New Wave Group Annual Report 2022 NWG_Annual_Report_2022_EN | Page 107

NWG // FINANCIAL INFORMATION // THE GROUP
Note 23 - Accrued expenses and prepaid income
Note 25 - Classification of equity
SEK million 2022 2021 Salaries and payroll fees 171.0 165.1
Repayment liabilities for accrued bonuses ,
kick-backs , rebates
104.4
81.7
Prepaid income
32.7
11.0
Sales commissions
16.3
15.3
Accrued royalty costs
16.6
10.7
Marketing costs
21.1
16.6
Electricity and rental costs
11.6
9.8
Audit fees
7.3
6.4
Consultancy fees
8.2
8.3
Freight costs
18.6
8.1
Interest
0.3
0.1
Other items
21.6
18.8
Total
429.7
351.9
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 2022 2021
Amortizations , depreciations and write-downs
of tangible and intangible fixed assets
253.4
227.3
Depreciation as a part of production
costs / goods for resale
14.0
7.3
Currency effects -19.7 9.2 Other items 5.9 -49.0
Total 253.7 194.8
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 5,890.5 ( 4,567.6 ) 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 2022 , the return on equity amounted to 25.0 ( 18.0 )% with an equity ratio of 53.8 ( 59.6 )%.
The company ' s dividend policy is that 40 % of the net profit must be distributed over a business cycle . The Board of Directors has decided to propose to the AGM a dividend of SEK 6.50 per share ( total SEK 431 233 030 ), spread over two payment dates . The first payment will be of SEK 3.26 per share ( total SEK 216 279 950 ). Since the Board of Directors has proposed a 2-for-1 share split , where each existing share will be split into two shares , the second payment will be of SEK 1.62 per share ( total SEK 214 953 080 ).
The board proposes that the general meetingdecide on a 2:1 split , meaning that an existing share is divided into two shares .
ANNUAL REPORT // 107