2
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
The Annual Financial Report was prepared in accordance with article 4 of Law 3556/2007 and it was approved by
the Board of Directors of SARANTIS S.A. on April 28
th
2022. It is uploaded on the internet, on the website:
www.sarantisgroup.com
CONTENTS
1. STATEMENTS BY MEMBERS OF THE BOARD OF DIRECTORS ........................................................................................................................ 4
2. BOARD OF DIRECTORS’ ANNUAL MANAGEMENT REPORT .......................................................................................................................... 6
2.1 INTRODUCTION ....................................................................................................................................................................................... 6
2.2 PERFORMANCE AND FINANCIAL POSITION ............................................................................................................................................ 6
2.3 SIGNIFICANT EVENTS DURING THE FINANCIAL YEAR 2021 ................................................................................................................... 10
2.4 MAJOR RISKS AND UNCERTAINTIES FOR 2022. ..................................................................................................................................... 12
2.5 FUTURE OUTLOOK AND PROSPECTS ..................................................................................................................................................... 15
2.6 RELATED PARTY TRANSACTIONS ........................................................................................................................................................... 16
2.7 DETAILED INFORMATION ACCORDING TO A. 4, PAR.7, L.3556/2007. .................................................................................................. 18
2.8 Information for acquired Treasury Shares according to article 50 paragraph 2 of L. 4548/2018. ........................................................ 20
2.9 RESEARCH AND DEVELOPMENT ACTIVITY ............................................................................................................................................ 20
2.10 COMPANY’S BRANCHES ........................................................................................................................................................................ 21
2.11 SUBSEQUENT EVENTS ........................................................................................................................................................................... 21
2.12 CORPORATE GOVERNANCE STATEMENT .............................................................................................................................................. 22
2.13 NON-FINANCIAL STATEMENT ............................................................................................................................................................... 36
2.14 ALTERNATIVE PERFORMANCE MEASURES (“APM”) ............................................................................................................................. 58
3. INDEPENDENT AUDITOR’S REPORT ............................................................................................................................................................ 61
4. ANNUAL FINANCIAL STATEMENTS ............................................................................................................................................................. 70
4.1 STATEMENT OF FINANCIAL POSITION................................................................................................................................................... 70
4.2 STATEMENT OF COMPREHENSIVE INCOME .......................................................................................................................................... 71
4.3 STATEMENT OF CHANGES IN GROUP’S EQUITY FOR THE PERIOD ........................................................................................................ 72
4.4 STATEMENT OF CHANGES IN COMPANY’S EQUITY FOR THE PERIOD ................................................................................................... 73
4.5 STATEMENT OF CASH FLOWS ............................................................................................................................................................... 74
4.6 NOTES ON THE ANNUAL FINANCIAL STATEMENTS ............................................................................................................................... 75
4.6.1 The Company ............................................................................................................................................................................ 75
4.6.2 Group’s Structure ...................................................................................................................................................................... 75
4.7 BASIS FOR THE PREPARATION OF THE INTERIM CONDENSED FINANCIAL STATEMENTS ..................................................................... 76
4.8 BASIC ACCOUNTING PRINCIPLES........................................................................................................................................................... 84
4.8.1 Consolidation ............................................................................................................................................................................ 84
4.8.2 Foreign currency translation ..................................................................................................................................................... 86
4.8.3 Financial information by segment ............................................................................................................................................. 86
4.8.4 Goodwill .................................................................................................................................................................................... 86
4.8.5 Intangible assets ....................................................................................................................................................................... 86
4.8.6 Tangible assets .......................................................................................................................................................................... 87
4.8.7 Investments in Property ............................................................................................................................................................ 88
4.8.8 Impairment of non-financial assets ........................................................................................................................................... 88
4.8.9 Inventories ................................................................................................................................................................................ 88
4.8.10 Financial instruments ................................................................................................................................................................ 88
4.8.11 Offsetting of financial instruments ........................................................................................................................................... 90
4.8.12 Trade receivables ...................................................................................................................................................................... 90
4.8.13 Cash & cash equivalents............................................................................................................................................................ 90
4.8.14 Share capital.............................................................................................................................................................................. 90
4.8.15 Loans ......................................................................................................................................................................................... 90
4.8.16 Leases ........................................................................................................................................................................................ 90
4.8.17 Employee benefit ...................................................................................................................................................................... 91
4.8.18 Recognition of income .............................................................................................................................................................. 92
4.8.19 Government grants ................................................................................................................................................................... 92
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.8.20 Contingent Liabilities and Provisions ........................................................................................................................................ 93
4.8.21 Dividend distribution ................................................................................................................................................................ 93
4.8.22 Current and deferred taxation .................................................................................................................................................. 93
4.8.23 Reclassification of items ............................................................................................................................................................ 93
4.9 FINANCIAL RISK MANAGEMENT ........................................................................................................................................................... 93
4.9.1 Capital Management ................................................................................................................................................................. 93
4.9.2 Financial Instruments ................................................................................................................................................................ 94
4.9.3 Definition of fair values ............................................................................................................................................................. 94
4.9.4 Foreign exchange risk................................................................................................................................................................ 95
4.9.5 Interest Rate Risk ...................................................................................................................................................................... 96
4.9.6 Credit Risk ................................................................................................................................................................................. 96
4.9.7 Liquidity Risk ............................................................................................................................................................................. 96
4.9.8 Raw material price risk .............................................................................................................................................................. 97
4.10 EXPLANATORY NOTES ON THE FINANCIAL STATEMENTS ..................................................................................................................... 98
4.10.1 Segment reporting .................................................................................................................................................................... 98
4.10.2 Investments in subsidiaries, associates ................................................................................................................................... 100
4.10.3 Goodwill .................................................................................................................................................................................. 101
4.10.4 Inventories .............................................................................................................................................................................. 101
4.10.5 Trade and other receivables ................................................................................................................................................... 102
4.10.6 Cash & cash equivalents.......................................................................................................................................................... 104
4.10.7 Financial Assets at Fair Value through Results ........................................................................................................................ 104
4.10.8 Trade and other liabilities ....................................................................................................................................................... 105
4.10.9 Provisions and other long-term liabilities ............................................................................................................................... 105
4.10.10 Loans ....................................................................................................................................................................................... 106
4.10.11 Income Tax .............................................................................................................................................................................. 108
4.10.12 Deferred taxes......................................................................................................................................................................... 108
4.10.13 Employee benefits .................................................................................................................................................................. 110
4.10.14 Expenses per category ............................................................................................................................................................ 110
4.10.15 Financial Income / Expenses ................................................................................................................................................... 112
4.10.16 Share capital............................................................................................................................................................................ 113
4.10.17 Earnings per Share .................................................................................................................................................................. 113
4.10.18 Dividends ................................................................................................................................................................................ 113
4.10.19 Treasury Shares ....................................................................................................................................................................... 113
4.10.20 Reserves .................................................................................................................................................................................. 114
4.10.21 Table of changes in fixed assets .............................................................................................................................................. 115
4.10.22 Number of Employees............................................................................................................................................................. 122
4.10.23 Provisions for post-employment employee benefits .............................................................................................................. 122
4.10.24 Litigation Cases ....................................................................................................................................................................... 123
4.10.25 Contingent Liabilities............................................................................................................................................................... 123
4.10.26 Contractual Obligations .......................................................................................................................................................... 123
4.10.27 Events after the Balance Sheet Date ....................................................................................................................................... 123
4.10.28 Foreign Exchange Differences ................................................................................................................................................. 124
4.10.29 Related party transactions ...................................................................................................................................................... 125
4.10.30 Business Units and Geographical Analysis Tables ................................................................................................................... 128
4
1. STATEMENTS BY MEMBERS OF THE BOARD OF DIRECTORS
Statements by Members of the Board of Directors
(according to article 4 of Law 3556/2007)
It is hereby declared that to our knowledge, the annual parent and consolidated financial statements of the
company “GR. SARANTIS S.A. ” for the financial year 2021 (from 1 January 2021 to 31 December 2021), which were
prepared according to the applicable International Financial Reporting Standards, accurately present the assets and
liabilities, equity and results of the Company Gr. Sarantis S.A. as well as those of the companies included in the
consolidation, considered as a whole.
Furthermore, we declare that to our knowledge, the annual management report of the Board of Directors reflects in
a true manner the development, performance and financial position of GR. SARANTIS S.A. , and of the businesses
included in the Group consolidation, considered as a whole, including the description of the principal risks and
uncertainties faced.
Marousi, April 28
th
2022
The Members of the Board
THE CHAIRMAN OF THE BOARD
CHIEF EXECUTIVE OFFICER
& BOARD MEMBER
THE FINANCE DIRECTOR &
BOARD MEMBER
GRIGORIS SARANTIS
KYRIAKOS SARANTIS
KONSTANTINOS ROZAKEAS
ID No. Χ 080619/03
ID No. ΑΙ 597050/2010
ID No. ΑΚ 783631/13
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
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BOARD OF DIRECTORS’ ANNUAL MANAGEMENT REPORT
FOR THE YEAR 01.01.2021 – 31.12.2021
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
2. BOARD OF DIRECTORS’ ANNUAL MANAGEMENT REPORT
ANNUAL MANAGEMENT REPORT OF THE BOARD OF DIRECTORS
OF THE COMPANY “GR. SARANTIS S.A. ”
on the Annual Financial Statements for the financial year from 1st January to 31
st
December 2021
2.1 INTRODUCTION
The present Annual Report by the Board of Directors which follows (hereinafter the “Report”) refers to the financial
period 01.01.2021 - 31.12.2021. This Report was prepared and is in line with the relevant stipulations of Law
3556/2007 (Government Gazette 91A/30.04.2007) and the relevant executive decisions issued by the Hellenic
Capital Market Commission, as well as Decision no 8/754/14.04.2016 issued by the Board of Directors of Hellenic
Capital Market Commission and provisions of Law 4548/2018.
The Report, along with the financial statements of “GR. SARANTIS S.A.” (hereafter the “Company”), includes to their
entirety all the other elements and statements required by the law in the annual financial report for the period
1.1.2021-31.12.2021.
The present report briefly presents the Company’s financial information for financial year 2019, significant events
that occurred during the year and their effects on the financial statements. The report also includes a description of
the basic risks and uncertainties the Group’s companies may face in the following year and finally within the report,
significant transactions between the issuer and its related parties are also presented.
The report also includes non financial information – sustainability report, the Corporate Governance statement, the
depiction of the most significant related party transactions of the Company and the Group, as well as additional
information as required by the respective legislation.
The financial statements (company and consolidated), the audit report by the certified auditor and the
management report of the Board of Directors of GR. SARANTIS S.A. are being presented on the address:
https://sarantisgroup.com/investor-relations/financial-briefing/results-release/
The financial statements and the certified auditors’ audit reports of Sarantis Group’s companies which are being
consolidated and which are not publicly traded are being presented on the following address:
https://sarantisgroup.com/investor-relations/financial-briefing/subsidiaries-financial-statements/
The Consolidated and Company Financial Statements were compiled according to the International Financial
Reporting Standards (I.F.R.S.), as these have been adopted by the European Union (E.U.).
This Report also refers to Alternative Performance Measurement Indicators in paragraph 2.14.
2.2 PERFORMANCE AND FINANCIAL POSITION
The Group’s total turnover during FY 2021 reached € 408.20 million from € 393.38 million in FY 2020, up by 3.77%, a
significant performance compared to last year’s high basis and given a more normalized consumption.
Sales growth was presented behind the Group’s strategic product categories, particularly those related to
skin care, sun care, body wash, deodorants, food supplements, and home care products, as well as luxury
cosmetics, that were positively influenced by higher demand and the reopening of the selective channel this year.
• Greece , presented sales of €142.78 million in FY 2021 compared to €136.05 mil. in FY 2020, up by 4.95%, with
the mass market channel driving the growth, despite declining consumption in the Group’s strategic categories, and
the Luxury Cosmetics presenting positive growth.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
• The foreign countries, exhibited growth of 3.14% reaching €265.42 million in FY 2021 from €257.33 million in
FY 2020. Excluding fx currency impact, on a currency neutral basis, foreign countries presented a sales growth of
4.9%.
The Group’s profitability in FY 2021 was largely influenced by increasing cost inflation, mainly driven by higher
commodity prices and freight costs. Balanced operating expenses, and controlled advertising and promotion
expenses that are focused on strategic categories and allocated behind strategic initiatives, helped to partly offset
the impact of the inflationary pressures.
• EBITDA* was down by 4.71% to € 59.69 mil. in FY 2021 from €62.64 mil. in FY 2020, with an EBITDA
margin of 14.62% from 15.92% in FY 2020.
• EBIT reached € 46.82 mil. during FY 2021 versus € 50.00 mil. in FY 2020, reduced by 6.36%, and EBIT
margin stood at 11.47% from 12.71% in FY 2020.
• EBT settled at €49.57 mil. in FY 2021 from €47.39 mil. in FY 2020, increased by 4.59%, with the EBT
margin reaching 12.14% from 12.05% in the previous year.
• Net Profit reached €40.29 mil. in FY 2021 from €38.70 mil. in the previous year, up by 4.12%, while Net
Profit margin settled at 9.87% from 9.84% in FY 2020.
*Alternative Performance Measures as defined in paragraph 2.14 of the Group’s Financial Report.
On the balance sheet front, the Group exhibits a healthy financial position supported by the profitability of the
business, balanced capital expenditure as well as the efficient working capital management.
As of the end of 2021 the Group’s net debt over EBITDA ratio stood at 0.1x, with a net debt position reaching €5.96
mil., from € 10.91 mil as of the end of 2020.
Additionally, on the back of improved inventory management and portfolio optimization, the Group managed to
improve its operating working capital requirements over sales to 30.17% in FY ‘21 from 34.25% last year, therefore
supporting further the Group’s free cashflow generation.
