New Wave Group Annual Report 2023 | Page 107

NWG // FINANCIAL INFORMATION // THE GROUP
Note 23 - Accrued expenses and prepaid income
Note 25 - Classification of equity
SEK million 2023 2022 Salaries and payroll fees 188.6 171.0
Repayment liabilities for accrued bonuses ,
kick-backs , rebates
95.4
104.4
Prepaid income
18.9
32.7
Sales commissions
13.3
16.3
Accrued royalty costs
20.0
16.6
Marketing costs
22.1
21.1
Electricity and rental costs
13.1
11.6
Audit fees
9.0
7.3
Consultancy fees
10.7
8.2
Freight costs
9.4
18.6
Interest
0.6
0.3
Other items
25.4
21.6
Total
426.5
429.7
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 2023 2022
Amortizations , depreciations and write-downs
of tangible and intangible fixed assets
262.9
253.4
Depreciation as a part of production
costs / goods for resale
9.4
14.0
Currency effects -10.7 -19.7 Other items -12.2 5.9
Total 249.4 253.7
Share capital
Share capital includes the registered share capital for the Parent company . Share capital consists of 39,415,360 ( 19,707,680 ) class A shares ( quoted value SEK 1.50 ( 3.00 ) and 93,271,726 ( 46,635,863 ) class B shares ( quoted value SEK 1.50 ( 3.00 ). The total number of outstanding shares amounts to 132,687,086 ( 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 6,460.4 ( 5,890.5 ) 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 2023 , the return on equity amounted to 18.7 ( 25.0 )% with an equity ratio of 60.2 ( 53.8 )%. The company ' s dividend policy is that 40 % of the net profit must be distributed over a business cycle . The board proposes that the general meeting decide on a dividend of SEK 3.50 ( 3.25 ) per share , a total of SEK 464,404,801 ( 431,233,030 ), divided into two payment occasions of SEK 1.75 per share each . The dividend corresponds to 42 % of the net profit .
ANNUAL REPORT // 107