represented by the higher of the fair
value, net of disposal costs, and value in use determined by discounting expected cash
flows arising from use of the asset. Expected cash flows are quantified in the light of
information available at the time of the estimate based on subjective judgements of the
trend of future variables, such as prices, costs, rates of growth in demand, production
profiles, and are discounted using a rate that takes into account the implied risk of the
asset concerned.
› Useful life of tangible and intangible assets with a finite useful life: depreciation is
calculated based on the useful life of the asset. Useful life is determined when the asset is
recognised in the financial statements. Valuations of the duration of useful life are based
on past experience, market conditions and expectations of future events that could have
an eect on the useful life, including technological changes. Consequently, the actual
useful life may dier from the estimated useful life.
› Employee benefits: defined-benefit plans are measured based on uncertain events
and actuarial assumptions that include discount rates, the expected returns on assets
serving plans (if existing), the level of future remuneration, mortality rates, retirement
ages and future trends in health expenses. The main assumptions used to quantify
defined benefit plans are determined as follows: (i) the discount and inflation rates that
represent the rates based on which obligations to employees could actually be carried
out, are based on the rates that accrue on high-quality bonds and inflation expectations;
(ii) the level of future remuneration is determined based on elements such as inflation
expectations, productivity, career progress and seniority; (iii) the future cost of healthcare
is determined based on elements such as the present and pass trend of healthcare costs,
including assumptions concerning the inflation trend of costs, and changes in the health
conditions of entitled parties; (iv) demographic assumptions the reflect the best estimate
of the trend in variables, such as mortality, turnover and disability, and other variables
relative to the entitled population. The dierences in the value of net liabilities (assets) of
employee benefit plans arising from changes in the actuarial assumptions used and the
dierence between actuarial assumptions previously adopted and those actually used
occur normally and are defined as actuarial gains or losses. Actuarial gains and losses
relative to defined benefit plans are recognised in other comprehensive income. The
actuarial assumptions as also adopted to determine obligations relative to other long-
term benefits; for this purpose, the eects arising from changes to actuarial assumptions
or characteristics of the benefit are recognised in full in profit or loss.
› Measurement of provisions for risks: the Company recognises a liability for disputes
and lawsuits in progress when it is considered probable that there will be a financial
outflow and when the amount of the resulting loss can be reasonably estimated. In the
event a financial outflow is possible but the amount cannot be determined, this fact is
Estimates and assumptions
disclosed in the notes to the financial statements. The causes may relate to complex legal
and tax issues that are subject to dierent level of uncertainty, against which it is possible
that the value of the funds may vary as a result of future developments in the ongoing
proceedings. The Company monitors the status of pending litigation and consults with its
own legal advisors and experts. Moreover, when selling a product, the Company makes
provisions to cover the estimated costs of product warranties. The estimate of this fund
is calculated on the basis of historical information on the nature, frequency and average
cost of warranty claims.
› Fair value of financial instruments: the fair value of unlisted financial instruments is
determined according to commonly used financial valuation techniques that require basic
assumptions and estimates. These assumptions might not occur according to expected
times and procedures. Therefore Company estimates could deviate from final data.
› Share-based payments: the fair value of share-based payments is estimated by
determining the most appropriate measurement model, which depends on the terms
and conditions of the plan. This estimate also requires the determination of the most
appropriate input for the measurement model, including the expected duration of the
option or granted right, the volatility and return on dividends, and the related assumptions.
› Estimate of variable prices relative to returns and discounts on volumes: the Company
estimates the variable prices to include in the transaction price for the sale of products
with the right of return. The Company has developed a statistical model for expected
returns on sales. This model is based on historical data relative to each product, to obtain
the percentages of expected returns. The percentages obtained are applied to determine
the expected value of the variable consideration. For contracts in which new goods are
provided to customers with buyback clauses, the Group adjusts the sales revenues based
on the historic probability of the buyback clause being utilised, and makes a contra-entry
under Assets, to reflect the buyback obligation. It also adjusts the cost of sales by the
same amount, by recognising a liability for the buyback obligation. Based on an analysis
of the Group's historic buyback data, a 7-year timeframe is used, after which a comparison
is made between the assets and liabilities for buyback obligations previously posted on
the financial statements, and the buyback value for the year. The dierence is entered on
the income statement.
Separate financial statements to 31 December 2023
General information
NOTES TO THE STATEMENT OF
FINANCIAL POSITION
Separate financial statements to 31 December 2023
1 Property, plant and
equipment
The item “Property, plant and equipment” amounted to Euro 54,430 thousand at 31 December
2023 (Euro 58,634 thousand at 31 December 2022).
The following table shows the amounts and movements of “Property, plant and equipment
for the years ended 31 December 2023 and 2022.
(In thousands of Euro)
Land Buildings and
leasehold
improvements
Plant and
machinery
Production and
commercial
equipment
Other
assets
Assets under
construction
and advances
Total
Historical cost at 1 January 2022 3,105 73,518 22,252 72,083 18,106 304 189,367
IFRS 16 investments — 4,751 — — 339 — 5,090
Investments — 184 741 3,946 1,002 309 6,182
IFRS 16 disposals — — — — — — —
Disposals — (83) (24) (33) (297) — (437)
Reclassifications — 83 14 77 48 (214) 7
Historical cost at 31 December 2022 3,105 78,453 22,982 76,072 19,197 398 200,207
Accumulated amortisation as of 1 January 2022 — (37,34 4) (13,617) (61,379) (13,721) — (126,061)
IFRS16 depreciation/amortisation — (6,294) — — (689) — (6,983)
Depreciation and amortisation — (2,274) (1,771) (4,897) (1,078) — (10,020)
IFRS16 disposals — 843 — — 311 — 1,154
Disposals — — 24 29 286 — 338
Accumulated depreciation at
31 December 2022
— (45,069) (15,365) (66,246) (14,893) — (141,572)
Net values at 31 December 2022 3,105 33,384 7,617 9,826 4,305 398 58,634
Historical cost at 1 January 2023 3,105 78,453 22,982 76,072 19,197 398 200,207
IFRS 16 investments — 2,264 — — 937 — 3,201
Investments 486 546 1,001 5,172 1,184 417 8,805
IFRS 16 disposals — (93) — — (713) — (806)
Disposals — (68) (435) (500) (584) — (1,588)
Impairment losses — — — — — — —
Reclassifications — — 226 27 — (255) (3)
MRG — — — — — — —
Historical cost at 31 December 2023 3,591 81,103 23,773 80,770 20,021 560 209,817
Accumulated amortisation as of 1 January 2023 — (45,069) (15,365) (66,246) (14,893) — (141,572)
IFRS16 depreciation/amortisation — (6,352) — — (752) — ( 7,104)
Depreciation and amortisation — (1,448) (1,815) (4,238) (1,271) — (8,772)
IFRS16 disposals — 95 — — 573 — 668
Disposals — 68 426 322 576 — 1,393
Property, plant and equipment
(In thousands of Euro)
Land Buildings and
leasehold
improvements
Plant and
machinery
Production and
commercial
equipment
Other
assets
Assets under
construction
and advances
Total
Accumulated depreciation at
31 December 2023
— (52,706) (16,754) ( 70,162) (15,766) — (155,389)
Net values at 31 December 2023 3,591 28,396 7,019 10,608 4,255 560 54,430
The category “Buildings and leasehold improvements” mainly includes buildings used for
production and commercial activities and the associated installations also at the complex
called “Technogym Village”, used as corporate headquarters. “Plant and machinery” mainly
includes production line assembly plants. “Production and commercial equipment” mainly
refers to the moulds used for production and equipment used for machine assembly
operations. “Assets under construction” mainly relate to investments in production lines at
the Company’s production sites that have not yet been placed in service at the end of the
year and moulds not yet available for use.
Investments for the year ended 31 December 2023 amounted to a total of Euro 12,007
thousand. Investments in assets under construction (Euro 417 thousand), mainly refer to the
renovation of production lines; investments in industrial and commercial equipment (Euro
5,172 thousand) mainly refer to the purchase of moulds for the continual expansion and
renovation of production lines; investments in plant and machinery (Euro 1,001 thousand)
chiefly concern the implementation of new production lines.
Net disposals of plant, property and equipment at 31 December 2023 were equal to Euro
333 thousand (Euro 1,056 thousand at 31 December 2022).
As of 31 December 2023 and 2022, there was no property or instrumental asset that was
subject to any kind of guarantee provided to a third party.
The tables below show the impact of IFRS 16 on the financial position to 31 December
2023 and for the year ended 31 December 2022.
(In thousands of Euro)
As of 31 December
2023 2022
Rights of use
Buildings 21,037 25,122
Equipment 231 354
Cars 1,196 1,029
Total rights of use 22,464 26,505
The net IFRS 16 eect amounts to Euro 22,464 thousand (Euro 26,505 at 31 December
2022); this relates to property leases with subsidiaries, and to leases for vehicles and fork
lift trucks.
(In thousands of Euro)
As of 31 December
2023 2022
Lease liabilities
IFRS 16 Financial liabilities - Current 7,2 2 7 6,688
IFRS 16 Non-current financial liabilities 16,344 20,865
Total lease liabilities 23,571 27,553
Separate financial statements to 31 December 2023
The tables below show the impact of IFRS 16 on the income statement to 31 December
2023 and 31 December 2022.
(In thousands of Euro)
As of 31 December
2023 2022
Payment reversals
Buildings 6,912 6,573
Equipment 173 174
Cars 608 549
Total payment reversals 7,692 7,296
(In thousands of Euro)
As of 31 December
2023 2022
Depreciation of rights of use
Buildings (6,352) (6,294)
Equipment (160) (162)
Cars (592) (527)
Total depreciation (7,104) (6,983)
(In thousands of Euro)
As of 31 December
2023 2022
Interest
Interest expense (653) (716)
Total interest (653) (716)
Intangible assets
2 Intangible assets
The item “Intangible assets” amounted to Euro 53,914 thousand at 31 December 2023
(Euro 54,073 thousand at 31 December 2022). The following table shows the amounts and
movements of intangible assets for the years ended 31 December 2023 and 2022.
(In thousands of Euro)
Development
costs
Patents and
intellectual
property
rights
Concessions,
licences,
trademarks
and similar
rights
Intangibles
under
development
and
advances
Other
intangible
assets
Total
Historical cost at 1 January 2022 37,810 32,892 1,706 9,124 522 82,054
Investments 3,873 5,186 439 6,821 2,227 18,547
Disposals (6,972) (643) (158) — (142) ( 7,916)
Impairment losses — — — (23) — (23)
Reclassifications 4,533 332 — (5,135) 263 (7)
Historical cost at 31 December 2022 39,244 37,767 1,986 10,789 2,870 92,656
Accumulated amortisation as of
1 January 2022
(16,717) (13,674) (1,072) — (248) (31,712)
Depreciation and amortisation ( 7,11 2) ( 7,082) (215) — (228) (14,637)
Disposals 6,863 641 129 — 133 7,766
Accumulated depreciation at
31 December 2022
(16,966) (20,115) (1,159) — (344) (38,584)
Net values at 31 December 2022 22,777 1 7,652 827 10,789 2,526 54,073
Historical cost at 1 January 2023 39,244 37,767 1,986 10,789 2,870 92,656
Investments 4,085 6,551 153 5,591 1,844 18,224
Disposals (35) (1,394) (186) — — (1,615)
Impairment losses — — — (146) — (146)
Reclassifications 4,582 1,725 — (6,650) 346 3
Historical cost at 31 December 2023 47,876 44,649 1,953 9,583 5,061 109,121
Accumulated amortisation as of
1 January 2023
(16,966) (20,115) (1,159) — (344) (38,584)
Depreciation and amortisation (8,365) (8,686) (247) — (941) (18,240)
Disposals 35 1,394 186 — — 1,615
Accumulated depreciation at
31 December 2023
(25,297) (27,407 ) (1,219) — (1,285) (55,208)
Net values at 31 December 2023 22,579 17,24 2 733 9,583 3,776 53,914
Separate financial statements to 31 December 2023
“Development costs” refer to the costs arising from the innovation activity performed by
the Company as part of its core business. “Patents and intellectual property rights” include
expenditures related to the acquisition and registration of patents, models and designs.
The category “Concessions, licences, trademarks and similar rights” includes trademarks
and the associated costs of registration, as well as the costs for software rights and
user licences. The item “Intangibles under development and advances” mainly refers to
expenses incurred by the Group relative to projects for the development of new products,
product lines, software and supporting applications not available for use at year-end. “Other
intangible assets” concern the costs incurred relating to the recognition of intangible assets
that meet the requirements of IAS 38 for recognition in the financial statements.
Investments for the year ended 31 December 2023 amounted to a total of Euro 18,224
thousand. The investments in development costs (Euro 4,085 thousand) mainly relate to
the costs of updating and expanding the range of products and services. Investments in
industrial patents and use of intellectual property (Euro 6,551 thousand) mainly relate to
the development of the ERP SAP system for the consumer segment, and the upgrade of
software used by the Company. Investments in intangibles under development and advances
(Euro 5,591 thousand) mainly relate to the development of new products and the restyling of
existing projects, software and supporting applications. Net disposals of intangible assets
for the years ended 31 December 2023 and 2022 are not significant.
Deferred tax assets
3 Deferred tax assets
The item “Intangible assets” amounted to Euro 10,676 thousand at 31 December 2023 (Euro
9,539 thousand at 31 December 2022).
The following table shows the amounts and movements of intangible assets for the years
ended 31 December 2023 and 2022.
Where permitted by the IFRS, “Deferred tax assets” are shown net of the “Deferred tax
liabilities”, which can be oset in order to show a correct representation.
(In thousands of Euro)
Values at 1
January 2022
Provisions
Utilisations
Reclassifications
Values at 31
December 2022
Provisions
Utilisations
Reclassifications
Values at 31
December 2023
Deferred tax assets
Inventory write-down provision 3,750 559 (141) — 4,168 260 (332) — 4,096
Warranties provision 2,056 1,402 (1,092) — 2,366 1,790 (1,200) — 2,957
Net unrealised exchange losses — — — — — 5 4 — 9
PNC fund 478 48 (138) — 387 69 43 — 500
Accumulated amortisation of
trademarks 451 40 (36) — 455 165 (149) — 471
Other provisions for risks and charges 1,481 1,738 (1,366) — 1,854 1,963 (1,719) — 2,098
Provisions for Depreciation of other
Receivables 1,296 30 (26) — 1,300 75 (71) — 1,304
Post-employment benefits 71 — (71) — — 11 — — 11
Total deferred tax assets 9,582 3,818 (2,870) — 10,531 4,338 (3,425) — 11,444
(In thousands of Euro)
Values at 1
January 2022
Provisions
Utilisations
Reclassifications
Values at 31
December 2022
Provisions
Utilisations
Reclassifications
Values at 31
December 2022
Prepaid tax liabilities
- Unrealised exchange gains (207) (120) 200 — (127) — — — —
Other liabilities (676) (249) 60 — (865) (80) 200 — (127)
PNC fund — — — — — (73) 60 — (865)
Total deferred tax liabilities (883) (369) 260 — (992) (152) 260 — (992)
Total 8,700 3,450 (2,610) — 9,539 4,186 (2,610) — 9,539
Separate financial statements to 31 December 2023
4 Equity investments
The item “Equity” amounted to Euro 194,544 thousand at 31 December 2023 (Euro 189,088
thousand at 31 December 2022). The following table shows the amounts and movements
of investments in joint ventures and associates for the years ended 31 December 2023 and
2022.
(In thousands of Euro)
As of 31 December
2023 2022
Equity investments
Investments in subsidiaries
Investments in subsidiaries (gross value) 238,997 233,939
Provision for write-down of investments in subsidiaries (45,771) (46,202)
Total investments in subsidiaries 193,226 187,737
Investments in joint ventures and associates (gross value) 1,318 1,351
Provision for write-down of investments in joint ventures and associates — —
Total investments in joint ventures and subsidiaries 1,318 1,351
Total investments 194,544 189,088
Equity investments
The following table shows the amounts and movements of the gross value of investments
for the years ended 31 December 2023 and 2022:
(In thousands of Euro)
Gross values
at 1 January
2022
Investments Disposals Gross
values at 31
December
2022
Investments Disposals Change in
scope of
consolidation
Gross
values
at 31
December
2023
Subsidiaries
Technogym UK Ltd 28,995 — — 28,995 — — — 28,995
Technogym Germany Gmbh 16,843 — — 16,843 — — — 16,843
Technogym E.E. SRO 15,024 — — 15,024 — — — 15,024
Technogym Benelux BV 12,503 — — 12,503 — — — 12,503
Technogym USA Corp. 38,159 — — 38,159 — — — 38,159
Technogym Shanghai Int. Trading Co. Ltd. 15,800 — — 15,800 — — — 15,800
Technogym Australia Pty Ltd 7,62 1 — — 7,621 — — — 7,621
Technogym Japan Ltd. 3,069 — — 3,069 — — — 3,069
Technogym International BV 3,000 — — 3,000 — — — 3,000
Technogym Trading SA 2,869 — — 2,869 — — — 2,869
FKB Equipamentos LTDA 43,255 — — 43,255 — — — 43,255
Technogym France Sas 1,267 — — 1,267 — — — 1,267
Technogym Asia Ltd 1,161 — — 1,161 — — — 1,161
Sidea S.r.l 700 — — 700 — — — 700
Technogym Portugal Unipessoal Lda 5 — — 5 — — — 5
TGB Srl 42,354 — — 42,354 — — — 42,354
Technogym Emirates LLC — — — — — — 28 28
Amleto Aps — — — — — —
DWL Srl 10 216 (226) — — — — —
TG Technogym SA 249 — — 249 — — — 249
Technogym Saudi LLC 260 — — 260 — — — 260
MyWellness Inc 0.09 — — 0.09 — — — 0.09
Wellness Partners Ltd 803 — — 803 — — — 803
Technogym Canada INC — — — — 68 — — 68
Technogym Arabia LLC — — — — 4,962 — — 4,962
Total subsidiaries 233,948 216 (226) 233,939 5,030 — 28 238,997
Joint ventures and associates
Technogym Emirates LLC 28 — — 28 — — (28) —
Wellink S.r.l. 30 — — 30 — — — 30
MPS Movimento per la Salute 124 — (124) — — — — —
T4ME Limited 400 — (400) — — — — —
Wellness Explorers Srl 5 — — 5 — (5) — —
Physio AG 1,288 — — 1,288 — — — 1,288
Total joint ventures and associates 1,875 — (524) 1,351 — (5) (28) 1,318
Separate financial statements to 31 December 2023
Investments in “Subsidiaries” at 31 December 2023 were equal to Euro 5,030 thousand,
mainly attributable to: (i) a new investment of 4,692 thousand in the subsidiary Technogym
Arabia; (ii) the contribution of Euro 68 thousand to the share capital of Technogym Canada
INC.
The write-down relates to the liquidation of Wellness Explorer SRL, an Italian company.
Regarding the joint ventures and associates, the reduction relates to the change in the
consolidation of the subsidiary Technogym Emirates LLC, following an amendment to the
shareholders’ agreements, giving material control to the Group and moving from the equity
method to the line by line consolidation.
The following table shows the amounts and movements in the investments write-down
provision for the years ended 31 December 2023 and 2022:
(In thousands of Euro) Write-down
provision at 1
January 2022
Provisions Releases Write-down
provision at
31 December
2022
Provisions Releases Write-down
provision at
31 December
2023
Technogym Usa (13,734) — 13,734 — — — —
Technogym (Shanghai)
International Trading Co.,
Ltd.