Despite a very challenging market environment with COVID-19 pandemic still ongoing, disruptions in the global
supply chains and inflationary pressures, the Group, committed to implementing its strategic agenda, invests the
cash generated by the business behind initiatives to accelerate growth, either organically or through acquisitions,
and to return value to its shareholders.
Within 2021, the Group paid a dividend for FY 2020 of approximately €15 mil. (0.22393 euros per share), increased
by 34% compared to last year’s dividend payment.
For FY 2021, the Board of Directors will propose to the Ordinary General Shareholders Meeting a dividend payment
of 0.143108 euros per share, which is equivalent to €10 mil.
Moreover, within 2021, aiming to upgrade further its production line and increase efficiency, the Group completed
its investments relating to the expansion of its production capacity and the purchase of more automated machinery
equipment at its production facility at Oinofyta.
At the same time, the investments behind the construction of Polipak’s new production facility in Poland continued,
and are expected to be finalized by the end of H1 2022. Polipak’s new garbage bags production plant will lead to a
more automated production process, which, combined with a new R&D and new high-performance machinery
equipment, will result in higher production capacity, increased efficiency and products improved in terms of
ecological profile, durability and functionality.
As part of its strategy to further grow sales and profits organically, emphasis is given in optimizing the Group’s
product portfolio, leveraging the strong brand equity within its strategic product categories. Targeted investments
and innovation plans will be allocated behind strategic product development initiatives in order to drive further
growth across our territory.
Moreover, investments relating to infrastructure, systems, processes, and models have been enabled in order to
increase further the Group’s efficiency and effectiveness.
The Group’s strong financial performance is giving the management drive to continue playing an active role towards
supporting the local communities, addressing emerging societal needs, particularly relating to COVID-19, and
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
operating in an environmentally responsible way, as the Group’s ultimate aim is to maintain the optimum balance
between its economic performance and its responsible environmental and social practices.
Τhe renewal of the composition of the Group’s BoD in 2021, underlines the Group’s commitment Group to follow
best practices in matters of Corporate Governance and Business Ethics and to intensify behind the Group’s efforts
towards Sustainable Development, addressing its four main pillars: sustainable production and consumption,
responsible governance, empowered employees and thriving communities.
➢ Sustainable production and consumption are at the heart of the Group's sustainability strategy and
significantly affect its production facilities and its product approach. Thus, special emphasis is placed on
actions aimed at minimizing packaging and adopting circular economy waste practices, safeguarding
sustainable and circular sourcing of raw and packaging materials, improving energy efficiency, using
renewable energy sources and reducing GHG emissions, while ensuring innovation, product quality and
consumer safety.
The highest quality standards and GPMs practices are followed by our production plants. Moreover our
recent investments in automated production processes and production technologies at Oinofyta, Polipak
and Ergopack plants will allow us to increase our energy efficiency and the use of sustainable materials,
while we also try to increase the percentage of recycled and recyclable packaging materials and we further
strengthen the philosophy of circular economy in production by reducing waste generation in our factories.
Moreover, the forthcoming acquisition, STELLA PACK, is expected to further contribute to circular economy
waste practices and sustainable sourcing.
Our investments and approach are getting widely recognized. Sarantis Group was awarded, for its
environmentally responsible practices, with the German Blue Angel ecolabel. Particularly, the Group’s
garbage bags production plant in Poland, Polipak, was distinguished for the high level of recycled plastic
used in its products. Specifically, the Blue Angel ecolabel confirms Polipak’s capability to produce garbage
bags that include at least 80% of recycled plastic, through production methods that limit the environmental
pollutants.
We implement an energy management system ISO 50001 at Oinofyta production plant and we continuously
empower initiatives to reduce electricity consumption throughout the Group, while we have completely
shifted from diesel to natural gas, in order to reduce our energy footprint. Additionally, we are in the
process of installing photovoltaic systems in our production unit at Oinofyta in order to fully cover our
energy needs. At the same time, we also focus on expanding the environmental management system ISO
14001 at a Group level.
➢ Empowered employees and consistent investment for the development, safety, and wellbeing of our
employees are part of our philosophy. Initiatives, such as partnering with LinkedIn learning platform,
upgrading our Performance Management process and implementing healthcare programs, empower our
employees’ development and well-being.
Particularly during the COVID-19 outbreak, we implemented all health and safety rules that were enforced
by law and national authorities. The Group implemented internal regulations as well in order to prevent the
spread of COVID-19 in facilities where physical presence is required, such as production operations. Remote
working was introduced where possible. The Group applied specific guidelines to protect its employees,
such as canceling internal and external events, business travel, and enforcing the use of protective face
masks and gloves.
➢ Our contribution towards thriving communities was significant this year too, as the Group allocated within
2021 more than 700k euros across seven countries Greece, Poland, Bulgaria, Czech Republic, Ukraine,
Romania and Philippines, through product donations and financial contribution to more than 28 NGOs, 6
hospitals/nursing homes, 10 kindergartens and 4 orphanages further enhancing its social footprint.
Moreover, the Group mobilized product donations to provide emergency aid to those in need during the
wildfires in Greece and in South Moravia (East-South region of Czech Republic) to those affected by tornado
during June.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
In terms of the business unit analysis, Personal Care products sales were up by 6.04% yoy to €176.31 mil. in FY 2021
from €166.27mil. in FY 2020, supported by growth in the own brands portfolio, that increased by 7.38%. This
performance reflects the continued strong demand in categories related to personal hygiene, such as face care,
body wash and hand wash, while the gradual reopening of the market benefited categories such as fragrances,
deodorants and suncare. The category’s participation to total Group turnover amounted to 43.19%.
Sales of Home Care amounted to €158.88 million from €156.39 million in FY 2020, increased by 1.60%, despite the
high comparative basis of last year and the normalization of the consumption demand during 2021, with the
subcategories of garbage bags and food packaging driving the growth. The category’s participation to total Group
turnover amounted to 38.92%.
The category “Private Label” represents sales of Polipak, the Polish packaging products company, which specializes
on the production of private label garbage bags. Sales of this category exhibited a 1.66% increase in FY 2021
amounting to €22.50mil. from €22.13 mil. in FY 2020.
The category of Other Sales was up in sales by 3.96%, driven by the Luxury Cosmetics category, that presented a
2.61% sales growth as a result of the reopening of the market and increased consumption within this channel, as
well as the Health & Care category that exhibited a 9.61% increase, supported by the strong demand for food
supplements.
As for the operating income analysis by business unit, Personal Care products EBIT settled at €12.26 million from
€8.50 million in FY2020, up by 44.18%, driven by the own products, due to the balanced management of advertising
and promotion expenses. The EBIT margin of Personal Care products stood at 6.95% in FY 2021 from 5.11% in FY
2020. The EBIT of Home Care products negatively affected by inflationary pressures on raw material prices declined
to €18.28 million from €22.05 million. The EBIT margin of the Home Care products stood at 11.51% during FY 2021
from 14.10% in FY 2020 and their participation to total Group EBIT settled at 39.05% in FY 2021.
The EBIT of the Other Sales category settled at €3.40 mil from € 4.45 mil. last year. The Luxury Cosmetics
subcategory presented an EBIT decrease by 53%, while Health Care products presented an increase of EBIT by
21.87%.
The income from Associated Companies represents the income from the Estee Lauder JV that stood at €11.81 mil.
up by 2.69% vs last year.
As far as the geographical analysis is concerned, Greece , presented sales of €142.78 million in FY 2021 compared to
€136.05 mil. in FY 2020, up by 4.95%, with the mass market channel driving the growth, despite the downward
trend of the market in the Group’s strategic categories, and the Luxury Cosmetics gaining momentum following the
reopening of the market and the increased consumption in the respective channel.
The foreign countries representing 65.02% of the Group's total sales, exhibited growth of 3.14% reaching €265.42
million in FY 2021 from €257.33 million in FY 2020. Excluding fx currency impact, on a currency neutral basis, foreign
countries presented a sales growth of 4.9%.
Furthermore, the Greek EBIT during FY 2020 increased by 2.11% to €27.73 mil., from €27.15 mil. in FY 2020.
Excluding the income from Associated companies, Greek EBIT during 2021 amounted to €15.92 mil. up by 1.69%
compared to €15.65 mil. last year. Greek EBIT margin, excluding income from Associated Companies, stood at
11.15% during FY 2021 from 11.50% in FY 2020.
The foreign countries EBIT was down by 16.43% during FY 2021, amounting to €19.10 mil. from 22.85 mil last year.
The foreign countries EBIT margin settled at 7.19% from 8.88% in FY 2020
It is noted that:
❖ The breakdown business unit and by geographical region is presented in detail in section 4.10.30 “Business
Units and Geographical Analysis Tables”.
❖ References to sales in Greece are made at Group level, that is, having eliminated intra-group transactions.
❖ References to the EBIT of Greece, as well as to the EBIT of the other countries, relate to the operating
profitability as monitored by the management in order to serve the evaluation of the performance and to
make a more efficient decision-making per sector of activity, it applies proportionally the distribution of
expenses per country.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
2.3 SIGNIFICANT EVENTS DURING THE FINANCIAL YEAR 2021
❖ During February 24
th
2021, the Extraordinary General Shareholders’ Meeting of “GR. SARANTIS S.A.” took place,
with the following items on the agenda:
• Amendment of article 21 of the Company's articles of association.
• Amendment of article 25 of the Company's articles of association.
• Amendment of the Company's Remuneration Policy.
• Free offer of shares to the Company's personnel in accordance with the provisions of article 114 of law
4548/2018; granting of authorization to the Board of Directors.
• Amendment of the stock option plan.
Read the resolutions of the Extraordinary General Shareholders Meeting of February 24
th
2021.
❖ During May 20
th
2021, the Ordinary General Shareholders’ Meeting of “GR. SARANTIS S.A.” took place, with the
following items on the agenda:
• Submission and approval of the Annual Financial Statements along with the Management's and
Statutory Auditor's Report, for the financial year 1.1.2020 - 31.12.2020.
• Submission of the Annual Audit Committee report.
• Approval of the overall management for the financial year 01.01.2020 - 31.12.2020.
• Discharge of the Certified Auditors for the audit of the financial year 01.01.2020 - 31.12.2020.
• Election of a regular and an alternate certified auditor for the ordinary and tax audit of the financial
year 1.1.2021 - 31.12.2021, and approval of their fees.
• Submission for discussion and voting of the Remuneration Report for the financial year 01.01.2020-
31.12.2020.
• Amendment of the Company's Remuneration Policy.
• Increase of the maximum number of the Board of Directors members from 11 to 15 and relevant
amendment of article 8 of the Company's Articles of Association.
• Election of a new Board of Directors and appointment of the independent & non-executive members of
the Board of Directors.
• Appointment of the Audit Committee members according to a.44 of L. 4449/2017.
Read the resolutions of the Ordinary General Shareholders Meeting of May 20
th
2021.
❖ Following the Annual General Meeting of the Company's Shareholders, which was held on May 20th, 2021, the
Company's Board of Directors was formed into body on May 20
th
2021, as follows:
1. Grigoris P. Sarantis, Chairman-Executive member
2. Dimitrios P. Reppas, Vice Chairman – Independent non-executive member,
3. Kyriakos P. Sarantis, Chief Executive Officer – Executive member,
4. Aikaterini P. Saranti, Non-executive member,
5. Konstantinos P. Rozakeas, Executive member,
6. Konstantinos F. Stamatiou, Executive member,
7. Ioannis K. Bouras, Executive member,
8. Georgios P. Kostianis, Executive member,
9. Christos I. Oikonomou, Independent non-executive member,
10. Nikolaos P. Nomikos, Independent non-executive member,
11. Irene M. Nikiforaki, Independent non-executive member
The BoD’s term is 5 years, that is until May 19th 2026, automatically extended until the end of the term, within
which period the next regular general meeting must convene after the end of its term and until the relevant
decision is taken, and it is not possible to exceed six years.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
❖ Following the decision of the Annual General Meeting of the Company's Shareholders, which was held on May
20th, regarding the appointment of the Audit Committee, the Audit Committee was formed into body on May
28
th
2021.
Following:
a) the election of the new third person, Mr. Ioannis Arkoulis of Michael, by the Ordinary General Meeting
dated May 20th 2021, after having confirmed that the requirements set out by the provisions of article
44 of the L.4449/2017 are met, and
b) the appointment by the Board of Directors, of the independent and non-executive members of the
Board of Directors, Ms. Irene M. Nikiforaki and Mr. Christos I. Economou, as the independent and non-
executive members, who, together with Mr. I. Arkoulis, will form the Audit Committee, the
aforementioned members of the Audit Committee, during the Committee’s meeting on May 28th
2021, decided to appoint, Mr. Ioannis Arkoulis of Michael as its Chairman,
the Company’s Audit Committee was formed as follows:
• Ioannis M. Arkoulis, Chairman of the Audit Committee,
• Christos I. Economou of Ioannis, member of the Audit Committee,
• Irene M. Nikiforaki, member of the Audit Committee.
It is noted that the Audit Committee is an independent committee, since it consists of two independent non-
executive members of the Board of Directors and a third person, and has a term starting from its election until
the Ordinary General Meeting to be convened in 2022.
❖ Following the General Shareholders Meeting resolution dated May 20th 2021, the company GR. SARANTIS S.A.
announced the distribution of dividend payment for the fiscal year 2020 amounting to 0. 214661421 euro per
share.
According to the legislation in force, the dividend corresponding to the company’s 2,891,424 treasury shares
was applied to the dividend paid out to the other shareholders and hence the dividend was increased to 0.
22392718 euro per share.
The aforementioned dividend amount was subject to a 5% withholding tax and therefore shareholders received
a net amount of 0,212730821 euro per share.
May 25
th
2021 was set as the ex-dividend date, while the entitled shareholders were those registered in the
Dematerialized Securities System on May 26
th
2021 (Record date).
The dividend payment took place on May 31
st
2021.
❖ During May 2021, the Company purchased more than 10% of the company IVYBRIDGE, as a result the Group
now owns 100% of the shares, as well as the indirect participations of ERGOPACK and HOZTORG.
