/ RELESYS ANNUAL REPORT 2021
Reach, Engage,
and Unite the Power
of Your Workforce
RELESYS ANNUAL REPORT 2021
2
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The Company
Business Registration No.:
36 43 27 72
Date of incorporation:
30.10.2014
Financial year:
01.01–31.12
Executive Board
Jesper Roesgaard
Jens Ole Lebeck
Mads Stoffer Larsen
Auditors
Deloitte, Statsautoriseret
Revisionspartnerselskab
Empowering the
Global Workforce
At Relesys, we help companies reach, engage, and unite the power of their
workforce by bridging the gap between HQ and non-desk workers through a
unique and customized platform.
Our platform allows companies to streamline their communications, training, and
daily operations. We provide an all-in-one solution, that enables companies to
utilize their own easily accessible app for all employees, including their non-desk
workers, and contains all the information and tools they need to succeed in their
jobs, thus improving the overall company performance.
Anchored within our mindset is our belief that employees are a company’s most
valuable asset. This belief pervades our entire organization and inspires our
talented international team to empower organizations to grow their business by
first growing their people.
Welcome to our Annual Report 2021.
Relesys keeps momentum
high, realizing 40% growth in
annual recurring revenue
and thus meeting ARR
guidance of DKKm 30.6.
RELESYS ANNUAL REPORT 2021
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Contents
Management review
INTRODUCTION
Letter from our CEO
................................................. 6
Highlights 2021
........................................................ 7
Financial review 2021
............................................ 10
Financial outlook
.................................................... 12
CORPORATE IDENTITY
Corporate Purpose
................................................ 15
Our Partnerships
.................................................... 16
Diversity Policy
....................................................... 17
Shareholder information
........................................ 18
CORPORATE GOVERNANCE
Letter from our Chariman
....................................... 21
Corporate Governance
.......................................... 22
Executive Management
......................................... 22
Board of Directors
.................................................. 24
Financial statements
Statement by management .................................... 25
Independent auditor’s report
.................................. 26
CONSOLIDATED FINANCIAL STATEMENTS
Income statement
................................................... 29
Other comprehensive income
............................... 29
Balance sheet
........................................................ 30
Statement of changes in equity
.............................. 31
Cash flow statement
............................................... 31
Notes
....................................................................... 32
PARENT FINANCIAL INCOME STATEMENTS
Parent income statement
........................................ 56
Parent balance sheet
.............................................. 57
Statement of changes in equity
.............................. 58
Notes
....................................................................... 59
Page 24
In 2021 we established a professional
board of directors as a stepping stone
for future international growth.
Page 6
Listing on Nasdaq First North
Growth Market Denmark 1st of
December 2021.
With the new internal app, we have
been able to improve engagement and
communication among our employees,
strengthening the community across our
different locations in Denmark – creating
one common Carlsberg Danmark.
“
— AMALIE ABSALONSEN FRIS,
COMMUNICATION SPECIALIST, CARLSBERG DANMARK
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/ INTRODUCTION
Growing people,
Growing business
In review, 2021 was probably the most eventful
and significant year in Relesys’ history. We
delivered our financial targets by adding new
industry-leading clients to our portfolio as
well as further developing our existing client
engagements. Am I proud? Yes, for sure! But
even more so, I am grateful and humbled.
I am grateful for the trust and confidence our
clients are showing by allowing us to help grow
their people and their businesses every single
day. And I am humbled by the +1,100 investors
who joined us, believing in our strategy and the
market potential we are realizing.
In this regard, I also owe a big thank you to our
Board of Directors. With their diverse profiles
and strengths, they have been actively engaged
and played a highly supportive role in helping
our management team and myself fine-tune
our business and become better professionals,
both internally and externally.
I would also like to thank our incredible team
of employees who have been instrumental in
reaching our ambitious goals and have gone
above and beyond to deliver on our customer
promises.
LOOKING TOWARDS 2022
As we promised our investors in our IPO
prospectus when we originally filed for listing
on Nasdaq First North Premier Growth Market
Denmark, we are accelerating our growth strat-
egy by expanding our teams, especially within
sales and marketing in Denmark, Sweden, and
Benelux. Furthermore, we have initiated our
UK expansion, where we are looking forward
to opening our first office this summer and
addressing the huge market opportunities that
lie within our core industry expert areas – retail
and manufacturing.
We have set ourselves an ambitious growth and
expansion strategy to add more international
clients to our portfolio. Growing and scaling our
company to meet the demands of new
clients means we need to operate with agility
and flexibility. But it will also mean a greater
focus on ensuring that our corporate values and
culture are kept intact.
Over the years, we have demonstrated that
having a client-first mindset, where customiza-
tion and solving the individual business pains
of our clients, is a game-changer. This is what
sets us apart from becoming a one-size-fits-all
company delivering standardized and commod-
itized client deliverables. We are staying true to
our mindset and values, alongside our ongoing
quest to become the best-in-class provider of
communication and performance software –
globally.
#ThisIsRelesys
Co-founder and CEO,
Jesper Roesgaard
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/ INTRODUCTION
Highlights 2021
+121%
growth in revenue from
foreign country clients
20,6
25,7
34,5
2019 2020 2021
16,9
22,4
31,3
2019 2020 2021
2,2
3,3
-4,0
2019 2020 2021
Growth in revenue of DKKm 8.8 was driven by growth in
both SaaS revenue and revenue from our consultancy.
ARR growth accelerated in 2021 driven by low ARR churn
(3%), strong uplift (10%) and a high number of new clients
(33% growth). Average customer ARR grew from DKKt 185
to DKKt 194.
Free cash flow was negatively impacted by the operating
loss that was driven by growth initiatives launched in 2021 in
relation to the growth strategy.
At year end, ARR from foreign markets amounted to DKKm
7.0 which constitutes to 22% of total ARR.
24.3
7.01
33%
40%
Denmark
69%
Netherlands
10%
Sweden
10%
North America
4%
Rest of the World
6%
25%
34%
24.3
7.0
2.2
3.3
-4.0
16.9
22.4
31.3
20.6
25.7
34.5
Domestic Market
Foreign Market
2019 2020
2021
2019 2020 20212019 2020 2021
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Since the establishment of Relesys, our focus has been on
attracting market-leading brands that have a global presence
and operations across various markets. We are proud to
announce that we, yet again, have continued to add more
industry-leading brands to our growing client base, resulting
in an active user base in 91 countries across the various
solutions.
The largest share of our customers is based in Denmark,
Sweden, Benelux, and the US, from where they run their
operations. In 2021 we were happy to expand and extend
our client base, with wins in both current and new markets
and new agreements with subsidiaries of existing customers,
resulting in a 121% increase of growth in our revenue from
foreign country clients.
Even more organizations have seen the importance of
reaching, engaging and uniting their workforce through
digital solutions to streamline and strengthen their
communication, training and daily operations. We were
happy to welcome an impressive list of new clients,
including; Vestas, Carlsberg, Change Lingerie, Festi,
Toms, Wolff Sweden, Saphe, Message, FTZ, Hummel,
GUBI, Fitness World, Fenix, Cofoco and Amcor.
/ INTRODUCTION
Global presence
+18.5k
# of stores with active users
91
# of countries with active users
153k
# of onboarded users
23
# of supported languages
User presence within a country marked darkgreen
2021
To us, MyVestas is more than an app for
communicating with an often-overseen
workforce: production employees.
It is a tool for changing the culture, for
digitalizing production processes and
for involving our people in improving
our quality, safety and productivity.
Engagement is the key word.
“
— LINE MØLLER ROLAND,
LEAD SPECIALIST, COMMUNICATION & DIGITAL CHANGE
MANAGEMENT, VESTAS WIND SYSTEMS A/S
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INTRODUCTION
/ INTRODUCTION
Financial review
Relesys continued to deliver double-digit growth rates of ARR and revenue. Sweden and the
Benelux regions both showed strong growth rates, and sales are continuously accelerating
in both areas. Relesys also continued to sign top industry brands such as Vestas and
Carlsberg Danmark.
Throughout the second half of the year, Relesys invested a significant amount of energy and
focus in listing on Nasdaq First North Premium Growth Market and in raising DKKm 69.0 in
cash. Simultaneously, Relesys started preparation for accelerated growth. Both initiatives had
a significant impact on cost but did not jeopardize the topline and will not jeopardize
good business acumen in the operations of Relesys.
RESULTS (DKK million) 2021 2020 2019
Revenue 34.5 25.7 20.6
Growth 34% 25%
SaaS revenue 27.0 20.6 15.6
Growth 31% 5.1 5.0
Consultancy 7.5 5.1 5.0
Growth 46% 3%
Costs of sales 2.8 2.8 2.6
Other external expenses 9.8 5.6 4.6
Gross profit 21.9 17.3 13.4
Gross margin 64% 67% 65%
Staff cost 22.3 13.6 9.1
Other operating income 0.2 0.1 0
Other operating expenses 1.1 0.0 0.0
Operating profit before amortisation
and depreciation (EBITDA)
(1.2) 3.8 4.3
EBITDA margin (4%) 15% 21%
Amortisation, depreciation and impair-
ment
2.6 1.8 1.6
Operating profit (EBIT) (3.8) 2.0 2.7
Net financial expenses 0.4 0.2 0.1
Profit before tax (4.2) 1.8 2.6
Tax on profit for the year 0.6 0.2 0.7
Profit for the year (3.6) 1.6 1.9
FINANCIAL POSITION (DKK million) 2021 2020 2019
Balance sheet total 72.6 20.2 10.4
Investments in intangible assets 5.0 4.5 3.1
Investments in property, plant and eqipment 2.8 3.1 1.6
Equity 57.0 1.6 0.6
CASH FLOW
(DKK million)
Operating activities (2.0) 7.0 4.4
Investing activities (2.0) (3.7) (2.2)
Free cash flow (4.0) 3.3 2.2
Financing activities 59.9 (0.5) (1.7)
Cash flow for the year 55.9 2.8 0.5
SAAS KEY METRICS
Annual Recurring Revenue (DKKm) 31.3 22.4 16.9
SaaS share of revenue (%) 78% 80% 76%
Customer retention (%) 94% 95% 92%
Customer expected liftetime (years) 17.3 20.0 12.5
Number of customers 161 121 92
Number of onboarded users (thousands) 153 91 71
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ANNUAL RECURRING REVENUE
ARR grew by 40% compared to 2020, which was in line with the strategy set out
in the IPO prospectus and guidance on ARR of DKKm 30.6. The ARR growth
can be separated into: 1) strong client retention rate of 94% with only 3% ARR
churn, 2) strong ARR uplift of 10% and 3) new clients at a value of DKKm 7.2,
with is an addition of 32% to the 2020 ARR. At the end of 2021 ARR could be
attributed to 78% from the domestic market of Denmark and 22% from foreign
markets.
REVENUE
Revenue grew 34% compared to 2020 and was in line with the guidance of
DKKm 33.3. The growth was a result of an advancement in both SaaS revenue
(31%) and in consultancy revenue (46%). The development in SaaS revenue
was mainly driven by growth in the number of clients (33%). The growth in
revenue could furthermore be attributed to progression in each of the regions
that Relesys has clients in, and for the first time, revenue grew more outside the
home market.
GROSS PROFIT
Gross profit grew 27% compared to 2020. The growth in topline was partly
offset by increased other operational expenses, which grew in line with the use
of proceeds from the IPO document. Consequently, the gross profit margin
decreased from 67% to 64%.
STAFF COSTS
Staff costs increased by 64% compared to 2020, which was driven by additional
FTEs to support the growth of topline, aligned with the strategy of scaling
Relesys internationally. Among other initiatives, Relesys prepared the marketing
and sales functions for international expansion by hiring managers in the
respective functions with relevant experience. With the hiring of new employees,
Relesys accelerated the internationalization and growth across new markets.
EBITDA
Aligned with the strategy presented in the IPO prospectus, Relesys has been
investing heavily in securing growth internationally. Short-term investments are
resulting in a negative EBITDA, but long-term SaaS revenues will strengthen
profitability.
NET FINANCIAL EXPENSES
The growth in net financial expenses was driven by bank interests.
CASH FLOW FROM OPERATING ACTIVITIES
Relesys has had a strong history of growing the business while also ensuring a
positive cash flow. However, with the change in strategy and capital raised from
the IPO, Relesys transitioned into a phase with planned negative cash flow. As
a result, the operating activities contributed with negative DKKm 2.0 to cash
flow for the period.
CASH FLOW FROM OPERATING ACTIVITIES
Relesys continued to invest in its product platform. As in previous years,
Relesys invested in both the Relesys Core (Essentials) module as well as in
each of the Relesys Pro modules.