(6,119) — 4,123 (1,996) — 588 (1,408)
Technogym Australia (580) — 489 (91) — — (91)
FKB EQUIPAMENTOS
LTDA
(43,255) — — (43,255) — — (43,255)
Technogym Asia (106) — — (106) — 106 (0)
Wellness Partners Ltd (753) — — (753) (22) — (775)
TG Technogym SA — — — — (143) — (143)
Technogym Saudi LLC — — — — (99) — (99)
Total subsidiaries (64,548) — 18,346 (46,202) (264) 694 (45,771)
Joint ventures and
associates
MPS Movimento
per la Salute
(124) — 124 — — — —
T4ME Limited (400) — 400 — — — —
Total joint ventures
and associates
(524) — 524 — — — —
Equity investments
The following table lists the investments at 31 December 2023, with detailed information:
Entity name Registered
oice
Stake held Currency Share capital
at 31 December
2023
(in local
currency)
Equity at 31
December 2023
(in local
currency)
Profit/(loss)
for the year at
31 December
2023
(in local
currency)
Equity pro-
quota at 31
December 2023
(€)
Net value in
the financial
statements at
31 December
2023 (€)
Subsidiaries
Technogym E.E. SRO Slovakia 100% EUR 15,033,195 19,807,826 3,667,626 19,807,826 15,024,000
Technogym Asia Ltd. China 100% HKD 11,481,935 13,049,526 3,840,311 1,511,867 1,161,653
Technogym Shanghai Int.
Trading Co. Ltd.
China 100% CNY 132,107,600 115,092,921 13,523,132 14,659,838 14,391,762
Technogym Australia Pty Ltd Australia 100% AUD 11,350,000 12,609,846 792,589 7,753,703 7,530,273
Technogym Portugal
Unipessoal Lda
Portugal 100% EUR 5,000 710,139 359,558 710,139 5,000
Technogym International B.V. Netherlands 100% EUR 113,445 4,389,903 256,599 4,389,903 3,000,000
Sidea S.r.l Italy 70% EUR 150,000 7,445,437 1 , 76 7,1 3 3 5,211,806 699,500
FKB Equipamentos LTDA Brazil 100% BRL 156,064,684 6,234,083 (2 ,60 7,11 7 ) 1,162,685 —
DWL Srl Italy 100% EUR 200,000 942,790 (529,406) 942,790 —
Technogym Germany Gmbh Germany 100% EUR 1,559,440 4,537,957 2,652,874 4,537,957 16,843,000
Technogym UK Ltd United
Kingdom
100% GBP 100,000 5,396,289 3,770,622 6,209,412 28,995,000
Technogym France Sas France 100% EUR 700,000 1,771,460 982,932 1,771,460 1,267,424
Technogym Benelux BV Netherlands 100% EUR 2,455,512 4,636,017 2,180,505 4,636,017 12,503,000
Technogym USA Corp. United States 100% USD 3,500,000 17,997,915 1,404,783 16,287,706 38,158,940
Technogym Trading S.A. Spain 100% EUR 2,499,130 5,968,267 1,953,107 5,968,267 2,869,130
Technogym Japan Ltd. Japan 100% JPY 320,000,000 1,025,779,350 67,977,959 6,561,628 3,068,792
TGB Srl Italy 100% EUR 96,900 22,826,222 97,504 22,826,222 42,354,077
TG Technogym SA (PTY) LTD South Africa 100% ZAR 4,345,000 2,160,042 (234,158) 106,157 106,157
MyWellness Inc United States 100% USD 100 (416,185) (95,877) (376,638) 87
Technogym Saudi LLC Saudi Arabia 100% SAR 1,145,000 669,102 (41,538) 161,471 161,471
Wellness Partners Ltd United
Kingdom
75% EUR 463,382 3 7, 7 6 5 (21,672) 28,324 28,323
Technogym Canada Inc. Canada 100% CAD 100,000 394,699 166,122 269,567 68,250
Technogym Arabia LLC Saudi Arabia 70% SAR 28,600,000 2 7,9 0 7, 6 5 1 (692,349) 4,714,358 4,961,628
Technogym Emirates LLC United Arab
Emirates
49% AED 300,000 47,086,344 19,650,160 5,685,495 28,188
Total subsidiaries 193,225,655
Joint ventures
and associates
Wellink Srl Italy 40% EUR 60,000 394,600 22,298 157,840 30,161
Physio Ag Germany 32% EUR 73,000 (35,992) (413,181) (11,517) 1,288,000
Total joint ventures
and associates
1,318,161
Separate financial statements to 31 December 2023
Equity investments are impairment-tested when there are indications of specific
impairments, mainly where there is a significant loss for the year or when the performance
is not in line with the provisions of the plan for those investees whose book value is higher
than the share of net equity recognised on the accounts.
For investments with net carrying values exceeding the value of the relative share of
equity, no indications of possible impairment were identified. In particular, for the subsidiaries
Technogym Germany GmbH, Technogym UK Ltd and Technogym Benelux BV, the 2023 final
balance was higher than the Plan forecasts. For TGB S.r.l., the dierence between the cost
of recognition and the share of equity related to the higher value attributed to Technogym
Village.
On 31 December 2023 an impairment test was carried out on FKB Equipamentos LTDA;
this subsidiary was already impairment-tested in the previous financial year and the equity
value was still positive. Nevertheless, the Company has prudentially chosen to keep the
value of the equity investment fully written-down and has also completely written o the
credit positions with this subsidiary, totalling Euro 1,652 thousand; they consist of trade
receivables of Euro 813 thousand and loans of Euro 839 thousand. The WACC used was
9.90%, with a g value of 0.
In line with IAS 36, the impairment test was carried out by comparing the recoverable
value, net of the net financial position (NFP) at 31 December 2023 (“Economic Value”)
against the carrying amounts of the investments on the same date.
For the purposes of estimating the recoverable value, the economic value of the
investments was determined, using the “Discounted Cash Flow – asset side” method, which
considers the operating cash flows expected by the company based on the plans approved
by the management and subtracting the net financial position at the reporting date.
The calculation method is reported below:
Equity Value = V-NFP
where:
V = ∑
n
i - 1
FCF
i
/ (1 + WACC)
i
+ TV
NFP = net financial position;
FCF = free cash flow, or cash flow generated by operations;
WACC = weighted average cost of capital;
n = explicit forecast period;
TV = present terminal value, i.e. the value deriving from cash flows generated outside the explicit forecast time horizon.
The cash flows for periods after the fifth year were calculated using the following formula
(Gordon formula):
where:
TV = FCF
n
× (1 + g) / WACC − G
FCFn = cash flow sustainable beyond the explicit forecast time horizon;
g = growth rate of the business beyond the hypothesised plan period;
WACC = weighted average cost of capital.
The discount rate used is the Weighted Average Cost of Capital (WACC) relating to the
investment. The method applied is the Capital Asset Pricing Model, based on which the rate
is determined on a mathematical model given by the sum of the return of a risk-free asset
plus a risk premium (market premium risk). The market premium risk, in turn, is given by the
product of the average market risk for the specific beta of the sector.
In applying this method, the main assumptions used are the estimate of future increases
in sales, the gross margin, operating costs, the growth rate in terminal values, investments,
changes in the operating capital and the weighted average cost of capital (discount rate).
Equity investments
The growth rate g used was prudentially equal to zero.
In view of the positive results achieved in 2023 by Technogym Shanghai Int. Trading Co.
Ltd and Technogym Asia, which has increased the fair value of these entities, the provision
for write-down of the equity investments in Technogym Asia was released in full, along with
part of the same provision previously made for Technogym Shanghai.
However, after comparing the recognition value of the equity investments against fair
value, the Company prudentially made a partial write-down of the investments in the British
company Wellness Partner and the ailiates Technogym SA (South Africa) and Technogym
Saudi.
Separate financial statements to 31 December 2023
5 Non-current assets
The item “Non-current financial assets” amounted to Euro 27,272 thousand at 31 December
2023 (Euro 29,919 thousand at 31 December 2022). The item “Other non-current assets”
amounted to Euro 64,477 thousand at 31 December 2023 (Euro 58,706 thousand at 31
December 2022).
The following table contains a breakdown of the “Non-current financial assets” and
“Other non-current assets” at 31 December 2023 and 2022.
(In thousands of Euro)
As of 31 December
2023 2022
Non-current financial assets
Loans to subsidiaries due after 12 months 27,272 29,919
Total non-current financial assets 27,272 29,919
Other non-current assets
Transferred trade receivables due after 12 months 35,745 34,634
Provisions for transferred receivables - due after 12 months (2,203) (2,018)
Income tax receivables due after 12 months 4,112 3,334
Other receivables 225 155
Investments in other entities 237 246
Security deposits 149 122
Receivables for buy backs - due after 12 months 26,212 22,233
Total other non-current assets 64,477 58,706
“Transferred trade receivables due after 12 months” net of the relative bad debt provision,
equal to Euro 33,542 thousand and Euro 32,616 thousand at 31 December 2023 and 2022
respectively, include the non-current portion of receivables arising from the sale of goods
which, although transferred to third-party financial institutions, are retained in the financial
statements as they do not meet all the conditions required by IFRS 9 for their derecognition
from assets. The financial liabilities include the amounts received from financial institutions
in the form of advances for these transfers. The total provision for write-downs on transferred
receivables is Euro 1.3 million for the current portion and Euro 2.2 million for the non-current
portion. As explained at length in the paragraph “Estimates and assumptions”, following an
analysis of its receivables portfolio the Company increased its provision for bad debts by
a total of Euro 297 thousand (of which Euro 185 thousand after 12 months), increasing it to
an amount that would absorb the amount of any receivables for which the risk of default is
considered probable.
“Income tax receivables due after 12 months” relate to the patent box taxation rules as
to Euro 3,762, while the remainder relates to a tax credit for investments in new business
assets and R&D.
“Security deposits” are recognised in respect to property leases, lease agreements for
vehicles and utilities.
“Receivables for buy backs due after 12 months”, which are recognised in accordance with
IFRS 15, relate to non-current assets for sales with the right of return, which may be exercised
Non-current assets
by certain categories of customer when new machinery is bought. For more details of how
this item is treated for accounting purposes, see paragraph 2.4 “Measurement criteria” in
the section “Recognition of revenues”.
The following table shows the details of investments in other entities for the years ended
31 December 2023 and 2022.
(In thousands of Euro)
Registered oice % of control Currency As of 31 December
2023 2022
Entity name
Pubblisole Spa Italy 2.4% EUR 100 100
Qicraft Finland OY(*) Finland 10.0% EUR 53 62
Crit S.r.l. Italy 1.2% EUR 26 26
Other investments n.a. n.a. n.a. 59 59
Total investments in other entities 237 246
In accordance with IFRS 9, these equity instruments are classified as financial assets at
fair value and recognised in profit or loss.
The decrease in the item “Investments in other entities” is mainly due to an increase in the
companies’ operating results, particularly for Qicraft Finland OY.
Separate financial statements to 31 December 2023
6 Inventories
The item “Inventories” amounts to Euro 39,009 thousand at 31 December 2023 (Euro 37,994
thousand at 31 December 2022).
The following table gives a breakdown of this item of 31 December 2023 and 2022:
(In thousands of Euro)
As of 31 December
2023 2022
Inventories
Raw materials (gross value) 15,150 15,642
Write-down provision (2,231) (2,511)
Total raw materials 12,919 13,131
Work in progress (gross value) 191 183
Write-down provision (76) (98)
Total work in progress 116 84
Finished goods (gross value) 38,348 37,109
Write-down provision (12,373) (12,330)
Total finished goods 25,975 24,779
Total inventories 39,009 37,994
The increase of Euro 1,015 in the Inventories balance since 31 December 2022 is the
result of the normal trend in stocks management implemented by the Company, based on
the orders book. Average stock holding time fell from 46.08 days for the year ended 31
December 2022, to 38.95 days for the year ended 31 December 2023; the stock turnover
ratio rose from 7.81 to 9.24.
The following table shows the amounts and movements of the inventory write-down
provision for the years ended 31 December 2023 and 31 December 2022.
(In thousands of Euro)
Raw materials Work in progress Finished goods Total inventory
write-down pro-
vision
Values at 31 December 2021 2,024 122 11,294 13,441
Provisions 486 — 1,519 2,005
Utilisations — (24) (482) (507)
Reclassifications — — — —
Exchange rate dierences — — — —
Values at 31 December 2022 2,511 98 12,330 14,939
Provisions — — 468 468
Utilisations (279) (22) (426) (728)
Reclassifications — — — —
Exchange rate dierences — — — —
Values at 31 December 2023 2,231 75 12,372 14,680
Trade receivables
7 Trade receivables
The item “Trade receivables” amounted to Euro 83,109 thousand on 31 December 2023 (Euro
100,904 thousand on 31 December 2022) net of the bad debt provision.
The following table contains a breakdown of the trade receivables as of 31 December
2023 and 2022:
(In thousands of Euro) As of 31 December
2023 2022
Trade receivables
Trade receivables (gross value) 63,856 83,903
Provision for write-downs of receivables (1,148) (1,291)
Transferred trade receivables 21,682 19,461
Provision for write-downs on transferred receivables (1,281) (1,169)
Total trade receivables 83,109 100,904
The reduction of Euro 17,795 thousand in the “Trade receivables” item is mainly due to the
regular monitoring of the credit situation. The decrease in “Bad debt provisions” is mainly
linked to the write-down in trade receivables of Euro 813 thousand due from a subsidiary.
The remainder of the provision, of Euro 335 thousand, relates to doubtful receivables for
which legal debt recovery proceedings have been started, and for some receivables due
from customers with a lower likelihood of collection.
Transferred trade receivables net of the relative provision amounted to Euro 20,401
thousand at 31 December 2023, and to Euro 18,292 thousand at 31 December 2022. They
refer to the current portion of receivables arising from the sale of goods which, although
transferred to financial institutions, have been retained in the financial statements as they
do not meet all the conditions required by IFRS 9 for derecognition from assets.
The total provision for write-downs on transferred receivables is Euro 1.3 million for the
current portion and Euro 2.2 million for the non-current portion. As explained at length in the
paragraph “Estimates and assumptions”, following an analysis of its receivables portfolio the
Company increased its provision for bad debts by a total of Euro 297 thousand (of which Euro
122 thousand after 12 months), increasing it to an amount that would absorb the amount of
any receivables for which the risk of default is considered probable.
The financial liabilities include the amounts received from financial institutions in the
form of advances for these transfers.
The following table contains a breakdown of trade receivables by maturity, as of
31 December 2023 and 2022.
Separate financial statements to 31 December 2023
(In thousands of Euro)
Not
overdue
Up to 30
days past
due
Between
31 and 90
days past
due
Between
91 and
180 days
past due
Between
181 and
360 days
past due
More
than 360
days past
due
Total
As of 31 December 2021 79,986 2,846 1,473 1,696 674 5,345 92,019
Trade receivables (gross value) 77,561 1,790 1,355 919 674 1,603 83,903
Provision for write-downs of receiv-
ables — (10) (33) (29) (229) (989) (1,291)
Transferred trade receivables 19,461 — — — — — 19,461
Provision for write-downs on trans-
ferred receivables (1,169) — — — — — (1,169)
As of 31 December 2022 95,852 1,780 1,323 890 445 615 100,904
Trade receivables (gross value) 52,763 3,655 1,369 941 2,901 2,226 63,856
Provision for write-downs of receiv-
ables — (53) (5) (17) (48) (1,026) (1,148)
Transferred trade receivables 21,682 — — — — — 21,682
Provision for write-downs on trans-
ferred receivables (1,281) — — — — — (1,281)
As of 31 December 2023 73,163 3,603 1,366 924 2,853 1,201 83,109
The following table reports the amounts and changes in the bad debt provision for the
years ended 31 December 2023 and 2022:
(In thousands of Euro)
Provision for write-downs of
receivables
Values at 31 December 2021 605
Net provisions 736
Utilisations (50)
Values at 31 December 2022 1,291
Net provisions 78
Utilisations (220)
Values at 31 December 2023 1,148
The amounts allocated to the bad debt provision relate to write-downs on doubtful
accounts.
The utilisations of the bad debt provision arise when the Company has determined the
existence of conditions for the dismissal of the credit position.
Main customers
In accordance with IFRS 8, paragraph 34, for the years ended 31 December 2023 and 2022,
the Company did not have any clients generating more than 10% of total revenues.
Current financial assets
8 Current financial assets
The item “Current financial assets” amounted to Euro 13,549 thousand at 31 December 2023
(Euro 24,010 thousand at 31 December 2022) and mainly relates to receivables due from
subsidiaries, having converted the type of restricted deposits with a term of 3-12 months
into restricted bank deposits with a duration of less than 3 months - in line with IAS 7, these
deposits, being readily available, have been included in Cash and cash equivalents.
The following table shows the amounts of current financial liabilities at 31 December 2023
and 2022:
(In thousands of Euro)
As of 31 December
2023 2022
Current financial assets
Financial receivables from subsidiaries and other entities 13,031 4,518
Other financial receivables 518 116
Term bank deposits > 3 < 12 months — 19,376
Total current financial assets 13,549 24,010
The following table shows the details of financial receivables from subsidiaries at 31
December 2023 and 2022:
(In thousands of Euro)
As of 31 December
2023 2022
Financial receivables from subsidiaries and other entities
Cash pooling 9,777 947
Loans receivable 3,254 3,571
Total financial receivables from subsidiaries and other entities 13,031 4,518
Separate financial statements to 31 December 2023
The following table provides details of cash pooling arrangements at 31 December 2023
and 2022:
(In thousands of Euro)
Currency As of 31 December
2023 2022
Cash pooling
Technogym Australia Pty Ltd AUD — 848
Technogym Benelux EUR 2,678 —
Technogym Asia HKD 1,004 —
Technogym Japan JPY 908 —
Technogym Usa CAD CAD 518 99
Technogym Usa USD 4,669 —
Total cash pooling 9,777 947
The following table shows the details of loans granted at 31 December 2023 and 2022:
(In thousands of Euro)
Currency Interest
rate
As of 31 December
2023 2022
Loans receivable
FKB Equipamentos LTDA EUR Variable 839 469
MyWellness Inc EUR Variable 452 938
DWL Srl EUR Variable 1,345 1,200
TG Technogym SA EUR Variable 1,000 1,000
La Mariana EUR Variable 30 —
Technogym Saudi LLC EUR Variable 200 200
SE Active EUR Variable 227 233
Total loans granted 4,093 4,040
Assets for derivative financial instruments
9 Assets for derivative
financial instruments
The item “Assets for derivative financial instruments” amounted to Euro 172 thousand at 31
December 2023, while the balance was Euro 637 on 31 December 2022.
The following table shows assets for derivative financial instruments broken down by
currency at 31 December 2023 and 2022.
(In thousands of Euro)
As of 31 December
2023 2022
USD 143 552
GBP 11 85
AUD 4 —
CNY 14 —
CAD — * —
Total 172 637
* The approximated value is less than a thousand and amounts to Euro 139
Assets for derivative financial instruments are related to positive dierences resulting
from the fair value of “forward” contracts in place as of 31 December 2023 and 2022. They
are listed in the table below:
(In thousands of
Euro)
As of 31 December 2023 As of 31 December 2022
Currency
Currency
inflow Currency
Currency
outflow Currency
Currency
inflow Currency
Currency
outflow
Forward EUR 21,143 USD 23,550 EUR 15,416 USD 16,000
Forward EUR 1,935 JPY 300,000 EUR 3,884 JPY 550,000
Forward EUR 1,025 CAD 1,500 EUR 3,169 AUD 5,000
Forward EUR 2,564 CNY 20,000 EUR 5,421 CNY 40,000
Forward EUR 4,632 GBP 4,000 EUR 10,197 GBP 9,000
Forward EUR 1,846 AUD 3,000
The exposure to exchange rate risk is mainly managed using contracts for the forward
sale of currency denominated in the sale currency of some markets in which the Group
operates. However, at 31 December 2023, these contracts were not recorded on a hedge
accounting basis, apart from a “Collar” hedging contract to protect a currency deposit.
Separate financial statements to 31 December 2023
10 Other current assets
The item “Other current assets” amounts to Euro 18,149 thousand at 31 December 2023
(Euro 18,213 thousand At 31 December 2022). The following table contains a breakdown of
the other current assets at 31 December 2023 and 2022:
(In thousands of Euro)
As of 31 December
2023 2022
Other current assets
VAT receivables 5,103 4,236
Prepaid expenses 4,016 4,454
Advances to suppliers 620 317
Tax credits 1,479 819
Accrued income 676 233
Other receivables 424 2,323
Receivables for buybacks - due within 12 months 5,831 5,831
Total other current assets 18,149 18,213
“Prepaid expenses” mainly relate to insurance premiums, assistance and maintenance
fees, marketing expenses, utilities and rent.