❖ The Group announced on July 8
th
2021 that, in accordance with the terms and conditions of the amended
Shareholders Agreement entered into with Estee Lauder Europe, Inc. (“EL Europe”) with respect to the
company ELCA Cosmetics Limited (“ELCA”), EL Europe announced its intention to exercise its first call option for
the purchase of shares held by the Group. The first call option represents 9% of ELCA’s shares.
ELCA is a joint venture that was created in 2001 for the sale and distribution of beauty products in Greece,
Romania, Bulgaria and Cyprus. ELCA is currently owned by Sarantis Group, which holds a 49% interest in the
joint venture and EL Europe which holds the remaining 51% interest.
ELCA is based in Cyprus and fully owns the subsidiary companies ESTEE LAUDER HELLAS S.A. Cosmetics
Distribution, ΕSTEE LAUDER BULGARIA EOOD and ESTEE LAUDER ROMANIA Srl., based in Greece, Bulgaria and
Romania respectively.
Based on the amended Shareholders Agreement, EL Europe has the right to increase its interest in ELCA to
100% by purchasing shares held by the Group, including the right to increase its stake based on the financial
statements of ELCA at June 30th 2021, June 30
th
2024 and June 30th 2027 for 9%, 25% and 15% respectively.
❖ During July 16
th
2021, the Extraordinary General Shareholders’ Meeting of “GR. SARANTIS S.A.” took place, with
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
the sole item on the agenda being the approval of the Suitability Policy for the BoD members according to
article 3. paragraph 3 of the law 4706/2020.
Read the resolutions of the Extraordinary General Shareholders Meeting of July 16
th
2021.
❖ Sarantis Group, announced on November 11
th
2021 that it has reached an agreement with UNILEVER ASIA for
the representation and distribution of Fissan baby care products in Greece. The representation starts from 1st
January 2022 and covers all of the brand’s distribution networks in Greece.
Boasting an 85-year old history in the Greek market, Fissan is a baby care brand of high recognition. It is
recommended by paediatricians and trusted by mothers for the care of babies between the ages of 0-3 years,
as it is free of colorants and parabens, while it is distinguished for its mild compositions, neutral PH and
characteristic soft perfume.
It is worth to note that no cost was assumed by Sarantis Group for this agreement.
❖ The Group’s response to COVID-19
During 2021, the Group continued to effectively manage the effects of the COVID-19 pandemic, having as its
ultimate priority the protection and safety of its employees and its smooth business operation, and in particular
the continuous supply of high-demand products to the market.
The management of the Group continues to closely monitor the developments throughout its geographical
region and to respond through a special action plan that is implemented accordingly to the Group’s companies.
From the beginning of the pandemic until today, a special protection policy has been successfully implemented
which is in line with the guidelines of the World Health Organization and the individual measures set by the
authorities in the countries of the Group, and which includes, amongst others, remote working, cancellation of
both internal and external corporate events, regular disinfection and specific hygiene guidance.
The special executive team regularly evaluates the effectiveness of these measures in each country of the
Group’s operation, in order to ensure that they meet the objectives and that they comply with the relevant
measures imposed in each country by the competent authorities.
2.4 MAJOR RISKS AND UNCERTAINTIES FOR 2022.
The Group is exposed to financial and other risks, including the unforeseen changes in interest rates, credit risks and
liquidity risks. The Group’s overall risk management program aims at minimizing the possible negative effects from
such risks on its financial performance. The Group’s financial instruments consist mainly of deposits with banks,
trade accounts receivable and payable, loans and dividends payable.
2.4.1 Foreign exchange risk
The Group operates in an environment characterized by relatively high foreign exchange risk given that almost 65%
of the Group’s total turnover comes from Eastern European countries where the volatility of foreign exchange rates
is likely to be high. The management of the Group is constantly examining the currencies’ fluctuations, but at the
moment it has not taken any measures against the foreign exchange risk due to the lack of appropriate hedging
tools.
2.4.2 Interest rate risk
The interest rate risk emerges from the relation between the cost of debt and the subsequent effect of any interest
rate changes on the earnings and cash flows. The Group’s objective is to achieve an optimal balance between
borrowing cost and the potential effect of any interest rate changes on earnings and cash flows. The Group
monitors and manages its debt and overall financing strategies using a combination of short and long-term debt. It
is policy of the Group to continuously review interest rate trends along with its financing needs. Daily working
capital requirements are typically financed with operational cash flow and through the use of various committed
lines of credit. The interest rate on these short-term borrowing arrangements, is generally determined as the inter-
bank offering rate at the borrowing date plus a pre-set margin. The mix of fixed-rate debt and variable-rate debt is
managed within Group policy guidelines.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
2.4.3 Credit risk
Credit risk is the risk that a counterparty will cause the Group and the Company to suffer a financial loss because of
the obligation to settle the liabilities. The maximum credit risk to which the Group and the Company are exposed at
the date of the preparation of the financial statements is the book value of their financial assets.
Financial assets classified as at fair value through profit or loss are viewed not to expose the Group and the
Company to material credit risk.
The greater part of the risk is found in the event that the debtor - customer of the Group may default on contractual
obligations resulting in material loss to the Group. The Group's receivables come from wholesale, while a large part
of its receivables come from large customers. The financial position of the customers is continuously monitored by
the Group companies, which both control the amount of credit provisions and the credit limits of the accounts and,
on the other hand, try to effectively manage the receivables before they become overdue but also when they
become overdue or doubtful. Where necessary, additional collateral is required with guarantees.
In order to monitor credit risk, customers are grouped according to the category they belong to, their credit risk
characteristics, the maturity of their receivables and any previous problematic receivables that they have
demonstrated, taking into account future factors as well as the economic environment.
The Group and the Company apply the simplified approach of IFRS 9 for the calculation of expected credit losses
and recognize impairment losses for expected credit losses for all financial assets other than those measured at fair
value through profit or loss.
During the year and despite the COVID-19 pandemic, the flow of receivables from clients is normal, as the Group’s
main distribution network is the mass market channel, which remained in full and even increased operation due to
increased consumer needs. In addition, the health care network was fully operational, which means that more than
90% of the Group's sales remain unaffected by operating suspensions.
Specifically, regarding customers who have used the 75-day check repayment extension, the Company still receives
all receivables. These customers relate to the luxury cosmetics network in Greece, which is periodically suspended,
while the sales of this network represent less than 10% of the total sales of the Group.
2.4.4 Liquidity risk
The liquidity risk refers to a case when the Group is not in position to fulfill its obligations with regard to money
payments. Prudent liquidity risk management implies the existence of a balance between cash flows as well as
funding through adequate amounts of committed credit facilities. The Group closely monitors the amount of
funding as well as the short-term and long-term funding with respect to total debt and the composition of total
debt, and it manages the risk that could arise from the lack of sufficient liquidity and secures that necessary
borrowing facilities are maintained. The Group has sufficient credit line facilities that could be utilized to fund any
potential shortfall in cash resources.
The Group manages and monitors its working capital in order to minimize any possible liquidity and cash flow risks.
2.4.5 Raw material price risk
The Group is exposed to price volatility in the basic raw materials it uses for products that manufactures in its own
production facilities.
❖ The basic raw materials used by the Group for the Perfume, Cosmetics and Face Care products are perfumes,
oils and chemicals.
The prices of raw materials in perfumes, cosmetics and facials do not fluctuate significantly, and any differences are
eliminated by gradually transferring volumes from one supplier to another when necessary, maintaining active
alternative suppliers and creating security stocks.
❖ The basic raw materials used by the Group for the categories of household products (food packaging products
and plastic waste bags) are aluminum (in jumbo rolls), plastic (PVC / LDPE Clingfilm in Jumbo rolls) and
polyethylene (HDPE, LDPE, LLDPE).
Regarding the effect of fluctuations in the prices of aluminum and plastic, the Group proceeds to the closing of price
at short intervals, and in addition creates a security stock when it deems it necessary.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
2.4.6 Compliance Risk
The incomplete compliance with the legal regulatory framework that governs the Group could lead to penalties and
other fines, so by this way it will negatively affect the financial position and, as a result its reputation.
Regulatory compliance issues that are recognized by the management are as follows:
1. Issues related to commercial legislation
2. Taxation and labor issues
3. Issues related to the Capital Market Committee and the Stock Exchange
4. Issues related to the protection of personal data
5. Issues covered by the Code of Ethics (fraud, bribery, child labor, work safety and work practices, issues relating to
free competition, etc.)
6. Issues relating to the protection of the environment and the operation of the production facilities.
7. Issues relating to product safety and certification (e.g. EFET) where provided, as well as to the protection of
consumers.
The relevant body that is responsible for assessing the risks is the Executive Committee. Each group of risks shall be
examined separately. The likelihood of occurrence, the potential effect and the level of the organization's tolerance
are estimated, and then the optimum actions are being proposed. Subsequently the Group assigns the people
responsible to implement the agreed actions and inform the management team about the results of these actions.
2.4.7 Pandemic Crisis of COVID
The COVID-19 pandemic has led to an unprecedented crisis in global health and the economy. The Group responded
immediately at all levels, through a specific coronavirus action plan, in accordance with the evolution of the
pandemic across its geographical region. Since the beginning of the COVID-19 outbreak, the Group had set out its
key priorities concerning the health & safety of its employees and the society, the uninterrupted business continuity
and the continuous supply of high-demand products to the market.
Since the beginning of 2020, when the virus started to spread worldwide, until today, the Group enacted a special
management team and precautionary measures in line with each state’s government in which it operates and in
accordance with the official WHO’s guidelines.
The special executive team regularly evaluates the effectiveness of these measures in each country of the Group’s
operation, in order to ensure that they meet the objectives and that they comply with the relevant measures
imposed in each country by the competent authorities.
The Group’s priorities during the COVID -19 outbreak include the following:
• Ensuring the protection and safety of employees, customers, partners, consumers, as well as the ongoing
support of social groups in need, especially those at the forefront of the pandemic and caring for those
affected.
• Implementing contingency and business continuity plans in order to safeguard production plants and enable the
Group’s supply chain to remain fully operational in order to ensure the uninterrupted business continuity and
the continuous supply of high-demand products to the market.
• Maintenance of financial resilience and implementation of the Group’s strategic plan in order to support the
Group’s further growth.
Amidst this extraordinary environment, and as the Group’s priorities remained focused on the health & safety of its
employees and the society and its uninterrupted business continuity, the Group managed to maintain a solid
financial position and free cashflow generation, while executing its investment plan and creating further value to all
stakeholders.
During 2021, investments realized relate to new product development, new acquisitions, upgrading machinery
equipment, expanding production capacity, while a dividend payment was done to the shareholders of the
Company.
The Group’s agility and ability to respond to unpredictable consumption trends, increased demand for certain
product categories, and deal with unprecedent challenges posed by the COVID-19 crisis, is reflected in the Group’s
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
robust performance in 2020 as well as in 2021, which is characterized by increased sales, increase in earnings and
strong cashflow generation.
While the outlook for the global economy in 2022 remains uncertain the management is encouraged by the Group’s
resilient performance.
Therefore, the management estimates that there is no substantial uncertainty regarding the continuation of the
Group and the Company's activity.
2.4.8 Geo-political Risk
The Company is exposed to geopolitical risk, mainly through its subsidiaries’ activities in the region of Central and
Eastern Europe.
Political disorders that derive from geopolitical, economic and strategic countries’ interests, trigger refugee flows,
economic sanctions between states, changes in legislation and can even lead to military action by creating a fluid
and unpredictable geopolitical environment that can potentially threaten the Group’s business activities, its
production, its supply chain, , its financial performance and the safety of its employees.
The Company has a coordinating team for geopolitical crisis management that assesses emerging geopolitical risks
that may affect the Group's activity. The specific crisis management team ensures the objective assessment of the
risks and ensures the timely information and activation of the Management for the taking measures and actions in
view of the active geopolitical risks.
At the same time, in the context of the Group’s expanding business activity, the risk management team examines
thoroughly the Company's risk exposure assessment scenarios at all levels (eg political, credit, health & safety, tax,
supply chain, etc.) and based on these, strategies for coping with the aforementioned risks are formed, always in
relation to the benefits that appear from the expansion of the Company's activities.
2.5 FUTURE OUTLOOK AND PROSPECTS
During the full year of 2021 and despite the backdrop of a very challenging operating environment continuously
disrupted by COVID-19 pandemic, tight global supply chains and inflationary pressures, the Group continued to
deliver a significant business performance.
Underpinned by its ability to continue investing in the business and the implementation of the Group’s future
growth plan, the Group exhibited solid top line growth, despite the high comparative basis of last year and the
normalization of the consumption demand and net profit growth of 4%.
The volatility that characterized 2021 is expected to remain high within 2022, exacerbated even more by the
negative impacts of the war in Ukraine.
The Group maintains a strong financial position and cashflow generation, that provide safety and the support
necessary to mitigate any potential negative impact. Amidst this environment, the Group is continuously reviewing
its action plan, in order to activate further mitigating actions, so as to protect its profitability.
At the same time, the management is focused behind its strategic priorities, committed to executing its
expansionary plans for further value creation, confident that the Group’s agility and its people’s capabilities will
help us navigate through this unprecedented period and emerge stronger. Our focus is on organic and acquisitive
growth, further market development and penetration, cost efficiencies, economies of scale, benefits from synergies
and operating leverage.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
2.6 RELATED PARTY TRANSACTIONS
The most significant transactions between the Company and its related parties, as such are defined by International
Accounting Standard 24, are presented below.
