New Wave Group Annual Report 2020 English | Page 63

NWG // FINANCIAL INFORMATION

respect the legal provisions of different countries , as well as basic human rights and working conditions . New Wave Group works systematically with regard to supplier auditing , monitoring , and dialogue in order to ensure that our business operations are conducted in the most responsible manner possible with regard to people and environment .

New Wave Group understands how closely related our business operations are to local and global environmental issues . As the Group grows in size , and as more customers buy our products , our environmental impact will increase . For this reason , New Wave Group is striving to develop environmentally sustainable solutions with regard to transport , packaging , and manufacturing .

New Wave Group aims to be the industry leader in CSR ( Corporate Social Responsibility ) and sustainability .

The Group ’ s subsidiary Orrefors Kosta Boda AB conducts licensed operations under the Swedish Environmental code .

For additional information see our Sustainability report and our section CSR and the sustainability on pages 36-37 .

The Parent company

Total revenue amounted to SEK 131.5 ( 140.4 ) million . Result before appropriations and tax amounted to SEK 94.6 ( 213.9 ) million . The lower result is related to reduced dividends from foreign subsidiaries .

Cash flow from investing activities amounted to SEK 5.3 ( -9.9) million , where the positive amount is related to intra-Group sales of shares in Group companies . Net debt amounted to SEK 1,129.4 ( 2,074.2 ) million . The Parent company ’ s net financing to subsidiaries amounted to SEK 1,241.5 ( 2,060.9 ) million . The total assets amounted to SEK 4,004.6 ( 4,730.8 ) million and equity , including the equity portion of untaxed reserves , amounted to SEK 2,195.8 ( 2,099.4 ) million .

New Wave Group ' s share

The number of shares in New Wave Group AB amounts to 66,343,543 with a quota value of SEK 3.00 . The shares have equal rights to the Company ’ s assets and profits . Each class A share carries ten votes and each class B share carries one vote . The offer of first refusal is in place for class A shareholders in accordance with paragraph 14 of the articles of association .

As per 31 December , Torsten Jansson through companies owns 34.2 ( 34.1 ) % of the capital and 82.1 ( 82.1 )% of the votes .

The following authorization has been given to the Board until the next AGM :

# to , on one or several occasions , decide on the new issue of a maximum of 4 000 000 class B shares . The authorization includes the right to decide to deviate from the shareholders ’ preferential rights , unless the decision refers to a new issue in which consideration is comprised only of cash . Through decisions supported by the authorization , share capital will be allowed to increase by a total maximum of SEK 12 000 000 . The authorization will also include the right to decide on new issues with a dominance in kind , or that shares shall be subscribed with a right of set-off or otherwise with conditions as stated in chapter 13 , section 5 , point 6 of the Companies Act . The reason for the deviation from the shareholders ’ preferential rights is that the new issue of shares shall be used for the acquisition of companies and for financing continued expansion . The basis of the issue price will be the share ’ s market value at the time of issue .

# to , on one or more occasions , decide to raise financing of a kind that is covered by the provisions in chapter 11 , section 11 of the Companies Act . Such financing will take place on market terms . The reason for this authorization is that the Company should have the opportunity to raise financing on attractive terms for the Company in which the interest rate may depend on the Company ’ s result or financial position , for example .

For additional information about the share , see pages 48-51 .

Growth target and dividend policy

The growth target over one business cycle is 10-20 % per year , of which 5-10 % should be organic growth and 15 % operating margin . The dividend policy is that the dividend will account for 40 % of the Group ’ s result after taxes over a business cycle .

In general

A report on the Group ’ s governance and the work of the Board is presented in the section on Corporate Governance .

Proposed distribution of profit

The following is at the disposal of the Annual General Meeting :

In light of the ongoing pandemic and its difficult-to-assess consequences in 2021 , the Board has decided to propose to the Annual General Meeting that no dividend shall be paid and that retained earnings and profit for the year , a total of SEK 1,702,533,925 , is carried forward . With respect to the Group ’ s continued strong financial position , the Board ’ s assessment is that there are good opportunities for a dividend during the latter part of 2021 and the Board will return at the latest in the interim report for the third quarter , which is scheduled to be published on November 5 2021 , with proposal on when a resumption of dividend can take place .

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