CASH FLOW FROM FINANCING ACTIVITIES
Relesys had two major financing activities during 2021.
1. Relesys acquired 49% of the shares in Relesys B.V. in May 2021 at a price
of DKKm 4.9.
2. Relesys increased its capital by DKKm 69.0 as part of the IPO in December
2021. Net of the cost directly related to the IPO, Relesys increased cash by
DKKm 63.8.
Development in annual recurring revenue
2020 ARR
ARR churn ARR uplift
2021 ARR from
existing clients
2021 ARR from
new clients
2021 ARR
22.4
-0.6
2.3 24.1
7.2 31.3
Customer growth and retention rates
94%
97%
92%
95%
94%
2017 2018 2019 2020 2021
37
68
92
121
161
Customer retention rate
Number of customers
Employee full-time equivalent
2017 2018 2019 2020 2021
30
43
56
22
14
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/ INTRODUCTION
Financial Outlook
Financial Outlook for 2022
For 2022, we expect an ARR of DKKm 40–42, which is in line with the expectations for the
future in the IPO prospectus.
Furthermore, we expect revenue of DKKm 41–45, which is also in line with the IPO
prospectus.
Relesys continues to focus on growing the existing markets in Scandinavia and Benelux.
In addition, Relesys will enter the UK market during 2022, which means that Relesys will
increase both staff costs and other external expenses significantly.
OUTLOOK 2022 (DKK’000)
2021
Actual
2022
Outlook
Annual Recurring Revenue 31.3 40-42
Revenue 34.5 41-45
Fulfillment of the ARR guidance depends on the following key drivers and assumptions:
• Continued low churn rate
• Continued strong uplift of existing clients
• Continued high growth of client base across industries and in foreign markets
In addition to above, fulfillment of the revenue guidance depends on the following key
drivers and assumptions:
• Continued short period for onboarding new clients.
Long term financial targets
Relesys continues to expect a CAGR of 35–41% from 2021 to 2024.
The higher growth rates in 2023 and 2024 reflects the projected crystallization of the heavy
investments in sales and marketing in 2021 and 2022, as well as the penetration of the new markets
in both 2022 and 2023.
Relesys continues the plan for the proceeds from the IPO Offering and will especially invest in
accelerating sales and marketing efforts. Those costs are recognized in Relesys’s costs in the profit &
loss statement. The investments in growth mean that Relesys will experience significant negative EBIT
margins in both 2022, 2023, and 2024
75-85
55-60
40-42
31
22
17
20242023
CAGR
35-41%
2022202120202019
EXPECTED ARR DEVELOPMENT
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Annual recurring revenue (ARR) is the annualized value of
subscriptions at a given date, entered into with Relesys.
New subscriptions are included in ARR at the time of entering into
a binding agreement, which would typically occur at the time of
signing an agreement.
For changes to existing subscriptions, ARR impact is included at
the time that the change enters into force.
Subscriptions that are terminated (ARR churn) are reduced on ARR
at the time that the agreement ceases to exist. Subscriptions are
typically entered into with an irrevocable period of 12–36 months.
Inclusion of ARR is conducted in the following manner:
• For 12-month subscriptions, ARR is included as 1 time the
value of the agreement.
• For 24-month subscriptions, ARR is included as 1/2 times the
value of the agreement.
• For 36-month subscriptions, ARR is included as 1/3 times the
value of the agreement.
• Monthly subscriptions and existing subscriptions that are
beyond the irrevocable period are included in ARR as 12 times
the actual monthly value of the subscription (MRR).
The value of ARR from transaction-based use is calculated as the
latest quarter’s actual transaction-based use multiplied by 4.
The value of customer customization and integrations are included
in ARR calculated as a prorated value over the subscription period.
ARR is calculated in Danish kroner. When entering into an
agreement in a foreign currency, a currency translation is
conducted at the time of entering into the agreement.
/ INTRODUCTION
SaaS metrics definitions
Annual Recurring Revenue definition: Other definitions:
Number of customers: We count customers by the number of
groups/companies with whom we have subscription agreements.
Customer churn rate: Number of customers at the start of the
period that left during period/number of customers at the start of the
period.
Customer retention: 100% - Churn %
Customer expected lifetime: 1 / Customer churn rate
Number of onboarded users: We count the number of onboarded
users as the number of new users created in apps relating to new
and existing customer agreements. The number of onboarded users
does not take user churn into consideration.
By being able to post content quick and easy
and see if employees have read it, we can
ensure that the quality of our services are
kept high, especially in the past year
with many and rapid changes!
“
— TONNIE SIJBRANT,
SERVICE & HOSPITALITY COORDINATOR, VUE NETHERLANDS
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/ CORPORATE IDENTITY
Corporate Purpose
At Relesys, we are doing away with the idea
that one size fits all. Since 2014, we have
followed our gut feeling and inner values
underpinning the foundation of our mindset:
growing people, growing business. We
are on a quest to become the best-in-class
provider of communication and performance
software – globally – by building long-lasting
relationships with our clients, and with one
key passion – employee engagement.
The marriage strategy
One of our most valuable assets is our relationship with
our clients. And they are not just clients to us: they are
co-developers. From the very beginning, our clients have
played a crucial role in the development of our platform,
and this has continued to the present day. At Relesys, we
follow what we call the marriage strategy – a strategy that
feeds on long-lasting customer relationships resulting in
high customer retention.
Our team wants to make a difference for all our clients and
help them succeed in engaging their employees every
day. The Relesys mindset is anchored within our team,
and they do their utmost to ensure that our clients are left
with the best possible experience, whether in a meeting,
over the phone, or through support. For that reason, our
Client Success Team is by far the largest department
at Relesys. This team maintains a close and personal
relationship with clients and their solutions.
Anchored within the Relesys mindset is
that we go the extra mile to understand
our customers and their employees. For
us to support our clients in reaching their
full potential, we must start by gaining an
understanding of the employees’ daily lives,
drivers, and commitment towards their
workplace. By laying the right foundation,
we can customize a solution that can
reach, engage, and unite the power of their
workforce. We want to ensure we leave
something valuable for the next generation.
And the generation after that. Because
everything starts and ends with people.
Our Partnerships
Since day one, we have had a firm foothold within the retail
sector and with market-leading brands. We are number
one in supporting store-based retailers with extensive
organizational hierarchies in how they engage and interact
with their employees, especially when they may be spread
across countries, regions, cities, departments, and teams.
Subsequently, we have extended our client base by
utilizing our already established industry knowledge in
retail and pinpointing the common challenges similar
companies face, especially with regards to internal
communication, engagement, and performance
management. The main challenge is that they sometimes
struggle to reach, engage and unite their workforces.
The diversity within the respective organizations and the
physical distance between headquarters and non-desk
workers make it particularly difficult to ensure high
engagement. We are now also supporting companies
within industries such as transportation, manufacturing,
production, and hospitality by solving these challenges
and uniting their organization as a whole.
In 2021, we have continued to develop our partnerships
with our existing client base and are happy to announce
more market-leading brands to our growing client base,
including Vestas, Amcor, Carlsberg Danmark, Fitness
World, Change Lingerie, and Cofoco.
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Keeping people
as the heart of the
business
At the end of 2021, Relesys employed
more than 70 talented people across all our
locations in Copenhagen, Aarhus, Odense,
Stockholm, Amsterdam, and Minsk. Our team
represents a range of diverse nationalities and
different perspectives, and this enables us to
offer our clients the best possible customised
and innovative solutions.
Nearly all our employees come from a retail
background and are deeply passionate about
the purpose of the platform: to reach, engage,
and unite the power of our clients’ workforce.
Our new Diversity
and Inclusion policy
At Relesys, we dedicate ourselves to
encouraging a supportive and inclusive
environment and culture as we know that
the key to succeeding in our mission is to
have the right people. We have therefore
introduced a global Diversity and Inclusion
policy. Our policy prescribes our position on
equal rights for all our employees as well as
providing them the opportunity to realize their
potential within Relesys. With this policy, we
have introduced various initiatives for us to
increase diversity within the organization. The
Diversity and Inclusion Policy is reviewed by
the Board of Directors and will be reported on
annually in line with applicable law. For more
information about our Diversity and Inclusion
Policy please visit www.relesys.net/investors.
At Relesys, we aim to recruit talented
people and help them develop, so we have
a constant flow of people who can take on
leadership roles while still understanding
and representing the culture of the company.
Anchored within our mindset is our belief that
employees are the most valuable asset, and
this belief pervades our entire organization.
We build on the core principles of a strong
culture, which has resulted in an open-
minded, ambitious, informal, and fast-paced
working environment where employees
laugh and thrive daily while being dedicated
to working towards the same goal. We will
continue to build upon this established culture
while hiring more talented employees.
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/ CORPORATE IDENTITY
Shareholder Information
8 Nov. No. 1 Relesys A/S publishes prospectus and has applied for admission to trading on
Nasdaq First North Premier Growth Market Denmark
24 Nov. No. 2 Offering of New Share in Relesys A/S was successfully completed – The Offering
received subscription for DKK 221 Million (oversubscribed by 167%)
29 Nov. No. 3 Settlement and registration of capital increase
29 Nov. No. 4 Relesys A/S: Notification of transactions by persons discharging managerial
responsibilities and persons closely associated with them
COMPANY ANNOUNCEMENTS
In 2021, we published four company announcements. These are listed in the chart below:
Number of share of DKK 1 on 31 Dec. 2021 51,040,000
Restrictions on transferability and voting rights None
Listed Nasdaq First North Premier Growth Market Denmark
Trading symbol RELE
ISIN code DK0061680436
RELESYS SHARE DATA
FINANCIAL CALENDAR FOR
2022 IS AS FOLLOWS:
Annual General Meeting
April 27
Quarterly Update (Q1)
25 May
Half-year Report
29 August
Quarterly Update (Q3)
29 November
COMMUNICATION WITH SHAREHOLDERS
Through professional, transparent, and proactive communication, we wish to
provide the basis for a fair pricing of our share, resulting in long-term economic
value for our shareholders. To keep our investors and other stakeholders
up to date with the latest developments throughout the year, our Executive
Management and Investor Relations stay in close contact with existing and
potential investors through financial releases, company announcements, and
press releases, to maintain an open and constructive dialogue with the capital
market.
When asked to review analyst models and reports, the Company limits its
comments to correcting factual historical information and drawing attention to the
publicly available information. We observe a four-week silent period prior to the
release of a financial report. For more information about our Investor Relations
Policy, please visit www.relesys.net/investors
DIVIDENDS
The Company’s ability to pay dividends depends, among other things, on its
financial condition, working capital requirements, the availability of distributable
profits and reserve and cash available, and other factors that the Board of
Directors may deem relevant. During the period of the current growth strategy,
the Board of Directors proposed not to pay dividends as the Company is in
a growth phase and intends to reinvest any profit in activities to continue the
growth.
“
The aim of GinaNow is that it shall be a
platform for all communication within the
company. Therefore, it was a matter of course
that our introductory program and all digital
training would also be here. One and the same
platform for everything, smooth and easy.
— SARA JANSTRÖM, TRAINING MANAGER,
GINA TRICOT
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CORPERATE GOVEERNANCE
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2021 has been a historic year for Relesys.
We had an ambitious mission of advancing
our growth and taking the next steps towards
realizing the immense market potential that lies
ahead. It all culminated on the 1st of Decem-
ber, when we reached a significant milestone
and were listed on Nasdaq First North Premier
Growth Market Denmark.
With the capital raised on Nasdaq First North
Premier, it is now possible for us to continue
accelerating Relesys’ growth trajectory by
expanding internationally. By doing so, we
can empower even more companies to reach,
engage, and unite the power of their work-
force, and become the best-in-class provider of
communication and performance solutions for
non-desk workers globally.
As an important first step in achieving our
goal, the Board of Directors is very pleased
that Relesys is delivering on our promises with
a strong ARR, and revenue growth driven by
high customer retention and a growing client
base among industry-leading brands. We look
forward to continuing the strong collaboration
with the Executive Management Team during
the exciting times that lie ahead.
Looking further into 2022, we continue to pur-
sue our ambitious growth targets by executing
our expansion strategy within both current and
new markets. I would like to thank the whole
team at Relesys for their commitment, innova-
tion, and perseverance during a highly transfor-
mational year. We have just embarked on this
new and incredible journey, and we will contin-
ue to work hard on delivering on the promises
we made to our investors.