Subsidiaries
Trade receivables
31.12.2021 31.12.2020
Sarantis Belgrade D.O.O 0 88,281
Sarantis Banja Luca DOO 0 197
Sarantis Skopje D.O.O 0 245
Sarantis Bulgaria LTD 81,140 153,617
Sarantis Romania S.A. 896,889 582,200
Sarantis Polska S.A. 467,272 723,296
Sarantis Czech Republic sro 1,241,239 1,422,939
Polipak SP.Z.O.O. 8,526 47,530
Sarantis Slovakia S.R.O 64,936 320,150
Ergopack LLC 852,186 1,108,875
Sarantis Hungary Kft. 244,783 303,954
Sarantis Portugal Lda 671,346 1,119,722
Elode France SARL 31,042 27,734
Total 4,559,359 5,898,740
Company
Trade Liabilities
31.12.2021 31.12.2020
Sarantis Belgrade D.O.O 963,891 1,067,589
Sarantis Banja Luca DOO 0 5,648
Sarantis Skopje D.O.O 676,358 301,140
Sarantis Bulgaria LTD 1,769 0
Sarantis Romania S.A. 7,293 10,687
Sarantis Polska S.A. 583,828 629,875
Sarantis Czech Republic sro 3,143 0
Polipak SP.Z.O.O. 746,010 321,052
Sarantis Slovakia S.R.O 7 0
Ergopack LLC 0 470
Sarantis Hungary Kft. 5,608 10,626
Sarantis France SARL 45,630 48,960
Total 3,033,537 2,396,047
Liabilities from loans
31.12.2021 31.12.2020
Sarantis Bulgaria LTD 2,250,742 7,501,237
Sarantis Romania S.A. 4,501,484 15,002,474
Sarantis Polska S.A. 2,250,742 7,501,237
Waldeck LTD 562,373 558,255
Total 9,565,342 30,563,203
Grand Total Liabilities 12,598,879 32,959,250
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Income from sale of merchandise
01.01 - 31.12.2021 01.01 - 31.12.2020
Sarantis Belgrade D.O.O 1,940,193 2,474,368
Sarantis Skopje D.O.O 611,738 681,104
Sarantis Bulgaria LTD 1,756,835 2,051,024
Sarantis Romania S.A. 5,404,913 6,377,369
Sarantis Polska S.A. 6,226,631 6,766,827
Sarantis Czech Republic sro 4,987,002 4,793,629
Sarantis Slovakia S.R.O 1,733,014 1,121,558
Ergopack LLC 771,976 1,478,184
Sarantis Hungary Kft. 883,270 1,058,339
Sarantis Portugal Lda 804,948 1,041,381
Total 25,120,521 27,843,780
Income – Interest
01.01 - 31.12.2021 01.01 - 31.12.2020
Ergopack LLC 0 53,849
Total 0 53,849
Other Income
01.01 - 31.12.2021 01.01 - 31.12.2020
Sarantis Belgrade D.O.O 180,881 202,308
Sarantis Banja Luca DOO 8,501 4,695
Sarantis Skopje D.O.O 23,639 20,350
Sarantis Bulgaria LTD 34,992 27,669
Sarantis Romania S.A. 102,814 79,059
Sarantis Polska S.A. 583,281 421,105
Sarantis Czech Republic sro 183,365 123,851
Polipak SP.Z.O.O. 76,001 34,435
Sarantis Slovakia S.R.O 61,545 39,454
Ergopack LLC 149,328 309,685
Sarantis Hungary Kft. 75,801 92,700
Sarantis Portugal Lda 58,172 78,297
Total 1,538,320 1,433,608
Grand Total Income 26,658,841 29,331,237
Purchases of Merchandise - Services
01.01 - 31.12.2021 01.01 - 31.12.2020
Sarantis Belgrade D.O.O 1,443 35,041
Sarantis Banja Luca DOO 0 5,648
Sarantis Bulgaria LTD 4,526 0
Sarantis Romania S.A. 61,011 27,525
Sarantis Polska S.A. 1,976,184 2,222,215
Sarantis Czech Republic sro 3,515 6,579
Polipak SP.Z.O.O. 3,532,768 3,457,936
Sarantis Slovakia S.R.O 1,431 0
Ergopack LLC 0 2,541
Sarantis Hungary Kft. 5,675 11,177
Total 5,586,553 5,768,661
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
2.7 DETAILED INFORMATION ACCORDING TO A. 4, PAR.7, L.3556/2007.
2.7.1 Structure of the Company’s share capital
The company’s share capital amounts to 54,504,437.52 euro, divided into 69,877,484, common registered shares
with voting right, and with a nominal value of 0.78 euro per share.
All the shares are registered and listed for trading in the Securities Market of the Athens Exchange.
The rights of the Company’s shareholders with respect to their shares are proportional to the share capital stake to
which the paid-in share value corresponds. Each share incorporates all the rights and obligations that are stipulated
by the Law and Company’s Articles of Association, and more specifically:
• The right to dividend from the annual earnings or liquidation profits of the Company.
A percentage of 35% of the net earnings following deduction only of the statutory reserve is distributed from the
earnings of each year to shareholders as an initial dividend while the distribution of an additional dividend is
resolved upon by the General Meeting. Dividends are entitled to each shareholder who is registered in the
Shareholders’ Register at the dividend record date. The dividend for each share is paid to its holder within two (2)
months from the date on which the Ordinary General Meeting approved the Annual Financial Statements. The
payment date and the payment method are released through the Press. The right to receive payment of the
dividend is subject to a time limitation and the respective unclaimed amount goes to the State upon the lapse of 5
years from the end of the year during which the General Meeting approved the distribution of the said dividend.
Expenses – Interest
01.01 - 31.12.2021 01.01 - 31.12.2020
Sarantis Bulgaria LTD 127,068 180,452
Sarantis Romania S.A. 254,137 360,904
Sarantis Polska S.A. 127,068 180,452
Waldeck LTD 15,687 22,120
Total 523,960 743,929
Other Expenses
01.01 - 31.12.2021 01.01 - 31.12.2020
Sarantis Bulgaria LTD 2,445 0
Sarantis Romania S.A. 4,891 0
Sarantis Polska S.A. 2,445 0
Total 9,781 0
Grand Total Expenses 6,120,295 6,512,590
Table of Disclosures of Related Parties
Group Company
a) Income 0 26,658,841
b) Expenses 0 6,120,295
c) Receivables 0 4,559,359
d) Liabilities 0 12,598,879
e) Transactions and remuneration of senior executives and management
2,174,257 2,174,257
f) Receivables from senior executives and management 84,778 84,778
g) Liabilities towards senior executives and management 0 0
h) Receivables from affiliates 178 178
i) Liabilities to affiliates 0 0
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
• The right to reclaim the amount of one’s contribution during the liquidation or, similarly, the writing off of the
capital representing the share, provided that this is resolved upon by the General Meeting,
• The pre-emptive right at every share capital increase of the Company via cash payment or the issuance of new
shares.
• Each shareholder is entitled to request a copy of the financial statements along with the relevant reports of the
Board of Directors and the Auditors of the Company.
• The right to participate in the Company’s General Meeting which consists of the following specific rights:
legitimacy, presence, participation in discussions, submission of proposals on the items of the agenda, entry of
one’s opinion on the minutes of the Meeting and finally the right to vote.
• The General Meeting of Company’s Shareholders retains all its rights and obligations during liquidation. The
liability of shareholders is limited to the nominal value of the shares such hold.
2.7.2 Limits on transfers of Company’s shares
The transfer of Company shares takes place based on procedures stipulated by Law, while there are no restrictions
set by the Articles of Association for transfer of shares, as such are dematerialized shares listed on the Athens
Exchange.
Pursuant to article 4 of Law 3016/2002, as in force, the independent non-executive members of the Board of
Directors of the Company may not, among other things, hold shares exceeding 0.5% of the paid-up share capital.
In accordance with Article 19 of Regulation (EC) No 596/2014 of the European Parliament and of the Council (as well
as Commission Regulation 2016/522 and Commission Executive Regulation 2016/523), the executives and the
closely related people with these persons, are required to disclose transactions that are directly or indirectly
incurred on their behalf and relate to the Company's shares or debt securities or derivatives or other financial
instruments that are linked to them after the completion of a sum amounting to € euro 5,000 (gross basis) each
year.
2.7.3 Significant direct or indirect holdings according to the definition of 3556/2007
Until 31/12/2021 the following announcement was made with regards to significant direct or indirect holdings
according to the definition of 3556/2007:
❖ Pursuant to the Law 3556/2007 and following a notification received by Swedbank Robur Fonder AB on
September 23
rd
2021, the company GR. SARANTIS S.A. (the “Company”) informed the investors’ community
that, due to purchase of shares, the total direct percentage held by the shareholder on the Company’s voting
rights crossed 5% on September 22
nd
2021 and in particular reached 5.01% (i.e. 3,501,091 voting rights).
2.7.4 Shares conferring special control rights
None of the Company shares carry any special rights of control.
2.7.5 Limitations on voting rights
The Articles of Association make no provision for any limitations on voting rights emanating from its shares.
2.7.6 Agreements among Company shareholders
The Company is not aware of any agreements among shareholders entailing limitations on the transfer of shares or
limitations on voting rights emanating from its shares, apart from those mentioned in paragraph 2.7.3.
2.7.7 Rules governing the appointment and replacement of members of Board of Directors and the amendment
of the Articles of Association
The rules set out in the Articles of Association of the Company on the appointment and replacement of members of
the Board of Directors and the amendment of the provisions of the Articles of Association do not differ from those
envisaged in Codified Law 2190/1920 and since 1/1/2019 in Law 4548/2018.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
2.7.8 Responsibility of the Board of Directors for the issuance of new shares or the purchase of treasury shares
According to the provisions of article 24§1b & 1c of Law 4548/2018, the Company’s Board of Directors has the right,
following a relevant decision by the General Shareholder’s Meeting to increase the Company’s share capital with
the issuance of new shares, through a decision by the Board of Directors that is made with a majority of at least two
thirds (2/3) of its total members. In this case, Company’s share capital may be increased by no more than the share
capital amount paid up on the date when the Board of Directors was granted such power by the General Meeting.
This power of the Board of Directors may be renewed by the General Meeting for a period that may not exceed five
year per instance of renewal.
2.7.9 Important agreements initiated, amended or terminated in case a charge arises in the company’s control
following a public offer
There are no agreements which enter into force, are amended or terminated in the event of change in the control
of the Company following a public offer.
2.7.10 Agreements with members of the Board of Directors or employees of the Company
The Company has no significant agreements with members of the Board of Directors or its employees providing for
the payment of compensation, especially in the case of resignation or dismissal without good reason or termination
of their period of office or employment due to a public offer.
2.8 Information for acquired Treasury Shares according to article 50 paragraph 2 of L. 4548/2018.
During the year 2021, the Company proceeded to the purchase of 70,329 treasury shares at an average purchase
price of 8.95 euro per share, paying 629,121 euro.
Including the 2,825,995 treasury shares already bought by the company during previous years, then as of
31/12/2021, the Company holds in total 2,896,324 treasury shares with nominal value of EUR 0.78 per share and an
average purchase price of 4.82 euro per share, having paid a total of 13,959,515 euro.
The treasury shares that the Company holds correspond to 4.14% of its share capital.
2.9 RESEARCH AND DEVELOPMENT ACTIVITY
The development process of innovative, environmentally friendly products is at the heart of Sarantis Group business
activity, providing the impetus to meet consumers’ needs progressively over time, further enhancing their trust. The
Group has evolved thanks to the given emphasis on know-how and specialisation without compromise aiming at
optimizing and creating new products that exceed consumers’ expectations having ensured the product’s green
footprint and top quality.
The Group’s continuous investment in R&D and environmentally friendly responsible production practices ensure
the product’s quality and alignment with the circular economy. The Group supports the creation of eco products
that increase environmental awareness and enhances responsible consumers’ consumption, while further
stimulates competition to mobilize a systematic change towards a greener future in terms of production.
The Group's Research & Development laboratory is composed of experienced scientists of various specialties who
ensure that the latest scientific knowledge and trends are embedded in the development of innovative and safe
products that always represent an environmental-friendly product-development philosophy. Our research teams
aim to bring together the best ideas within the framework of collaboration with top universities and specialist
companies, while they regularly attend international conferences & exhibitions to be constantly informed about the
latest developments in the industry. In combination with the constant quality controls realized in all phases of
product development process, from the collection of raw materials to their final appearance at the points of sale,
our products meet the most demanding quality criteria and all modern consumers’ needs.
Αt the same time, we explore the potential of circular innovation, both in terms of ingredients and packaging and
we have started to develop our capabilities by starting pilot programs for brands and materials for future launches.
The new modern research & development laboratory within the new production facility of Polipak will contribute
significantly to this, the new R&D will have state-of-the-art equipment and will allow a wide range of measurements
and tests, ultimately guaranteeing high innovation and quality in the category of household products.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
The Group has developed a Regulatory Compliance System which includes: Codes, Policies, Regulations, Procedures,
Work Instructions, Organizational Charts, Job Descriptions, Forms and Control Mechanisms. Each subsidiary is
obliged to make use of the regulatory tools related to the Group, while it is obliged to develop regulatory tools
based on the instructions of the responsible Business Controller.
The Regulatory Compliance System is complemented by the Integrated Management System. The Integrated
Management System has been designed and installed to meet the requirements and expectations of customers in
terms of quality and full compliance with applicable Regulatory Requirements.
Specifically, the implemented Integrated Management System has been designed and installed to meet the
requirements of International Standards ISO 9001, FSSC 22000, ISO 13485, ISO 22716 & ISO 50001.
Analytically, in section 2.13 all Group’s certifications are available.
2.10 COMPANY’S BRANCHES
The Company has the following branches:
1
67 MESOGEION – TZAVELLA, 15231 HALANDRI
2
NATIONAL ROAD ATHENS-LAMIA POSITION LYSIA-TEMPELI 32011, Oinofyta
3
TZUMBA POSITION 0 19011 AVLONA
4
IROON POLYTECHNIOU 19, 15231 CHALANDRI
5
LAND PLOT 51 B10 GROUND FLOOR 0 57001 THERMI
2.11 SUBSEQUENT EVENTS
❖ Update regarding Ergopack
The company GR. SARANTIS SA, operates in the markets of Ukraine and Russia through its 100% subsidiaries
ERGOPACK LLC and HOZTORG LLC respectively.