“Advances to suppliers” relate to advances and deposits paid for supplies yet to be
received.
The tax credits of Euro 1,479 thousand mainly relate to tax credits for investments in
research and the development of new business assets. The increase compared to the
previous year essentially relates to the higher tax credit for R&D for the 2022 financial year.
“Receivables for buy backs due within 12 months”, recognised in accordance with IFRS
15, relate to current assets for sales with the right of return, which may be exercised when
new machinery is bought. For more details about the recognition criteria for this item, see
paragraph 2.4 of this document “Valuation criteria” in the section “Recognition of revenues”.
Cash and cash equivalents
11 Cash and cash
equivalents
The item “Cash and cash equivalents” amounted to Euro 197,409 thousand at 31 December
2023 (Euro 182,148 thousand at 31 December 2022).
The following table shows the amounts of cash and cash equivalents at 31 December
2023 and 2022.
(In thousands of Euro)
As of 31 December
2023 2022
Cash and cash equivalents
Bank deposits 180,323 172,714
Cheques 81 54
Cash and cash equivalents 6 5
Term bank deposits <3 months 17,000 9,376
Total cash and cash equivalents 197,409 182,148
“Bank deposits” represent temporary cash surpluses on Group current accounts at year-
end.
“Term bank deposits within 3 months” at 31 December 2023 represent temporary uses
of surplus cash.
As of 31 December 2023 and 2022 there were no restrictions or limitations on the use of
the Group’s bank deposits, cheques and cash and cash equivalents on hand.
Separate financial statements to 31 December 2023
12 Equity
The item “Equity” amounted to Euro 407,949 thousand at 31 December 2023 (Euro 390,151
thousand at 31 December 2022). The following table reports the details of equity at 31
December 2023 and 2022.
(In thousands of Euro)
As of 31 December
2023 2022
Equity
Share capital 10,066 10,066
Share premium reserve 7,132 7,132
Own shares (6,922) -
Other reserves 88,088 85,211
Retained earnings 235,121 218,766
Profit/(loss) for the period 74,463 68,976
Total equity 407,949 390,151
The following table shows the amounts and movements of equity for the years ended 31
December 2023 and 2022.
Share capital
Share premium reserve
Own shares
Other reserves
Retained earnings
Profit/(loss) for the period
Total equity
Legal reserve
Extraordinary reserve
Reserve for the
adoption of IAS/ IFRS
IAS 19 reserve
Stock option reserve
Hedge Account reserve
Unrealised exchange
dierences reserve
At 1 January
2022
10,066,375 7,1 3 2 , 311 2,013,275 26,211,773 51,321,074 (314,462) — — 1,331,014 188,288,038 66,360,772 352,410,170
Profit for the
previous year
— — — — 3,990,409 (12,241) — — — (3 0 7, 73 3) 62,690,337 (66,360,772) —
Total
comprehensive
income for the
year
— — — — — — 479,278 — (2,519) — — 68,976,174 69,452,934
Dividends paid — — — — — — — — — — (32,212,400) — (32,212,400)
Incentive plan
(LTIP)
— — — — — — — 500,430 — — — — 500,430
As of 31
December 2022
10,066,375 7,1 3 2 , 311 — 2,013,275 30,202,183 51,308,833 164,816 500,430 (2,519) 1,023,280 218,765,976 68,976,174 390,151,134
Profit for the
previous year
— — — — 2,826,190 (12,241) — — — (524,292) 66,686,518 (68,976,174) —
Equity
Share capital
Share premium reserve
Own shares
Other reserves
Retained earnings
Profit/(loss) for the period
Total equity
Legal reserve
Extraordinary reserve
Reserve for the
adoption of IAS/ IFRS
IAS 19 reserve
Stock option reserve
Hedge Account reserve
Unrealised exchange
dierences reserve
Total
comprehensive
income for the
year
— — — — — — (45,592) — (396,054) — — 74,462,610 74,020,964
Dividends paid — — — — — — — — — — (50,331,875) — (50,331,875)
Purchase and
sale of own
shares
— — (6,921,525) — — — — — — — — — (6,921,525)
Incentive plan
(LTIP)
— — — — — — 1,029,818 — — — — 1,029,818
As of 31
December 2023
10,066,375 7,1 3 2 , 311 (6,921,525) 2,013,275 33,028,372 51,296,592 119,223 1,530,248 (398,573) 498,988 235,120,618 74,462,610 407,948,516
. SHARE CAPITAL
As of 31 December 2023, the “Share capital” of Euro 10,066 thousand, fully subscribed and
paid in cash, amounted to 201,327,500 ordinary shares with no nominal value.
. OWN SHARES
On 6 November 2023, Technogym launched a programme of acquiring own shares, following
the authorisation approved by the Ordinary Shareholders’ Meeting on 5 May 2023. Since the
programme was launched in 2023, the Parent Company has carried out operations on its
own equity instruments, acquiring 836,972 own shares for a total of Euro 6,922 thousand,
equal to 0.42% of the share capital. These transactions were booked directly under net
equity, as required by IAS 32.
. IAS RESERVE
The “IAS 19 reserve” refers to the eects arising from the re-measurement of defined benefit
plans, as represented in the statement of comprehensive income.
. HEDGE ACCOUNT RESERVE
As of 31 December 2023, the cash flow hedge reserve relates essentially to the eective
component of a single active interest rate risk hedge (collar). For the 2023 financial year,
Separate financial statements to 31 December 2023
the collar contract (to hedge a deposit in dollars) and the IRS contract (closed during the
year) were treated according to the hedge accounting method. The negative fair value at 31
December 2023 amounted to Euro 524 thousand, as reported in the table below (Euro 399
thousand net of the tax eect).
(In thousands of Euro)
CFH reserve
Balance at 31 December 2021 —
Hedging instruments / Cash flow hedges 3
Tax eect – Hedging instruments / Cash flow hedges (1)
Balance at 31 December 2022 3
Hedging instruments / Cash flow hedges 524
Tax eect – Hedging instruments / Cash flow hedges (126)
Balance at 31 December 2023 399
12.5 STOCK OPTION RESERVE
At 31 December 2023, three incentive plans were in place for Technogym management:
the 2021-2023 Performance Shares Plan, the 2022-2024 Performance Shares Plan, and the
2023-2025 Performance Shares Plan (the “Incentive Plans”). They were approved by the
Board of Directors on 24 March 2021, 23 March 2022 and 25 March 2023 respectively.
In compliance with Consob resolution 11971 of 14 May 1999 as amended and Consob
communication 11508 of 15 February 2000, information on relative stock grant plans is given
below.
The purpose of the Incentive Plans is to consolidate Technogym’s ability to retain key
resources and attract sta with the best skills, and align interest in company performance
of the Company’s key resources with that of shareholders to create sustainable value over
time. Incentive plans are based on a three-year horizon, considered as the most suitable
timeframe to achieve the plans’ objectives. The Incentive Plans are for Technogym Group
managers, who are nominated individually by the Board of Directors, based on proposals
made by the Chairman of the Board of and after consulting with the Appointments and
Remuneration Committee, from among the employees and/or sta of the Company or its
subsidiaries who have strategic roles or can make significant contributions to the Company’s
and/or Group’s strategic objectives, including the Company’s Key Managers. Pursuant
to article 114-bis, paragraph 3 of the TUF and article 84-bis, paragraph 2 of the Consob
Regulation on Issuers, incentive plans are considered as “plans of particular significance”,
as the beneficiaries identified by the Board of Directors may include Key Managers. The
incentive plan regulations do not provide for loans or other facilitations to acquire shares, as
defined in Article 2358 paragraph 3 of the Civil Code.
The incentive plans for 2021-2023, 2022-2024 and 2023-2025 are based on granting
the right to receive free shares if certain Company performance objectives are met. These
incentive plans have:
› pre-determined performance objectives identified in the Company’s economic/financial
performance; for the 2023-2025 PSP only, they are also linked to ESG targets;
› adequate periods to accrue rights to obtain assigned shares (three-year vesting period),
› a 12-month restriction on the transfer of shares, from the date when they are assigned.
Equity
The shares will be assigned to the beneficiaries, subject to the conditions in the Incentive
Plans being met, no later than 60 days following the approval of the Group’s Consolidated
Financial Statements to 31 December 2023, 31 December 2024 and 31 December 2025.
The beneficiaries will have the right to receive the shares if, on the vesting date:
› they still have a contract of employment and/or collaboration with Technogym and/or its
subsidiaries;
› there is no pending termination of their contract of employment with the Company or its
subsidiaries.
For more information about these Incentive Plans, see the respective prospectuses on
the Company’s website, at https://corporate.technogym.com/it/governance/assemblea-
degli-azionisti.
The following table represents the additional disclosure on equity as requested by article
2427 of the Italian Civil Code, paragraph 7 bis:
(In thousands of Euro)
As of 31 December
2023
Possible use Quota available
Equity
Share capital 10,066 B 10,066
Share premium reserve 7,132 A-B-C 7,132
Own shares (6,922) --- 0
Other reserves
– Legal reserve 2,013 B 2,013
– Extraordinary reserve 33,028 B 33,028
– Reserve for the adoption of IAS 51,297 B 51,297
- IAS 19 reserve - TFR (99) ––– 0
- IAS 19 reserve - PNC 218 B 218
– Hedge Account reserve (399) ––– 0
- Net exchange gains reserve 499 A-B 499
– Stock option reserve 1,530 A-B-C 1,530
Retained earnings 235,121 A-B-C 235,121
Profit for the year 74,463 A-B-C 74,463
Total equity 407,949 415,367
Of which non-distributable 104,637
Of which distributable 303,311
Legend:
A: for capital increase – B: for loss coverage – C: for dividend distribution
Separate financial statements to 31 December 2023
13 Financial liabilities
The items “Non-current financial liabilities” and “Current financial liabilities amounted to
Euro 52,089 thousand and Euro 75,606 thousand at 31 December 2023 (respectively Euro
58,124 thousand and Euro 90,391 thousand at 31 December 2022 respectively). The following
table shows the amounts of financial liabilities, current and non-current, at 31 December
2023 and 2022.
(In thousands of Euro)
As of 31 December
2023 2022
Non-current financial liabilities
Bank loans due after 12 months – non-current portion — 2,625
Other non-current financial liabilities 35,745 34,634
IFRS 16 Non-current financial liabilities 16,344 20,865
Total non-current financial liabilities 52,089 58,124
Current financial liabilities
Bank loans due after 12 months – current portion — 9,137
Other short-term borrowings 71 48
Current liabilities due to other lenders 21,682 19,461
Financial payables to subsidiaries 46,626 55,057
IFRS 16 Financial liabilities - Current 7,2 2 7 6,688
Total current financial liabilities 75,606 90,391
On 31 December 2023, the Company’s financial indebtedness with banks was zero, while
debts to other lenders are due to the countervalue of receivables assigned to third-party
financial institutions that did not meet the derecognition criteria under IFRS 9.
13.1 MEDIUM/LONGTERM BANK LOANS
The following table shows the movements of bank loans for the years ended 31 December
2023 and 2022.
(In thousands of Euro)
Bank loans due after 12
months – non-current
portion
Bank loans due after 12
months – current portion
Total loans
Values at 31 December 2021 12,500 50,103 62,603
Obtainment of loans 3,217 803 4,021
Repayments — (54,848) (54,848)
Reclassification from long-term to
short-term (13,093) 13,093 —
Financial liabilities
(In thousands of Euro)
Bank loans due after 12
months – non-current
portion
Bank loans due after 12
months – current portion
Total loans
Values at 31 December 2022 2,625 9,137 11,762
Repayments — (11,735) (11,735)
Reclassification from long-term to
short-term (2,625) 2,598 (28)
Values at 31 December 2023 — — —
The following shows the details of medium-long term bank loans at 31 December 2023
and 2022.
(In thousands of Euro)
Due date Interest rate As of 31 December
2023 of which
current
2022 of which
current
Bank loans
Crédit Agricole Italia S.p.A. 2020-2023 Variable — — 8,333 8,348
Deutsche Bank 2022-2027 Fixed — — 3,428 789
Total bank loans — — 11,762 9,137
During 2023, the Company also strengthened its financing structure by taking out the
following loan agreements, with the availability of credit lines that were not used during the
year.
› Cassa Depositi e Prestiti: The medium-long term loan was granted by Cassa Depositi e
Prestiti Spa on 15 June 2023 as an available line of credit totalling Euro 25,000 thousand.
The loan expires on 15 June 2028 and includes an option to use, for two years from the
date of signature. If the option is exercised, the loan will be repaid until the date of expiry.
Otherwise it will be closed. As of 31 December 2023 the option had not been exercised.
› Credit Agricole: The revolving loan was granted by Credit Agricole Italy on 2 May 2023
as an available line of credit totalling Euro 50,000 thousand. The loan expires on 2 May
2026, as to Euro 25.000 thousand, and a further 25,000 thousand is due on 28 April 2026,
on which there is an option to renew for a further two years. As of 31 December 2023, the
revolving loan had not been used.
› Banco BPM: The revolving loan was granted by Banco BPM on 25 July 2023 as an available
line of credit totalling Euro 15,000 thousand. The loan expires on 24 July 2026. As of 31
December 2023, the revolving loan had not been used.
› Banco BPM: The revolving loan was granted by Banco BPM on 11 September 2023 as an
available line of credit totalling Euro 15,000 thousand. The loan expires on 14 September
2026. As of 31 December 2023, the revolving loan had not been used.
› Deutsche Bank: The revolving loan was granted by Deutsche Bank on 4 August 2023 as
an available line of credit totalling Euro 15,000 thousand. The loan expires on 04 August
2027. As of 31 December 2023, the revolving loan had not been used.
› Banca Popolare di Sondrio: The revolving loan was granted by Banca Popolare di Sondrio
on 17 May 2023 as an available line of credit totalling Euro 25,000 thousand. The loan
expires on 16 November 2024. As of 31 December 2023, the revolving loan had not been
used.
› Banca Popolare di Sondrio: The revolving loan was granted by Banca Popolare di Sondrio
on 30 May 2023 as an available line of credit totalling Euro 5,000 thousand. The loan
expires on 29 November 2024. As of 31 December 2023, the revolving loan had not been
used.
Separate financial statements to 31 December 2023
13.2 OTHER SHORTTERM BORROWINGS
The following table shows the details of other short-term borrowings at 31 December 2023
and 2022.
(In thousands of Euro)
Currency As of 31 December
2023 2022
Other short-term borrowings
Other short-term borrowings EUR 71 48
Total other short-term borrowings 71 48 48
The other short-term borrowings mainly relate to amounts payable for the use of credit
cards.
13.3 FINANCIAL PAYABLES TO SUBSIDIARIES
The following table shows the details of financial payables to subsidiaries at 31 December 2023
and 2022:
(In thousands of Euro)
As of 31 December
2023 2022
Financial payables to subsidiaries
Cash pooling 40,278 55,058
Loans payable 2,000 —
Other financial liabilities 4,348 —
Total financial payables to subsidiaries 46,626 55,058
The following table provides details of cash pooling arrangements at 31 December 2023
and 2022:
(In thousands of Euro)
Currency As of 31 December
2023 2022
Cash pooling
Technogym UK Ltd GBP 11,929 10,229
Technogym Germany Gmbh EUR 6,108 5,856
Technogym Benelux BV EUR — 6,519
Technogym Trading S.A. EUR 4,640 2,863
Technogym USA Corp. USD — 16,005
Technogym France EUR 1,420 6,582
Technogym Japan JPY — 6,598
Technogym Canada CAD 2,423 405
Financial liabilities
Technogym Australia AUD 3,561 —
Technogym Benelux BE EUR 7,07 1 —
Technogym E.E. EUR 3,1 05 —
Technogym Arabia SAR 22 —
Total cash pooling 40,278 55,058
The following table shows the details of loans received at 31 December 2023 and 2022:
(In thousands of Euro)
Currency Rate As of 31 December
2023 2022
Loans payable
Sidea S.r.l EUR Variable 2,000 —
Total loans received 2,000 —
The following table shows the details of Other financial payables to subsidiaries at 31
December 2023 and 2022: in particular, note the balance due to Technogym Arabia in
relation to the payment of share capital agreed in 2023:
(In thousands of Euro)
Currency Rate As of 31 December
2023 2022
Other financial payables to subsidiaries
Technogym Arabia SAR Variable 4,348 —
Total other financial payables to subsidiaries 4,348 —
13.4 LIABILITIES DUE TO OTHER LENDERS
Current and non-current liabilities to other lenders refers to financing transactions guaranteed
by the transfer of receivables arising from the sale of goods that, although transferred to
third-party financial institutions, have been retained in the financial statements as they do
not meet all the conditions required by IFRS 9 for derecognition from assets. See also note
5 “Other non-current assets” and note 7 “Trade receivables”.
Separate financial statements to 31 December 2023
14 Deferred tax liabilities
For comments relating to the item “Deferred tax liabilities” please see paragraph 3.
Employee benefit obligations
15 Employee benefit
obligations
The item “Employee benefit obligations” amounts to Euro 2,156 thousand at 31 December
2023 (Euro 2,211 thousand at 31 December 2022).
The following table shows the amounts and movements of employee benefit obligations
for the years ended 31 December 2023 and 2022.
(In thousands of Euro)
Funds
for personnel
Values at 1 January 2022 2,623
Provisions —
Financial expenses 25
Utilisations (164)
Actuarial (gains)/losses (274)
Values at 31 December 2022 2,211
Provisions 3
Financial expenses 75
Utilisations (177)
Actuarial (gains)/losses 45
Values at 31 December 2023 2,156
Information about the actuarial valuation of provisions for employee benefit obligations
is presented in note 16.
Separate financial statements to 31 December 2023
16 Provisions for risks and
charges
The item “Provisions” at 31 December 2023 amounts to Euro 8,877 thousand for non-current
financial liabilities and Euro 12,028 thousand for current financial liabilities (respectively, Euro
6,853 thousand and Euro 11,161 thousand at 31 December 2022). The following table shows
the details of provisions for risks and charges, current and non-current, at 31 December
2023 and 2022.
(In thousands of Euro)
As of 31 December
2023 2022
Non-current provisions for risks and charges
Warranties provision 4,377 3,974
Agents provision 862 733
Non-Competition Agreement provision 1,795 1,614
Rebates provision 1,843 533
Total non-current provisions for risks and charges 8,877 6,853
Current provisions for risks and charges
Warranties provision 4,377 3,974
Free Product Fund provision 509 799
Other provisions for risks and charges 7,142 6,388
Total current provisions for risks and charges 12,028 11,161
The following table shows the amounts and movements of provisions for risks and
charges, current and non-current, for the years ended 31 December 2023 and 2022.
(In thousands of Euro)
Warranties
provision
Agents provision
Non-Competition
Agreement
provision
Rebates provision
Ongoing lawsuits
provision
Non-current
provisions for
risks and charges
Warranties
provision
Free Product Fund
provision
Provision to
cover losses in
investments
Other provisions for
risks and charges
Current provisions
for risks and
charges
Values at 1 January 2022 3,456 893 1,990 456 0 6,795 3,456 0 — 5,789 9,246
Provisions 2,413 123 128 200 — 2,864 2,413 799 — 5,959 9,172
Financial expenses — — 19 — — 19 — — — — —
Actuarial (gains)/losses — (243) (356) — — (599) — — — — —
Utilisations (1,896) (39) (166) (124) — (2,225) (1,896) — — (5,362) ( 7,25 7 )
Values at 31 December 2022 3,974 733 1,614 533 0 6,853 3,974 799 — 6,387 11,161
Provisions 2,528 138 158 1,360 — 4,184 2,528 465 — 6,713 9,706
Financial expenses — — 56 — — 56 — — — — —
Provisions for risks and charges
(In thousands of Euro)
Warranties
provision
Agents provision
Non-Competition
Agreement
provision
Rebates provision
Ongoing lawsuits
provision
Non-current
provisions for
risks and charges
Warranties
provision
Free Product Fund
provision
Provision to
cover losses in
investments
Other provisions for
risks and charges
Current provisions
for risks and
charges
Actuarial (gains)/losses — 0.5 15 — — 15 — — — — —
Utilisations (2,125) (9) (49) (50) — (2,233) (2,125) (755) — (5,959) —
Values at 31 December 2023 4,377 862 1,795 1,843 0 8,876 4,377 509 — 7,141 12,028
The item “Product warranties provision” is reasonably estimated by the Company on
the basis of the contractual guarantees issued to customers, and on past experience. It
covers the cost of parts and labour that the Company will incur in future years for repairing
products under warranty, for which the sales revenues have already been recognised in the
income statement of the year or of previous years.