Chairman of the Board of Directors
Alexander Martensen Larsen
/ CORPORATE GOVERNANCE
Letter from
our Chairman
RELESYS ANNUAL REPORT 2021
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CORPERATE GOVEERNANCE
REACH / ENGAGE / UNITE
/ CORPORATE GOVERNANCE
Corporate Governance
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CORPERATE GOVEERNANCE
REACH / ENGAGE / UNITE
/ CORPORATE GOVERNANCE
RELESYS ANNUAL REPORT 2021
24
CORPORATE IDENTITY
REACH / ENGAGE / UNITE
/ CORPORATE IDENTITY
Board of Directors
1
Thor Skov Jørgensen is employed by Salling Group, which is one of the Company’s largest customers. However, Thor Skov Jørgensen is not involved in the business relationship and related transactions.
Number of Shares
Chairman of the Board of Directors
Alexander Martensen-Larsen 80,000 shares
Member of the Board of Directors
Camilla Simonsen 80,000 shares
Member of the Board of Directors
Thor Skov Jørgensen 32,000 shares
Member of the Board of Directors
Claus Jul Christiansen 80,000 shares
Member of the Board of Directors
Lars Kristian Runov 160,000 shares
Alexander Martensen-Larsen
Office: Chairman
Gender: Male
Member since: 2021
Up for re-election: Yes
Born: 1975
Independency: Considered Independent
Skills and experience:
• Management experience from Managerial Duties and Directorships.
• Strategy, business development and financial management
• Organizational transformation
Other Managerial duties and Board positions:
Chairman NS Give Elementer A/S
Chairman Lundsby Industri A/S
Chairman Give Elementfabrik A/S
Chairman Thejewelleryroom
Member Gubra A/S
Claus Jul Christiansen
Office: Member
Gender: Male
Member since: 2021
Up for re-election: Yes
Born: 1966
Independency: Considered Independent
Skills and experience
• General international management experience
• Product Management, direct consumer sales and partnership management
• Various directorships within Microsoft Denmark 2010-2021
Other Managerial duties and Board positions:
Member Acies A/S
Member Workpoint
Member Konsolidator
Camilla Simonsen
Office: Member
Gender: Female
Member since: 2021
Up for re-election: Yes
Born: 1981
Independency: Considered Independent
Skills and experience
• General international management experience.
• Extensive sales experience and international expansion
• COO of Siteimprove A/S 2015 - 2021
Other Managerial duties and Board positions:
Member Pleaz ApS
Chief of Staff Siteimprove A/S
Thor Skov Jørgensen
Office: Member
Gender: Male
Member since: 2021
Up for re-election: Yes
Born: 1982
Independency: Not considered Independent
Skills and experience:
• General international management experience
• Strategy, commercial excellence and change management
• Extensive knowledge of digital transformation in the retail industry
Other Managerial duties and Board positions:
Member SKAGENFOOD A/S
EVP Salling Group A/S
Lars Runov
Office: Member
Gender: Male
Member since: 2021
Up for re-election: Yes
Born: 1970
Independency: Considered Independent
Skills and experience
• General international management experience
• Go-to-market strategies, revenue growth, inbound marketing
• Vice President at Unity Technologies ApS 2012-2016
Other Managerial duties and Board positions:
Member Leapeo ApS
Member T-Bone K/S
Member Innoflow
CEO Presence ApS
CEO CAS Presence ApS
RELESYS ANNUAL REPORT 2021
24
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
Financial
statements
Statement by management .................................................................. 25
Independent auditor’s report
................................................................ 26
CONSOLIDATED FINANCIAL STATEMENTS
Income statement
................................................................................. 29
Other comprehensive income
............................................................. 29
Balance Sheet
...................................................................................... 30
Statement of changes in equity
............................................................ 31
Cash flow statement
............................................................................. 31
Notes
..................................................................................................... 32
PARENT FINANCIAL INCOME STATEMENTS
Parent income statement
...................................................................... 56
Parent balance sheet
............................................................................ 57
Statement of changes in equity
............................................................ 58
Notes
..................................................................................................... 59
RELESYS ANNUAL REPORT 2021
25
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
/ FINANCIAL STATEMENTS
Statement by management
Executive Board:
Board of Directors:
RELESYS ANNUAL REPORT 2021
26
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
/ FINANCIAL STATEMENTS
Independent auditor’s report
OPINION
BASIS FOR OPINION
STATEMENT ON THE MANAGEMENT COMMENTARY
RELESYS ANNUAL REPORT 2021
27
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
MANAGEMENT'S RESPONSIBILITIES FOR THE
CONSOLIDATED FINANCIAL STATEMENTS AND THE
PARENT FINANCIAL STATEMENTS
AUDITOR'S RESPONSIBILITIES FOR THE AUDIT OF
THE CONSOLIDATED FINANCIAL STATEMENTS AND
THE PARENT FINANCIAL STATEMENTS
Business Registration No 33 96 35 56
Identification No (MNE) mne32127
RELESYS ANNUAL REPORT 2021
28
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
Consolidated
Financial
Statements 2021
CONSOLIDATED FINANCIAL STATEMENTS
Income statement ................................................................................... 29
Other comprehensive income
............................................................... 29
Balance Sheet
........................................................................................ 30
Statement of changes in equity
.............................................................. 31
Cash flow statement
............................................................................... 31
Notes
....................................................................................................... 32
RELESYS ANNUAL REPORT 2021
29
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
/ CONSOLIDATED FINANCIAL STATEMENTS
Consolidated financial statements
DKK’000
Note
2021 2020
Revenue
4,5
Cost of sales (2,763 ) (2,712 )
Other external expenses (9,823 ) (5,644 )
Gross profit 21,914 17,342
Staff costs
6,7
(22,289 ) (13,701 )
Other operating income 182 57
Other operating expenses (1,053 ) -
Amortisation, depreciation and impairment
8
(2,584 ) (1,766 )
Operating profit / loss (3,830 ) 1,932
Financial income
9
Financial expenses
10
(372 ) (196 )
Profit / loss before tax (4,184 ) 1,745
Tax for the year
11
Profit / loss for the year (3,626 ) 1,539
DKK’000
Note
2021 2020
Exchange differences on translation of foreign operations (58 ) 2
Other comprehensive income for the year, net of tax (58 ) 2
Total comprehensive income for the year (3,684 ) 1,541
PROFIT OR LOSS FOR THE PERIOD ATTRIBUTABLE TO:
Non-controlling interests 78 121
Owners of the parent (3,548 ) 1,418
(3,626 ) 1,539
COMPREHENSIVE INCOME FOR THE PERIOD ATTRIBUTABLE TO:
Non-controlling interests 78 121
Owners of the parent (3,762 ) 1,420
(3,684 ) 1,541
Earnings per share (DKK) (0.01 ) 30.78
Earnings per share, diluted (DKK) - -
CONSOLIDATED STATEMENT OF PROFIT AND LOSS
OTHER COMPREHENSIVE INCOME
Other comprehensive income that may be reclassified to profit or loss in
subsequent periods (net of tax)
RELESYS ANNUAL REPORT 2021
30
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
/ CONSOLIDATED FINANCIAL STATEMENTS
Balance sheet
DKK’000
Note
2021 2020
Intangible assets
12
Property, plant and equipment
13
Contract costs
5
Right-of-use assets
14
Deposits
15
Total non-current assets 8,228 7,798
Trade receivables
16
Contract costs
5
Income tax receivables 556 483
Other receivables 392 40
Prepayments 13 302
Cash 59,260 3,327
Total current assets 64,357 12,360
Total assets 72,585 20,158
DKK’000
Note
2021 2020
Share capital
17
Share premium 68,890 -
Retained earnings (12,345 ) 1,444
Translation reserve (58 ) 2
Non-controlling interests - 59
Total equity 56,997 1,555
Interest bearing liabilities 639 758
Deferred tax
11
Lease liabilities
14
Other provisions - 25
Other payables
18
Total non-current liabilities 2,843 3,459
Interest bearing liabilities 2,314 118
Lease liabilities
14
Trade payables 1,955 1,605
Income tax payable 14 26
Deferred income
5
Other payables
18
Total current liabilities 12,745 15,144
Total liabilities 15,588 18,603
Total equity and liabilities 72,585 20,158
ASSETS EQUITY AND LIABILITIES
RELESYS ANNUAL REPORT 2021
31
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
DKK’000
Share
capital
Share
premium
Retained
earnings
Trans-
lation
reserve
Pro-
posed
dividend Total
Non-con-
trolling
interests Total
Balance at 1 January 50 1,444 2 1,496 59 1,555
Net profit(loss) for the period (3,626 ) (3,626 ) 78 (3,548 )
Other comprehensive income (58 ) (58 ) (58 )
Total comprehensive income (3,626 ) (58 ) (3,684 ) 78 (3,606 )
Acquisition of non-controlling interests (4,771 ) (2 ) (4,773 ) (137 ) (4,910 )
Capital increase as part of company
transformation
Capital increase as part of IPO 110 68,890 69,000 69,000
Transaction cost for equity issuance (5,142 ) (5,142 ) (5,142 )
Share based payments 100 100 100
Total transactions with the owners 460 68,890 (10,163 ) (2 ) 59,185 (137 ) 59,048
Balance at 31 December 510 68,890 (12,345 ) (58 ) 56,997 56,997
Cash flow statement
DKK’000
Note
2021 2020
Operating profit (3,830 ) 1,932
Depreciation, amortisation and impairment losses 2,584 1,766
Share-based payments expense 100 -
Change in working capital (805 ) 4,156
Income taxes received (paid) 225 (671 )
Interest received 18 9
Interest paid (239 ) (196 )
Cash flow from operating activities (1,947 ) 6,996
Investments in intangible assets (1,714 ) (2,360 )
Investments in tangible assets (72 ) (1,335 )
Change in deposits (227 ) (21 )
Cash flow from investing activities (2,013 ) (3,716 )
Other loans raised 2,196 886
Repayment of borrowings (118 ) (10 )
Payment of principal portion of lease liabilities (1,124 ) (797 )
Payment of dividend - (600 )
Investment in non-controlling interest (4,910 ) -
Transaction costs from capital increase (5,142 ) -
Cash from capital increase 69,000 -
Cash flow from financing activities 59,902 (521 )
Change in cash and cash equivalents
Cash at 1 January 3,327 658
Net cash flow 55,942 2,759
Currency translation -9 0
Cash at 31 December 59,260 3,327
Consolidated statement of changes in equity
2021
DKK’000
Share
capital
Share
premium
Retained
earnings
Trans-
lation
reserve
Pro-
posed
dividend Total
Non-con-
trolling
interests Total
Balance at 1 January 50 26 600 676 (62 ) 614
Net profit(loss) for the period 1,418 1,418 121 1,539
Other comprehensive income 2 2 2
Total comprehensive income 1,418 2 1,420 121 1,541
Paid dividend (600 ) (600 ) (600 )
Balance at 31 December 50 1,444 2 1,496 59 1,555
2020
RELESYS ANNUAL REPORT 2021
32
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
Notes to the
consolidated
financial
statements
1. Accounting policies ............................ 33
2. Adoption of new and amended standards .......... 39
3. Critical accounting judgements and key sources of
estimation uncertainty ............................ 39
4. Segment information .......................... 40
5. Revenue .................................... 40
6. Staff costs ................................... 41
7. Share-based payments ......................... 42
8. Amortisation, depreciation, and impairment ........ 43
9. Financial income .............................. 43
10. Financial expenses ........................... 43
11. Tax for the year .............................. 44
12. Intangible assets ............................. 45
13. Property, plant & equipment .................... 46
14. Leases ..................................... 47
15. Deposits ................................... 48
16. Trade receivables ............................ 48
17. Share capital and earnings per share ............ 49
18. Other payables .............................. 49
19. Financial risks ............................... 50
20. Working capital changes ...................... 53
21. Other disclosures relating to consolidated statement
of cash flow .................................... 53
22. Related parties .............................. 54
23. Events after the reporting period ................ 54
RELESYS ANNUAL REPORT 2021
33
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
Basis of preparation
The Financial Statements are presented in Danish kroner
(DKK). All amounts have been rounded to nearest DKK
thousand, unless otherwise indicated.
The Financial Statements have been prepared on a going
concern basis and in accordance with the historical cost
convention, except where IFRS explicitly requires use of
other values.
For the purpose of clarity, the Financial Statements and
the notes to the Financial Statements are prepared using
the concepts of materiality and relevance. This means
that line items not considered material in terms of quan-
titative and qualitative measures or relevant to financial
statement users are aggregated and presented together
with other items in the Financial Statements. Similarly,
information not considered material is not presented in
the notes.
The accounting policies, except as described below, have
been applied consistently during the financial year and
for the comparative figures.