Ergopack LLC sales in 2021 represent 6.7% of the Group's total sales and Hoztorg LLC sales in 2021 represent
0.5% of the Group’s total sales. In addition, based on 2021, Ergopack LLC Earnings, Interest and Taxes (EBIT)
represent 1.0%, while Hoztorg LLC Earnings, Earnings and Interest (EBITs) represent -2.47% of total Earnings,
Taxes and Interest of the Group.
The Group has no significant suppliers in Ukraine or Russia.
Having the health and safety of its employees as a top priority, ERGOPACK’s production facility located in Kaniv,
from the first day of the invasion, temporarily suspended its operation. Since then the management has been
monitoring the situation closely and has been in frequent communication with the local team in Ukraine.
❖ Sarantis Group announced on March 2nd 2022 that it has entered into an agreement to acquire STELLA PACK
S.A., a Polish consumer household products company.
More specifically, Sarantis Polska S.A., a 100% subsidiary of Gr. Sarantis S.A., signed an agreement for the
acquisition of 100% of the share capital of the Polish company Stella Pack S.A. The finalization of this acquisition
is subject to customary closing conditions and the approval of the antimonopoly authorities in the countries of
Stella Pack’s activity.
STELLA PACK is a leading player in the production and distribution of household products, boasting 25 years of
successful presence in the categories of Garbage Bags, Food Packaging and Cleaning items for the Household
with an annual turnover of approximately 65 million euros.
STELLA PACK contributes to the cyclical economy as it works only with recycled plastic and it owns a waste
separation line that manufactures internally own recycled plastic covering fully its production needs.
This acquisition, completely aligned with the Group’s strategic growth plan, is a great fit within the Group’s
portfolio and reinforces its position as a leading consumer products company, supporting further the Group’s
geographical footprint in its territory.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
2.12 CORPORATE GOVERNANCE STATEMENT
The Corporate Governance Statement is included in the Annual Report of the Board of Directors pursuant to article
152, par.1 of Law 4548/2018. The present Statement concerns the fiscal year 1/1-31/12/2022.
The Company applies the principles of corporate government, as those are defined in the current legislative
framework and particularly pursuant to article 17 of L. 4706/20 and article 4 of the Decision of the Hellenic Capital
Market Commission (Decision no. 2/905/3.3.2021 of the Board of Directors of the Hellenic Capital Market
Commission).
2.12.1 Corporate Governance Code:
Upon the decision of its Board of Directors dated on 15.07.2021, the Company applies the Hellenic Corporate
Governance Code of the Hellenic Corporate Governance Council (HCGC) (June 2021), with the deviations
mentioned in the present Corporate Governance Statement.
The Hellenic Corporate Governance Code is posted on the website of the Hellenic Corporate Governance Council
HCGC_Hellenic Corporate Governance Code as well as on the corporate website Gr. Sarantis SA_Hellenic
Corporate Governance Code (2021).
The Hellenic Corporate Governance Council (HCGC) was established in 2012 as a non-Profit Company with the
joint initiative of the Hellenic Federation of Enterprises (SEV) and the Athens Stock Exchange (ATHEXGROUP).
Since then, the Hellenic Banking Association in 2018 and the Hellenic Fund and Asset Management Association
in 2019 became Regular Members of the HCGC. The purpose of the HCGC is to continuously increase the
credibility of the Greek market among domestic and international investors and to improve the competitiveness
of Greek corporations. It functions as a specialized body for disseminating the principles of corporate
governance and seeks to develop a culture of good governance in the Greek economy and society.
2.12.2 The General Assembly of the Shareholders:
Operation Items of the General Assembly
The General Assembly of the shareholders is the supreme body of the Company. It is entitled to decide upon any
subject, whereas its decision constitutes commitment even for the absent or opposing shareholders. The
General Assembly is temporarily chaired by the Chairman of the BoD, who, through a specific procedure,
provides for the election of the ordinary Chairman and the Secretary of the General Assembly. The responsibility
of the General Assembly is to take decisions regarding all subjects submitted to it, whereas it is the only
competent body to decide on issues mentioned in article 117 of L.4548/2018 and specifically the following:
- amendments of the articles of association including capital changes;
- the election of the BoD members, the auditors and the determination of their fees. Pursuant to article 10 of
the articles of association, the election of BoD directors to substitute vacancies due to death, resignation or
deposition is also excluded;
- the approval overall management in line with article 108 of L. 4558/2018 and the discharge of auditors
- the approval of Annual Consolidated financial statements,
- the allocation of the annual profits;
- the approval of of remuneration or advance payment of remuneration according to article 109 of Law
4548/2018,
- the issuance of convertible loan;
- the approval of the remuneration policy and report,
- the cases of merger, split, transformation, revival, extension or dissolution of the company; and
- the appointment of liquidators.
The Company has adjusted the provisions of its articles of association which are subject to the provisions of L.
4548/2018, such as the aforementioned decisions requiring an increased quorum (2/3) and a majority (2/3 of
those present). Amendment of other provisions by simple quorum (1/5) and a majority ( ½ +1 of those present).
Communication with the Shareholders and the potential Shareholders.
The Company operates a website which presents subjects and information concerning the shareholders in both
the Greek and the English language.
The contact details of both the Chairman of the Company and the manager of the investor relations and
shareholders department are at the disposal of the shareholders for direct communication.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
In case institutional shareholders wish to get acquainted with the group, they may contact the manager of the
investor relations and shareholders department who will handle the arrangement of a relevant presentation
meeting.
Regarding the procedure of holding the General Assembly, the company is subject to the provisions of the
national legislation and posts on its website all the required information in Greek as well as in English for the
shareholders’ convenience.
Conditions for the Participation of Shareholders in the General Assembly.
Law 4548/2018, in article 124, and Law 4569/2018, in article 14, define the conditions for the participation of
shareholders in the General Assembly.
In particular:
- Any natural person or legal entity having a shareholder status on the fifth day (date of registration) before
the General Assembly the has the right to participate.
- For the cases of repeat General Assemblies or Assemblies after postponement, the deadlines of article 130,
L. 4548/2018 apply.
- Shareholder status is evidenced through information obtained from the Central Deposition, as well as
through any legal means.
- There is no requirement for the shareholders to block their shares in order to participate in the General
Assemblies.
Shareholders’ Rights
Law 4548/2018, in article 123, defines the shareholders’ rights regarding the General Assembly and in particular
the information that the company is obliged to provide to its shareholders. Specifically, the company is obliged
to post on its website, from the publication of the invitation and until its convocation, the information provided
for in article 121 of L. 4548/2018 regarding:
- the procedure for the exercise of the right to vote through a representative;
- the information regarding the exercise of minority rights pursuant to paragraphs 2, 3, 6 and 7 of article 141,
L. 4548/2018;
- the availability of representation appointment and revoking forms;
- the decision drafts on items of the agenda;
- the total number of shares and voting rights on the date of the invitation;
- the alternative way of providing representation appointment and revoking forms, free of charge, in cases of
inability to obtain them online.
For cases of participation through a representative, article 128 of L. 4548/2018 applies. The appointment,
revoking and replacement of a representative are submitted to the Company in writing at least 48 hours before
the General Assembly. In case of non-compliance, the non-compliant shareholder may participate in the General
Assembly unless the General Assembly refuses the participation for a significant reason. The representative
votes in accordance with the instructions of the shareholder, if any. Non-compliance of the representative with
the instructions does not affect the validity of the decisions of the General Assembly. The representative is
obliged to disclose to the Company, before the beginning of the General Assembly, any case of serving interests
other than those of the represented shareholder.
The rights of the minority shareholders and the way to exercise them are defined in articles 141 to 144 of L.
4548/2018.
2.12.3 Board of Directors and Committees:
(a) The Company is governed by the Board of Directors, which is elected by the General Assembly, in the context
of the Articles of Association of the Company and the national legislation. The current Board of Directors consists
of 11 (eleven) members and has a six-year term (pursuant to the provisions of article 85 of L. 4548/2018). Five
(5) of the BoD members are non-executive members, whereas four (4) of the non-executive members are also
independent members.
The following table presents the members of the Board of Directors, the capacity and relation of each member,
their participation in committees, the changes within the reference period, their total term (from the date the
company was listed in the Athens Stock Exchange) as well as the beginning and the end of the term for the
reference period.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Committees
SN
Full Name
Capacity
Relation
Term
(years)
Beginning
of Term
End of
Term
Audit
Remuneration &
Nominations
Composition of the Board of Directors
1
Grigorios P.
Sarantis
Chairman
Executive
member
28
20/5/2021
19/5/2026
2
Dimitrios P.
Reppas
Vice-chairman
Independent and
non-executive
member
1
20/5/2021
19/5/2026
C
3
Kyriakos P.
Sarantis
CEO
Executive
member
28
20/5/2021
19/5/2026
4
Ekaterini P.
Saranti
Member
Non-executive
member
19
20/5/2021
19/5/2026
5
Konastantinos P.
Rozakeas
CFO & Deputy CEO
Executive
member
23
20/5/2021
19/5/2026
6
Konstantinos F.
Stamatiou
Legal Counsel
Executive
member
22
20/5/2021
19/5/2026
7
Ioannis Κ. Bouras
CCO & Deputy CEO
Executive
member
1
20/5/2021
19/5/2026
8
Georgios P.
Kostianis
COO
Executive
member
1
20/5/2021
19/5/2026
9
Christos Ι.
Economou
Member
Independent and
non-executive
member
5
20/5/2021
19/5/2026
Μ
Μ
10
Irini Μ. Nikiforaki
Member
Independent and
non-executive
member
1
20/5/2021
19/5/2026
Μ
11
Nikolaos P.
Nomikos
Member
Independent and
non-executive
member
4
20/5/2021
19/5/2026
Μ
-
Dimitrios Κ.
Efstathiou
Member
Independent and
non-executive
member
12
3/5/2017
20/5/2021
M
M
-
Antonios Μ.
Agiostratitis
Member
Non-executive
member
12
3/5/2017
20/5/2021
-
Ioannis Μ. Arkoulis
Chairman of the
Audit Committee
Third Party
Independent,
non-member of
the BoD
2
20/5/2021
24/5/2022
C
The following table presents the professional commitments of the members of the Board of Directors other than
their duties in the Group.
Full Name
Capacity
Professional Commitments
Grigorios P. Sarantis
Chairman
Estee Lauder Hellas S.A. (Chairman & CEO)
DATABLUE S.A.. (BoD Chairman)
SARKK S.A.. (BoD Chairman & CEO)
ZAKIS Μ.LTD. (Administrator)
POLYAGROKTIMA GI MAS (Administrator)
Dimitrios P. Reppas
Vice-chairman
-
Kyriakos P. Sarantis
CEO
SARKK S.A.. (BoD Vice-chairman)
DIRTY LAUNDRY (Chairman & CEO)
THINALOS KYKLADON S.A. (Chairman & CEO)
Ekaterini P. Saranti
Member
-
Konstantinos P. Rozakeas
CFO & Deputy CEO
LENIDI S.A. (BoD Chairman)
Konstantinos F. Stamatiou
Legal Counsel
LENIDI S.A. (BoD Member)
DATABLUE S.A. (BoD Member)
Practices Law
Ioannis Κ. Bouras
CCO & Deputy CEO
-
Georgios P. Kostianis
COO
-
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Christos Ι. Economou
Member
-
Irini Μ. Nikiforaki
Member
Lawyer of Athens at the Supreme Court, appointed in the
Athens Court of First Instance. ΕΕΤΤ Lawyer. She teaches in
the Post-graduate programs of the Law School of the Athens
University. Partner of the law office ‘Nikiforaki & Fereti Law’
Nikolaos P. Nomikos
Member
Works as a Growth Lead at Beat (Daimler Group)
The curriculum vitae of each member of the Company’s Board of Directors are posted on the corporate website
https://sarantisgroup.com/the-group/leadership/board-of-directors/. In particular:
GRIGORIS SARANTIS OF PANTAZIS, Chairman of the Board of Directors - Executive Member
Chief Executive Officer of the joint venture between Gr. Sarantis S.A. and THE ESTEE LAUDER COMPANIES.
He was born in Athens and studied at Athens Law School. He is a graduate of Athens College.
A leader with a vision and substantial contribution to the growth of both Sarantis Group and the joint venture
with The Estee Lauder Companies.
He is a results-focused leader with a proven ability to deliver improvements to product quality, market
positioning, customer relationships and financial performance.
His management style includes creativity, inspiration, vision, motives and rationality, qualities that he conveys to
his partners.
DIMITRIOS P. REPPAS, BoD Vice-chairman - Independent & Non-executive Member
Dimitrios Reppas was born in Leonidio of Arkadia in 1952. He holds a BSc in Dentistry from the University of
Athens. He has worked as a dentist surgeon in Athens. He was elected as Member of Parliament representing
Arkadia in 1981 and reelected in subsequent elections until 2012. During this period, he served as Minister of:
Press and Government Representative, Labor and Social Security, Transport and Network Infrastructure, Public
Administration, and e-Government. He has written many articles, research papers and a book: “Face to face with
the Media”. He is married with two children.
KYRIAKOS SARANTIS OF PANTAZIS, Chief Executive Officer (CEO) of Sarantis Group
He was born in Athens and studied at the Athens University of Economics and Business. He is a graduate of
Athens College.
His vision and business thinking brought significant development in the Group making it one of the leading
consumer products companies in Europe.
Within dynamic and rapidly changing markets, he has repeatedly produced sustained revenue, significant
improvement in the operational performance and profitability of the Group and achieved critical strategic goals,
thus building shareholder value and confirming his vision.
He focuses particularly on the people of the Group by adopting a healthy and practical management style
focused on the employees’ fulfillment and advancement.
KONSTANTIONOS ROZAKEAS OF PETROS, Chief Financial Officer (CFO), and Deputy CEO of the Group, Executive
Member.