The “Agents’ provision” and “Non-Compete Agreement provision” represent a reasonable
estimate of the expenses that the Company would incur in the event of interruption of agency
contracts. Those provisions were calculated by independent actuaries and were measured
using the actuarial valuation of the projected unit of the credit, in accordance with IAS 37
and IAS 19.
The “Rebates provision” and “Free Product Fund” represent the estimated non-monetary
awards that the Company will grant to customers on reaching specific purchasing targets.
The other provisions for risks and charges mainly refer to sta bonuses, of which the
amount has not yet been defined.
16.1 ACTUARIAL VALUATION OF EMPLOYEE BENEFIT OBLIGATIONS,
NONCOMPETITION AGREEMENT PROVISION ACCORDING TO IAS
AND AGENTS’ PROVISION ACCORDING TO IAS
The methodology used for the discounting is recognised by the name “method of the years
of management on an individual basis and by drawing lots” (MAGIS). This method is based
on a stochastic Montecarlo type simulation.
The main demographic assumptions used by the actuary to analyse the employee
benefits provisions and the no-competition provision for the years ended December 31
December 2023 and 2022 are as follows: (i) the probability of death is obtained by using
tables determined by ISTAT in 2000 and reduced by 25%: (ii) the probabilities of disability/
invalidity are those adopted in the INPS model; (iii) the retirement age for the general working
population is assumed to be the reaching of the first retirement requirement applicable for
Mandatory General Insurance; (iv) the probability of leaving employment for reasons other
than death was determined from the probability of turnover in line with the historical trend;
in particular, an annual rate of 4% was considered for the year 2023 compared to the rate
of 6% for 2022; (v) with regard to the probability of early retirement, an annual rate of 3%
is applied, based on the historic trend, for 80% of the provision accumulated on the date of
the request.
As regards the discounting of the Agents provision according to IAS 37, the hypothesis of
“closed group” was considered during the time framework.
The valuations were conducted by quantifying future payments through the projection of
the agents’ provision accrued at the valuation date of the agents working for the Company
until the estimated time (unpredictable) of termination of the contract with the company;
once again the method used is the MAGIS. Regarding the demographic assumptions, the
ISTAT 2011 mortality rates were considered; for disability, the INPS tables by age and gender
Separate financial statements to 31 December 2023
were used, whereas for the retirement age, the requirement established by ENASARCO was
used. The possibility of agents being released due to the termination of their relationship
with the Company or for other causes was determined using estimates of annual frequency
based on company data. The financial assumptions essentially refer to the discount rate
which, at 31 December 2023 was chosen as the yield from the Iboxx Corporate AA index with
a duration of 5-7 years, consistent with the duration of the collective agreement of 2.95%.
In addition, for the Italian companies the following economic-financial assumptions were
taken into account.
As of 31 December
2023 2022
Annual technical discount rate 3.10% 3.60%
Annual inflation rate 2.50% 2.50%
Annual rate of TFR increase 3.31% 3.31%
Annual rate of salary increase 0.00% 0.00%
Annual rate of commissions increase (for the valuation of agents’ NCA) 3.00% 3.00%
As for the annual technical discount rate of 3.10%, the Iboxx Corporate AA was selected
as the benchmark for the Eurozone, with duration consistent with the average duration of
the collective agreement.
A sensitivity analysis was also performed upon a change in the main actuarial assumptions
included in the calculation model in relation to the 0.5% change of annual technical discount
rate. The following results were obtained:
(In thousands of Euro)
As of 31 December
2023 2022
-0.50%
change
Carrying
amount
0.50%
change
-0.50%
change
Carrying
amount
0.50%
change
Employee benefit obligations 95 2,156 (89) 81 2,211 (78)
Non-Competition Agreement provision 93 1,795 (86) 78 1,614 (72)
Total 188 3,951 (175) 159 3,825 (150)
Other non-current liabilities
17 Other non-current
liabilities
The item “Other non-current liabilities” amounted to Euro 28,395 thousand at 31 December
2023 (Euro 24,296 thousand at 31 December 2022).
Other non-current liabilities mainly include:
› medium-long term customer deposits of Euro 5 thousand;
› liabilities for sales with return rights, equal to Euro 26,212 thousand, identified pursuant to
IFRS 15, in order to represent suspended costs associated with these sales;
› the long-term portion of the obligation to buy-back leased products, of Euro 2,036
thousand;
› trade payables due after 12 months, of Euro 143 thousand.
Separate financial statements to 31 December 2023
18 Trade payables
The item “Trade payables” amounted to Euro 129,990 thousand at 31 December 2023 (Euro
148,756 thousand at 31 December 2022). Trade payables are mainly related to transactions
for the purchase of raw materials, components and shipping services, manufacturing and
technical assistance. These transactions are part of ordinary procurement management.
Current tax liabilities
19 Current tax liabilities
The item “Current tax liabilities” amounted to Euro 6,188 thousand at 31 December 2023
(Euro 1,729 thousand at 31 December 2022). Income tax receivables amounted to Euro 1,479
thousand at 31 December 2023 (Euro 819 thousand at 31 December 2022). For more details
see note 10.
Separate financial statements to 31 December 2023
20 Liabilities for derivative
financial instruments
The item “Liabilities for derivative financial instruments” amounted to Euro 2 thousand at 31
December 2023 (Euro 77 thousand at 31 December 2022).
The following table shows the liabilities for derivative financial instruments by currency at
31 December 2023 and 2022.
(In thousands of Euro)
As of 31 December
2023 2022
Liabilities for derivative financial instruments
Forward
AUD — 4
CNY — 22
JPY 2 48
IRS — 3
Total 2 77
Liabilities for derivative financial instruments refer to the dierences arising from the fair
value of “forward” contracts used to hedge exposure to currency risk.
The exposure to exchange rate risk is mainly managed using contracts for the forward
sale of currency denominated in the sale currency of some markets in which the Group
operates.
For details of the types of forward contracts, see the itemised table in paragraph 4.9.
Assets for derivative financial instruments.
For the 2023 financial year, the hedge accounting method was adopted only for the
exchange rate collar. The net fair value of the collar at 31 December 2023 was positive at 83
thousand euros; the fluctuations during the period generated a cash flow hedge reserve of
524 thousand.
(In thousands of Euro)
As of 31 December
2023 assets 2022 assets 2023 liabilities 2022 liabilities
Exchange rate hedging:
Exchange rate hedges (current) – cash flow hedge — — 524 —
Tax eect – Exchange rate hedges (current) – cash
flow hedge — — (126) —
Interest rate hedges:
Interest rate hedges (current) – cash flow hedge — — — 3
Tax eect - Interest rate hedges (current) – cash flow
hedge — — — (1)
Total — — 399 3
Other current liabilities
21 Other current liabilities
The item “Other current liabilities” amounted to Euro 33,429 at 31 December 2023 (Euro
30,118 thousand at 31 December 2022). The following table shows the amounts of other
current liabilities at 31 December 2023 and 2022.
(In thousands of Euro)
As of 31 December
2023 2022
Other current liabilities
Deferred income 14,045 11,850
Advances from clients 907 550
Payables to employees 4,341 4,320
VAT payables — 252
Social security payables 3,516 2,444
Other liabilities 3,970 4,462
Accrued expenses 271 172
Obligation to buyback from operational leases 6,379 6,067
Total other current liabilities 33,429 30,118
“Deferred income” mainly refers to scheduled maintenance contracts. “Advances from
customers” concerns advances and deposits received for supplies yet to be delivered. These
items were recognised as contractual liabilities in accordance with IFRS 15.
“Payables to employees” mainly refer to salaries for the month of December paid in
January, untaken holiday entitlements and sta bonuses.
“Social security payables” are related to Social security contributions of various nature
to be paid in the following year with reference to the salary for the month of December, the
Christmas bonuses and untaken holiday entitlements.
The “Other liabilities” at 31 December 2023 and 2022 mainly relate to income taxes
withheld on income from employment and self-employment to be paid in the following year.
“Accrued expenses” mainly include accruals relating to utilities, sponsorships and
insurance.
“Liabilities for buyback obligations within 12 months” includes the short-term portion
of payables for sales with the right of return, equal to Euro 5,832 thousand; these are
recognised according to IFRS 15, in order to represent the suspended revenues associated
with these sales. The total balance on this item, current and non-current quota, like the
respective asset, has increased compared to the previous year. The rest of this item relates
to the obligation to buy back leased products, of Euro 547 thousand. For more details about
the recognition criteria for this item, see paragraph 2.4 of this document “Valuation criteria”
in the section “Recognition of revenues”.
Separate financial statements to 31 December 2023
Trade payables
NOTES TO THE
INCOME STATEMENT
Revenues
22 Revenues
The total revenues of TG S.p.A. came to Euro 556,459 thousand, which is an increase of
Euro 52,126 thousand (10.3%) compared to Euro 504,333 thousand in 2022. The increase for
the year is due to higher volumes in the BtoB business and related segments, as well as an
enhanced product mix.
The following table contains a breakdown of the revenues for the years ended 31
December 2023 and 2022.
(In thousands of Euro)
Year ended 31 December
2023 2022
Revenues
Revenues from the sale of products, spare parts, hardware and software 540,714 485,473
Revenues from transport and installation, after-sale and rental assistance 15,745 18,859
Total revenues 556,459 504,333
The following table shows the breakdown of revenues by geographical area for the years
ended 31 December 2023 and 2022:
(In thousands of Euro and percentage of annual change)
Year ended 31 December Changes
2023 2022 2023 vs 2022 %
Europe (without Italy) 236,884 214,423 22,461 10.5%
MEIA 93,587 88,460 5,127 5.8%
APAC 72,937 7 7,194 (4,257) (5.5%)
Italy 76,928 63,659 13,269 20.8%
North America 54,387 42,736 11,651 2 7.3%
LATAM 21,736 17,860 3,876 21.7%
Total revenues 556,459 504,332 52,127 10.3%
Separate financial statements to 31 December 2023
23 Other revenues and
income
The item “Other revenues and income” amounted to Euro 15,745 thousand for the year
ended 31 December 2023 (Euro 18,859 thousand for the year ended 31 December 2022).
Other income and revenues consist mainly of invoices to Group companies, rental income,
and income from suppliers for compensation.
23.1 TAX CREDITS
Technogym recognised the following tax credits on the income statement for the three-year
period 2021 - 2022 - 2023. The breakdown is given below:
(in thousands of Euro)
2021 2022 2023
Tax credit for advertising investments (Decree Law 50/2017 - Art. 57-bis) 49 43 23
Tax credit for investments in R&D, technological innovation, design and aesthetics
(Law 160/2019 - Art. 1 paragraphs 198-209)
502 680 639
Tax credit for sanitisation and purchases of PPE (Decree Law 34/2020 - Art. 125) and
(Decree Law 73/2021, Art. 32)
13 — —
Tax credit for assets used in the business (Law 178/2020 - Art. 1 paragraphs 1054-1058) 57 116 132
Tax credit for assets used in the business 4.0 (Decree Law 178/2020 - Art. 1,
paragraphs 1054-1058)
38 60 77
Energy credit for non-energy-intensive users (Decree Law 21/2022) - (Decree Law
50/2022) - (Decree Law 92/2022) - (Decree Law 115/2022) - (Decree Law 144/2022) -
(Decree Law 176/2022)
— 191 226
Gas credit for non-gas-intensive companies (Decree Law 21/2022) - (Decree Law
50/2022) - (Decree Law 92/2022) - (Decree Law 115/2022) - (Decree Law 144/2022) -
(Decree Law 176/2022)
— 23 75
Total credits per year 947 1173 1172
Purchases and use of raw materials, work in progress and finished goods
24 Purchases and use of
raw materials, work in
progress and finished
goods
This item amounted to Euro 283,948 thousand for the year ended 31 December 2023 (Euro
273,081 thousand for the year ended 31 December 2022).
The following table reports the amounts of raw materials, semi-finished and finished
goods for the years ended 31 December 2023 and 2022.
(In thousands of Euro)
Year ended 31 December
2023 2022
Purchases and use of raw materials, work in progress and finished goods
Purchases and changes in raw materials 150,614 144,422
Purchases and changes in finished goods 133,901 118,812
Purchases and changes in packaging and cost of custom duties (535) 9,807
Change in inventory of work in progress (31) 41
Total raw materials, semi-finished and finished goods 283,948 273,081
The increase in this item depends on the increased sales volumes, despite the fact that
in the previous year the purchase price of materials fell, due to the inflationary eects of
previous periods.
Separate financial statements to 31 December 2023
25 Cost of services
The item “Cost of services” amounted to Euro 88,708 thousand for the year ended 31
December 2023 (Euro 82,331 thousand for the year ended 31 December 2022).
The following table contains a breakdown of the cost of services for the years ended 31
December 2023 and 2022.
(In thousands of Euro)
Year ended 31 December
2023 2022
Cost of services
Transport, customs duties and installation 24,069 26,522
Technical assistance 6,221 4,593
Advertising 7,596 5,898
Rentals 5,892 5,265
Agents 4,610 3,961
Consulting services 6,780 7,015
Travel and business expenses 4,101 3,081
Outsourcing costs 7,433 8,046
Utilities 2,086 3,183
Maintenance costs 5,383 5,019
Other services 14,537 11,966
Total cost of services 88,708 84,550
“Other services” mainly relate to royalties paid, costs for managing external deposits,
insurance and remuneration of external directors, the board of statutory auditors and
independent auditors.
The following table shows the details of audit fees to the independent auditors for services
provided to the Company for the years ended 31 December 2023 and 2022:
(In thousands of Euro)
Year ended 31 December
2023 2022
Audit fees
Auditing of the accounts 304 306
Other services 9 43
Total audit fees 313 349
Personnel expenses
26 Personnel expenses
The item “Personnel expenses” amounted to Euro 66,617 thousand for the year ended 31
December 2023 (Euro 65,508 thousand for the year ended 31 December 2022).
The following table shows the amounts of personnel expenses for the years ended 31
December 2023 and 2022.
(In thousands of Euro)
Year ended 31 December
2023 2022
Personnel expenses
Wages and salaries 47,255 44,362
Social security contributions 13,889 12,722
Provisions for employee benefit obligations 2,652 2,584
Other costs 2,821 3,622
Total personnel expenses 66,617 63,289
The increase in this item compared to the previous year is mainly correlated to the increase
in average workforce compared to the same period in the previous year, particularly the
higher number of oice sta compared to manual workers, a 6.6% wage increase (provided
for in the national agreement for metalworkers) as well as the inflationary eect of adjusting
the Payroll item.
The following table shows the average number of employees and the exact number of
employees at the year-end broken down by category for the years ended 31 December 2023
and 2022.
(in number)
Year ended 31 December
2023 2022
Average Year-end Average Year-end
Number of employees
Managers 57 54 58 60
White-collar 558 558 552 561
Blue-collar 249 246 259 252
Total number of employees 864 858 869 873
Separate financial statements to 31 December 2023
27 Other operating costs
The item “Other operating costs” amounted to Euro 17,174 thousand for the year ended 31
December 2023 (Euro 5,347 thousand for the year ended 31 December 2022).
The following table reports the amounts of other operating costs for the years ended 31
December 2023 and 2022.
(In thousands of Euro)
Year ended 31 December
2023 2022
Other operating costs
Other taxes and indirect taxes 788 788
Other costs and net provisions for risks on leasing receivables 16,386 4,559
Total other operating costs 17,173 5,347
The item “Other costs and net provisions on leasing receivables” mainly refers to
membership fees, certification costs, promotional and advertising product giveaways, and
donations. It also includes the amount set aside by the Group to cover doubtful receivables
posted on the financial statements, for which there is a buyback obligation. With regard
to this last item, after a careful analysis of the portfolio to 31 December 2023, the Group
has estimated a risk of default of approximately Euro 3.5 million for next year, on a total
portfolio of Euro 177 million. The provision for bad debts has thus been increased by Euro
297 thousand (of which Euro 185 thousand after 12 months and Euro 122 thousand for the
current quota); the balance of this provision will absorb the total receivables for which the
risk of default is considered probable.
Depreciation, amortisation and impairment losses/(revaluations)
28 Depreciation,
amortisation and
impairment / (write-
backs)
The item “Depreciation, amortisation and impairment losses/(revaluations)” amounted to
Euro 34,262 thousand for the year ended 31 December 2023 (Euro 31,664 thousand for the
year ended 31 December 2022).
The following table shows the amounts of depreciation, amortisation and impairment
losses/(write-backs) for the years ended 31 December 2023 and 2022.
(In thousands of Euro)
Year ended 31 December
2023 2022
Depreciation, amortisation and impairment losses / (revaluations)
Depreciation of property, plant and equipment 15,876 1 7,004
Amortisation of intangible assets 18,240 14,637
Impairment losses of intangible assets 146 23
Total depreciation, amortisation and impairment losses (revaluations) 34,262 31,664
For details regarding the breakdown of and changes in “Property, plant and equipment”
and “Intangible assets” for the years ended 31 December 2023 and 2022, see paragraphs 1
and 2 of this document.
Separate financial statements to 31 December 2023
29 Net provisions
The item “Net provisions” amounted to Euro 3,672 thousand for the year ended 31 December
2023 (Euro 5,921 thousand of the opposite sign for the year ended 31 December 2022).
The following table shows the amounts of net provisions for the years ended 31 December
2023 and 2022.
(In thousands of Euro)
Year ended 31 December
2023 2022
Net provisions
Net provisions for assets held by third parties 653 641
Net allocations to bad debt provisions 1,303 3,777
Warranties net provisions 807 1,035
Other net provisions for risks and charges 742 469
Ongoing lawsuits net provisions 166 —
Total net provisions 3,672 5,921
For details of the breakdown and changes in these items, see paragraphs “7. Trade
receivables” and “16. Provisions for risks and charges” in this document.
Financial income
30 Financial income
The item “Financial income” amounted to Euro 22,542 thousand for the year ended
31 December 2023 (Euro 24,361 thousand for the year ended 31 December 2022).
The following table shows the amounts of financial income for the years ended
31 December 2023 and 2022.
(In thousands of Euro)
Year ended 31 December
2023 2022
Financial income
Realised exchange gains 16,495 21,324
Unrealised exchange gains 202 1,597
Other financial income 1,891 679
Bank interest receivable 3,954 761
Total financial income 22,542 24,361
Separate financial statements to 31 December 2023
31 Financial expenses
The item “Financial expenses” amounted to Euro 19,953 thousand for the year ended 31
December 2023 (Euro 24,425 thousand for the year ended 31 December 2022).
The following table shows the amount of financial expenses for the years ended 31
December 2023 and 2022.
(In thousands of Euro)
Year ended 31 December
2023 2022
Financial expenses
Realised exchange losses 15,037 20,364
Unrealised exchange losses 1,355 1,183
Bank interest on financial loans 160 279
Bank interest and fees 544 423
Other financial expenses 2,487 1,707
Provisions for the write-down of other financial receivables 370 469
Total financial expenses 19,953 24,425
“Other financial expenses” mainly include expenses related to the discounting of
employee benefit obligations and non-current provisions for risks and charges.
The item “Provision for the write-down of financial receivables” of Euro 370 thousand
includes the write-down of a loan granted to the subsidiary FKB Equipamentos LTDA,
which was prudentially written-down after the impairment test, as explained at length in the
paragraph “Equity investments”.
Income/(expenses) from investments
32 Income/(expenses)
from investments
The item “Income/(expenses) from investments” amounted to Euro 27,036 thousand for
the year ended 31 December 2023 (Euro 40,072 thousand for the year ended 31 December
2022).
The following table shows the amounts of financial income / (expenses) for the years
ended 31 December 2023 and 2022.