/ NOTE 1
Accounting policies
Basis of consolidation
The Consolidated Financial Statements comprise the
Financial Statements of Relesys A/S (the Parent) and
subsidiaries which are entities controlled by Relesys A/S.
The Group controls an entity when it directly or indirectly
owns more than 50% of the voting rights or may other-
wise exercise a controlling influence.
The Group’s Consolidated Financial Statements have been prepared in accordance with In-
ternational Financial Reporting Standards (“IFRS”) as adopted by the EU and additional Dan-
ish disclosure requirements for the financial statements of reporting class B enterprises with
additions of certain provisions for reporting class C enterprises, cf. the Danish Executive Order
on Adoption of IFRSs (“IFRS-bekendtgørelsen”) issued in accordance with the Danish Financial
Statements Act (“DFSA”).
Principles of consolidation
The Consolidated Financial Statements are prepared on
the basis of the Financial Statements of the Parent and its
subsidiaries.
The Consolidated Financial Statements are prepared by
combining items of a uniform nature and subsequently
eliminating intercompany transactions, internal share-
holdings and balances and unrealised intercompany
gains or losses. The Financial Statements used for con-
solidation are prepared in accordance with the Group’s
accounting policies.
The line items of subsidiaries are recognised 100% in the
Consolidated Financial Statements. Investments in sub-
sidiaries are offset by the interest’s share of subsidiaries’
net assets at the acquisition date at fair value.
Accounting policies are described in full in this note
below.
Name Country Ownership
Relesys B.V the Netherlands 100%
Relesys AB Sweden 100%
RELESYS ANNUAL REPORT 2021
34
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
/ NOTE 1
Accounting policies (Continued)
Foreign currency translation
Transactions denominated in currencies other than the function-
al currency are considered transactions in foreign currency.
On initial recognition, transactions denominated in foreign
currencies are translated to the functional currency at the
exchange rates at the transaction date. Foreign exchange rate
adjustments arising between the transaction date and the date
of payment are recognised in the statement of profit or loss in
financial income or financial expenses.
Monetary assets and liabilities denominated in foreign curren-
cies are translated at the exchange rates at the reporting date.
The difference between the exchange rates at the reporting date
and at the date of the transaction or the exchange rate in the
latest Financial Statements is recognised in the statement of
profit or loss in financial income or financial expenses.
Cash flow statement
The cash flow statement is presented using the indirect method
and shows cash flows from operating, investing, and financing
activities for the year as well as the Group’s cash and cash
equivalents at the beginning and end of the financial year.
Cash flows from operating activities are calculated based on op-
erating profit/loss, adjusted for the cash flow effect of non-cash
operating items, working capital changes, financial expenses
paid and income tax paid.
Cash flows from investing activities comprise payments in con-
nection with the acquisition and sale of non-current intangible
assets, property, plant and equipment, and financial assets.
Cash flows from financing activities comprise payments arising
from changes in the size or composition of the Group’s share
capital and dividend paid. Cash and cash equivalents comprise
cash at the bank and in hand.
Non-IFRS financial measures
The Group uses certain financial measures that are not
defined in IFRS to describe the Group’s financial per-
formance. These financial measures may therefore be
defined and calculated differently from similar measures
in other companies, and thus not be comparable.
RELESYS ANNUAL REPORT 2021
35
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
The Group recognises revenue from the following major
sources being subscriptions, integrations & customizations,
and consultancy. Revenue mainly derives from subscrip-
tion fees charged for the Group’s software licenses. For
software contracts, which are comprised of several com-
ponents, the total contract sum is allocated to the sepa-
rate performance obligations for the purpose of revenue
recognition.
Revenue recognition requires an agreement with the
customer, which creates enforceable rights and obligations
between the parties, has commercial substance, and identi-
fies payment terms. In addition, it must be probable that the
consideration determined in the contract will be collected.
Revenue is measured based on the consideration to which
the Group expects to be entitled in a contract with a cus-
tomer and excludes amounts collected on behalf of third
parties. The Group recognises revenue when it transfers
control of the license or service to a customer. All revenue
is derived from contracts with customers.
Statement of profit or loss
Revenue
SUBSCRIPTION FEES
Subscription fees cover license, hosting, and maintenance.
The license is not distinct from the hosting service, reve-
nue is therefore recognised over time, as the customers
are receiving and consuming the benefits of the Group‘s
performance while performing. The hosting service and
maintenance are therefore bundled to one performance
obligation together with the license.
INTEGRATIONS & CUSTOMIZATIONS
Fees to integrations and customizations include services
related to installation, implementation, and configuration.
The services are not distinct from the subscription fee as
the customer cannot benefit from the service on its own
and are not separately identifiable from other promises
in the contract. Revenue is recognised over time, as the
customers are receiving and consuming the benefits of the
Group’s performance while performing.
CONSULTANCY
Consultancy includes the development of add-ons and
customisation according to the specific needs of the cus-
tomers. The consultancy is distinct from the subscription
fee as the customer can benefit from the service on its own
and the promise to transfer the service to the customer is
separately identifiable from other promises in the contract.
Revenue is recognised over time as Relesys’ performance
does not create an asset with alternative use and the entity
has a right to payment for performance completed to date.
/ NOTE 1
Accounting policies (Continued)
RELESYS ANNUAL REPORT 2021
36
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
Cost to obtain a contract
The Group pays sales commission to its employees for each con-
tract that they obtain for sales of licenses. The commissions are
recognised as contract costs in the statement of financial position
and amortised between 24 and 36 months.
Capitalised contract costs are subject to an impairment assess-
ment at the end of each reporting period. Impairment losses are
recognised in profit or loss as staff costs
Other external expenses
Other external costs comprise costs incurred for distribution,
sales, advertising, administration, premises, loss on receivables.
Staff costs
Staff costs include salaries and wages, including holiday allow-
ances, pensions, share-based payments, and other social security
costs, etc., for staff members.
Share-based payments
Share-based compensation benefits in respect of a warrant pro-
gram are provided to other key management personnel and other
employees.
The warrant program is classified as an equity arrangement. As
such, the fair value of the warrants granted under the program is
recognised as an expense with a corresponding increase in equi-
ty. The total amount to be expensed is determined by reference to
the grant date fair value of the warrants. The total expense is
recognised over the vesting period, which is the period over which
all of the specified vesting conditions are to be satisfied. At the
end of each period, the Company revises its estimates of the num-
ber of warrants that are expected to vest based on the non-mar-
ket vesting and service conditions. It recognises the impact of
the revision to original estimates, if any, in profit or loss, with a
corresponding adjustment to equity. Further information about the
share-based payment program is disclosed in note 7.
Financial income and financial expenses
Financial income and expenses include interest income, interest
expense, amortisation of borrowing costs, and realised and unre-
alised exchange gains and losses.disclosed in note 7.
Tax
Tax on the profit or loss for the year comprises the year’s current
tax and changes in deferred tax. The tax expense relating to the
profit or loss for the year is recognised in the statement of profit
or loss, and the tax expense relating to items recognised in other
comprehensive income and directly in equity, respectively, is
recognised in other comprehensive income or directly in equity.
Exchange rate adjustments of deferred tax are recognised as part
of the adjustment of deferred tax for the year.
Current tax payable and receivable is recognised in the statement
of financial position as the expected tax on the taxable income for
the year, adjusted for tax paid on account. The current tax charge
for the year is calculated based on the tax rates and rules enacted
at the statement of financial position date.
Deferred tax is calculated using the liability method on all tem-
porary differences between the accounting and taxable values of
assets and liabilities.
Deferred tax assets are assessed yearly and only recognised to
the extent that it is more likely than not that they can be utilised.
Deferred tax assets, including the tax value of tax losses carried
forward, are recognised as other non-current assets and mea-
sured at the amount at which they are expected to be realised,
either by setting off deferred tax liabilities or by setting off tax on
future earnings within the same legal entity or a jointly taxed entity.
Deferred tax is measured based on the tax legislation and stat-
utory tax rates in the respective countries that will apply under
the legislation in force on the statement of financial position date
when the deferred tax asset is expected to crystallise as current
tax. Changes in deferred tax resulting from changes in tax rates
are recognised in the statement of profit or loss.
The Group recognises deferred tax assets relating to losses
carried forward when Management finds that these can be offset
against taxable income in the foreseeable future. An assessment
is made taking into consideration the effect of restrictions in utili-
sation in local tax legislation. Future taxable income is assessed
based on budgets as well as Management’s expectations regard-
ing the growth and operating margin in the coming years.
/ NOTE 1
Accounting policies (Continued)
RELESYS ANNUAL REPORT 2021
37
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
/ NOTE 1
Accounting policies (Continued)
Intangible assets
Intangible assets with determinable useful lives compris-
ing completed and in-progress development projects are
measured at cost less accumulated amortisation and im-
pairment losses. Completed development projects by the
Group are recognised as an asset if the cost of develop-
ment is reliably measurable and an analysis future shows
that the economic benefits from using the software exceed
the cost.
Cost is defined as development costs incurred to the devel-
opment of projects and consists of direct salaries and other
directly attributable costs.
Amortisation of the asset begins when development is
complete, and the asset is available for use. It is amortised
over the expected useful life on a straight-line basis. During
the period of development, the asset is tested for impair-
ment annually.
Amortisation and impairment charges are recognised in the
statement of profit or loss.
Expected useful lives are reassessed regularly. The Group
regularly reviews the carrying amounts of its finite-lived in-
tangible assets to determine whether there is an indication
of an impairment loss. Development projects are amortised
on a straight-line basis over the remaining patent period
and licenses are amortised over the contract period for a
period of 5-7 years.
Property, plant and equipment
Property, plant, and equipment comprise other fixtures and
fittings, tools, and equipment. Property, plant, and equip-
ment are measured at cost less accumulated depreciation
and accumulated impairment losses. Property, plant, and
equipment are depreciated on a straight-line basis over the
expected useful lives of the finite-lived assets, which are as
follows:
Other fixtures and fittings, tools, and equipment: 3-5 years.
Property, plant, and equipment are tested for impairment
if indications of impairment exist. Property, plant, and
equipment are written down to their recoverable amount if
the carrying amount exceeds the higher of the fair value,
less costs to sell and the value in use. Depreciation and
impairment charges are recognised in the statement of
profit or loss.
Balance sheet
Leases
When entering into an agreement, the Group assesses
whether an agreement is a lease agreement or contains a
lease element.
The right-of-use asset is measured at cost, which is cal-
culated as the present value of the lease obligation plus
any direct costs related to entering the lease and prepaid
lease payments.
The right-of-use asset is depreciated on a straight-line
basis over the shorter of the lease term and the useful life
of the asset.
The Group leases properties that include a service
element in the payments to the lessor. This service is
deducted from the lease payment when measuring the
lease obligation.
Short-term leases with a maximum lease term of 12
months and leases where the underlying asset has a low
value are not recognised in the statement of financial
position.
The lease term is defined as the non-cancellable period
of a lease together with periods covered by options to
extend the lease if it is reasonably certain that the options
will be exercised, and periods covered by options to
terminate the lease if it is reasonably certain that the
options will not be exercised. A number of leases contain
extension and termination options in order to guarantee
operational flexibility in managing the leases.
The lease obligation, which is recognised in “Lease liabil-
ities”, is measured at the present value of the remaining
lease payments, discounted by the Group’s incremental
loan interest rate if the implicit interest rate is not stated in
the lease agreement or cannot reasonably be determined.
The lease obligation is subsequently adjusted if:
• The value of the index or interest rate on which the
lease payments are based changes.
• There is a change in the expectations related to the
exercise of options to extend or shorten the lease period
due to a material event or material change in circumstanc-
es that are within the control of the lessee.
• The lease term is changed as a result of exercising an
option to extend or shorten the lease term.
Subsequent adjustments of the lease obligation are rec-
ognised as a correction to the right-of-use asset. Howev-
er, if the right-of-use asset has a value of DKK 0, a nega-
tive reassessment of the right-of-use asset is recognised
in the statement of profit or loss.
RELESYS ANNUAL REPORT 2021
38
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
/ NOTE 1
Accounting policies (Continued)
Trade receivables
Trade receivables are amounts due from customers for
services performed in the ordinary course of business. They
are recognised initially at the amount of consideration that is
unconditional unless they contain significant financing com-
ponents when they are recognised at fair value. The group
holds the trade receivables with the objective of collecting the
contractual cash flows and therefore measures them subse-
quently at amortised cost using the effective interest method
less loss allowance.