He is responsible for all the non-commercial activities. He has been the Chief Financial Officer of the Group for
the last 25 years, having 12 years of former experience as Certified Accountant (at SOL) and Business Consultant
(at ARTHUR ANDERSEN). He has attended the executive programs of the INSEAD Business School, Advanced
Management Program (AMP) and Corporate Financial Strategy in Global Markets (CFSGM).
KONSTANTINOS STAMATIOU OF FOKION, Manager of the Legal Department of the Group, Executive Member
In-house Legal Counsel of GR. SARANTIS S.A. since 1997. Graduate (cum laude) of Athens College (1969-1978).
Graduate (magna cum laude) of Athens Law School of the University of Athens (1978-1982). Post-graduate
studies (Μaster of Laws) at the University College of London and Queen Mary College of the University of
London.
Apart from his position as Legal Counsel and participation in the Board of Directors of significant private sector
companies, he has participated in the Board of Directors of the “National System for the Quality of
Infrastructures” (Greek Organization for Standards and Standardization, National Institute for Measures &
Metrology) and of “THEMIS Constructions” as Deputy Chairman.
IOANNIS Κ. BOURAS, Chief Commercial Officer (CCO) and Deputy CEO of the Group, Executive Member.
A passionate visionary FMCG professional with experiences around various categories of products (food,
personal care, and beauty), countries and regions of activity. He mainly focuses on brands and people of the
organization, always aims at the day-to-day close cooperation to deliver business objectives and finally create
26
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
value for all stakeholders. He has the knowledge and the experience of all distribution channels, modern
retailers and e-shops. Having proved his participation in leading teams in a volatile competitive environment, he
has effective communication and engagement as his main pillars of his work. Effective, creative and productive,
leading by example with front line leadership style. Always positive, energetic, solution and action oriented. His
20-year professional experience in the sector is a privilege for Sarantis Group. He has worked in many countries
for various companies such as ΜΙΝΕRVΑ and PZ Cussons. He holds a bachelor in chemical engineering, ΜΒΑ
degree, and completed the INSEAD International Directors Program in 2019.
GEORGIOS P. KOSTIANIS, Chief Operating Officer (COO) of the Group, Executive Member.
An extremely skilled FMCG professional with 30 years of experience in the sector. He has worked in many
countries for various companies such as PZ Cussons and ΜΙΝΕRVΑ, and he was responsible for budgets of
£500mil. and P&L of more than £100mil. while he is an expert in international supply chain & logistics matters.
He is very experienced in Boards of Directors of companies abroad, as Chief Commercial Officer, in Nigeria,
Singapore and Greece for PZ Cussons and ΜΙΝΕRVΑ respectively. He holds a BSc. and a MSc. in mechanical
Engineering from the Universitiy of Birmingham and Manchester respectively. In 2003, he attended the INSEAD
International Executive Program, and in 2019 he completed the Financial Times-Pearson Plc Non-executive
Director (NED) Diploma.
EKATERINI SARANTI OF PANTAZIS, Non-executive Member
She holds a Μaster degree in Special Education from Lesly College (U.S.A.) and Bachelor in Psychology from
Deree College. She is a graduate of Moraitis High School. She ensured the immediacy of the Audit Committee's
communication with key shareholders and the expansion of the Audit Committee's expertise, maintaining
communication channels during her term that lasted until 2018.
CHRISTOS ECONOMOU OF IOANNIS, Independent - Non-executive Member,
He has many years of experience in the construction sector, through the companies of Parnon S.A. and Vistonis
S.A, and provides his experience particularly during the audit of the projects and the capital expenditures of the
Group.
IRINI Μ. NIKIFORAKI, Independent-Non-executive member
Irini Nikiforaki was appointed to the Athens Court of First Instance in 1997 and is admitted before the Supreme
Court of Greece. She holds a BSc in Law from the Law School of the University of Athens, a post-graduate degree
from the same university (LL.M European Competition Law, Intellectual Property, International Commercial
Arbitration) and a Ph.D from the Law School of the University of Edinburgh (PhD: “Technology Licensing: the
evolution of EU Competition law”), while in 2020 she attended the Female Leadership Program of the University
of Oxford, Saïd Business School. She specializes in the Competition and Regulatory Law, focusing on the
Telecommunications sector, and on the Information/Communication/Technology sector (ICT sector), commercial
contracts law, intellectual and industrial property law, corporate law, and mergers and acquisitions of
companies. From 2002 until now, she is a Lawyer of the Hellenic Telecommunications and Posts Commission
(ΕΕΤΤ) competent for regulatory and competition issues in the Electronic Communications sector. During 2007-
2008, she served as legal counsel in the Ministry of Infrastructure and Transports. She is a founding member of
the law office ‘Nikiforaki & Fereti Law’ (https://nikiforaki.ondev.gr). Moreover, she has participated in a
significant number of legislative bill drafting committees (for Telecommunications, the incorporation of the new
code of Electronic Communications) and has represented EETT in the European competition network of the
European Union. She teaches Electronic Communications Law as a visiting lecturer in the Post-Graduate
programs of the Law School of the University of Athens and she has made various scientific and academic
publications.
NIKOS ΝΟΜΙΚΟS OF PERIKLIS, Independent-Non-executive member
He holds a Bachelor in Business Management from the Univerity of Surrey and an MSc in Business Innovation,
Entrepreneurial Finance and Innovation Management from University of London. He is a graduate of Moraitis
High School. His professional activity is in the sector of financial advisory services. Since 2019 he has been
working as a Growth Lead at Beat (Daimler Group).
MARIA FOTOPOULOU OF GEORGIOS, Corporate Secretary
Mrs Fotopoulou has been a lawyer for 21 years and legal counsel of Gr. Sarantis S.A. since 2015. She is a holder
of a BSc from the Law School of Athens and a LL.M. in the European and International Law; she has a rich and
broad legal background, dealing with cases of the corporate and commercial law, as well as the entire spectrum
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
of law related to the Company’s activities. Her legal training in combination with her extensive knowledge of the
Group’s operations ensures excellent support of the role of the Corporate Secretary.
The BoD members are elected – appointed by the General Assembly through simple quorum (1/5) and majority
(½ +1 of those present).
In case of resignation, death or loss of the status of the member or members of the Board of Directors in any
other way, the remaining members can decide to continue the administration and representation of the
company even without the replacement of the vacancies on the condition that the number of the remaining
members exceeds half the number of the members prior to the occurrence of these events. In any case, the
remaining members are not allowed to be less than three (3).
The BoD convenes regularly depending on the needs of the Company and the items to be settled and at least
once a month.
The Secretary of the Board of Directors holds the minutes of the Board of Directors and the Committees.
The following table summarizes the number of meetings and participation rates of the Board of Directors and its
Committees during the reference period, that is, 1/1-31/12/2021
% participation
BoD meetings
%
participation
Audit
Committee
meetings
% participation
Remuneration
& Nominations
meetings
SN
Number of Meetings
61
16
2
1
Grigorios P. Sarantis
Chairman
Executive member
100%
2
Kyriakos P. Sarantis
Chief Executive
Officer
Executive member
100%
3
Konstantinos P. Rozakeas
CFO & Deputy CEO
Executive member
100%
4
Konstantinos F. Stamatiou
Legal Counsel
Executive member
100%
5
Ioannis Κ. Bouras
CCO & Deputy CEO
Executive member
46%
6
Georgios P. Kostianis
COO
Executive member
38%
7
Ekaterini P. Saranti
Member
Non-executive
member
77%
8
Dimitrios P. Reppas
Vice-chairman
Independent and
non-executive
member
18%
50%
9
Christos Ι. Economou
Member
Independent and
non-executive
member
38%
94%
100%
10
Irini Μ. Nikiforaki
Member
Independent and
non-executive
member
25%
81%
11
Nikolaos P. Nomikos
Member
Independent and
non-executive
member
31%
100%
-
Ioannis Μ. Arkoulis
Chairman of the
Audit Committee
Third Party
Independent non-
member of the BoD
7%
100%
Antonios Μ. Agiostratitis
Member
Non-executive
member
36%
Dimitrios Κ. Efstathiou
Member
Independent and
non-executive
member
13%
13%
50%
The Company’s Regulation of Operation, a summary of which is posted on the corporate website Summary of
the Regulation of Operation Gr. Sarantis S.A., describes in details the operation of the Board of Directors, its
powers, authorities and duties, the authorities of the executive members, the non-executive members and the
independent members. Reference is made to the authorities of the Chairman and the Independent Vice-
chairman.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
The Management has established a policy and a procedure to prevent and address conflicts of interests. The
goal of the Policy is to set the framework of identifying, assessing, managing and preventing cases of conflicts of
interests, so that the administrative bodies of the Company can make prudent, objective and independent
decisions in favor of the Company and the fulfilment of its aims, and that the due diligence of the members of
the bodies and the promotion of the corporate interest is ensured. The Procedure reflects the principles and
procedures that the Company adopted in order to fulfil its legal obligations to keep and implement effective
administrative procedures and audit mechanisms to prevent, identify and manage existing and potential
conflicts of interest within its activities.
The Management has taken care of adopting the compliance procedure regarding the transactions with related
parties in line with article 14 of Law 4706/20 and of the obligations arising regarding the recognition, monitoring
and disclosure of the Company's transactions with related parties.
The rules regarding the recognition, monitoring and disclosure of transactions with related parties are based on
Law 4548/2018 and in particular Articles 99-101, International Accounting Standards / International Financial
Reporting Standards and more specifically IAS 24 "Related Party Disclosures" and IAS 27 "Consolidated and
separate financial statements" and the instructions of the Hellenic Capital Market Commission (Circular 45 /
21.7.2011 "Transactions of a listed company with related parties").
The monitoring of the transactions between the Company and its related parties is carried out on a continuous
basis by the Finance Department. The Finance Department is responsible for the observance of the provisions of
the legislation on intra-group transactions, the monitoring of the procedures of agreements or written contracts
between the related entities as well as their justification and documentation by calculating the prices of
products-services ( provided or received).
The Board of Directors of the Company evaluates and updates on an annual basis the criteria applied for the
identification of the Company's transactions with related parties and the fulfillment of the criteria in order to
exclude an impending transaction from the restrictions of Law 4548/2018.
The competent body, for taking the relevant decision on the preparation of Intragroup Transaction and the
granting of the relevant license, is the Board of Directors of the Company. The competence of the Board of
Directors for the issuance of a license is exercised collectively and cannot be assigned to one or more persons,
members of the Board of Directors or not.
The Board of Directors may issue a license, which is valid for six (6) months. On repetitive contracts with the
same person, a single contract can be issued, which defines the characteristics of the contracts and is valid for
one (1) year.
The Board of Directors announces the issuance of a license for the preparation of the Intragroup Transaction.
This announcement is submitted to the publicity provided by Law 4548/2018 before the completion of the
transaction.
Within ten (10) days from the publication of the announcement of the granting of the above license by the
Board of Directors, shareholders representing one twentieth (1/20) of the paid-up share capital, may request the
convening of a General Meeting to decide on the issue of licensing. The contract for which a license was granted
by the Board of Directors is considered final only after the expiration of the deadline of ten (10) days or the
receipt of the license from the General Meeting or the written statement of all shareholders to the Company
that it is not provided to request the convening of the General Assembly.
If the Intragroup Transaction has already been concluded until the General Meeting has been authorized, then
the General Meeting is canceled if it is opposed by shareholders representing one twentieth (1/20) of the capital
represented at the General Meeting.
In the event that the transaction concerns a shareholder of the Company, the specific shareholder does not
participate in the voting of the General Meeting and is not calculated for the formation of the quorum and the
majority. Similarly, other shareholders do not participate in the voting with whom the counterparty is associated
with a relationship subject to paragraph 2 of article 99 of Law 4548/2018. This paragraph does not apply if the
permission of the Board of Directors was given with the consent of the majority of its independent members.
In any case, the issuance of the license by the General Meeting is canceled, if it is opposed by shareholders
representing one third (1/3) of the capital represented at the meeting.
If the permission to conclude the contract was given by the General Meeting, any amendments may be made
with the permission of the Board of Directors, unless the General Meeting reserved the right to provide the
permission to them as well.
The decision of the Board of Directors or the General Meeting (as the case may be) is taken based on the
auditor’s report or auditing company or other independent third party to the Company, which assesses whether
the transaction is fair and reasonable for the Company and its shareholders that are not a related party,
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
including the Company's minority shareholders, and explains the assumptions on which it is based, together with
the methods used. The persons of paragraph 2 of article 99 of Law 4548/2018 do not participate in the
preparation of the specific report.
Except in the case that the Board of Directors has granted the permission for the preparation of the Intragroup
Transaction, the Board of Directors announces the issuance of permission for the preparation of the Intragroup
Transaction by the General Meeting, as well as the non-expiration of the ten (10) days according to the above.
This announcement is submitted to the publicity provided by Law 4548/2018 before the completion of the
Intragroup Transaction. Inaccuracy of the announcement is not opposed to third parties, unless the Company
proves that the third parties were aware of this inaccuracy. The announcement includes at least some
information:
- as to the nature of the Company's relationship with the related party,
- the date and value of the Intragroup Transaction,
- any other information necessary to assess whether the transaction is fair and reasonable to the Company
and its non-affiliated persons, including minority shareholders.
The announcement is accompanied by the report of the accountant auditor or auditing company according to
the above. The transaction concluded between the person affiliated with the Company and its subsidiary is also
submitted in the publicity formalities.
The provisions of this procedure are without prejudice to the obligations of disclosure of preferential
information, as referred to in Article 17 of Regulation (EU) No 596/2014 of the European Parliament and of the
Council.
The Management has provided for the generation of an Assessment and Supervision Procedure for the
Members of the Board of Directors and its Committees. The assessment is carried out every year. In this
context, the Nominations and Remuneration Committee assesses the structure, composition and performance
of the bodies, as well as the skills, knowledge and experience of their members and submits proposals to the
Company’s Board of Directors. The assessment in both cases is conducted by filling in appropriate
questionnaires. Once the Board of Directors is aware of the results of the assessment, the actions to be
implemented are formed. In case decisions are made on corrective actions following the assessment, the
Nominations and Remuneration Committee makes sure that these are properly implemented, and the
implementation thereof is monitored by the Chairman of the Board of Directors.