(In thousands of Euro)
Year ended 31 December
2023 2022
Income/(expenses) from investments
Other income/(expenses) from investments 26,623 21,753
Revaluations/(impairment losses) investments 414 18,319
Total income/(expenses) from investments 27,036 40,072
For details of the breakdown and changes in the item “Investments” for the years ended
31 December 2023 and 2022, see note 4.
The following table shows details of dividends from investments for the years ended 31
December 2023 and 2022:
(In thousands of Euro)
Year ended 31 December
2023 2022
Dividends from investments
Sidea SRL 667 —
Technogym France 1,700 1,200
Technogym UK Ltd 5,174 2,562
Technogym Japan Ltd. 3,038 1,366
Technogym Germany Gmbh 4,050 —
Technogym Benelux BV 1,984 2,807
Technogym USA 4,749 5,643
Technogym Trading 1,555 782
Technogym E.E. Sro 3,036 3,540
Technogym Emirates LLC 670 2,478
Total dividends from investments 26,623 20,378
Separate financial statements to 31 December 2023
33 Income taxes
The item “Income taxes” amounts to Euro 17,241 thousand for the year ended 31 December
2023 (Euro 11,511 thousand for the year ended 31 December 2022).
The following table shows the amounts of income taxes for the years ended 31 December
2023 and 2022.
(In thousands of Euro)
Year ended 31 December
2023 2022
Income taxes
Current taxes 18,972 12,211
Deferred taxes (997) (990)
Total income taxes for the year 17,97 5 11,221
Taxes relating to prior years (734) 290
Total income taxes 17,241 11,511
Taxes relating to prior years mainly relate to the recalculation of the tax credit for R&D.
The following table shows the reconciliation between the theoretical tax rate and the
actual tax rate for the years ended 31 December 2023 and 2022.
(In thousands of Euro)
Year ended 31 December
2023 % 2022 %
Profit before tax 91,703 80,487
Income tax calculated with theoretical tax rate 22,009 24.0% 19,317 24.0%
Permanent decrease dierences (10,088) (11.0%) (13,001) (16.2%)
Permanent increase dierences 5,009 5.5% 4,704 5.8%
Other income taxes (IRAP) 2,852 3.1% 1,987 2.5%
CFC tax 0 0.0% 0 0.0%
Taxes relating to prior years (734) (0.8%) 290 0.4%
Other taxes (1,808) (2.0%) (1,785) (2.2%)
Total 17,241 18.8% 11,511 14.3%
Earnings per share
34 Earnings per share
The following table shows the calculation of basic earnings per share.
(In thousands of Euro)
Year ended 31 December
2023 2022
Earnings per share
Profit for the period 74,463 68,976
Number of shares (in thousands)* 200,491 201,328
Total earnings per share 0.37 0.34
* The calculation does not include the own shares in portfolio
Also note that, even considering the diluting eects such as the allocation of shares
according to the 2021-23 PSP, there are no significant dierences between the basic share
and the profit diluted by share.
Separate financial statements to 31 December 2023
35 Net financial position
The following table shows the details of net indebtedness of the Group at 31 December 2023
and 2022, determined in accordance with Consob communication of 28 July 2006 and in
conformity with the recommendations contained in document no. 319 drafted by ESMA in
2013.
(In thousands of Euro)
As of 31 December
2023 2022
Net indebtedness
A. Cash 180,409 172,772
B. Cash equivalents 17,000 9,376
C. Other current financial assets 13,721 24,647
D. Liquidity (A) + (B) + (C) 211,130 206,795
E. Current bank debt (75,608) (81,331)
F. Current portion of non-current debt — (9,137)
G. Current financial indebtedness (E) + (F) (75,608) (90,468)
H. Net current financial indebtedness (G) + (D) 135,523 116,327
I. Non-current financial payables (excluding the current part and debt instruments) (52,089) (58,124)
J. Debt instruments — —
K. Trade payables and other non-current payables (143) (287)
L. Non-current financial indebtedness (I) + (J) + (K) (52,233) (58,411)
M. Total financial indebtedness (H) + (L) 83,290 57,916
The net financial position at 31 December 2023, which includes the eects of adopting
IFRS 16, was positive by Euro 83,290 thousand, an increase of Euro 25,374 thousand
compared to the balance of Euro 57,916 thousand for the year ended 31 December 2022.
This increase is mainly explained by the rise in “Net current borrowings”, which sees a
change of 18,796 thousand compared to 2022 (113,327 thousand) and a change in “Cash
and cash equivalents”, which sees a change of 4,335 thousand compared to 2022 (206,795
thousand) despite the own-share buyback programme worth 6.9 million euros, announced
on 6 November 2023 and the return to the usual seasonal trend of payments. On 31 December
2023 the Company had no bank borrowings.
Financial risk management
36 Financial risk
management
The main financial risks to which the Company is exposed to are:
› credit risk, arising from commercial transactions or financing activities;
› risks related to supplier relations;
› liquidity risk, related to the availability of financial resources and access to the credit
market;
› market risk, in particular:
› currency risk, related to operations in areas using currencies other than the functional
currency;
› interest rate risk, related to the Group’s exposure to financial instruments that accrue
interests;
› price risk, associated with changes in the prices of commodities.
36.1 CREDIT RISK
The operational management of credit risk is assigned to the Credit Management team, which
operates on the basis of a credit policy that regulates: (i) customers’ merit ratings, which are
evaluated by the internally developed risk rating system, used for the management of credit
limits and requests for bank or insurance guarantees to support extended payment terms;
(ii) the involvement of institutionalised credit committees in operations completed under
terms other than those normally applied by the Company; (iii) the use of credit insurance
policies; (iv) the monitoring of the balance of outstanding receivables and their ageing, so
that the amount of outstanding positions is not significant; (v) the monitoring of the related
expected cash flows; (vi) the issuance of reminders; (vii) any recovery actions. The bad
debt provision is calculated on percentages of past due, based on historical insolvency,
with the exception of provision on specific credits in litigation. In relation to the breakdown
of receivables by maturity, please see the Note “Trade receivables”. For financing activities
related to temporary excess of liquidity or for the stipulation of financial instruments
(derivatives), the Group deals exclusively with counterparties with high credit standing. The
amount of trade receivables represents the maximum theoretical exposure to credit risk of
the Group at year-end.
36.2 RISKS CONNECTED TO SUPPLIER RELATIONS
The Company and its Group have always been committed to developing innovative, high-
performance, quality solutions. To continue this commitment, a close collaboration needs
to be maintained with suppliers, particularly those who produce materials and technologies
that may be used in the fitness industry, even if they primarily operate in other sectors.
Technogym’s supply chain is divided into suppliers who provide “bill of materials”
supplies, some of which are particularly strategic to Technogym's success, including those
Separate financial statements to 31 December 2023
that contribute directly to product creation, and “indirect” suppliers who provide other
services or materials, as well as the equipment used in production.
The company works closely with those suppliers considered key to the success of its
products, establishing long-term relationships in order to minimise the risks related to the
potential unavailability of raw materials within the required timescales.
Periodic performance checks are made, and controls carried out regarding compliance
with current environmental and social regulations aimed at guaranteeing a stable supply
chain.
Technogym has also adopted a structured supply chain assessment process involving
on-site audits and checks, which ensures continuous monitoring, and requires its suppliers
to comply with the REACH and RoHS directives.
36.3 LIQUIDITY RISK
The Company's liquidity risk is closely monitored through specific controls by the parent
company. In order to minimise the risk, the Group has implemented centralised treasury
management with specific procedures designed to optimise the management of financial
resources and the needs of the Group companies. In particular, a set of policies and
processes was adopted with the aim of optimising the management of financial resources to
reduce liquidity risk: (i) maintenance of an adequate level of available liquidity; (ii) obtaining
adequate credit lines; (iii) monitoring future liquidity in relation to the business planning
process. For this type of risk, in the net financial indebtedness, the Group tends to finance
investments and current commitments with both cash flow generated by operation and
short-term credit lines.
The following table shows the amounts of credit lines available and used at 31 December
2023 and 2022.
Credit lines Cash credit
lines
Self-liquidating
credit lines
Financial credit
lines
Total
As of 31 December 2023
Credit lines 47,500 11,500 230,000 289,000
Utilisations — — — —
Credit lines available at 31 December 2023 47,500 11,500 230,000 289,000
As of 31 December 2022
Credit lines 7,382 17,641 240,441 265,464
Utilisations — — (11,747) (11,747)
Credit lines available at 31 December 2022 7,382 17,6 41 228,694 253,717
Financial risk management
The table below contains the breakdown and maturity dates of the liability items to 31
December 2023 and 2022:
Within 1 year Between 1 and
5 years
Beyond 5 years Total
Values at 31 December 2023
Non-current financial liabilities — 52,089 — 52,089
Other non-current liabilities — 28,395 — 28,395
Trade payables 129,991 — — 129,991
Current tax liabilities 6,188 — — 6,188
Current financial liabilities 75,606 — — 75,606
Liabilities for derivative financial instruments 2 — — 2
Other current liabilities 33,429 — — 33,429
Total 245,216 80,485 — 325,700
Values at 31 December 2022
Non-current financial liabilities — 57,940 184 58,124
Other non-current liabilities — 24,296 — 24,296
Trade payables 148,756 — — 148,756
Current tax liabilities 1,729 — — 1,729
Current financial liabilities 90,391 — — 90,391
Liabilities for derivative financial instruments 77 — — 77
Other current liabilities 30,118 — — 30,118
Total 271,071 82,236 184 353,491
At 31 December 2023, the Technogym Group had access to approximately Euro 277.0
million in unused lines of credit, out of liquid assets of Euro 225.2 million.
Separate financial statements to 31 December 2023
36.4 MARKET RISK
Exchange rate risk
The Company operates internationally and is thus exposed to currency risk in regards to
commercial and financial transactions, especially in USD, GBP, JPY, CNY and AUD. To limit
its exposure to exchange risk, the Group usually enters into spot or volume forward contracts,
covering on average 70% and 80% of its transactions in these currencies. In the year ending
31 December 2023, no exchange rate hedging derivative contract was recognised using the
hedge accounting method.
Investments in foreign subsidiaries are not covered, as the currency positions are
considered long-term.
The following table shows the amounts and movements of investments in joint ventures
and associates for the years ended 31 December 2023 and 2022.
(In thousands of Euro)
EUR GBP USD CNY AUD JPY Other
currencies
Total
Other non-current assets
As of 31 December 2023 64,359 — — — — — 118 64,477
As of 31 December 2022 58,597 — — — — — 109 58,706
Non-current financial assets —
As of 31 December 2023 27,272 — — — — — — 27,272
As of 31 December 2022 29,919 — — — — — — 29,919
Trade receivables —
As of 31 December 2023 61,320 6,036 11,106 (1,322) 987 859 4,123 83,109
As of 31 December 2022 64,593 5,091 18,757 2,355 4,016 4,306 1,787 100,904
Current financial assets —
As of 31 December 2023 5,706 — 5,414 — — 908 1,522 13,549
As of 31 December 2022 12,412 2 10,650 — 848 — 99 24,010
Cash and cash equivalents —
As of 31 December 2023 148,068 12,735 26,859 186 4,170 2,195 3,196 197,409
As of 31 December 2022 114,658 10,443 44,078 3,418 4,588 4,291 672 182,148
Other current assets —
As of 31 December 2023 17,242 7 482 0 0 14 405 18,149
As of 31 December 2022 15,918 9 620 — 0 6 1,660 18,213
Non-current financial liabilities —
As of 31 December 2023 52,017 — — — — — 72 52,089
As of 31 December 2022 57,662 — — — — — 462 58,124
Current financial liabilities —
As of 31 December 2023 52,950 11,929 0 — 3,561 — 7,166 75,606
As of 31 December 2022 56,840 10,190 16,005 — — 6,598 758 90,391
Trade payables —
As of 31 December 2023 118,164 1,011 7,570 2,062 117 63 1,003 129,991
As of 31 December 2022 137,060 593 8,516 2,010 64 55 458 148,756
Other current liabilities —
As of 31 December 2023 30,494 262 2,537 38 28 20 51 33,429
As of 31 December 2022 25,227 289 4,183 (151) 640 (83) 14 30,118
Financial risk management
For the purposes of the sensitivity analysis on the exchange rate, items in the financial
position (assets and liabilities) denominated in foreign currency were identified. For the
purposes of the analysis, two scenarios were considered that reflect an increase and a
decrease respectively of 5% in the exchange rate between the currency of the balance sheet
item and the Euro.
The following table shows the results of the analysis for the years ended 31 December
2023 and 2022.
(In thousands of Euro)
Carrying amount
of which subject
to exchange risk
2023 - Exchange risk
+5% -5%
Gains / (losses) Gains / (losses)
Financial assets
Non-current financial assets 27,272 — — 10
Cash and cash equivalents 1 97,409 48,823 (2,325) 2,490
Trade receivables 83,109 20,302 (967) 1,138
Current financial assets 13,549 7,843 (373) 413
Assets for derivative financial
instruments
172 — — —
Tax eect — — 1,023 (1,130)
(2,642) 2,911
Financial liabilities
Non-current financial liabilities 52,089 72 3 (4)
Current financial liabilities 75,606 18,286 871 (962)
Trade payables 129,991 11,411 543 (600)
Liabilities for derivative financial
instruments
2 — — —
Tax eect — — (395) 437
1,022 (1,130)
Total increases (decreases) (1,621) 1,781
Separate financial statements to 31 December 2023
(In thousands of Euro)
Carrying amount
of which subject
to exchange risk
2022 - Exchange risk
+5% -5%
Gains / (losses) Gains / (losses)
Financial assets
Non-current financial assets 29,919 — — 180
Cash and cash equivalents 182,148 67,490 (3,213) 3,496
Trade receivables 100,904 35,962 (1,712) 1,769
Current financial assets 24,010 11,598 (552) 610
Assets for derivative financial
instruments
637 637 (30) 34
Tax eect — — 1,537 (1,699)
(3,972) 4,210
Financial liabilities
Non-current financial liabilities 58,124 462 22 (24)
Current financial liabilities 90,391 33,551 1,598 (1,766)
Trade payables 148,756 11,578 551 (609)
Liabilities for derivative financial
instruments
77 74 4 (4)
Tax eect — — (607) 671
Total increases (decreases) 1,568 (1,732)
The parameters applied were identified as reasonable possible changes in foreign
currency exchange, with all other variables remaining the same.
Financial risk management
Interest rate risk
Interest rate risk is related to the use of short and medium/long-term credit lines. Loans at
variable rates expose the Company to the risk of fluctuations of cash flows due to interest.
For the purposes of the sensitivity analysis on changes in interest rate, items in the financial
position (assets and liabilities) subject to fluctuations in interest rates were identified. For
the purposes of the analysis, two scenarios were considered which reflect an increase and
a decrease respectively of 20 basis points in the interest rate.
The following table shows the results of the analysis for the years ended 31 December
2023 and 2022.
(In thousands of Euro)
Carrying
amount
of which
subject to
Interest
Rate Risk
2023 - Interest Rate Risk
+20pb -20pb
Gains /
(losses)
Other
movements
in RFV
Gains /
(losses)
Other
movements
in RFV
Financial assets
Cash and cash equivalents 197,4 09 197,4 0 9 — 395 — (395) —
Trade receivables 83,109 — — — — — —
Current financial assets 13,549 13,549 — 27 — (27) —
Assets for derivative financial
instruments
172 — — — — — —
Tax eect — — — (118) — 118 —
304 — (304) —
Financial liabilities
Non-current loans payable 52,089 42,356 — (85) — 85 —
Current loans payable 75,606 71,262 — (143) — 143 —
Trade payables 129,991 — — — — — —
Other current liabilities 2 — — — — — —
Tax eect — — — 64 — (64) —
(164) — 164 —
Total increases (decreases) 140 (140)
Separate financial statements to 31 December 2023
(In thousands of Euro)
Carrying
amount
of which
subject to
Interest
Rate Risk
2022 - Interest Rate Risk
+20pb -20pb
Gains /
(losses)
Other
movements
in RFV
Gains /
(losses)
Other
movements
in RFV
Financial assets
Cash and cash equivalents 182,148 181,235 — 362 — (362) —
Trade receivables 100,904 — — — — — —
Current financial assets 24,010 5,080 — 10 — (10) —
Assets for derivative financial instruments 637 — — — — — —
Tax eect — — — (104) — 104 —
268 — (268) —
Financial liabilities
Non-current loans payable 58,124 33,017 — (66) — 66 —
Current loans payable 90,391 93,501 — (187) — 187 —
Trade payables 148,756 — — — — — —
Other current liabilities 77 70 — — — — —
Tax eect — — — 71 — (71) —
(182) — 182 —
Total increases (decreases) 86 (86)
The parameters applied were identified as reasonable possible changes in interest rate,
with all other variables remaining the same.
Price risk
The Company buys materials from international markets and is therefore exposed to the
risk of price fluctuations. This risk is partially hedged by foreign currency forward purchase
agreements whose settlement dates are consistent with the underlying commercial obligations.
Capital risk management
The Company manages its capital with the aim of supporting the core business and
maximising the value for shareholders, by maintaining a proper capital structure and
reducing the cost of capital. The following table shows the gearing ratio, calculated as the
ratio of net indebtedness and equity:
(In thousands of Euro)
As of 31 December
2023 2022
Net financial indebtedness (A) (83,290) (57,9 1 6)
Equity (B) 407,949 390,151
Total capital (C)=(A)+(B) 341,659 332,235
Gearing ratio (A)/(C) -19.4% -17.4%
Financial risk management
Financial instruments by category
As of 31 December 2023 and 2022, the carrying amount of financial assets and liabilities is
the same as their fair value. IFRS 7 outlines three levels of fair value for the measurement
of financial instruments recognised in the statement of financial position: (i) Level 1: quoted
prices in an active market; (ii) Level 2: inputs other than quoted prices included within
Level 1, that are observable directly (prices) or indirectly (derived from prices) in the market;
(iii) Level 3: inputs not based on observable market data. During the year, there were no
transfers between the three levels of fair value indicated in IFRS 7.
The following tables show the financial assets and liabilities by category of financial
instrument, in accordance with IFRS 7 and the fair value hierarchy level at 31 December
2023 and 2022.
2023 (In thousands of Euro)
Financial
assets
Available for
sale
Financial
assets at fair
value
Total Level 1 Level 2 Level 3 Total
Amortised
cost
FV vs OCI FV vs P&L
Other non-current assets 64,240 — 237 64,477 — — 237 237
Non-current financial assets 27,272 — — 27,272 — — — —
Non-current financial assets 91,512 — 237 91,749 — — 237 237
Trade receivables 83,109 — — 83,109 — — — —
Cash and cash equivalents 197,409 — — 197,4 09 — — — —
Current financial assets 13,549 — — 13,549 — — — —
Assets for derivative financial
instruments — 83 89 172 — 172 — 172
Other current assets 18,149 — — 18,149 — — — —
Current financial assets 312,217 — 172 312,388 — 172 — 172
2022 (In thousands of Euro)
Financial
assets
Available for
sale
Financial
assets at fair
value
Total Level 1 Level 2 Level 3 Total
Amortised
cost
FV vs OCI FV vs P&L
Other non-current assets 58,460 — 246 58,706 — — 246 263
Non-current financial assets 29,919 — — 29,919 — — — —
Non-current financial assets 88,379 — 246 88,625 — — 246 246
Trade receivables 100,904 — — 100,904 — — — —
Cash and cash equivalents 182,148 — — 182,148 — — — —
Current financial assets 24,010 — — 24,010 — — — —
Assets for derivative financial
instruments — — 637 637 — 637 — 637
Other current assets 18,213 — — 18,213 — — —
Current financial assets 325,275 — 637 325,912 — 637 — 637
Separate financial statements to 31 December 2023
2023 (In thousands of Euro)
Financial
liabilities
Available for
sale
Financial
assets at fair
value
Total Level 1 Level 2 Level 3 Total
Amortised
cost
FV vs OCI FV vs P&L
Non-current financial liabilities 52,089 — — 52,089 — — — —
Other non-current liabilities 28,395 — — 28,395 — — —
Non-current financial liabilities 80,485 — — 80,485 — — — —
Current financial liabilities 75,606 — — 75,606 — — — —
Trade payables 129,991 — — 129,991 — — — —
Liabilities for derivative financial
instruments — — 2 2 — 2 — 2
Other current liabilities 33,429 — — 33,429 — — — —
Current financial liabilities 239,026 — 2 239,027 — 2 — 2
2022 (In thousands of Euro)
Financial
liabilities
Available for
sale
Financial
assets at fair
value
Total Level 1 Level 2 Level 3 Total
Amortised
cost
FV vs OCI FV vs P&L
Non-current financial liabilities 58,124 — — 58,124 — — — —
Other non-current liabilities 24,296 — — 24,296 — — — —
Non-current financial liabilities 82,420 — — 82,420 — — — —
Current financial liabilities 90,391 — — 90,391 — — — —
Trade payables 148,756 — — 148,756 — — — —
Liabilities for derivative financial
instruments — — 77 77 — 77 — 77
Other current liabilities 30,118 — — 30,118 — — — —
Current financial liabilities 269,265 — 77 269,342 — 77 — 77
Non-financial risks
37 Non-financial risks
INTERNAL RISKS EFFECTIVENESS OF PROCESSES
The processes that characterise the dierent areas of the Group business are carefully
positioned in a well-structured system of responsibilities and procedures.