The group applies the IFRS 9 simplified approach to mea-
suring expected credit losses which uses a lifetime expected
loss allowance for all trade receivables. The measurement of
the expected credit losses is based on an individual assess-
ment of trade receivables. The expected loss rates are based
on the payment profiles and the corresponding historical
credit losses experienced adjusted to reflect current and for-
ward-looking information affecting the ability of the customers
to settle the receivables.
Trade receivables are written off (either partially or in full)
when there is no reasonable expectation of recovery. The
costs of allowances for expected credit losses and writeoffs
for trade receivables are recognised in the statement of profit
or loss in other external expenses.
Deposits
Deposits are measured at amortised cost and represent lease
deposits etc.
Prepayments
Prepayments comprise incurred costs relating to subsequent
financial years. Prepayments are measured at cost.
Proposed dividend
Dividend expected to be distributed for the year is
recognised as a separate item under equity. Proposed
dividend is recognised as a liability at the time of approval
by the Annual General Meeting (time of declaration).
Share premium
Share premium consists of positive differences between the
nominal value of share capital and amount paid by sharehold-
ers for newly issued shares. Share premium is a distributable
reserve.
Translation reserve
Exchange rate differences arising from the translation of for-
eign-controlled entities into the presentation currency, DKK,
are recognised in other comprehensive income and accumu-
lated on a separate reserve within equity. The accumulated
amount will be reclassified to profit or loss when the net
investment the translation reserve relates to is disposed of.
Transaction costs related to equity
issuance
Qualifying transaction costs incurred in connection with the
issuance of equity instruments are deducted from equity.
Where the qualifying transaction costs related to the listing of
existing and new shares, the part of the total transaction costs
deducted from equity are based on the ratio between existing
and new shares.
Interest-bearing liabilities
Interest-bearing liabilities include bank loan and a credit
facility. Interest-bearing liabilities are initially recognised at
fair value and are subsequently measured at amortised cost
using the effective interest method.
Trade payables and other payables
Trade payables represent liabilities for goods and services
provided to the group and are initially recognised at fair value
and subsequently measured at amortised cost using the
effective interest method.
Other payables include bonus and commission accruals, hol-
iday pay obligations, payroll taxes, and VAT. Other payables
are measured at cost.
RELESYS ANNUAL REPORT 2021
39
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
Relesys has adopted the following new or amended accounting standard and interpretations for the first time
for the annual reporting period commencing 1 January 2021:
• Amendments to IFRS 9, IAS 39, and IFRS 7 – Interest Rate Benchmark Reform (IBOR) - phase 2, which
enables entities to reflect the effects of transitioning from benchmark interest rates to alternative interest
rates without giving accounting impact.
• Amendments to IFRS 16 – Leases regarding COVID-19 related rent concessions, providing a practical
expedient to account for COVID-19 related rent concessions as if they did not lease modifications.
The adoption of new and amended standards and interpretations have not had a significant impact on the
recognition, measurement or disclosure in the consolidated financial statements for 2021 and is not expected
to have a significant impact on future periods.
/ NOTE 2
Impact from adoption of new or
amended accounting standards
/ NOTE 3
Critical accounting judgements and
key sources of estimation uncertainty
As part of the preparation of the Financial
Statements, Management makes a number of
accounting estimates and assumptions as a
basis for recognising and measuring the Group’s
assets, liabilities, income, and expenses as
well as judgments made in applying the entity’s
accounting policies. The estimates, judgments,
and assumptions made are based on experience
gained and other factors that are considered pru-
dent by Management in the circumstances, but
which are inherently subject to uncertainty and
volatility.
The assumptions may be incomplete or inaccu-
rate, and unforeseen events or circumstances
may occur, for which reason the actual results
may differ from the estimates and judgments
made. The accounting policies are described
in detail in note 1 to the Financial Statements to
which we refer.
Management considers the following accounting
estimates and judgments to be significant in the
preparation of the Financial Statements.
Estimates and assumptions
DEVELOPMENT COSTS
The Group capitalises costs for software devel-
opment projects. Initial capitalisation of costs is
based on management’s judgement that tech-
nological and economic feasibility is confirmed,
usually when a product development project
has reached a defined milestone according to
an established project management model.
In determining the amounts to be capitalised,
Management makes assumptions regarding the
expected future cash generation of the project
and the expected period of benefits. On 31 De-
cember 2021, the carrying amount of capitalised
development costs was DKKt 5,032 (2020: DKKt
4,485).
RELESYS ANNUAL REPORT 2021
40
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
/ NOTE 4
Segment information
For management purposes and based on internal reporting information, the Group is organ-
ised in only one operating segment, as the information reported includes operating results at a
consolidated level only. The costs related to the main nature of the business are not attributable
to any specific revenue stream or customer type and are therefore borne centrally. The results
of the single reporting segment are shown in the statement of comprehensive income.
The Executive Management is the Chief Operating Decision Maker (CODM), which is made up
of the senior leadership across the respective functional areas and is responsible for the strate-
gic decision-making and for the monitoring of the operating results of the single operating seg-
ment for the purpose of performance assessment. Segment performance is evaluated based on
profit or loss and is measured consistently with profit or loss in the Financial Statements.
In 2021, one customer exceeded 10% of total revenue accumulated at 13% (2020: One custom-
er with accumulated revenue of 18%).
DKK’000
2021 2020
SaaS Business 27,013 20,639
Consultancy 7,487 5,059
Total 34,500 25,698
/ NOTE 5
Revenue
REVENUE FROM EXTERNAL CUSTOMERS
DKK’000
2021 2020
Current 166 194
Non-current 276 142
Cost to obtain contracts 442 336
CONTRACT COSTS
Deferred income primarily relates to advance consideration received from customers from the
SaaS Business for which revenue will be recognized over time. The outstanding balance of
deferred income increased in 2020 was due to the continuous increase in the Group’s customer
base. The decrease during 2021 was primarily due to a change in the timing of invoicing.
2021 2020
Denmark 23,954 20,926
The Netherlands 3,586 2,827
Sweden 3,392 1,028
North America 1,452 592
Rest of the World 2,116 325
Total 34,500 25,698
EXTERNAL REVENUE BY GEOGRAPHY
2021 2020
DK 7,756 7,770
Rest of World 223 47
Total 7,979 7,817
NON CURRENT ASSETS BY GROGRAPHY
DKK’000
2021 2020 1 January
2020
Deferred income 4,909 7,393 3,835
During 2021 DKKt 382 was recognised in the proft and loss statement relating to contract costs
from previous years and contract costs from sales during 2021.
RELESYS ANNUAL REPORT 2021
41
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
The following table shows how much of the revenue recognised in the current reporting period relates to carried-
forward deferred income:
DKK’000
2021 2020
Amounts included in the deferred income balance at the beginning of the year 3,387 3,048
The following table shows the transaction price allocated to the remaining performance obligations (unsatisfied
or partially unsatisfied) resulting from consulting contracts and the SaaS Business:
DKK’000
2021 2020
Amounts of the transaction price allocated to remaining performance obligations 22,313 9,831
In the amount for remaining performance, obligations are included the unsatisfied long-term contracts, which
include considerations for the users in the remaining contract period. The amount disclosed above does not
include variable considerations.
Management expects that 67% of the transaction price allocated to remaining performance obligations as of
31 December 2021 will be recognised as revenue during the next reporting period. The remaining 33% will be
recognised in the financial years of 2023 through 2025.
/ NOTE 6
Staff costs
2021 Remuneration Pension Share based Total
Board of directors 320 - - 320
Executive management 2,567 160 - 2,727
Other key management personel 2,586 150 72 2,735
Total 5,473 309 72 5,782
BOARD OF DIRECTORS AND KEY MANAGEMENT PERSONNEL
DKK’000
2021 2020
Salaries and wages 19,794 11,770
Pension costs 1,139 742
Share-based payments 100 0
Other social security costs 365 478
Other staff costs 891 711
Total 22,289 13,701
STAFF COSTS
Pension costs relates to defined contribution plans.
Average number of full-time equivalent employees was 56 in 2021 and 43 in 2020.
2020 Remuneration Pension Share based Total
Executive management 1,954 118 - 2,072
Other key management personel 1,395 79 - 1,474
Total 3,349 197 - 3,546
RELESYS ANNUAL REPORT 2021
42
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
/ NOTE 7
Share-based payment plans
The Company has introduced a share-based payment program to selected “Other Key Employees”. The Company’s
current warrant program was approved by the shareholders in 2021 and introduced in November 2021.
2021 warrant program
The program was established with the purpose to create further incentive to the participants to work for and
contribute to future value added to the Company, thus creating positive development in the market value of the
Company’s share. Further, the program is instrumental to retaining the participants in the Company.
The participants are under the program granted warrants in the Company for no consideration, which entitle the
warrant holder to subscribe for A shares in the Company of a nominal value of DKK 0.01 without preemption right for
the shareholders of the Company. Participation in the warrant program is at the board’s discretion, and no individual
has a contractual right to participate in the plan or to receive any guaranteed benefits. The warrants are vesting over
a period of four years, with one forth after one year and thereafter one 48th per month. The exercise prices of the
warrants are listed below for the respective years.
Vested warrants are exercisable only upon an exit event and conditional on the warrant holder’s employment
or engagement with the Company have not terminated. However, vested warrants are exercisable only until the
expiration date as specified in the table further below. Upon the occurrence of an exit-event, all warrants will become
fully vested conditional on the holder’s continuing employment. The cost of the warrant program is recognized over
the expected vesting period considering the impact from accelerated vesting and expected time to exit.
Upon the warrant holder’s exercise, the Company is entitled to demand cash settlement of the warrant, so that
instead of the warrant holder subscribing for and receiving shares in the Company, the warrant holder will receive
cash settlement in an amount equal to the net value of the warrant.
DKK’000
Weighted
average exer-
cise price per
warrant
Number of
warrants
(housands)
Weighted aver-
age fair value
per warrant
(determined on
grant date
2021
As of 1st day of January - 0 -
Granted during the year 6.25 1,276 1.02
As at 31st of December 6.25 1,276 1.02
Vested and excercisable at 31st of December - 0 -
Set out below are summaries or warrants granted under the warrant agreement:
DKK’000
Expiry date Excercise
price
Warrants 31
December
2021
(thousand)
Granted date
07.11.2021 01.11.2026 6.25 1,276
Warrants outstanding at the end of the year have the following expiry date and exercise prices:
Weighted average remaining contractual life of warrants outstanding at the end of period (years) is 4.83. The fair value at
grant date is determined using a Black-Scholes Model calculation that takes into account the share price at grant date, the
exercise price, the risk free interest rate for the term of the warrents, the expected volatilit and the term of the warrant (the
expected maturity).
The average model inputs for the warrants granted during the year ended 31 December 2021 included:
The expected volatility rate is based on the annualised volatility of relevant peer groups derived from the standard deviation
of daily observations over 12 months ending 2021. The share price is equal to the listing price of Relesys A/S on the 1st of
December 2021, which is also the share price that cornerstone investors signed up for in the begining of November.
The expected maturity corresponds to the expected number of years until the occurance of an exit event.
a. Share price at grant date DKK 6.25
b. Exercise price DKK 6.25
c. Expected volatility rate (% p.a.) 19.52
d. Risk-free interest rate (% p.a.) 0.23
e. Expected maturity 4 years
RELESYS ANNUAL REPORT 2021
43
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
/ NOTE 9
Financial income
DKK’000
2021 2020
Foreign exchange income 18 9
Total 18 9
/ NOTE 10
Financial expenses
DKK’000
2021 2020
Interest expenses 163 44
Foreign exchange losses 73 70
Interest on lease liabilities 89 82
Other financial expenses 47 -
Total 372 196
/ NOTE 8
Amortisation, depreciation
and impairment
DKK’000
2021 2020
Amortisation of intangible assets 1,168 899
Impairment of intangible assets - 51
Depreciation of property, plant and equipment 284 61
Depreciation of right-of-use assets 1,132 755
Total 2,584 1,766
RELESYS ANNUAL REPORT 2021
44
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
/ NOTE 11
Tax for the year
DKK’000
2021 2020
Current tax for the year (457) (263)
Changes in deferred tax (101) 469
Income tax reported in the statement of profit or (loss) (558) 206
Profit(loss) before tax (4,184) 1,745
Tax calculated as 22% of profit(loss) before tax 938 (384)
Non-deductible expenses (446) 23
Corrections related to subsidaries (82) 70
Increased tax deduction regarding development projects (130%) 172 29
Other (24) 56
Effective Tax 558 (206)
Effective tax rate for the year (%) 13% 12%
THE MAJOR COMPONENTS OF INCOME TAX EXPENSE FOR THE YEARS ENDED 31 DECEMBER 2021 AND 2020 ARE
DKK’000 2021 2020
Deferred tax (asset) - -
Deferred tax (liability) (926) (1,027)
Total (926) (1,027)
DEFERRED TAX IS RECOGNISED IN THE STATEMENT OF FINANCIAL POSITION AS FOLLOWS:
DKK’000
2021 2020
Intangible assets (1,107) (1,036)
Property, plant and equipment (5) (11)
Leases 22 20
Tax loss carried forward 164 -
Total (926) (1,027)
DEFERRED TAX CONCERNS
RELESYS ANNUAL REPORT 2021
45
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
/ NOTE 12
Intangible assets
DKK’000
Completed
development
projects
Development
projects in
progress Total
Cost at 1 January 6,855 373 7,228
Additions - 1,715 1,715
Disposal - - -
Transfer 1,984 (1,984) -
Cost at 31 December 8,839 104 8,943
Amortisation and impairment losses at 1 January (2,692) (51) (2,743)
Amortisation during the year (1,168) - (1,168)
Amortisation and impairment losses at 31 December (3,860) (51) (3,911)
Carrying amount at 31 December 4,979 51 5,032
2021
Completed development projects relate to the further development of the Relesys platform, Relesys core
modules, and Relesys pro modules. Management has an expectation of positive earnings from each
development project.