(b) Committees
(b1) Executive/Management Committee (Regulation of Operation, par.2.2.3.1).
In addition to the provisions of the law, the company has established an Executive Committee. It is chaired by
the Chief Executive Officer and the directors of the Group’s core operations and on case by case basis the
pertinent directors of the Business Units participate. The Executive Committee constitutes a collective body of
the Company’s management with explicitly executive responsibilities and supervisory role over current
operating and administrative issues. It is the competent committee for the business risk management.
(b2) Audit Committee (Regulation of Operation, par.2.2.3.2).
The Audit Committee consists of at least three members as an independent committee. The Chairman is
appointed by the members. Its members are Ioannis Arkoulis, Certified Public Accountant (Chairman,
Independent third Party appointed by the Ordinary General Assembly), Irini Nikiforaki, Legal Counsel, Lawyer of
Athens at the Supreme Court, and visiting lecturer in the Post-Graduate programs of the Law School of the
University of Athens (Member, Independent non-executive BoD member), Christos Economou, Businessman
(Member, Independent BoD Non-executive member).
The Audit Committee assists the Board of Directors in fulfilling its supervisory responsibility undertaken on
behalf of the shareholders. It is a committee designed to add value and improve the operations of the
organization. Its role includes, inter alia, the following: (a) it informs the Board of Directors about the results of
the mandatory audit, (b) it monitors the financial reporting process, (c) it monitors the effectiveness of the
internal audit systems, (d) it monitors the mandatory audit of the annual and consolidated financial statements,
(e) it reviews and monitors the independence of the certified auditors or the auditing companies, (f) it is
responsible for the selection of certified auditors or auditing companies, (g) its responsibility is to select
independent evaluators to evaluate the Internal Audit System, monitor their work and inform both the Board of
Directors and the competent supervisory body.
The Audit Committee has a regulation of operation, which defines, inter alia, its role, the process to fulfil it, and
the way to convene and hold its meetings. The regulation of Operation of the Audit Committee is posted on the
Company’s website Regulation of Operation of the Audit Committee Gr. Sarantis S.A..
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
The Committee held 16 meetings in total during the fiscal year. The table of page 9 presents the percentage of
participation for each member. A detailed description of the Committee’s work is presented in the annual report
of proceedings included in the annual Ordinary General Assembly and posted on the corporate website. In
summary, the issues addressed were the following:
Regarding the obligation to supervise the external audit and the financial reporting process, the Audit
Committee, inter alia:
Delivered its opinion regarding the extension of the appointment of the Auditing Company BDO Certified Public
Accountants S.A. It received the schedule for the preparation of the financial reporting by the management and
for the significant judgements estimates and assumptions during the preparation of the financial statements. It
examined the independence of the Certified Auditors and ascertained that they do not receive fees by the
Company and its subsidiaries for non-auditing services. During the meetings with the certified auditor of Gr.
Sarantis S.A., it was informed about the annual plan of the mandatory audit, assessed the plan and confirmed
that it includes the most significant fields of audit, in relation to the main business and financial risks of the
Group. It examined the level of significance chosen by the certified auditor – accountant as well as the sampling
method used. It received the supplementary report pursuant to article 11 of EU Regulation 537/2014 which
contained the results of the mandatory audit and informed the Board of Directors. It was informed about the
process and the software program regarding the consolidation of the Group’s financial statements. It examined,
before the approval by the Board of Directors, the financial statements (company and consolidated) and, taking
into account the content of the supplementary report of the Certified Auditor, assessed positively the
completeness and consistency thereof and informed the Board of Directors.
Regarding the supervision of the Internal Audit, Regulatory Compliance and Risk Management unit, the Audit
Committee, inter alia:
Approved the updated regulation of operation of the Audit Committee and proposed it for approval to the Board
of Directors. It assessed the adequacy and efficiency of the Internal Audit System, taking also into account the
content of the audit reports of the Internal Audit Unit. It assessed the adequacy and efficiency of the Risk
Management System. It assessed the adequacy and efficiency of the Regulatory Compliance System. Regarding
the compliance with the new regulatory framework of corporate governance, Law 4706/2020, and the decisions
and circulars of the Hellenic Capital Market Commission, the audit committee reviewed and approved the
updated Policies, Regulations and Procedures, including the updated Code of Ethics of the organization. It
approved the annual plan of audit of the Internal Audit Unit, assessing the process during which it was formed. It
confirmed that the annual audit plan for 2021 was formed based on the main risks (financial reporting,
operating, regulatory compliance and financial risks) that the Group’s companies face. It monitored the
implementation of the audit plan and assessed the efficiency of the Internal Audit Unit, through quarterly
reports of the Head of the Unit. It monitored the progress and the efficiency of the auditing work, by assessing,
through quarterly reports, the findings, the corrective actions agreed to handle the findings as well as the
implementation thereof. It monitored the inventory procedures regarding the end of the fiscal year 2021. It
became aware of compliance issues regarding data protection and the assurance system of the company.
Particularly regarding the non-corrective event of the war between Ukraine and Russia and its impact on the
Group’s subsidiaries in Ukraine and Russia, the Audit Committee:
Requested and received briefing by the Board of Directors regarding the assessment of risks and any potential
examination of alternative scenarios to handle the situation. Together with the Management and the Auditors, it
examined the likelihood of the non-going concern of the subsidiaries in Ukraine and Russia and any impact on
the activity of the Company and the Group. It requested and received briefing by the Board of Directors
regarding the possibility to complete the audit of the subsidiaries in Ukraine and Russia for the fiscal year 2021
and ascertained that they have been completed in time. Because of the criticality of the situation, it was agreed,
at the Management’s initiative, that the briefing by the Deputy CEO and Chief Financial Officer of the Group
should be provided to the Chairman of the Audit Committee, the Certified Auditors and the Head of the Internal
Audit on a weekly basis until the announcement of the results unless there is a relevant solution to this matter.
Regarding the Sustainable Development Policy, the Audit Committee received the Sustainable Development
Policy approved by the Board of Directors. It ascertained the structure of the Policy and the commitments of the
organization. It ascertained that the business practices adopted by the organization are designed in order to add
value both in the short-term and in the long-term, thus maximizing the positive effects, such as creation of
employment, improvement of consumers’ health and well-being, by minimizing the negative effects, such as
greenhouse gas emissions or the use of plastics.
The Sustainable Development Policy of the organization is based on:
- The compliance with the applicable legislation
- The contribution in the Sustainable Development Goals of the United Nations
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
- The Precautionary Principle, as formulated by the UN pursuant to the Principle 15 of ‘The Rio Declaration
on Environment and Development (Precautionary Principle or approach - Principle 15 of ‘The Rio
Declaration on Environment and Development).
- The principle of materiality, as defined by the GRI Standards, through which the Group is committed to
prioritizing, at least every two years, the most significant financial, social and environmental effects it
generates
- The Principles of the United Nations Global Compact
The Sustainable Development Policy covers the following financial, social and environmental aspects of the
Organization’s effects, which result from the compliance with the Principles of the Policy and which are reviewed
at least on a two-year basis, in the context of the analysis of the materiality of sustainable development issues of
the Sarantis Group:
(i) Sustainable production and consumption:
- Safeguarding of the quality of the products and the safety of the consumers
- Responsible marketing and product environmental/social labelling
- Safeguarding of the sustainable and circular supply of raw and packaging materials
- Minimisation of packaging and adoption of circular practices in the waste management
- Improvement of energy efficiency, use of renewable resources and reduction of greenhouse gas emissions
in the production and distribution.
- Investment in Research and Development for innovative and sustainable products
- Assessment of the suppliers for environmental and social effects
- Improvement of the efficiency of water usage, waste process and the circularity in the production
- Support of the responsible consumption and the sustainable lifestyle
(ii) Responsible governance
- Safeguarding of strong financial performance.
- Safeguarding of corporate governance, regulatory compliance and business ethics.
(iii) Empowered employees
- Creation of employment and investment in employees’ training
- Safeguarding of all employees’ health, safety and well-being
- Provision of equal opportunities, safeguarding of diversity and respect of Human Rights
(iv) Thriving Communities
- As an active part of the society in which it operates, the Group effectively supports the needs of local
communities and implements relevant initiatives. The impact of the Group on the local and broader
community is understood in depth and expressed through financial contributions, brand-based donations
and many other initiatives aiming to increase the positive financial, social and environmental effects
towards all stakeholders.
The company prepares, as it should, a non-financial statement in which it incorporates a reference to the ESG
material issues, and which it includes in the management report. Moreover, it prepares a Sustainable
Development Report based on the GRI Standards.
(b3) Nominations & Remuneration Committee: (Regulation of Operation, par.2.2.3.3) It is a three-member
committee and consists of non-executive and independent members of the Board of Directors. The current
committee consists of Dimitrios Reppas of Konstantinos (Chairman, Independent Vice-chairman of the BoD),
Christos Economou of Ioannis (Member, Independent non-executive member of the BoD), Nikolaos Nomikos of
Periklis (Member, Independent non-executive member of the BoD).
The Regulation of Operation of the Nominations & Remuneration Committee is posted on the corporate
website: Regulation of Operation of the Nominations & Remuneration Committee of_Gr. Sarantis S.A.
The Committee held two meetings within the fiscal year and there was a quorum in both of them. During the
first meeting within the year, it examined the remuneration policy and the remuneration report of the previous
year and approved both the updated remuneration policy and the remuneration report, and both of them were
submitted to be voted for and were included in the minutes of the Ordinary General Assembly of May 2021.
During the second meeting, it was formed into body having its present composition.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Within 2022, the Committee examined the statements of independence of the independent members, based on
the Independence Notification Procedure approved by the Board of Directors on the 14
th
of July 2021, and
ascertained their independence.
The remuneration of the BoD members is determined based on the Remuneration Policy which is posted on the
corporate website: Renumeration Policy of Sarantis S.A.
The Remuneration Report of the year 1/1 - 31/12/2021 was made available to the Nomination & Remuneration
Committee, and was approved and posted on Tuesday May 3
rd
2022 on the corporate website:
https://sarantisgroup.com/investor-relations/shareholders/general-meetings/
The following table presents the shares held by the members of the Board of Directors and the Executives as at
31/12/2021.
Full Name
Capacity
Shares
Grigoris Sarantis
Chairman
13,160,674
Dimitris Reppas
Independent Vice-chairman
-
Kyriakos Sarantis
Chief Executive Officer
14,875,207
Aikaterini Saranti
Non-executive member
7,578,801
Konstantinos Rozakeas
CFO & Deputy CEO
-
Konstantinos Stamatiou
Legal Councel
10
Ioannis Bouras
CCO & Deputy CEO
-
George Kostianis
COO
-
Christos Economou
Independent and non-executive member
-
Irene Nikiforaki
Independent and non-executive member
-
Nikolaos Nomikos
Independent and non-executive member
-
Anastasia-Stavroula Latsou
Finance Director GR. Sarantis S.A.
4,564
George Katsikogiannis
Group Supply Chain Manager
600
Krzysztof Kaminski
General Manager Sarantis Czech Republic
100
The Committee, within the framework of its competences, supervises the application of the Suitability Policy
which is posted on the corporate website: Suitability Policy of BoD Members of Gr. Sarantis S.A. Pursuant to it,
the members of the Board of Directors are judged whether they are suitable or not both individually and
collectively in the bodies they participate. In particular, each member of the Board of Directors is judged based
on the adequacy of his/her knowledge and skills, and the appropriate character requirements; he/she also is
assessed based on the Conflict of Interests Policy to safeguard the independence of judgement. Moreover,
features such as the impartial attitude, strength, ability to document and formulate the right questions, ability
for critical thinking and resistance to group-thinking, as well as the adequacy of time are also examined.
Regarding the collective suitability, the Board of Directors is examined as the body which should have the ability
to examine issues related to the business activity and the related risks, issues of strategic planning,
understanding and supervision of financial reports, understanding of regulatory and legislative issues, corporate
governance issues, identification and management of risks, application of safe, reliable and effective
technological solutions, and issues related to the Diversity Policy.
The organization has a Diversity Policy, the criteria of which are included in the Suitability Policy. The Diversity
Policy and the Code of Ethics, which is posted on the corporate website: Code of Ethics of Gr. Sarantis S.A, set
the specific principles as the foundation of the business model of the Organization. The commitments of the
adequate representation per gender at least 25% on the total number of the members, and the non-exclusion
due to the discrimination in terms of gender, race, colour, ethnic or social origin, religion or beliefs, property,
birth, disability, age or sexual orientation are included in these principles. The current Board of Directors consists
of 11 members and 25% of them correspond to 2.75 persons. The rounding in this case is done to the lower
number.
The following table presents a summary of data regarding the gender, the age and the education of the highest,
higher and middle management level of the Group.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Levels
Positions
GENDER
EDUCATION
AGE
31/12/2021
% Female
% Male
% THIRD LEVEL
% HIGHER
(BSc)
% HIGHEST
(MSc)
FROM
TO
AVERAGE
Highest
BOARD OF
DIRECTORS
18,00%
82,00%
27,27%
72,72%
32
70
58
Higher
DIRECTORS & GM’s
17,00%
83,00%
31,35%
68,65%
33
62
48
Middle
MANAGERS
46,00%
54,00%
16,50%
61,00%
22,50%
31
64
45
2.12.4 Internal Control System and risk management:
Internal Control System
The Internal Control System is defined by the entire procedures, methods and mechanisms, the application of
which is responsibility of the board of directors, the directors of the management and in general the entire
personnel of the Group based on their corresponding responsibilities, designed to provide a desirable assurance
level regarding the achievement of the following targets:
- The effectiveness and efficiency of various operations (business cycles)
- The credibility of the reports
- The compliance with the law and rules in effect
The internal audit system of the Organization includes the total internal audit mechanisms and procedures,
Policies, Regulations and Codes, including risk management, internal audit and regulatory compliance, which
continuously covers all its activities and contributes to its safe and effective operation. The Organization applies
the three lines model of internal audit of the Institute of Internal Auditors (the IIA) as updated in July 2020.