The application of these procedures ensures the correct and homogeneous development
of processes over time, irrespective of personal interpretations, also making provision for
mechanisms of gradual improvement.
The set of procedures for the regulation of company processes is incorporated in the
Quality Assurance System and subject to certification by third parties (ISO 9001).
Within the system of processes, the procedures for the management of insider information
and for human resources selection and management are regulated.
EXTERNAL RISKS MARKETS, COUNTRY RISK
Market risk is mitigated by the Group’s geographically diverse operations and product
diversification across market segments.
As the Group operates on an international level, it is exposed to local economic and
political conditions, potential restrictions on imports and/or exports and controls over cash
flows and exchange rates.
In relation to the Russian market, Technogym, through its subsidiary Technogym AO,
is providing local business improvement services to operators, whose revenues can be
quantified at approximately 1% of the Group’s total revenues.
RISKS RELATED TO CYBER ATTACKS
The stepping-up of the digital transformation - both within the Company itself and towards
the market - has been driven by the public health emergency, and this exposes the Group
to potential cyber attacks (cyber risks). The Group has adopted a governance structure and
cyber risk management model based on international standards, in order to put in place the
best technological solutions and choose the best partners to defend its corporate assets.
It has also taken out appropriate insurance cover. In particular, a Security Operation Center
(SOC) system is in place, operating 24 hours, which has the task of preventing cyber attacks
using advanced technology solutions and a variety of approaches. The SOC analyses the
activity on networks, databases, applications, websites and other systems to discover any
anomalous behaviour that could indicate a security threat or system compromise.
Separate financial statements to 31 December 2023
38 Related-party
transactions
The Company’s transactions with related parties, identified based on criteria defined in IAS
24 – Related party disclosures – are carried out under normal market conditions.
38.1 SUBSIDIARIES
The following table provides details of the transactions between the Company and its
subsidiaries for the years ended 31 December 2023 and 2022, and the impact on the related
item in the financial statements.
(in thousands
of euros)
Revenues
Other revenues and
income
Purchases and use
of raw materials,
work in progress and
finished goods
Cost of services
Personnel expenses
Other operating costs
Depreciation and
amortisation
Provisions
Financial income
Financial expenses
Income/(expenses)
from investments
Values at 31
December 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022
Technogym Spain 23,049 18,776 3,054 1,791 (974) (372) (31) (3) — — — — — — — — — 2 (123) (8) 1,555 782
Technogym
France
29,421 27,503 556 499 (656) (670) (27) (2) (78) (84) (711) — — — — — 4 0 (0) (1) 1,700 1,200
Technogym China 11,521 14,178 384 1,726 (168) (186) (68) (31) (286) (319) — — — — — (2,829) — — — — — —
Technogym Japan 17,890 15,325 435 499 (121) (235) (10) — — — (2,219) — — — — — 6 — (2) (4) 3,038 1,366
Technogym Asia 2,273 3,000 366 205 (6) (10) (99) (12) (423) (95) — (742) — — — — 5 — (1) — — —
Technogym
Australia
14,872 16,757 280 236 (250) (293) (140) (132) — — (3,381) (846) — — — — 68 94 (23) — — —
Technogym
Canada
519 69 103 674 (21) (2) (0) — — — — — — — — — 1 0 (33) (1) — —
Technogym
Portugal
3,204 2,673 689 47 (70) (36) (0) (2) — — — (186) — — — — — — — — — —
Technogym
Russia
126 2,497 10 106 (4) (29) — — 317 320 — — — — (1,180) — — — — — — —
Technogym U.K. 40,793 32,775 2,963 2,416 (1,723) (1,966) (139) (25) (272) (243) — — — — — — — — (611) (130) 5,174 2,562
Technogym
Germany
32,896 26,556 742 2,179 (1,506) (1,525) (192) (30) (58) (117) — — — — — — — — (196) (24) 4,050 —
Technogym
Benelux
24,190 21,670 1,931 3,285 (315) (382) (132) (23) (235) (16) — — — — — — 82 — (155) (29) 1,984 2,807
Technogym Usa 48,233 38,572 1,550 3,494 (938) (920) (502) (146) 12 — (5,916) — — — — — 61 3 (390) (435) 4,749 5,643
Technogym E.E. 1,569 989 776 672 (92,349) (80,329) (0) (0) — 90 — (0) — — — — 64 — (3) — 3,036 3,540
Fkb Equipamentos
Ltda
— — — — — — — — — — — — — — (78) (736) 44 16 (370) (469) — —
Sidea S.r.l 0 — 170
157 (2,772) (1,934) (89) (25) — — (1) (1) — — — — — 4 (52) — 667 —
TGB — — — — — — (248) (248) — — (0) (9) (4,121) (4,160) — — 1,459 479 (396) (447) — —
La Mariana srl — — — — — — — — — — — — — — — — 1 — — — — —
TG Technogym SA 1,113 702 — — (151) — (573) (522) — — — — — — — — 44 11 — — — —
Focus Design Srl — — — — — (0) — — — — — — — — — — — — — — — —
DWL Srl 1 15 — 0 (5) — (29) (19) — — — — — — — — 56 12 — — — —
MyWellness Inc — — — — — — — — — — — — — — — — 36 20 — — — —
Technogym Saudi
LLC
918 364 — — (161) — (2,198) (477) — — — — — — — — — 0 — — — —
Related party transactions
(in thousands
of euros)
Revenues
Other revenues and
income
Purchases and use
of raw materials,
work in progress and
finished goods
Cost of services
Personnel expenses
Other operating costs
Depreciation and
amortisation
Provisions
Financial income
Financial expenses
Income/(expenses)
from investments
Values at 31
December 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022
Technogym Arabia
LLC
3 — 251 — — — (100) — — — — — — — — — (0) —
Technogym
Emirates LLC
14,408 14,808 246 274 (60) (113) (341) (323) (279) (273) (18) — — — — — 0 — (0) — 670 2,478
Total 267,001 2 3 7, 22 8 14,507 18,262 (102,250) (89,002) (4,919) (2,020) (1,301) (736) (12,246) (1,783) (4,121) (4,160) (1,258) (3,564) 1,930 641 (2,354) (1,549) 26,623 20,378
Total Financial
Statements
540,714 485,473 15,745 18,859 (283,948) (273,081) (88,708) (82,331) (66,617) (65,508) (17,174) (5,347) (34,262) (31,664) (3,672) (5,921) 22,542 24,361 (19,953) (24,425) 27,036 40,072
% on financial
statements item
49% 49% 92% 97% 36% 33% 6% 2% 2% 1% 71% 33% 0% 13% 34% 60% 9% 0.026324157 12% 6% 98% 51%
(in thousands
of euros)
Property, plant and
equipment
Non-current financial
assets
Other non-current
assets
Trade receivables
Current financial
assets
Other current assets
Non-current financial
liabilities
Trade payables
Current financial
liabilities
Current provisions for
risks and charges
Other current
liabilities
Values at 31
December 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022
Technogym Spain — — — — 30 14 5,291 3,950 — — 26 — — — 186 54 4,640 2,863 — — 86,589 96,993
Technogym France — — — — 25 13 2,573 2,250 — — 24 — — — 93 51 1,420 6,582 — — 2,141 (202,666)
Technogym China — — — — 32 15 (1,322) 2,354 — — 27 — — — 4,906 4,578 — — — — 38,248 (150,911)
Technogym Japan — — — — — 4 860 4,306 908 — — — — — 45 48 — 6,598 — — 19,667 (83,226)
Technogym Asia — — — — — — 613 1,412 1,004 — — — — — 112 5 — — 43 — 4,812 3,941
Technogym
Australia
— — — — 24 12 987 4,016 — 848 23 — — — 110 64 3,561 — — — 27,518 639,733
Technogym Canada — — — — — — 222 748 — — — — — — 36 3 2,423 405 — — 7,1 9 1 5,862
Technogym
Portugal
— — — — — — 369 570 — — — — — — 57 4 — — — — 5,796 5,604
Technogym Russia — — — — 25 13 509 1,606 — — 25 — — — — — — — — — 0,028 (0,060)
Technogym U.K. — — — — 38 19 5,726 4,749 — — 37 — — — 713 436 11,929 10,229 40 31 249,578 279,358
Technogym
Germany
— — — — — — 2,751 4,278 — — — — — — 183 129 6,108 5,856 — 15 122,979 89,343
Technogym
Benelux
— — — — 25 12 3,718 5,692 2,678 — 22 — — — 181 99 7, 0 7 1 6,519 32 — 144,659 130,959
Technogym Usa — — — — — — (2,515) 9,678 5,187 99 — — — — 265 470 — 16,005 84 — 1,746,955 3,549,220
Technogym E.E. — — — — — — 1,109 860 — — — — — — 20,469 26,037 3,105 — — — 6,200 6,200
Fkb Equipamentos
Ltda
— — — — — — 0 — — — — — — — 8 8 — — — — 0,000 (0,000)
Sidea S.r.l — — — —
— — — — — — — — — — 862 599 2,000 — — — — —
TGB 13,276 16,595 27,272 29,719 — — 1,224 239 — — — 74 9,733 13,368 1,569 285 4,344 4,037 — — 253,882 —
La Mariana srl — — — — — — 1 — 30 — — — — — — — — — — — 0,050 0,008
TG Technogym SA — — — — — — 1,770 701 1,000 1,000 — — — — 408 199 — — — — 3,377 (1,266)
DWL Srl — — — — — — 58 12 1,345 1,200 — — — — 6 17 — — — — 37,600 99,285
MyWellness Inc — — — — — — 28 48 452 938 — 77 — — — — — — — — — —
Technogym Saudi LLC — — — — — — 1,347 450 200 200 — 1 — — 415 117 — — — — 0,000 0,433
Technogym Arabia
LLC
— — — 258 — — — 100 4,370 — 3,618
Technogym
Emirates LLC
— — — — 26 13 579 (102) — — 25 1,266 — — 143 99 — — 21 20 0,400 (3,520)
Total 13,276 16,595 27,272 29,719 225 115 26,155 4 7,8 1 9 12,804 4,284 210 1,419 9,733 13,368 30,867 33,301 50,971 59,095 220 65 2,761 4,465
Total Financial
Statements
54,430 58,635 27,272 29,919 64,477 58,706 83,109 100,904 13,549 24,010 18,149 18,213 52,089 58,124 129,991 148,756 75,606 90,391 12,028 11,161 33,429 30,118
% on financial
statements item
24% 28% 100% 99% 0% 0% 31% 47% 95% 18% 0 8% 19% 23% 24% 22% 67% 65% 2% 1% 8% 15%
Separate financial statements to 31 December 2023
38.2 JOINT VENTURES AND ASSOCIATES
The following table provides details of the transactions between the Company and its joint
ventures and associates for the years ended 31 December 2023 and 2022, and of the impact
on the related item in the financial statements.
The balances for the 2022 financial year of Technogym Emirates LLC, have been indicated
in detail in the "Subsidiaries” section following the change to the scope of consolidation. See
paragraph 4 for more details.
(In thousands of
Euro)
Revenues Other revenues
and income
Purchases
and use of raw
materials, work
in progress and
finished goods
Cost of services Personnel
expenses
Other operating
costs
Depreciation
and
amortisation
Provisions Financial
income
Financial
expenses
Income/
(expenses) from
investments
Values at 31
December 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022
Wellness Venture — — 2 18 (1) — — (325) — — — — — — — — — — — — — —
Wellink Srl — — — — — — (118) (190) — — — — — — — — — — — — — —
Total — — 2 18 (1) — (118) (515) — — — — — — — — — — — — — —
Total Financial
Statements 540,714 485,473 15,745 18,859 (283,948) (273,081) (88,708) (82,331) (66,617) (65,508) (17,174) (5,347) (34,262) (31,664) (3,672) (5,921) 22,542 24,361 (19,953) (24,425) 27,036 40,072
% on financial
statements
item 0% 0% 0% 0% 0% 0% 0% 1% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0%
(In thousands of
Euro)
Property, plant
and equipment
Non-current
financial assets
Other non-
current assets
Trade
receivables
Current financial
assets
Other current
assets
Non-current
financial
liabilities
Trade payables Current financial
liabilities
Current
provisions
for risks and
charges
Other current
liabilities
Values at 31
December 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022
Wellness Venture — — — — — — — 3 — — — — — — — — — — — — —
—
Wellink Srl — — — — — — — — — — — — — — 25 50 — — — — — —
Total — — — — — — — 3 — — — — — — 25 50 — — — — — —
Total Financial
Statements 54,430 58,635 27,272 29,919 64,477 58,706 83,109 100,904 13,549 24,010 18,149 18,213 52,089 58,124 129,991 148,756 75,606 90,391 12,028 11,161 33,429 30,118
% on financial
statements
item 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% — 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0%
Related party transactions
38.3 OTHER RELATED PARTIES
The following table provides details of the transactions between the Company and “Other
related parties” for the years ended 31 December 2023 and 2022, and the impact on the
related item in the financial statements:
(In thousands of
Euro)
Revenues Other revenues
and income
Purchases and use
of raw materials,
work in progress
and finished goods
Cost of services Personnel
expenses
Other operating
costs
Depreciation
and
amortisation
Provisions Financial income Financial
expenses
Income/
(expenses) from
investments
Values at 31
December 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022
Pubblisole Spa — — — — — — 24 19 — — — — — — — — — — — — — —
Qicraft Finland OY 119 162 — — (7) (3) — — — — — — — — — — — — — — — —
Consorzio
Romagna
Iniziative — — — — — — (14) (19) — — — — — — — — — — — — — —
Asso. Milano
Durini Design — — — — — — — — — — (3) (2) — — — — — — — — — —
Sandcroft Avenue
Limited — — — — — — — — — — — — — — — — (39) 19 (8) 14 — —
Alfin Srl — 2 — — — — (629) (256) — (39) — — — — — — — — — — — —
Via Durini 1 Srl — — — — — — (301) (124) — — (10) (9) (1,000) (895) — — — — (137) (123) — —
Starpool Srl 2 — — — — — (1) (4) — — — — — — — — — — — — — —
One On One Srl 26 21 — — — — (1,036) (657) — — (34) —) — — — — — — — — — —
Enervit Spa 1 — — — — — — (3) — — — — — — — — — — — — — —
Alne Soc. Agr. S.r.l. — — — — — — — (2) — — — — — — — — — — — — — —
Wellness
Foundation — — — — — — (49) (49) — — — — — — — — — — — — — —
WF Srl — — — — — — (300) (200) — — — — — — — — — — — — — —
Qicraft Norway AS
(ex Norsk F) 421 464 — — (46) (14) (4) (5) — — — — — — — — — — — — — —
Invest Fimex A.G 11,766 9,967 — — (134) (103) (1) (1) — — — — — — — — — — — — — —
Qicraft Sweden
AB (ex Svensk M) 9,872 13,318 — — (110) (412) (5) (20) — — — — — — — — — — — — — —
Core Athletic LLC — — — — — — — — — — — — — — 16 (107) — — — — — —
Uberti Società
Semplice — — — — — — (60) (30) — — (1) — — — — — — — — — — —
Total 22,207 23,935 — — (297) (532) (2,377) (1,350) — (39) (48) (11) (1,000) (895) 16 (107) (39) 19 (140) (109) — —
Total Financial
Statements 540,714 485,473 15,745 18,859 (283,948) (273,081) (88,708) (82,331) (66,617) (65,508) (17,174) (5,347) (34,262) (31,664) (3,672) (5,921) 22,542 24,361 (19,953) (24,425) 27,036 40,072
% on financial
statements item 4% 5% 0% 0% 0% 0% 3% 2% 0% 0% 0% 0% 3% 3% 0% 2% 0% 0.000781938 1% 0% 0% 0%
% on financial
statements item 10% 8% 0% 0% 0% 0% 1% 0% 0% 0% 0% 0% 8% 7% 0% 0% 1% 1% 0% 0% 0% 0%
Separate financial statements to 31 December 2023
(In thousands of
Euro)
Revenues Other income
and revenues
Purchases
and use of
raw materials,
work in
progress
and finished
goods
Cost of services Personnel
expenses
Other operating
costs
Depreciation
and
amortisation
Provisions Financial
income
Financial
expenses
Income/
(expenses) from
investments
Values at 31
December 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022
Pubblisole Spa — — — — 100 100 24 — — — — — — — — — — — — — — (18,601)
Qicraft Finland OY — — — — 53 62 11 11 — — — — — — 3 — — — — — 1,587 (2,635)
Crit S.r.l. — — — — 26 26 — — — — — — — — — — — — — — — —
Consorzio
Romagna
Iniziative
— — — — 9 9 — — — — 25 26 — — — 16 — — — — — —
Sviluppo Impresa
Romagna
— — — — 50 50 — — — — — — — — — — — — — — — —
Sandcroft Avenue
Limited
— — — — — — — — — — — — — — — — — (39) — — — —
Alfin Srl — — — — — — 3 3 — — — — — — 122 126 — — — — — —
Via Durini 1 Srl 5,912 5,615 — — — — — — — — — — 5,109 4,915 85 3 1,006 860 — — — —
Starpool Srl — — — — — — 1 — — — — — — — 4 4 — — — — — —
One On One Srl — — — — — — 11 9 — — — — — — 191 232 — — — — 5,771 1,312
Wellness
Foundation
— — — — — — — — — — — — — — 31 55 — — — — — —
WF Srl — — — — — — — — — — — — — — 61 61 — — — — — —
Qicraft Norway
AS (ex Norsk F)
— — — — — — 41 38 — — — — — — 25 2 — — — — 0,963 (0,062)
Invest Fimex A.g — — — — — — 100 79 — — — — — — 82 20 — — — — 1,401 31,444
Qicraft Sweden
AB (ex Svensk M)
— — — — — — 642 1,184 — — — — — — 37 17 — —
— — 3,706 12,474
Core Athletic LLC — — — — — — — — — — — — — — — — — — — — — —
Uberti Società
Semplice
— — — — — — — — — — — — — — 20 8 — — — — — —
Total 5,912 5,615 0 0 237 246 831 1,324 — — 25 26 5,109 4,915 660 544 1,006 821 — — 13 24
Total Financial
Statements
54,430 58,635 27,272 29,919 64,477 58,706 83,109 100,904 13,549 24,010 18,149 18,213 52,089 58,124 129,991 148,756 75,606 90,391 12,028 11,161 33,429 30,118
% on financial
statements item
11% 10% 0% 0% 0% 0% 1% 1% 0% 0% 0% 0% 10% 8% 1% 0% 1% 1% 0% 0% 0% 0%
The relationship between the Group and related parties as of and for the years ended 31
December 2023 and 2022 are mainly commercial.
The figures for Via Durini S.r.l mainly refer to the adoption of IFRS 16 concerning property
leased in favour of the group.
The relationship with One on One S.r.l. is related to collaborations aimed to implement and
manage corporate wellness areas. For instance, the Group occasionally receives the support
of One on One S.r.l. in order to oer a complete service to the end customers. Transactions
between the Group and One on One S.r.l. are regulated by agreements arranged from time
to time based on the requests and needs of the end customer.