It is Management’s assessment that the expected useful lives of the finite-lived assets, as well as the expected
future revenue streams from the assets, are sufficient to cover the value of recognised developed projects at the
reporting date.
DKK’000
Completed
development
projects
Development
projects in
progress Total
Cost at 1 January 4,673 195 4,868
Additions - 2,360 2,360
Transfer 2,182 (2,182) -
Cost at 31 December 6,855 373 7,228
Amortisation and impairment losses at 1 January (1,793) - (1,793)
Amortisation during the year (899) - (899)
Impairment during the year - (51) (51)
Amortisation and impairment losses at 31 December (2,692) (51) (2,743)
Carrying amount at 31 December 4,163 322 4,485
2020
Remaining years of amortisation: 1 - 7 years
RELESYS ANNUAL REPORT 2021
46
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
/ NOTE 13
Property, plant and equipment
DKK’000
Other fixtures and
fittings, tools and
equipment Total
Cost at January 1 1,442 1,442
Additions 72 72
Cost at 31 December 1,514 1,514
Depreciation at 1 January (131) (131)
Depreciation during the year (284) (284)
Depreciation at 31 December (415) (415)
Carrying amount at 31 December 1,099 1,099
2021
DKK’000
Other fixtures and
fittings, tools and
equipment Total
Cost at January 1 107 107
Additions 1,335 1,335
Cost at 31 December 1,442 1,442
Depreciation at 1 January (70) (70)
Depreciation during the year (61) (61)
Depreciation at 31 December (131) (131)
Carrying amount at 31 December 1,311 1,311
2020
RELESYS ANNUAL REPORT 2021
47
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
/ NOTE 14
Leases
DKK’000
Property Cars Equipment Total
Cost at 1 January 2,254 394 428 3,076
Additions 288 - 361 648
Adjustments and revaluations 328 - - 328
Cost at 31 December 2,870 394 789 4,052
Depreciation at 1 January (800) (200) (238) (1,238)
Depreciation during the year (862) (101) (170) (1,132)
Depreciation at 31 December (1,662) (301) (408) (2,370)
Carrying amount at 31 December 1,208 93 381 1,682
2021
DKK’000
2021 2020
At 1 January 1,930 1,641
Additions 648 1,021
Accrual of interest 89 82
Payments (1,214) (797)
Adjustments 328 (17)
At 31 December 1,781 1,930
Non-current 680 1,058
Current 1,101 872
CARRYING AMOUNTS OF LEASE LIABILITIES AND MOVEMENTS DURING THE PERIOD:
The maturity of lease liabilities is disclosed in note 19.
DKK’000
2021 2020
Depreciation of right-of-use assets 1,132 755
Interest on lease liabilities 89 82
Total amount recognised in the statement of profit or loss 1,221 837
THE FOLLOWING AMOUNTS HAVE BEEN RECOGNISED IN THE STATEMENT OF PROFIT OR LOSS:
The Group had a total lease cash outflow of DKKt 1,214 (2020: DKKt 797).
The Group leases offices, and the lease terms are negotiated on an individual basis and contain
different terms and conditions. As part of COVID-19, no rent concession has been received.
DKK’000
Property Cars Equipment Total
Cost at 1 January 1,386 258 428 2,072
Additions 851 170 - 1,021
Adjustments and revaluations 17 (34) - (17)
Cost at 31 December 2,254 394 428 3,076
Depreciation at 1 January (299) (65) (119) (483)
Depreciation during the year (510) (135) (119) (755)
Depreciation at 31 December (800) (200) (238) (1,238)
Carrying amount at 31 December 1,454 194 190 1,838
2020
RELESYS ANNUAL REPORT 2021
48
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
/ NOTE 15
Deposits
DKK’000
2021 2020
Cost at 1 January 22 1
Additions 227 21
Cost at 31 December 249 22
/ NOTE 16
Trade receivables
DKK’000
2021 2020
Trade receiveables 3,860 8,014
Total 3,860 8,014
Trade receivables are amounts due from customers for subscriptions as well as from integration, customi-
zation, and consultancy services carried out in the ordinary course of business. They are generally due for
settlement within 14 - 60 days and therefore are all classified as current.
Expected credit loss
Most of the Group’s customers are large companies that do normally have a high credit quality. The Group
has historically not incurred any material losses from trade receivables. The existence of the Covid-19
pandemic is not expected to have any significant impact on the Group’s expected credit losses as the cus-
tomers’ demand for the Group’s services has increased during the pandemic as our services have become
even more relevant for our customers in their engagement with their workforce.
On that basis, Management has concluded that the Group’s credit risk from trade receivables is not material
and has therefore deemed the expected credit losses immaterial.
The below table details the maturity of trade receivables.
DKK’000
Not past
due
Overdue
by 0-30
days
Overdue
by 31-60
days
Overdue
by > 60
days
Write
downs
Carrying
amount of
receiv-
ables
31 December 2021
Trade receivables 2,050 1,135 146 698 169 3,860
31 December 2020
Trade receivables 2,004 3,946 1,694 370 - 8,014
The outstanding amount is written off, when there is a court order of bankruptcy from the counterparty.
RELESYS ANNUAL REPORT 2021
49
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
/ NOTE 17
Share capital and earnings per share
(‘000) Issues and fully paid-up shares
Number DKK
At January 1 2020 50 50
Capital increase - -
At 31 December 2020 50 50
Sharesplit 350 -
Capital conversion - 350
Sharesplit 50,640 -
Capital increase - 110
Share capital at 31 December 2021 51,040 510
The shares are not divided into classes and carry no right to fixed income.
DKK’000
2021 2020
The calculation of earnings per share is based on the following:
Profit(loss) for the year (3,626) 1,539
Average number of ordinary shares for calulation of basic earnings per
share (thousands):
51,040 50
Average diluted effect of outstanding share options - -
Average number of shares for calculation of diluted earnings per share:
Earnings per share, (EPS) (0.01) 30.78
Earnings per share, diluted (DEPS) 0.00 0.00
EARNINGS PER SHARE
Paid dividend DKK 0 and dividend per share DKK 0 (2020: DKKt 600 / DKK 0.012)
/ NOTE 18
Other payables
DKK’000
2021 2020
Accrued salaries
867 1,509
Holiday pay etc. 482 981
VAT payable 145 2,492
Other liabilities 1,556 739
Total 3,050 5,721
RELESYS ANNUAL REPORT 2021
50
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
Capital management
The Group manages its capital to ensure that it will be
able to continue as a going concern while maximising the
return to shareholders through the optimisation of the debt
and equity balances. The capital structure of the Group
consists of net debt and equity. Management reviews
the capital structure continually to consider if the current
capital structure is in accordance with the Group’s and
shareholders’ interests.
Financial risk management
Due to the nature of its operations, investments, and
financing, the Group is exposed to a number of financial
risks. It is Group policy to operate with a low-risk profile
in order for currency risk, interest rate risk, and credit risk
only to occur in commercial relationships. The scope and
nature of the Group’s financial instruments appear from
the statement of profit or loss and statement of financial
position in accordance with the accounting policies
applied.
The Group’s financial assets primarily relate to trade
receivables and cash, whereas the financial liabilities
primarily relate to trade payables, lease liabilities, and
other interest-bearing liabilities.
Provided below is information about factors that may
influence amounts, time of payment, or reliability of
future payments, where such information is not provided
directly in the financial statements. This note addresses
only financial risks directly related to the Group’s financial
instruments.
It is the Group’s policy not to hedge any of its exposures
to financial risks.
Credit risk
Credit risk is the risk that a counterparty will not meet its
obligations towards the Group, resulting in a financial loss.
The Group’s credit risk exposure is primarily related to
its trade receivables and cash positions. The Group’s
exposure and policy for managing credit risk from trade
receivables has been described in note 16.
The most significant counterparty risk is related to deposit
with banks, as the Group’s cash balance at 31 December
2021 amounts to DKKt 59,260 (2020: DKKt 3,327). To
mitigate this risk, the Group only enters into money market
deposits with well reputed banks possessing a satisfactory
long-term credit rating from an internationally recognized
agency.
The maximum exposure to credit risk at the reporting date
is the carrying amount of each class of financial assets.
/ NOTE 19
Financial risks
Foreign currency risk
Foreign currency risk is the risk that the fair value or
future cash flows of an exposure will fluctuate because of
changes in foreign exchange rates.
The general objective of the Group’s currency risk
management is to limit and delay any adverse impact of
exchange rate fluctuations on earnings and cash flows
and thus increase the predictability of the financial results.
The Group also aims at balancing incoming and outgoing
payments in local currency as much as possible as well
as monitoring the development in exchange rates and
adjusting price lists when required. The Group’s sales are
primarily denominated in local currencies corresponding
to the functional currency of the relevant group entity.
Historically, DKK has been the predominant invoicing
currency of the parent company. However, sales are
also made in foreign currencies such as USD and EUR.
Purchases are primarily made in local currencies. As the
DKK is pegged against the EUR, the Group’s exposure to
changes in the DKK/EUR exchange rate is insignificant.
Going forward, Management expects higher frequency
of foreign currencies in the incoming and out-going cash
flow. Consequently, Management has established bank
accounts for these currencies, to reduce costs and lower
the risk.
A similar decrease in the foreign exchange rates will have
a corresponding effect on the profit before tax and pre-tax
equity.
The sensitivity analysis assumes all other variables
remain constant. The impact on profit before tax and
pre-tax equity is based on those financial instruments
denominated in foreign currencies that were recognised at
the respective balance sheet dates.
Liquidity risk
The Group ensures sufficient liquidity resources by
liquidity management. The Group’s policy is to secure
adequate liquidity to always meet the planned future
financial and operational payment obligations for a
minimum of the next 12 months period. For those
purposes, group management monitors liquidity budgets,
which are updated on an ongoing basis.
On 31 December 2021, the Group’s cash and cash
equivalents amounted to DKKt 59,260 (2020: DKKt 3,327).
The cash reserve and expected operating cash flows are
considered to be adequate to meet the obligations of the
Group as they fall due.
RELESYS ANNUAL REPORT 2021
51
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
Sensitivity to a 10% increase in USD exchange rate 2021 2020
Effect on profit before tax 6 149
Effect on pre-tax equity 6 149
The carrying amounts of the Group’s monetary assets and monetary liabilities denominated in foreign
currency at the reporting date are as follows:
Sensitivity to a 10% increase in SEK exchange rate 2021 2020
Effect on profit before tax 45 42
Effect on pre-tax equity 45 42
SENSITIVITY TO A 10% INCREASE IN SEK EXCHANGE
2021 <1 year
1 to 5
years > 5 years Total
Interest-bearing liabilities 2,314 472 167 2,953
Lease liabilities 1,152 696 - 1,847
Trade and other payables 1,955 - 729 2,684
Total 5,420 1,168 896 7,484
The table below summaries the maturity profile of the Group’s financial liabilities based on contractual
undiscounted payments which include estimated interest payments:
2020 <1 year
1 to 5
years > 5 years Total
Interest-bearing liabilities 118 590 168 876
Lease liabilities 1,0037 1,350 - 2,387
Trade and other payables 6,735 - 720 7,455
Total 7,890 1,940 888 10,718
Management has assessed the carrying amount to be equivalent to the fair value of the liabilities.
