New Wave Group Annual Report 2021 - EN | Page 107

NWG // FINANCIAL INFORMATION // THE GROUP
Note 23 - Accrued expenses and prepaid income
Note 25 - Classification of equity
SEK million 2021 2020 Salaries and payroll fees 165.1 138.6
Repayment liabilities for accrued bonuses ,
kick-backs , rebates
81.7
53.1
Prepaid income
11.0
13.5
Sales commissions
15.3
11.4
Accrued royalty costs
10.7
11.2
Marketing costs
16.6
9.9
Electricity and rental costs
9.8
8.0
Audit fees
6.4
5.6
Consultancy fees
8.3
3.9
Freight costs
8.1
2.4
Interest
0.1
0.1
Other items
19.0
14.6
Total
351.9
272.5
Note 24 - Adjustment for items not included in cash flow
Accounting policies
The cash flow statement is prepared in accordance with the indirect method .
SEK million 2021 2020
Amortizations , depreciations and write-downs
of tangible and intangible fixed assets
227.3
229.5
Depreciation as a part of production
costs / goods for resale
7.3
13.9
Currency effects 9.2 27.4 Other items -49.0 -6.2
Total 194.8 264.5
Share capital
Share capital includes the registered share capital for the Parent company . Share capital consists of 19,707,680 ( 19,707,680 ) class A shares ( quoted value SEK 3.00 ) and 46,635,863 ( 46,635,863 ) class B shares ( quoted value SEK 3.00 ). The total number of outstanding shares amounts to 66,343,543 ( 66,343,543 ). Shares issued and fully paid .
Other capital contributions
Other capital contributions include the total transactions that New Wave Group AB has had with the shareholders . Transactions that have taken place are premium share issues . The amount that is included in other capital contributions is therefore fully equivalent to capital received in addition to the nominal amount from the share issue .
Reserves
Reserves consist of translation differences in foreign subsidiaries and fair value changes regarding financial instruments which are a part of cash flow hedge .
Retained earnings
Retained earnings are equivalent to the accumulated profits and losses generated by the Group in total , after the deduction of paid dividends .
Capital management
Group equity amounted to SEK 4,567.6 ( 3,855.5 ) million at the end of the year . New Wave Group ’ s financial strategy is to create safe financial conditions for the Group ’ s operations and development . The return on equity is highly significant . At the end of 2021 , the return on equity amounted to 18.0 ( 9.5 )% with an equity ratio of 59.6 ( 53.4 )%. The company ' s dividend policy is that 40 % of the net profit shall be distributed over a business cycle . Despite the pandemic and the uncertainties that existed , the Group ' s financial position and liquidity have strengthened and New Wave Group has performed significantly better than previously forecast . The Board has therefore decided to return to the ordinary policy and to propose that the Annual General Meeting resolves on a dividend of SEK 4.25 per share , regardless of share class , a total of SEK 281,960,058 .
A dividend of SEK 4.00 per share was paid during 2021 .
ANNUAL REPORT // 107