Relations with Wellink S.r.l. refer mainly to collaborations aimed at implementing
personalised projects for wellness centres.
Remuneration of directors and key management
39 Remuneration of
directors and key
management
The total amount of compensation and the related costs of the Board of Directors of the
Company amounted to Euro 2,394 thousand for the year ended 31 December 2023 (Euro
2,457 thousand for the year ended 31 December 2022).
The total amount of compensation paid to key management amounted to Euro 2,789
thousand for the year ended 31 December 2023 (Euro 1,959 thousand for the year ended 31
December 2022). The following table shows the amounts of revenues for the years ended 31
December 2023 and 2022.
(in thousands of Euro)
Year ended 31 December
2023 2022
Fees for oice 1,192 1,200
Non-monetary benefits 16 31
Bonuses and other incentives 1,162 678
Other fees 419 50
Total 2,789 1,959
Separate financial statements to 31 December 2023
40 Contingent liabilities
As of 31 December 2023 there were no ongoing legal or tax proceedings against any
Group companies and therefore, no particular provisions for risks and charges have been
recognised, with the exception of the following described.
Commitments and guarantees
41 Commitments and
guarantees
As of 31 December 2023 the Group issued guarantees to credit institutions on behalf of
subsidiaries for Euro 20,656 thousand (Euro 21,521 thousand at 31 December 2022) and
on behalf of related parties for Euro 3,707 thousand (Euro 3,840 thousand at 31 December
2022). The guarantees issued by the Group in favour of public institutions and other third
parties amounted to Euro 2,062 thousand (Euro 2,030 thousand at 31 December 2022).
There were no significant commitments at the end of the year, with the exception of the
information reported in the table included in liquidity risks.
Separate financial statements to 31 December 2023
42 Non-recurring events
and transactions
In the 2023 financial year, a non-recurring expense of Euro 2,370 thousand was recognised,
linked primarily to sta severance payments, as well as other costs of extraordinary services
not associated with ordinary operations. As of 31 December 2022, the non-recurring
expenses amounted to Euro 912 thousand.
Significant events after the reporting period
43 Significant events after
the reporting period
On 18 March, Technogym announced the completion of its share purchase plan, announced
on 6 November 2023 following the authorisation approved by the Ordinary Shareholders’
Meeting on 5 May 2023. Technogym has thus acquired 2,266,705 shares equal to 1.13% of
the share capital, with a total countervalue of 20 million euros.
In January, Technogym attended the World Economic Forum in Davos, when Erica
Alessandri, a member of the Technogym Board of Directors, contributed to a major project
on the evolution of the Health sector with digital innovation and AI. 29 February saw the
launch of Technogym Zurich, a new retail space in the heart of Zurich.
Separate financial statements to 31 December 2023
Proposal for approval
of the financial statements and allocation
of profit for the 2023 financial year
Dear Shareholders,
the Financial Statements at 31 December 2023 closed with a net profit of Euro 74,462,610.30.
The Board of Directors proposes the distribution of a unit dividend of Euro 0.26 per share
from the net profits for the 2023 financial year, inclusive of the statutory tax withholdings,
for each ordinary share in circulation (net of the own shares held directly by the Company).
As the Company’s shares currently amount to 199,060,795.00, the total distributable amount
would be Euro 51,755,806.70. Considering the 2024 calendar, approved by Borsa Italiana
S.p.A., we propose authorising a payment of the dividend on 22 May 2024, with record date
21 May 2024 and coupon no. 7 detachment date 20 May 2024.
As the first point for consideration, also in view of the fact that the legal reserve (Art. 2430
of the Civil Code) is now at capacity, we propose that the net profits for the 2023 financial
year, of Euro 74,462,610.30, be allocated as follows:
(i) the distribution of a gross unit dividend of Euro 0.26 per ordinary share with the
right to payment on the record date, giving a total (based on the ordinary shares
currently in circulation and net of the own shares held directly by the Company) of
Euro 51,755,806.70;
(ii) the remainder, currently Euro 22,706,803.60, to the retained earnings reserve.
With regard to the second point, considering the accounting eects during the year and
in order to maintain a specific connection between the equity items and the allocation of
the reserves, we propose:
(i) to make the following allocations to the retained earnings reserve:
› the sum of Euro 12,240.87 from the reserve for the adoption of IAS;
› the sum of Euro 922,238.45 from the Extraordinary reserve;
› the sum of Euro 498,988.19 from the reserve for exchange gains;
for a total of Euro 1,433,467.51.
For further information, see the Annual Report, comprising the Draft Financial Statements
and Consolidated Financial Statements to 31 December 2023, approved by the Board of
Directors on 25 March 2024, the Report on Operations, and the certification required by
Article 154-bis, paragraph 5 of Legislative Decree no. 58 of 24 February 1998, which will be
filed and made available according to law, along with the Report of the Board of Statutory
Auditors and Report of the Independent Auditors.
In view of the above, we therefore propose the following motion:
“The Shareholders’ Meeting of Technogym S.p.A.,
› having reviewed the Report on Operations;
› the Reports of the Board of Statutory Auditors and Independent Auditors
PricewaterhouseCoopers S.p.A.;
› the Financial Statements at 31 December 2023, in the draft presented by the Board of
Directors, with a net profit of Euro 74,462,610.30;
› having reviewed the Report of the Board of Directors,
Proposal for approval of financial statements
resolved
a) to allocate the net profit for the year of Technogym S.p.A. equal to Euro 74,462,610.30 as
follows:
(ii) the distribution of a gross unit dividend of Euro 0.26 per ordinary share with the
right to payment on the record date, giving a total (based on the ordinary shares
currently in circulation and net of the own shares held directly by the Company) of
Euro 51,755,806.70;
(iii) the remainder, currently Euro 22,706,803.60, to the retained earnings reserve;
b) moreover, considering the accounting eects during the year and in order to maintain a
specific connection between the equity items and the allocation of reserves, we propose:
(iii) to make the following allocations to the retained earnings reserve:
› the sum of Euro 12,240.87 from the reserve for the adoption of IAS;
› the sum of Euro 922,238.45 from the Extraordinary reserve;
› the sum of Euro 498,988.19 from the reserve for exchange gains;
for a total of Euro 1,433,467.51;
c) that the dividend be paid on 22 May 2024, with record date 21 May 2024 and coupon no.
7 detachment date 20 May 2024.”
On behalf of the Board of Directors,
Chairman
Nerio Alessandri
Separate financial statements to 31 December 2023
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Dear Shareholders,
During the year ending 31 December 2023, the Board of Statutory Auditors of Technogym S.p.A. (hereinafter
also “Technogym” or the “Company”) performed its supervisory activities, taking into account the Consob
communications and recommendations on the subject of corporate controls and activities of Boards of Statutory
Auditors, the principles of conduct of Boards of Statutory Auditors of listed companies recommended by the
Italian association of certified auditors and accounting professionals (CNDCEC) (most recently, with a document
approved on 21 December 2023), as well as the guidance contained in the Corporate Governance Code of
companies listed on the stock exchange.
With this Report, prepared in accordance with Art. 153 of Italian Legislative Decree 58/1998 and Art. 2429(2)
of the Italian Civil Code, the Board of Statutory Auditors provides an account of the activities performed and
related results.
Firstly, the Board of Statutory Auditors was appointed by the Shareholders’ Meeting held on 4 May 2022 via the
list voting system and will remain in office until the financial statements as of 31 December 2024 are approved.
It comprises Standing Auditors Francesca di Donato (Chairperson), Pier Paolo Caruso and Fabio Oneglia.
The Company’s Board of Directors, in its current composition, consists of 11 members and will remain in office
until the date of the Shareholders’ Meeting for approval of the financial statements as of 31 December 2023.
The financial statements of Technogym have been prepared on a going concern basis, in accordance with the
IAS/IFRS International Accounting Standards, issued by the International Accounting Standards Board (IASB),
approved by the European Union, and in force as of 31 December 2023.
We also inform you that these financial statements have been drawn up in compliance with the specific
requirements of EU Regulation 2019/815 (the “ESEF Regulation”) and, therefore, in XHTML format, and
show, with specific reference to the consolidated financial statements of the Technogym Group as of 31
December 2023, the Inline XBRL markings of the information, according to the taxonomy indicated by the
above-mentioned ESEF Regulation.
The Company’s financial statements comprise the Statement of Financial Position, the Income Statement, the
Statement of Comprehensive Income, the Statement of Changes in Shareholders’ Equity, the Cash Flow
Statement and the Notes to the Financial Statements.
The financial statements are accompanied by the Report on Operations and the Corporate Governance Report,
prepared in accordance with Art. 123-
bis
of the TUF, as well as the Consolidated Non-Financial Statement
(hereinafter also NFS), pursuant to Italian Legislative Decree 254 of 30 December 2016, drafted by the Company
in accordance with the Sustainability Reporting Standards of the Global Reporting Initiative (GRI). The financial
statements file also contains the Report on the remuneration and compensation policy, comprising the 2024
remuneration policy and the report on remuneration paid in 2023.
Report of the Board of Statutory Auditors
2
In accordance with Art. 40 of Italian Legislative Decree 127/1991, as amended by Art. 2(d) of Italian Legislative
Decree 32/2007, the Report on Operations covers both the consolidated financial statements of the Technogym
Group and the financial statements of the parent company Technogym S.p.A.
In the Report on Operations the directors summarise the main risks and uncertainties to which they believe the
Company is exposed, and also present the outlook.
The 2023 separate and consolidated financial statements of Technogym contain the required declarations of
conformity by the Chief Executive Officer and the Financial Reporting Officer.
The year ending 31 December 2023 showed a profit for the year of Euro 74,462,610, compared with the profit
of the previous year of Euro 68,976,174.
The Board of Directors of the Company approved the financial statements on 25 March 2024, along with the
consolidated financial statements of the Technogym Group and the consolidated non-financial statement. The
Shareholders' Meeting is set for 7 May 2024, within the terms of the law.
As pointed out by the directors in the annual Corporate Governance Report for 2023, prepared pursuant to Art.
123-
bis
of Italian Legislative Decree 58/1998 and approved by the Board on 25 March 2024, in 2023, the Board
of Directors met 7 times, the Control, Risks and Sustainability Committee met 10 times, the Remuneration
Committee met 4 times, while the Related Party Transactions Committee did not meet. The Board of Statutory
Auditors took part in these meetings as specified below.
Director Cecilia La Manna holds the role of Lead Independent Director. The Independent Directors met twice
in the absence of the other Directors (including once at the beginning of the 2024 financial year) to discuss issues
relating to the 2023 financial year.
The Board of Statutory Auditors notes that, as of the date of this Report, the Russian-Ukrainian crisis and the
Israeli-Palestinian crisis are ongoing, which are having well-known economic consequences for the world’s
markets.
In this regard, the Board of Statutory Auditors monitored developments in the economic framework during
2023 and, in this Report, has taken into account the provisions and recommendations issued by the competent
authorities for the purposes of preparing the financial statements, showing the effects of the crisis, and the specific
control activities required.
The Board of Statutory Auditors received information from the company on an ongoing basis regarding actions
taken to deal with the effects of the crisis, such as measures to tackle the general inflationary effect and the
possible application of measures linked to the sanctions package put in place by the European authorities in
relation to the Russian market. In relation to this market, Technogym operates directly through its subsidiary
Technogym AO and delivers local business improvement services; the revenues from this activity are
approximately 1% of the Group’s total revenues. Furthermore, during the 2023 financial year, the Company had
started activities aimed at recovering the value of the investment and cash and cash equivalents held by the
Russian subsidiary Technogym AO through the transfer of the company to local management. However, recent
changes in Russian legislation currently prevent any management buyout transactions and, therefore, the transfer
is currently blocked. With reference to the cash and cash equivalents held by the Russian subsidiary, activities
aimed at their recoverability through the periodic payment of dividends were recently started, within the limits
permitted by local legislation. The Company has also stopped exporting to Russia and has in any case recognised
provisions for risks and charges related to part of the liquidity present and deemed at risk. However, these are
not significant amounts and do not generate substantial impacts on the business continuity of the Company and
the Group.
Separate financial statements to 31 December 2023
3
The Board of Statutory Auditors also received information and monitored the controls relating to cyber issues
implemented by the Company.
In view of the Company’s growth prospects, the directors believe that there are no uncertainties in relation to the
business as a ‘going concern’.
In relation to the foregoing, there are no items of concern to be submitted to the Company Shareholders’
Meeting.
During 2023, the Board of Statutory Auditors met 17 times. The Board of Statutory Auditors also attended:
- the only Shareholders’ Meeting;
- all Board of Directors’ meetings, with at least one member of the Board of Statutory Auditors present;
- all meetings of the Control, Risks and Sustainability Committee;
- all meetings of the Appointments and Remuneration Committee.
The Board of Statutory Auditors also met periodically with the members of the Supervisory Body (“SB”), formed
according to the provisions of Italian Legislative Decree 231/2001 and in this regard no relevant information
emerged that needs to be highlighted in this report.
In most cases, the Board of Statutory Auditors held its meetings on the same day as those of the Control, Risks
and Sustainability Committee and of the Supervisory Body, scheduling a section on topics to be discussed jointly
in order to facilitate the exchange and consistency of information between those with significant internal control
responsibilities and to make the best use of the corporate resources involved. Pursuant to Art. 19 of Italian
Legislative Decree 39/2010, the Board of Statutory Auditors also performs the function of Internal Control and
Audit Committee. The statutory audit tasks are presently carried out by the company PricewaterhouseCoopers
S.p.A. (the “Independent Auditors” or “PwC”), appointed by a shareholders’ meeting resolution on 16 February
2016, which took effect from commencement of negotiations for the nine-year period 2016-2024.
Most of the Technogym Group companies are subject to statutory auditing, of differing scope depending on
their importance, by independent auditors belonging to the PwC network.
In the role of parent company, Technogym S.p.A. also prepares the consolidated financial statements.
As of the date of this report, the Company is a subsidiary of TGH S.r.l. (formerly Wellness Holding S.r.l.), which
holds 33.78% of the share capital, which represents 50.5% of the voting rights; 6% of the share capital is held by
NIF Holding (Italy) S.r.l.; and the remaining 60.22% of the capital is free float on Borsa Italiana’s MTA (screen-
based stock exchange).
The Company is not subject to management and coordination pursuant to Articles 2497
et seq
. of the Italian
Civil Code by TGH S.r.l., as confirmed by the Board of Directors on 14 February 2024 and as stated in the
Corporate Governance Report, in which the non-existence of activities in which management and coordination
is typically exercised is certified.
As regards the activities performed during the year - also in observance of the aforementioned Consob
Communication DEM/1025564 of 6 April 2001, as amended - we report the following:
1. based on the information received and on the specific analyses conducted, we have verified compliance with
the law, with the articles of association and with the principles of correct administration of the transactions
having greater impact on the financial position of the Company.
Report of the Board of Statutory Auditors
4
We verified that said transactions were not manifestly imprudent or risky, in potential conflict of interest,
conflicting with the resolutions passed by the Shareholders’ Meeting or such as to jeopardise the integrity of
the assets of the Company and, in this regard, based on the information obtained, we have no particular
observations to report.
The main operating events of the year are described by the directors in the Report on Operations, to which
reference should be made.
Specifically, during the financial year, the Group made a number of investments in tangible and intangible
assets, as broken down in the Report on Operations and in the Notes to the financial statements. These
were mainly aimed at the continuous updating and expansion of the Group’s range of products and services
– with a specific focus on the digitalisation of the offer and development of new content –, adapting the
production infrastructure, optimising the main production processes, and creating new showrooms and
updating existing ones.
Furthermore, during the financial year, a new agreement was signed with the shareholder that holds 51% of
the share capital in Technogym Emirates LLC, a joint venture established in the United Arab Emirates to
facilitate the distribution and sale of products and services, which required a redefinition of corporate
governance. Indeed, following this agreement, the Group has held substantial control over that company
since 1 January 2023. As a result, starting from that date, the Group has fully consolidated the subsidiary,
which was previously accounted for using the equity method (by virtue of the 49% shareholding).
During the year ending 31 December 2023, changes to the scope of consolidation were made as detailed in
the consolidated financial statements.
2. The Board of Statutory Auditors found no atypical or unusual transactions carried out with third parties or
related parties (including Group companies) during 2023 and after the year end, pursuant to the indications
provided by Consob with its Communication DEM/6064293 of 28 July 2006 (“Corporate reporting of listed
issuers and issuers having financial instruments distributed amongst the public pursuant to Art. 116 of the
TUF - Requirements pursuant to Art. 114(5) of Italian Legislative Decree 58/98").
3. The ordinary transactions initiated with Group companies and with related parties are described by the
Directors in the Report on Operations and in the Notes, to which reference should be made, which stated
that such transactions were carried out under normal market conditions and are appropriate and in
accordance with the Company’s interests.
In this regard, the Board of Statutory Auditors points out that, in compliance with the provisions of Art.
2391-
bis
of the Italian Civil Code and the Related Party Regulation, the Board of Directors approved the
Related Party Transactions Procedure, most recently amended on 17 February 2023 to reflect the changes
to Regulation 17221 of 12 March 2010 with Consob Resolution 21624 of 10 December 2020 for the
purposes of implementing EU Directive 2017/828 (Shareholder Rights Directive II) and appointed - most
recently on 7 May 2021, following the appointment of the new Board of Directors by the Shareholders’
Meeting held on 5 May 2021 - a special Related Party Transactions Committee within the Board itself.
Specifically, this Procedure regulates the performance of transactions implemented directly by the
Company, or through subsidiaries, with counterparties that fall within the definition of “related party”
referred to in the international accounting standards in force; it also establishes the criteria for the distinction
between transactions of greater importance, lesser importance, ordinary transactions or transactions
involving small amounts, indicating the criteria and the methods for the relative regulation of the procedure.
As stated in the Corporate Governance Report, in 2023 the Related Party Transactions Committee did not
hold any meetings, as there was no need to do so.
Separate financial statements to 31 December 2023
5
With reference to related party transactions, the Board of Statutory Auditors considers the information
provided by the Directors in the Report on Operations and in the Notes to be adequate.
4. The Board of Statutory Auditors notes that the equity investment impairment test is implemented according
to an established and structured process, coordinated by the Financial Reporting Officer. The impairment
procedure is reviewed annually and the method of performing the impairment test is subject to preliminary
analysis and discussion in special meetings involving the Control, Risks and Sustainability Committee and
the Board of Statutory Auditors, prior to the Board of Directors’ approval of the financial statements in
which the impairment test is performed.
The Board of Statutory Auditors verified that the impairment test process for the 2023 financial statements
was carried out in a manner consistent with the procedure most recently approved by the Board of Directors
on 14 February 2024, and structured with several benchmarks to verify the final results, and has no
comments to make in this regard.
5. The Independent Auditors today issued, pursuant to Art. 14 of Italian Legislative Decree 39/2010 and Art.
10 of EU Reg. 537/2014, the Reports for which it is responsible on the statutory financial statements and
on the consolidated financial statements of Technogym S.p.A. as of 31 December 2023, in which it states
that the statutory and consolidated financial statements of the Group provide a truthful and correct
representation of the state of affairs as of 31 December 2023, of the profit and loss and of the cash flows for
the year ended on that date, in conformity with the International Financial Reporting Standards adopted by
the European Union and with the measures issued to implement Art. 9 of Italian Legislative Decree no.
38/05, and that the Report on Operations and some specific information contained in the Corporate
Governance Report indicated in Art. 123-
bis
, paragraph 4 of Italian Legislative Decree 58/1998 are
consistent with the statutory financial statements of Technogym S.p.A. and with the consolidated financial
statements of the Group and are prepared in compliance with the rules of law.
The opinion on the statutory and consolidated financial statements provided in the aforesaid Reports is in
line with what is indicated in the Additional Report prepared by PwC and addressed to the Board of
Statutory Auditors pursuant to Art. 11 of EU Reg. 537/2014.
There are no findings or information requests, or statements issued pursuant to Art. 14(2)(d) and (e) of
Italian Legislative Decree 39/2010 in the aforesaid Reports of the Independent Auditors.