A similar decrease in the foreign exchange rates will have a corresponding effect on the profit before tax and
pre-tax equity.
The sensitivity analysis assumes all other variables remain constant. The impact on profit before tax and pre-
tax equity is based on those financial instruments denominated in foreign currencies that were recognised at
the respective balance sheet dates.
LIQUIDITY RISK
The Group ensures sufficient liquidity resources by liquidity management. The Group’s policy is to secure
adequate liquidity to always meet the planned future financial and operational payment obligations for
a minimum of the next 12 months period. For those purposes, group management monitors liquidity
budgets, which are updated on an ongoing basis.
On 31 December 2021, the Group’s cash and cash equivalents amounted to DKKt 59,260 (2020: DKKt
3,327). The cash reserve and expected operating cash flows are considered to be adequate to meet the
obligations of the Group as they fall due.
2021 2020 2021 2020
Currency SEK 467 858 257 297
Currency USD 55 148 - -
Assets Liabilities
RELESYS ANNUAL REPORT 2021
52
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
/ NOTE 19
Financial risks (Continued)
Interest rate risk
Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate
because of changes in market interest rates. The Group’s interest rate risk is limited to cash deposits
and to a minor degree the amount payable to the Holiday allowance fund which is subject to an annual
variable indexation. The Group’s loans and debt to credit institutions are subject to a fixed interest rate
between 2% and 5.25%.
If market rates of interest increased / (decrease) by 100 basis points, profit before tax and pre-tax equity
would increase / (decrease) it would not affect the interest rate sensitivity.
Financial assets measured at amortised cost 2021 2020
Deposits 249 22
Trade receivables 3,860 8,014
Other receivables - 40
Cash 59,260 3,327
Total 63,369 11,403
Financial liabilities measured at amortised cost 2021 2020
Interest-bearing liabilities 2,953 876
Trade payables 1,955 1,605
Other payables 598 591
Total 7,287 5,022
FINANCIAL INSTRUMENTS
Classification of financial assets measured at amortised cost
Since the Group’s financial instruments measured at amortised cost are either short-term and/or exposed to
floating interest rates, Management has assessed that the carrying amount is a reasonable approximation of
fair value.
The maturity analysis is based on the following assumptions:
• The amounts disclosed in the table are the contractual undiscounted cash flows (including interest
payments).
• Balances due within 12 months equal their carrying balances as the impact of discounting is not
significant.
• Payments for lease liabilities include only lease agreements that have commenced before the end of
the reporting period.
• Other payables include payables to the Holiday allowance fund and are included in the relevant
time-bands based on the expected time to retirement. Future estimated interest payments are based
on the most recent indexation rate and average time to retirement.
RELESYS ANNUAL REPORT 2021
53
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
/ NOTE 21
Other disclosures relating to consolidated
statement of cash flow
For the purpose of the statement of cash flows, cash and cash equivalents comprise the following at 31 December:
DKK’000 2021 2020
Cash at banks and in hand 59,260 3,327
Cash and cash equivalents 59,260 3,327
Additional information about the changes to liabilities arising from financing activities can be found in the below
tables:
DKK’000 Other borrowings Lease liabilities Total
2021
Liabilities at 1 January 876 1,930 2,806
Loans raised 2,196 - 2,196
New leases - 976 976
Repayments (119) (1,125) (1,244)
Other - - -
Liabilities at 31 December 2,953 1,781
4,734
2020
Liabilities at 1 January - 1,641 1,641
Loans raised 886 - 886
New leases - 1,021 1,021
Repayments (10) (797) (807)
Other - 65 65
Liabilities at 31 December 876 1,930 2,806
/ NOTE 20
Working capital changes
DKK’000
2021 2020
Change in prepayments 289 (453)
Change in receivables 3,719 (3,224)
Change in trade payables and other debt (4,813) 7,833
Total (805) 4,156
RELESYS ANNUAL REPORT 2021
54
FINANCIAL STATEMENTS
REACH / ENGAGE / UNITE
/ NOTE 22
Related parties
Transactions with related parties includes salary, pension and other costs included in staff cost.
Relesys has two related parties with significant influence.
Considering the current situation in Ukraine, Relesys has terminated its consulting agreements with the
software developers located in Minsk, Belarus. The termination of the agreements will not have an impact on
current operations or the Relesys product road map.
As a consequence of the current situation in Ukraine, Relesys has fast-forwarded the establishment of a
subsidiary in Vilnius, Lithuania with the purpose of establishing a software development team.
Relesys does not have clients in Ukraine, Belarus or Russia. However, Relesys clients have users located in
91 countries around the world, including Ukraine, Belarus and Russia.
Relesys business activities are not affected by the situation in Ukraine.
/ NOTE 23
Events after the reporting period
RELESYS ANNUAL REPORT 2021
55
PARENT INCOME STATEMENTS
REACH / ENGAGE / UNITE
Parent income
statements 2021
Parent income statement ........................................ 56
Parent balance sheet ........................................... 57
Statement of changes in equity ................................... 58
Notes ........................................................ 59
RELESYS ANNUAL REPORT 2021
56
PARENT INCOME STATEMENTS
REACH / ENGAGE / UNITE
/ PARENT INCOME STATEMENTS
Parent income statement
DKK’000
Note
2021 2020
Gross profit(loss) 17,691 14,887
Staff costs
2
(19,203) (12,623)
Other operating income 189 -
Other operating expenses (1,053) -
Amortisation, depreciation and impairment
3
(1,483) (999)
Operating profit (3,859) 1,265
Other financial income
4
29 49
Other financial expenses
5
(215) (92)
Result before tax (4,045) 1,222
Tax on net profit or loss for the year 698 (129)
Result for the year (3,347) 1,093
PROPOSED APPROPRIATION OF NET PROFIT:
Transferred to retained earnings (3,347) 1,093
Total allocations and transfers (3,347) 1,093
RELESYS ANNUAL REPORT 2021
57
PARENT INCOME STATEMENTS
REACH / ENGAGE / UNITE
/ PARENT INCOME STATEMENTS
Parent balance sheet
DKK’000
Note
2021 2020
Development projects in progress and prepayments for intangible
assets
6
51 322
Completed development projects 5,163 4,324
Total intangible assets 5,214 4,646
Other fixtures and fittings, tools and equipment
7
1,044 1,264
Total property, plant and equipment 1,044 1,264
Investments in subsidiaries
8
53,15 74
Deposits 199 20
Total investments 5,514 94
Total non-current assets 11,772 6,004
Trade receivables 2,889 7,038
Receivables from group enterprises 1,203 1,275
Income tax receivables 604 383
Prepayments and accrued income 497 296
Total receivables 5,193 8,992
Cash in hand and demand deposits 57,839 2,045
Total current assets 63,032 11,037
Total assets 74,804 17,041
DKK’000
Note
2021 2020
Contributed capital 510 50
Share premium 69,890 -
Other statutory reserves 4,067 3,624
Retained earnings (11,472) (2,290)
Total equity 61,995 1,384
Provisions for deferred tax 886 1,010
Total provisions 886 1,010
Debt to credit intitutions 639 758
Other payables 598 591
Deposits
9
- 25
Total long-term liabilities other than provisions 1,237 1,374
Interest bearing liabilities 2.314 118
Trade payables 1,936 1,423
Deferred income 4,751 7,174
Other payables 1,685 4,558
Total short-term liabilities other than provisions 10.686 13,273
Total liabilities other than provisions 11,923 14,647
Total equity and liabilities 74,804 17,041
ASSETS
EQUITY AND LIABILITIES
RELESYS ANNUAL REPORT 2021
58
PARENT INCOME STATEMENTS
REACH / ENGAGE / UNITE
DKK’000
Contributed
capital
Share
premium
Reserve for
development cost
Retained earn-
ings Total
Equity beginning of the year 50 - 3,624 (2,290) 1,384
Transfer to reserves - - 443 (443) -
Capital increase as a part of company transformation 350 - - (350) -
Capital increase as a part of IPO 110 68,890 - - 69,000
Transaction of cost for equity issuance - - - (5,142) (5,142)
Share based payments - - - 100 100
Net profit(loss) for the year - - - (3,347) (3,347)
Equity end of year 510 68,890 4,067 (11,472) 61,995
/ PARENT INCOME STATEMENTS
Statement of changes in equity
DKK’000
Contributed
capital
Share
premium
Reserve for
develop-
ment cost
Retained
earnings
Proposed
dividend Total
Equity beginning of the year 50 - 1,758 1,399 600 3,807
Correction - - - (2,916) - (2,916)
Transfer to reserves - - 720 (720) - -
Adjusted equity beginning of year 50 - 2,478 (2,237) 600 891
Ordinary dividend paid - - - - (600) (600)
Transfer to reserves - - 1,146 (1,146) - -
Net profit(loss) for the year - - - 1,093 - 1,093
Equity end of year 50 - 3,624 (2,290) - 1,384
2021
2020
RELESYS ANNUAL REPORT 2021
59
PARENT INCOME STATEMENTS
REACH / ENGAGE / UNITE
Notes to the
parent income
statements
1. Accounting policies ............................................................60
2. Staff costs ...................................................................64
3. Amortisation, depreciation and impairment ........................................64
4. Financial Income .............................................................. 65
5. Financial Expenses ............................................................65
6. Development projects in progress and prepayments for intangible assets ................66
7. Other fixtures and fittings, tools and equipment .....................................67
8. Investments in subsidiaries. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 68
9. Deposits ....................................................................68
10. Contingencies ...............................................................68
RELESYS ANNUAL REPORT 2021
60
PARENT INCOME STATEMENTS
REACH / ENGAGE / UNITE
/ NOTE 1
Accounting policies
Basis of recognition and measurement
Income is recognised in the income statement concurrently with
its realisation, including the recognition of value adjustments of
financial assets and liabilities. Likewise, all costs are recognised
in the income statement, including depreciation, amortisation,
write-downs for impairment, provisions, and reversals due to
changes in estimated amounts previously recognised in the
income statement.
Assets are recognised in the statement of financial position when
it seems probable that future economic benefits will flow to the
company and the value of the asset can be measured reliably.
Liabilities are recognised in the statement of financial position
when it seems probable that future economic benefits will flow
out of the company and the value of the liability can be measured
reliably.
Assets and liabilities are measured at cost at the initial
recognition. Hereafter, assets and liabilities are measured as
described below for each individual accounting item.
Certain financial assets and liabilities are measured at amortised
cost, allowing a constant effective interest rate to be recognised
during the useful life of the asset or liability. Amortised cost is
recognised as the original cost less any payments, plus/less
accrued amortisation of the difference between cost and nominal
amount. In this way, capital losses and gains are allocated over
the useful life of the liability.
Upon recognition and measurement, allowances are made for
such predictable losses and risks which may arise prior to the
presentation of the Annual Report and concern matters that exist
on the reporting date.
Foreign currency translation
Transactions denominated in currencies other than the functional
currency are considered transactions in foreign currency.
On initial recognition, transactions denominated in foreign
currencies are translated to the functional currency at the
exchange rates at the transaction date. Foreign exchange rate
adjustments arising between the transaction date and the date
of payment are recognised in the statement of profit or loss in
financial in-come or financial expenses.
Monetary assets and liabilities denominated in foreign currencies
are translated at the exchange rates at the reporting date.
The difference between the exchange rates at the reporting date
and at the date of the transaction or the exchange rate in the
latest Financial Statements is recognised in the statement of
profit or loss in financial income or financial expenses.
The Annual Report of Relesys A/S has been presented in accordance with the Danish Financial Statements Act
regulations concerning reporting class B enterprises. Furthermore, the company has decided to comply with
certain rules applying to reporting class C enterprises. The accounting policies are unchanged from last year,
and the Annual Report is presented in DKK.
RELESYS ANNUAL REPORT 2021
61
PARENT INCOME STATEMENTS
REACH / ENGAGE / UNITE
/ NOTE 1
Accounting policies (Continued)
Gross profit
Gross profit comprises the revenue, changes in inventories
of finished goods, work in progress, work performed for
own account and capitalised other operating income, and
external costs.
Revenue is recognised in the income statement if delivery
and passing of risk to the buyer have taken place before
the end of the year and if the income can be determined
reliably and inflow is anticipated. Recognition of revenue is
exclusive of VAT and taxes and less any discounts relating
directly to sales.
Cost of sales comprises costs concerning the purchase
of raw materials and consumables fewer discounts and
changes in inventories.
Other external costs comprise costs incurred for
distribution, sales, advertising, administration, premises,
loss on receivables, and operational leasing costs.
Staff costs
Staff costs include salaries and wages, including holiday
allowances, pensions, other social security costs, etc.
for staff members. Staff costs are fewer government
reimbursements.
Amortisation, depreciation, and
write-down for impairment
Amortisation, depreciation, and write-down for impairment
comprise depreciation on, amortisation of, and write-
down for impairment of intangible and tangible assets,
respectively.
Interest and other costs concerning loans to finance the
production of intangible assets and property, plant, and
equipment, and relating to production periods, are not
recognised in the cost of non-current assets.
Financial income and expenses
Financial income and expenses comprise interest,
realised and unrealised capital gains and losses
concerning financial assets and liabilities, amortisation
of financial assets and liabilities, additions, and
reimbursements under the Danish tax prepayment
scheme, etc. Financial income and expenses are
recognised in the income statement with the amounts
concerning the financial year.
Tax on profit/loss for the year
Tax for the year comprises the current income tax for the
year and changes in deferred tax and is recognised in the
income statement with the share attributable to the net
profit or loss for the year and directly in equity with the
share attributable to entries directly in equity.
The company is subject to Danish rules on compulsory
joint taxation of Danish group enterprises.
The current Danish income tax is allocated among the
jointly taxed companies proportional to their respective
taxable income (full allocation with reimbursement of tax
losses).
Income Statement
RELESYS ANNUAL REPORT 2021
62
PARENT INCOME STATEMENTS
REACH / ENGAGE / UNITE
Property, plant and equipment
Other fixtures and fittings, tools, and equipment are
measured at cost less accrued depreciation and write-
down for impairment.
The depreciable amount has less cost than any expected
residual value after the end of the useful life of the
asset. The amortisation period and the residual value
are determined at the acquisition date and reassessed
annually. If the residual value exceeds the carrying amount,
the depreciation is discontinued.
If the amortisation period or the residual value is changed,
the effect on amortisation will, in the future, be recognised
as a change in the accounting estimates.
The cost comprises acquisition cost and costs directly
associated with the acquisition until the time when the
asset is ready for use.
The cost of a total asset is divided into separate
components. These components are depreciated
separately when the useful lives of each individual
component differ. The amortisation period used is 3-5
years.
Minor assets with an expected useful life of less than 1 year
are recognised as costs in the income statement in the year
of acquisition.
Development projects
Developments projects comprise development projects
completed and in progress.
Development projects on clearly defined and identifiable
products and processes, for which the technical rate of
utilisation, adequate resources and a potential future
market or development opportunity in the enterprise can
be established, and where the intention is to manufacture,
market or apply the product or process in question, are
recognised as intangible assets. Other development costs
are recognised as costs in the income statement as incurred.
When recognising development projects as intangible assets,
an amount equaling the costs less deferred tax incurred is
taken to equity under reserve for development costs that
are reduced as the development projects are amortised and
written down.
The cost of development projects comprises costs such
as salaries and amortisation that are directly and indirectly
attributable to the development projects. Indirect production
costs in the form of indirectly attributable staff costs and
amortisation of intangible assets and depreciation of property,
plant, and equipment used in the development process are
recognised in cost based on time spent on each project.
Completed development projects are amortised on a
straight-line basis using their estimated useful lives which
are determined based on a specific assessment of each
development project. The amortisation period used is 5-7
years.
Leases
At their initial recognition in the statement of financial
position, leases concerning property, plant, and equipment
where the company holds all essential risks and
advantages associated with the proprietary right (finance
lease) are measured either at fair value or at the present
value of the future lease payments, whichever value is
lower. When calculating the present value, the discount
rate used is the internal rate of return of the lease or,
alternatively, the borrowing rate of the enterprise. Hereafter,
assets held under a finance lease are treated in the same
way as other similar property, plant, and equipment.
The capitalised residual lease commitment is recognised
in the statement of financial position as a liability other than
provisions, and the interest part of the lease is recognised
in the income statement for the term of the contract.
Leases are regarded as operating leases. Payments
in connection with operating leases and other lease
agreements are recognised in the income statement for
the term of the contract. The company’s total liabilities
concerning operating leases and lease agreements are
recognised under contingencies etc.
Impairment loss relating to
non-current assets
The carrying amounts of both intangible and tangible
assets, as well as equity investments in subsidiaries and
associates, are subject to annual impairment tests in
order to disclose any indications of impairment beyond
those expressed by amortisation and depreciation,
respectively.
If indications of impairment are disclosed, impairment
tests are carried out for each individual asset or group of
assets, respectively. Write-down for impairment is done
to the recoverable amount if this value is lower than the
carrying amount.
The recoverable amount is equal to the value of the net
selling price or the value in use, whichever is higher. The
value in use is determined as the present value of the
expected net cash flow derived from the use of the asset
or group of assets.
Previously recognised impairment losses are reversed
when conditions for impairment no longer exist.
Impairment relating to goodwill is not reversed.
/ NOTE 1
Accounting policies (Continued)
Balance Sheet
RELESYS ANNUAL REPORT 2021
63
PARENT INCOME STATEMENTS
REACH / ENGAGE / UNITE
/ NOTE 1
Accounting policies (Continued)
Investments in subsidiaries
Investments in subsidiaries are measured at cost. Write-
down for impairment is done to the recoverable amount if
this value is lower than the carrying amount.
Deposits
Deposits are measured at amortised cost and represent
lease deposits etc.
Receivables
Receivables are measured at amortised cost which usually
corresponds to face value. In order to meet expected
losses, they are written down for impairment to the net
realisable value.
Prepayments and accrued income
Prepayments and accrued income recognised under
assets comprise incurred costs concerning the following
financial year.
Cash in hand and demand deposits
Cash in hand and demand deposits comprise cash at
bank and in hand.
Equity
DIVIDEND
Dividend expected to be distributed for the year is
recognised as a separate item under equity. Proposed
dividend is recognised as a liability at the time of approval
by the Annual General Meeting (time of declaration).
SHARE PREMIUM
Share premium consists of positive differences between
the nominal value of share capital and amount paid by
shareholders for newly issued shares. Share premium is a
distributed reserve.
TRANSLATION RESERVE
Exchange rate differences arising from the translation of
foreign-controlled entities into the presentation currency,
DKK, are recognised in other comprehensive income and
accumulated on a separate reserve within equity. The
accumulated amount will be reclassified to profit or loss
when the net investment the translation reserve relates to
is disposed of.
TRANSACTION COSTS RELATED
TO EQUITY ISSUANCE
Qualifying transaction costs incurred in connection with the
issuance of equity instruments are deducted from equity.
Where the qualifying transaction costs related to the listing
of existing and new shares, the part of the total transaction
costs deducted from equity are based on the ratio between
existing and new shares.
RESERVE FOR DEVELOPMENT COSTS
The reserve for development costs comprises recognised
development costs less related deferred tax liabilities. The
reserve cannot be used as dividend or for covering losses.
The reserve is reduced or dissolved if the recognised
development costs are amortised or abandoned. This is
done by direct transfer to the distributable reserves of the
equity.
Income tax and deferred tax
Current tax receivables and tax liabilities are recognised
in the statement of financial position with the amount
calculated on the basis of the expected taxable income for
the year adjusted for tax on previous years’ taxable income
and prepaid taxes. Tax receivables and tax liabilities are
offset to the extent that a legal set-off right exists and the
items are expected to be settled net or simultaneously.
According to the rules of joint taxation, Relesys A/S is
proportionally liable to pay the Danish tax authorities the
total income tax, including withholding tax on interest,
royalties, and dividends arising from the jointly taxed group
of companies.
Deferred tax is the tax on all temporary differences in the
carrying amount and tax base of assets and liabilities
measured on the basis of the planned application of the
asset and disposal of the liability, respectively.
Deferred tax assets, including the tax value of tax losses
eligible for carryforward, are recognised at their expected
realisable value, either by settlement against tax of future
earnings or by set-off in deferred tax liabilities within
the same legal tax unit. Any deferred net tax assets are
measured at net realisation value.
Deferred tax is measured on the basis of the tax rules and
tax rates of the applicable legislation at the reporting date
and prevailing when the deferred tax is expected to be
released as current tax.
Liabilities other than provisions
Other liabilities other than provisions are measured at
amortised cost which usually corresponds to the nominal
value.
Accruals and deferred income
Payments received concerning future income are
recognised under accruals and deferred income.
RELESYS ANNUAL REPORT 2021
64
PARENT INCOME STATEMENTS
REACH / ENGAGE / UNITE
/ NOTE 2
Staff costs
Please refer to the disclosure in note 6 in the Consolidated Financial Statements for management remuneration.
DKK’000
2021 2020
Salaries and wages 16,703 10,967
Pensions costs 1,055 715
Share-based payments 100 0
Other social security costs 364 236
Other staff costs 982 705
Total 19,203 12,623
Average numbers of employees 45 36
DKK’000
2021 2020
Amortisation of intangible assets 1,221 904
Impairment of intangible assets 0 51
Depreciation of property plant and equipment 262 44
Total 1,483 999
/ NOTE 3
Amortisation, depreciation and
impairment
RELESYS ANNUAL REPORT 2021
65
PARENT INCOME STATEMENTS
REACH / ENGAGE / UNITE
DKK’000
2021 2020
Financial income from group enterprises 12 40
Foreign exchange losses 16 9
Other financial income 1 -
Total 29 49
/ NOTE 4
Financial income
DKK’000 2021 2020
Interest expenses 215 38
Foreign exchange losses - 54
Total 215 92
/ NOTE 5
Financial expenses
RELESYS ANNUAL REPORT 2021
66
PARENT INCOME STATEMENTS
REACH / ENGAGE / UNITE
DKK’000
Completed
development
projects
Development
projects in
progress Total
Cost at 1 January 7,078 373 7,451
Additions - 1,789 1,789
Transfer 2,058 (2,058) -
Cost at 31 December 9,136 104 9,240
Amortisation and impairment losses at 1 January (2,754) (51) (2,805)
Amortisation during the year (1,221) - (1,221)
Amortisation and impairment losses at 31
December
(3,975) (51) (4,026)
Carrying amount at 31 December 5.161 53 5,214
/ NOTE 6
Development projects in progress and
prepayments for intangible assets
2021
Completed development projects relate to the further development of the Relesys platform, Relesys
core modules, and Relesys pro modules. Management has an expectation of positive earnings from
each development project.
It is Management’s assessment that the expected useful lives of the finite-lived assets, as well as the
expected future revenue streams from the assets, are sufficient to cover the value of recognised devel-
oped projects at the reporting date.
DKK’000
Completed
development
projects
Development
projects in
progress Total
Cost at 1 January 4,831 195 5,026
Additions 2,103 332 2,425
Transfer 114 (114) -
Cost at 31 December 7,078 373 7,451
Amortisation and impairment losses at 1 January (1,850) - (1,850)
Amortisation during the year (904) - (904)
Impairment during the year - (51) (51)
Amortisation and impairment losses at 31
December
(2,754) (51) (2,805)
Carrying amount at 31 December 4,324 322 4,646
2020
RELESYS ANNUAL REPORT 2021
67
PARENT INCOME STATEMENTS
REACH / ENGAGE / UNITE
DKK’000
Other fixtures and
fittings, tools and
equipment Total
Cost at 1 January 1,347 1,347
Additions 43 43
Cost at 31 December 1,390 1,390
Amortisation and write-down at 1 January (84) (84)
Depreciation during the year (262) (262)
Depreciation at 31 December (346) (346)
Carrying amount at 31 December 1,044 1,044
/ NOTE 7
Other fixtures and fittings, tools
and equipment
2021 2020
DKK’000
Other fixtures and
fittings, tools and
equipment Total
Cost at 1 January 39 39
Additions 1,308 1,308
Cost at 31 December 1,347 1,347
Amortisation and write-down at 1 January (40) (40)
Depreciation during the year (44) (44)
Depreciation at 31 December (84) (84)
Carrying amount at 31 December 1,264 1,264
RELESYS ANNUAL REPORT 2021
68
PARENT INCOME STATEMENTS
REACH / ENGAGE / UNITE
DKK’000
2021 2020
Cost at 1 January 74 74
Additions 5,241 -
Cost at 31 December 5,315 74
/ NOTE 8
Investments
INVESTMENTS IN SUBSIDIARIES
DKK’000
2021 2020
Cost at 1 January 20 -
Additions 195 20
Disposals (16) -
Cost at 31 December 199 20
/ NOTE 9
Deposits
/ NOTE 10
Contingencies
LEASE LIABILITIES
The company has entered into lease agreements and rental
contracts. The obligation amounts to DKK 1,527t.
MORTGAGE AND SECURITIES
The Company has pledged its assets as security for bank debts.
Contingent liabilities