Also on today’s date, the Independent Auditors:
- sent to the Board of Statutory Auditors, in its capacity as the Internal Control and Audit Committee, the
aforementioned Additional Report required by Art. 11 of EU Regulation 537/2014;
- issued, pursuant to Art. 3(10) of Italian Legislative Decree 254/2016 and Art. 5 of Consob Regulation
20267/2018, the certification of conformity, in all significant aspects, of the Consolidated Non-Financial
Statement (“NFS”) prepared by the Company based on the requirements of the above-mentioned decree
and on the standards and methodologies under the GRI Standards selected by the Company in the
technical form of a limited audit. In this Report, the Independent Auditors stated that “
Based on the
work undertaken, nothing has come to our attention leading us to assume that the Technogym Group
NFS relating to the year ending 31 December 2023 was not prepared, in all of its significant aspects, in
compliance with the requirements set forth in Articles 3 and 4 of the Decree and in the GRI Standards.
Our conclusions on the Technogym Group NFS do not extend to the information contained in the
“Taxonomy” section of the statement, required under Art. 8 of European Regulation 2020/852
.”
The Board of Statutory Auditors received regular updates on the performance of the preliminary activities
for the preparation of the NFS and oversaw compliance with the provisions of the aforementioned Decree
Report of the Board of Statutory Auditors
6
within the scope of the functions assigned to it by the regulations and, in particular, monitored the adequacy
of the procedures, processes and structures that oversee the production, reporting, measurement and
representation of results and information of this nature.
Within the context of its supervisory duties on compliance with the law and articles of association, the Board
of Statutory Auditors verified that the Company, in its NFS, has complied with the provisions of EU
Regulation 2020/852 (Taxonomy Regulation) of 18 June 2020 on the establishment of a framework that
identifies the sustainable investments and their significance and, in this regard, has no observations to report.
Pursuant to the Taxonomy Regulation, Technogym has:
• identified eligible activities;
• identified aligned activities in view of the substantial contribution criteria, DNSH (Do No Significant
Harm) criteria and the criterion relating to Minimum Safeguards;
• calculated turnover, Capex and Opex KPIs.
Following this analysis, the eligible economic activities under the Taxonomy were defined. Technogym
activities are eligible but not aligned under the Taxonomy.
In compliance with the provisions of Art. 19 of Italian Legislative Decree 39/2010 and Art. 150 of the TUF,
the Board of Statutory Auditors periodically met with the Independent Auditors, initiating a productive
exchange of information. In particular, the audit plan for the separate and consolidated financial statements,
the methodology, and the audit approach used for the different significant areas were analysed. The Board
of Statutory Auditors informed the Independent Auditors of its activities and reported on the relevant facts
that came to its attention.
As a whole, from the exchange of information with the Independent Auditors, no anomalies, critical issues,
omissions or improper actions emerged when performing the statutory audit activities on the financial
statements and consolidated financial statements.
The Board of Statutory Auditors checked and monitored the independence of the Independent Auditors
and received confirmation in writing that, during the period from 1 January 2023 at the time the statement
was issued, it had not found situations that might jeopardise its independence from Technogym pursuant
to Art. 6(2)(a) of EU Reg. 537/2014.
The Independent Auditors indicated in the Additional Report that during the audit of the financial
statements of the Company and the consolidated financial statements of the Group for the year ending 31
December 2023, no significant failings in the internal control system for the financial reporting and/or in
the accounting system were identified. Some areas for improvement in the internal control system, already
identified in the previous financial years and to date partially resolved by the Company, concerning certain
functions of the SAP information system referring to accounts receivable and access by some users to
information systems were identified. These were discussed with company management and do not
constitute significant shortcomings. With reference to these aspects, the Independent Auditors carried out
specific testing activities again in 2023, which did not identify any exceptions, as well as some validity
procedures with the aim of verifying the absence of impacts on the financial statements.
The Independent Auditors also specified in the Additional Report that they did not find any significant
difficulties regarding the availability of the information required for the purposes of the audit activities and
did not identify any significant uncertainties regarding the ability of the Company and the Group to continue
as a going concern.
Separate financial statements to 31 December 2023
7
The Independent Auditors reported the audit services and the services other than auditing provided to the
Company either directly or through entities belonging to its network, indicating the relevant remuneration
and specifying that it had not provided any service prohibited to the auditor by the legislation in force.
The fees for auditing services for the year paid by Technogym to the Independent Auditors
PricewaterhouseCoopers S.p.A., which amounted to a total of Euro 1,045,000 before Consob contributions
and expenses, are provided by the directors in the Notes.
The Board of Statutory Auditors does not believe that there are any aspects to be highlighted regarding
PwC's independence, also taking into account:
- the independence declaration issued by PricewaterhouseCoopers S.p.A. on today’s date pursuant to Art.
6(2)(a) of European Regulation 537/2014 and pursuant to par. 17 of ISA Italia 260,
- the appointments granted previously by Technogym and by the Group companies.
6. During the 2023 financial year and up to today's date, the Board of Statutory Auditors has not received any
complaints or claims.
7. Over the course of the financial year and then at its end, the Board of Statutory Auditors issued favourable
opinions on (i) the work plan proposed by the Internal Audit department, (ii) the assessment by the Control,
Risks and Sustainability Committee on the correct use of accounting standards and on their uniformity for
the purpose of preparing the consolidated financial statements, and on the impairment testing methodology
adopted by the Company in compliance with the requirements of international accounting standards, (iii)
the awarding of two assignments for support in connection with professional services other than auditing to
the Independent Auditors, and (iv) the addition of fees under the contract with the Independent Auditors
PwC in connection with the introduction of a new auditing standard.
With reference to point (iii) above, it should be noted that in 2017, Technogym implemented an internal
procedure to approve services to be awarded to the Independent Auditors and their network; the Board of
Statutory Auditors issued, where necessary, its prior authorisation for the activities performed in order to
protect the independence requirement of the auditor.
8. The Board of Statutory Auditors examined and oversaw, within its area of responsibility, compliance with
the principles of correct administration and the adequacy of the organisational structure of the Company
and its operation through direct observations, attending meetings of the board and of the board committees,
collection of information from the corporate function managers, meetings with the Internal Audit manager
and with the Control, Risks and Sustainability Committee, and with the managers of the Independent
Auditors as well as with the Supervisory Body pursuant to Italian Legislative Decree 231/2001 and has no
observations to report.
During board meetings, the obligations to periodically report to the Board of Directors and to the Board of
Statutory Auditors provided for by Art. 2381 of the Italian Civil Code and Art. 150 of Italian Legislative
Decree 58/1998 were met.
9. With particular regard to the organisational and procedural controls implemented pursuant to Italian
Legislative Decree 231/2001, also based on the content of the Corporate Governance Report prepared by
the directors, the Board of Statutory Auditors reports that the Supervisory Body pursuant to Italian
Legislative Decree 231/2001 has been established since 28 May 2013. The Supervisory Body, in its current
collective composition, was renewed by the Board of Directors on 7 May 2021 until approval of the financial
statements as of 31 December 2023. The Supervisory Body ensured that adequate reporting was carried
out on the activities performed during the 2023 financial year, without finding any events or circumstances
Report of the Board of Statutory Auditors
8
requiring a mention in this Report. The Organisational Model was most recently updated and approved by
the Board of Directors on 14 February 2024. The Board of Statutory Auditors also notes that the
Company’s Code of Ethics was most recently updated at the meeting of the Board of Directors on 3 March
2023.
10. The Board of Statutory Auditors continuously supervised, also in its capacity as the Internal Control and
Audit Committee, pursuant to Art. 19(1)(c) of Italian Legislative Decree 39/2010, the adequacy and
effectiveness of the internal control and audit system. The supervisory activity was conducted through (i) the
information received during periodic meetings held with the Internal Audit Manager; (ii) the flows of
information from the Control and Risks Committee (specifically, through the examination of the Report on
the activity carried out, and on the adequacy of the internal control and risk management system); (iii) the
information provided by the Supervisory Body established pursuant to Italian Legislative Decree 231/2001,
with particular regard to that provided in the relevant periodic disclosure documents; (iv) the examination
of the corporate documents and of the results of the work performed by the Independent Auditors. To the
extent of its responsibility, no aspects have been identified that cast doubts on the adequacy and effectiveness
of the internal control system considered as a whole.
11. The Board of Statutory Auditors reports that the Company (i) operates in compliance with the provisions
introduced by Italian Law 262/2005, having appointed the Financial Reporting Officer and having adopted
the relevant operating guidelines; (ii) has established the Internal Audit function, without ties of dependency
on the operational functions, which is engaged in identifying any critical issues of the internal control system,
promptly reporting them to the CRSC.
In 2023, the Company continued its activities relating to the definition and implementation of the integrated
risk management system, known as the Enterprise Risk Management (ERM) system. Specifically, in 2023,
the Company carried out internal training and awareness-raising activities on the risk management and
monitoring culture in line with the principles described in the Risk Policy with the aim of: i) promoting and
supporting the adoption of a “risk-based approach” for the performance of business activities, ii) creating a
common framework to identify and classify corporate risks, iii) defining behaviours and actions to mitigate
them, and iv) providing an adequate monitoring and management system, as well as defining the role and
responsibilities of the individual risk owners.
The above-mentioned risk profile analyses are conducted with the assistance of the Internal Audit
department. In its report, the Internal Audit department confirms that the Internal Audit and Risk
Management System as a whole appears, to date, to be adequate for the requirements of control and the
mitigation of the main risks associated with business activities, in line with the Company’s strategic objectives.
With reference to the management of logistics and stock management processes, in 2023 the improvement
actions continued in line with what was planned by the Internal Audit department and already started in
2022. The Internal Audit department, having considered the ongoing improvement actions, will continue
the monitoring process.
In its report, the Control, Risks and Sustainability Committee assessed the organisational, administrative
and accounting system as adequate overall, and considers that it is appropriately structured and controlled.
In addition, also as a result of the meetings with the Internal Audit department, the Committee noted the
positive developments of the logistics and stock management processes, although continuous monitoring is
still required, with particular reference to the USA and North America area, and with the implementation
of certain procedural measures and improvements.
The Board of Statutory Auditors acknowledges and agrees with the facts and what was highlighted by PwC
and the CRSC in their respective reports regarding certain areas for optimisation and improved definition
Separate financial statements to 31 December 2023
9
of the internal control system. However, it does not believe that they raise any doubts concerning the
adequacy and effectiveness of the internal control system as a whole.
12. The Board of Statutory Auditors declares that it has familiarised itself with, and verified, to the extent of its
responsibility, the adequacy of the organisational structures, in terms of structure, procedures, competences
and responsibilities, in relation to the size of the Company, and the nature and methods of pursuing its
corporate purpose. It has also verified the adequacy of the internal audit and risk management system and
the administrative and accounting system, and the consequent reliability in correctly representing the
operational transactions through (i) the information acquired during meetings held with the Financial
Reporting Officer and examination of the certificates issued on 25 March 2024 pursuant to Art. 154-
bis
,
par. 5 of Italian Legislative Decree 58/1998 and Art. 81-
ter
of Consob Regulation 11971 of 14 May 1999,
as amended (“Regulation for enacting Italian Legislative Decree 58 of 24 February 1998 concerning the
rules and regulations of issuers”, also called the “Issuers’ Regulation”); (ii) the receipt of information from
the managers of the competent corporate functions; and (iii) the examination of the corporate documents
and results of the work performed by the Independent Auditors.
In this regard, the Board of Statutory Auditors did not issue any notifications to the Board of Directors
according to Art. 25-
octies
of Italian Legislative Decree no. 14 of 12 January 2019 (Business Crisis and
Insolvency Code) and did not receive any notifications from the public creditors pursuant to and for the
purposes of Art. 25-
novies
of Legislative Decree no. 14 of 12 January 2019.
In view of the supervisory activities carried out, the Board of Statutory Auditors, to the extent of its
responsibility, did not identify any critical issues with regard to the reliability of the administrative-accounting
system for the purpose of correctly representing the operational transactions.
13. With particular reference to the supervisory activities concerning the financial reporting process pursuant
to Art. 19(1)(a) of Italian Legislative Decree 39/2010, the Board of Statutory Auditors, in its capacity as the
Internal Control and Audit Committee, acknowledges that when exchanging information, the Independent
Auditors notified the Board of Statutory Auditors that the checks performed on the internal control system
regarding the aforesaid process did not highlight any significant gaps worthy of mention in the Additional
Report.
14. The Board of Statutory Auditors supervised the adequacy of the instructions given by the Company to its
subsidiaries pursuant to Art. 114, paragraph 2 of Italian Legislative Decree 58/1998 and has no observations
in this regard.
15. As previously reported, the Company complies with the Corporate Governance Code prepared by the
Corporate Governance of Listed Companies Committee and promoted by Borsa Italiana.
16. The corporate governance system adopted by the Company is described in detail in the 2023 Corporate
Governance Report.
The Board of Statutory Auditors also reports that the Company’s directors performed the annual
verification of independence requirements, also in the presence of the Board of Statutory Auditors, during
the Board of Directors meeting held on 14 February 2024. The results are provided in the Corporate
Governance Report, to which reference is therefore made. The members of the Board of Statutory Auditors
complied with the limit on the cumulative number of appointments laid down by Art. 144-
terdecies
of
Consob Regulation 11971 of 14 May 1999, as amended.
The Board of Statutory Auditors considers it appropriate to emphasise that it conducted its self-assessment
process for the 2023 financial year, at the end of which a summary document was produced, which provides
favourable evidence of the results of the assessment as concerns the independence requirements of the
Report of the Board of Statutory Auditors
10
members of the Control Body, the methods of performing the activities for which it is responsible and the
scope of the supervisory activities.
The Board of Statutory Auditors reports that, as stated in the Corporate Governance Report, the Company
has adopted the organisational procedure on Internal Dealing (Delegated Regulation 522 and Delegated
Regulation 523 of the European Commission) and the code of conduct that regulates the organisational
procedure aimed at identifying the relevant parties, determining the method of communicating with them
on their identification and regulating the associated obligations of disclosure to the Company and the
market.
Together with the Chairman of the Board of Directors, the Board of Statutory Auditors received the
Recommendations formulated by the Chairman of the Corporate Governance Committee of Borsa Italiana,
in a letter dated 14 December 2023. The Board of Directors was informed of this at its meeting of 14
February 2024, highlighting the fact that, with reference to the recommendations, the Company has already
adopted policies in line with the issues identified. The directors provided information on this in the
Corporate Governance Report.
Moreover, it is acknowledged that the Board of Statutory Auditors performed compliance audits pertaining to
the preparation of the draft separate and consolidated financial statements of the Group as of 31 December
2023, the respective Notes and the Report on Operations accompanying them, directly and with the assistance
of departmental managers and through the information obtained from the Independent Auditors. Specifically,
the Board of Statutory Auditors, based on its controls and the information provided by the Company, within the
limits of its responsibility according to Art. 149 of Italian Legislative Decree 59/98 and it being understood that
the statutory audit is performed by the Independent Auditors, acknowledges that, to the extent of its
responsibility, the statutory financial statements and the consolidated financial statements of Technogym as of
31 December 2023 were prepared in compliance with the provisions of the law regulating their preparation and
layout and with the International Financial Reporting Standards adopted by the European Union.
The separate and consolidated financial statements are accompanied by the required declarations of conformity
signed by the Chief Executive Officer and the Financial Reporting Officer.
As mentioned, the Board of Statutory Auditors also verified that the Company complied with the obligations set
forth in Italian Legislative Decree 254/2016 and that it drew up the Consolidated Non-Financial Statement as
required by Articles 3 and 4 of the same Decree. On this point, the Board of Statutory Auditors reports that the
Company made use of the exemption from the obligation to prepare the Individual Non-Financial Statement
provided for in Art. 6(1) of Italian Legislative Decree 254/2016 since it had prepared the Consolidated Non-
Financial Statement.
No significant events worthy of mention in this Report arose from the supervisory and control activity performed
by the Board of Statutory Auditors.
With regard to the above, having acknowledged the draft financial statements as of 31 December 2023, which
ended with a profit for the year amounting to Euro 74,462,610, and the results of the work carried out by the
Independent Auditors, considering everything contained in this Report, the Board of Statutory Auditors has no
objections to make concerning approval of the draft financial statements and the resolution proposals submitted
by the Board of Directors, including the proposal to distribute a unit dividend of Euro 0.26 per ordinary share
before statutory deductions from net profit for the 2023 financial year and the allocation of the residual profit
for the year to reserves.
Finally, it should be remembered that with the approval of these financial statements, the mandate granted to the
Board of Directors expires and, therefore, you will also be required to make a decision regarding this matter.
Separate financial statements to 31 December 2023
11
9 April 2024
Board of Statutory Auditors
Prof. Francesca di Donato
Pier Paolo Caruso
Fabio Oneglia
This report has been translated into English from the Italian original solely for the convenience of international
readers.
Report of the Independent Auditors
Separate financial statements to 31 December 2023
Report of the Independent Auditors
Separate financial statements to 31 December 2023
Report of the Independent Auditors
Separate financial statements to 31 December 2023
Certification of the financial statements
Certification of the financial statements
of Technogym S.p.A. pursuant to Consob
Regulation 11971 of 14 May 1999 as
amended
The undersigned Nerio Alessandri, in his capacity as Chairman of the Board and Chief
Executive Oicer of Technogym S.p.A., and William Marabini as Financial Reporting Oicer,
hereby certify, pursuant to Article 154-bis, paragraphs 3 and 4 of Legislative Decree 58 of
24 February 1998: that the administrative and accounting procedures used in the formation
of the individual and consolidated financial statements during the period 1 January to 31
December 2022 are adequate in relation to the characteristics of the business, and that they
were properly applied.
We also confirm that the Individual Financial Statements:
› have been drawn up in accordance with the international accounting standards
recognised in the European Union under Regulation (EC) No 1606/2002 of the European
Parliament and of the Council of 19 July 2002;
› correspond to the amounts shown in the Company’s accounts, books and records;
› provide a fair and correct representation of the financial conditions, results of operations
and cash flows of the Company and its consolidated subsidiaries.
The Report on Operations includes a reliable analysis of the business performance and
results, and of the situation of the Issuer, as well as a description of its main risks and
uncertainties.
Cesena, 25 March 2024
Financial Reporting Oicer Chairman of the Board of Directors and
Chief Executive Oicer
William Marabini Nerio Alessandri
Separate financial statements to 31 December 2023
Corporate data
REGISTERED OFFICE
Technogym S.p.A.
Via Calcinaro, 2861
47521 Cesena (FC) – Italy
LEGAL DETAILS
Authorised and subscribed share capital Euro 10,066,375
VAT number, Tax Code and
CCIAA (Chamber of Commerce, Industry, Craft Trade and Agriculture) no.: 06250230965
Forlì Cesena Economic and Administrative Register no. 315187
TECHNOGYM STORES
Cesena, Via Calcinaro 2861
Milan, Via Durini 1
New York, West Broadway, 380
London c/o Harrods, Brompton Road 87-135
London, Selfridges Oxford Street, 400
London Berkley, Piccadilly 71 (next opening)
Madrid, Calle de Claudio Coello, 77
Los Angeles, 131 N Robertson Blvd
Munich, Neuturmstraße 5
Hamburg, Neur Wall 77
Dubai, 795 Jumeirah St, Umm Suqeim 2
Abu Dhabi, c/o Marina Mall, King Salman Bin Abdulaziz Al Saud Street 18/3
Paris, Avenue de Friedland 15 (next opening)
www.technogym.com
INVESTOR RELATIONS
investor.relations@technogym.com
PRESS OFFICE
pressoice@technogym.com
Certification of the financial statements
Separate financial statements to 31 December 2023
Relazione
Finanziaria Annuale
2021
Technogym S.p.A.
Via Calcinaro, 2861 — 47521 Cesena (FC)
Capitale sociale Euro 10.066.375 interamente versato
Iscritta alla C.C.I.A.A. di Forlì Cesena al n. 315187 REA
Registro Imprese, Codice Fiscale, P. IVA n. 06250230965
Registered with the Economic and Administrative Index,
Companies’ Register, Tax code, VAT number 06250230965