The Main Roles in this model are the following:
I. Regarding the management body (Board of Directors and Management Committee)
- It accepts accountability to the stakeholders for the supervision of the organization
- It cooperates with stakeholders, monitors their interests and transparently communicates issues regarding
the achievement of the goals
- It develops a culture that promotes moral behavior and responsibility
- It creates structures and procedures of governance, including auxiliary committees, as appropriate
- It assigns responsibility and provides resources to the management in order to achieve the goals of the
organization
- It determines the tolerance against risks and supervises the risk management
- It maintains the supervision of the compliance with the legal, regulatory and ethics framework
- It creates and monitors an independent, objective and capable internal audit operation
II. Regarding the Management
First-line roles (Sales, Production, Warehouse, Stock Distribution-Management, etc.)
- They lead and direct actions (including the management of risks identified during the implementation of
the task), they provide resources in order to achieve the goals of the organization
- They maintain open communication with the management body and report planned, actual and expected
results related to the goals of the organization and the estimated risks
- They create and maintain suitable structures and procedures (regulatory tools) for the management of
operations and risks (including audit valves).
- They ensure the compliance with the legal, regulatory and ethics framework
Second-line roles (Control, planning and assurance units, for example: Business Control, Credit Control, Quality
Control, IT Security, Data Protection, Supply Chain Optimization unit, Factory Planning, Group Planning, Supply
Planning, Group Procurement Financial Analyst, HR Organizational Development dpt, Group Product
Development Departments, etc).
- They provide supplementary expertise, support, monitoring and evaluation related to the management of
risks, including:
o the development, implementation and continuous improvement of the risks management, the
practices (including internal audit valves), at the procedure level, and systems, at business entities
level
o the achievement of goals, the management of risks, such as: the best possible effectiveness and
efficiency of the organization, the compliance with the laws, regulations, the Code of Ethics, the
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
internal audit, the safety of the corporate information and the integrity of the information systems,
the sustainability and quality assurance
- They provide analysis and reports regarding the adequacy and efficiency of the risks management
(including the security valves of the internal audit system).
III. Internal audit
- It has the primary responsibility towards the management body and independence from the
responsibilities of the management
- It provides independent and objective assurance and advice to the management and the managers
regarding the adequacy and effectiveness of the governance and the risk management (including the
applied internal audit systems) to support the achievement of the organizational goals and to promote
and support continuous improvement
- It reports effects (weakening) on the independence and objectivity to the management body and applies
assurance methods, as appropriate.
IV. External assurance providers
- They provide additional assurance so that:
o the legislative and regulatory expectations for the protection of the interests of the stakeholders are
met
o the requests of the management and the management body regarding the additional assurance of the
internal assurance systems of the organization are fulfilled
Relations between main roles
Between the management body and the management team (first and second line roles)
The management body set the direction of the organization by defining the vision, the mission, the values and
the tolerance of the organization against risks. Afterwards, it transfers to the management team the
responsibility to achieve the goals of the organization and provides the necessary resources. The management
body receives reports from the management team containing the planned, actual and expected results, as well
as reports regarding risks and their management.
Between the management team (first and second line roles) and the internal audit unit
The independence of the Internal Audit Unit from the management team ensures the performance of its work
without obstacles or polarization, both during the planning and the performance of the work, by providing
unlimited access to people, resources and information that the work requires. The Unit is accountable to the
management body. However, independence does not entail isolation. There should be regular interaction
between the Internal Audit Unit and the management team to ensure that the work of the internal audit is
relevant and in line with the strategies and the operational needs of the organization. Through all its activities,
the internal audit builds its knowledge and understanding for the organization and, through the provision of
advice, contributes in the improvement of the organization management systems. There is a need for
cooperation and communication with both the first and second line roles of the management teams and the
Internal Audit Unit to ensure that there are not unnecessary repetitions, overlaps or gaps.
Between the Internal Audit Unit and the management body
The Internal Audit Unit reports to the management body. The management body has the responsibility to
supervise the Internal Audit Unit:
- it appoints the Chief of the Internal Audit
- it ensures the independence of the Unit
- it ensures την operational report of the Chief of the Internal Audit to the Audit Committee
- it ensures the approval of the audit plan and the resources to implement it
- it ensures free access of the Chief of the Internal Audit to the management body through personal
meetings without the presence of the chiefs of the management team.
Among all Roles
The management body, the management team and the Internal Audit Unit have distinct authorities; however, all
operations should be in line with the goals of the organization. The basis for their successful coherence is the
regular and effective coordination, cooperation and communication.
Key Components of the Internal Audit System
- Audit Environment, which is a set of structures, policies and procedures that provide the basis of an
effective Internal Audit System;
- Risk Management, which includes a review of the risk identification and assessment, the Company’s risk
management and risk response procedures and the risk monitoring procedures;
- Audit Mechanisms & Safety valves, regarding the review of the audit mechanisms emphasizing on safety
valves in terms of issues related to the conflict of interests, the separation of duties as well as the
governance & security of the information systems;
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
- Information and Communication regarding the review of the entire financial and non-financial reporting
process, including reports of the audit mechanisms, as well as the review of the procedures & channels of
the Company’s internal and external communication;
- Monitoring of the Internal Audit System, regarding the review of the Company’s structures and
mechanisms which are responsible for continuously assessing the data of the Internal Audit System and
reporting findings to be corrected or improved. The operation of the Audit Committee, the Internal Audit
Unit and the Regulatory Compliance and Risk Assessment Unit is reviewed by independent evaluator;
- The Audit Committee is responsible for monitoring the work of the independent evaluator, who is called
upon at regular time periods to provide information on the course of his/her work, as well as any risks
(delays, etc.) in order to be solved. The Audit Committee cooperates with the Internal Audit, Risk
Management and Regulatory Compliance Unit as well as with other organizational units of the Company for
the seamless and timely implementation of the work. The Company, through its Audit Committee, submits
without delay to the Hellenic Capital Market Commission, and in any case within three (3) months from the
reference date of the Evaluation Report, the summary of the Report and, if required, the whole of it.
Internal Audit: As part of the system, the Organization has an Internal Audit Unit which operates pursuant to the
regulation.
Regulatory Compliance: As part of the system, the Organization has a Regulatory Compliance Unit which
operates pursuant to the regulation.
Information Report System of the Group (Speak-up Policy): In the context of the Internal Audit System, the
Company prioritizes its operation within a framework governed by the maximum level of ethics and professional
conduct. In this framework, it has established a Report and Complaints Management Policy. The Policy
determines the principles and the operation of the procedure adopted by the Company in order to receive,
process and investigate anonymous and/or identified reports and complaints regarding unethical conduct,
irregularities, omissions or other unlawful activities.
Risk Assessment and Management: As part of the Internal Audit System, the Organization has a Risk
Assessment & Management Unit which operates pursuant to the regulation.
The methodology, based on which the risks of the fiscal year are assessed, takes into account both the risks of
the operating environment, and those due to internal factors of operation. The assessment process includes the
following steps:
- Identification of the risk;
- Description of the possible effect on the organization since its occurrence;
- Assessment of the likelihood for the risk to occur;
- Assessment of the possible effect on the organization;
- Determination of the organization’s level of tolerance for the specific risk;
- Actions of the management to address the risk (based on the main approaches of avoidance, acceptance,
mitigation and transfer). As mentioned in the paragraph regarding the committees, the Management
Committee is the competent committee to manage business risks.
Depending on the nature, the effect and the probability of risks, relevant decisions are made, based on cost-
benefit estimates.
The Board of Directors, with the support of the Management Committee, reviews regularly (and, in any case, at
intervals not exceeding one year) the business risks and adjusts the corporate strategy and the Internal Audit
System accordingly.
The main risks that the group faces are mentioned in the report of the Board of Directors to the General
Assembly and in details in the Annual Financial Statements. In particular, the description of the main risks
identified by the management is presented in chapter 2.4 of the annual financial report, whereas the description
of the management of the main identified risks is included in chapter 4.9 of the annual financial report.
The Management has supported the development of a new methodology for the assessment of risks based on
which the annual assessment of risks will be performed starting from the fiscal year 2022.
The Internal Audit System will be evaluated by an external evaluator in 2023.
Description of deviations from the special practices of the Hellenic Corporate Governance Code (June 2021)
and justification.
The fiscal year 1/1-31/12/21 was the first fiscal year during which the Company complied with the Hellenic
Corporate Governance Code (June 2021).
- Special Practice 1.17. At the beginning of each calendar year, the Board of Directors adopts a calendar of
meetings and an annual action plan, which is revised according to the developments and needs of the
company, in order to ensure the correct, complete and timely fulfilment of its tasks, as well as the
examination of all matters on which it takes decisions.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
The Board of Directors approved the application of the Hellenic Corporate Governance Code on the 14
th
of
July 2021. The practice will be applied in 2022.
During the first fiscal year (1/1-31/12/21) that the Company complied with the Hellenic Corporate
Governance Code (June 2021), a calendar of meetings and an annual action plan were not drawn up. The
company will comply with this special practice in the following fiscal year.
- Special Practice 2.4.13. The maturity of the preemptive rights is defined for a period not less than three (3)
years from the date of their granting to the executive members of the Board of Directors.
The preemptive rights plan does not provide for the maturity of the preemptive rights in the period defined
by the special practice.
- Special Practice 2.4.14. The contracts of the executive members of the Board of Directors provide that the
Board of Directors may require the refund of all or part of the bonus awarded, due to breach of
contractual terms or incorrect financial statements of previous fiscal years or generally based on incorrect
financial data, used for the calculation of this bonus.
The above special practice is not followed.
- Special Practice 3.3.12 The Board of Directors, under the guidance of the nomination committee, shall
ensure the annual evaluation of the performance of the Chief Executive Officer. The results of the
evaluation shall be communicated to the Chief Executive Officer and taken into account in determining
his/her variable remuneration.
- Special Practice 3.3.15 The results of the evaluation of the Board of Directors are communicated and
discussed by the Board of Directors and are taken into account in its works on the composition, the plan for
the inclusion of new members, the development of programs and other relevant issues of the Board of
Directors. Following the evaluation, the Board of Directors takes measures to address the identified
weaknesses.
Regarding the two aforementioned practices, the company has developed an ASSESSMENT AND
SUPERVISION PROCEDURE FOR THE MEMBERS OF THE BOARD OF DIRECTORS AND ITS COMMITTEES. Based
on this, the Board of Directors regularly assesses the effectiveness of the same as a collective body and the
contribution of its members, as well as the effectiveness of its Committees. In this context, the
Nominations and Remuneration Committee assesses the structure, the composition, the size and the
performance of the members of the Board of Directors and the Committees of the Company, as well as the
skills, the knowledge and the experience of the members of the Board of Directors and the Committees of
the Company and its subsidiaries and submits relevant proposals to the Company’s Board of Directors. The
Nominations and Remuneration Committee is chaired by the Independent Vice-chairman. This assessment
will be carried out within 2022.
2.13 NON-FINANCIAL STATEMENT
The current non-financial statement has been prepared in accordance with a. 151 of Law 4548/2018 and it provides
information on the Company's policies and performance in relation to environmental, social and labor issues,
respect for human rights, anti-corruption and anti-bribery issues. It also takes into consideration the GRI standards
and the ATHEX ESG reporting guidelines.
Additional and more elaborative information on these issues, will also be available in the Sarantis Group 2021
Sustainability Report, which is currently being prepared in accordance with the Global Reporting Initiative
Standards, and will be available by June 2022.
Short Description of the Business Model
Headquartered in Athens and boasting a history of over 50 years, Sarantis Group, is a multinational consumer
products company, having dominant presence in Eastern Europe through own subsidiaries and strong export
activity worldwide.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Throughout our history, we have been offering high quality consumer products that people trust in their everyday
lives, always taking into consideration consumers’ needs and our socio-environmental impact. From Personal Care
to Health Care, as well as everyday Home Care Products and Luxury Cosmetics, we offer a wide range of products
with high brand awareness.
The Group’s companies are located in 13 countries within Europe, and in particular, in Greece, Poland, Romania,
Bulgaria, Serbia, Czech Republic, Slovakia, North Macedonia, Hungary, Bosnia & Herzegovina, Portugal, Ukraine, and
Russia, while at the same time, the Group maintains a powerful distribution network that exports to more than 50
countries in Europe, Asia, Africa and Oceania.
Sarantis Group is a long-standing reputable company built on excellence, trust, humbleness and ownership
resilience, entrepreneurship, agility and trust, committed to bringing sustainable growth and achieving a positive
impact on people’s everyday lives.
The Group consists of a team of passionate and dedicated people we are proud of, who are committed to maximize
company’s heritage.
The Group is always nearby to its stakeholders, as an indispensable partner, working with them, creating value
through the unique impact of our brands and our operational excellence.
Embracing local communities where the Group operates in and empowering them through initiatives that help build
a better today while caring for tomorrow.
The Group’s purpose is to uplift the mood of consumers, with beautiful simplicity that makes everyday life better,
by being always nearby, working closely with our stakeholders to create value sustainably.
The Group follows and invests on a clear strategy that is shaped throughout its successful history and creates
sustainable profitable growth and value for all stakeholders, (Shareholders, Banks & Financial Institutions,
Customers, Consumers, Employees, Suppliers and Partners, Business Community , Society – Communities, State
Authorities , Regulatory Authorities), within a highly competitive and dynamic international business environment.
The Group’s strategic priorities are focused on further growing our Home Care, Personal Care and Beauty business
in Central and Eastern Europe (CEE) as well as in the Commonwealth of Independent States (CIS) territory, reaching
and impacting more consumers with everyday aspirational product propositions through our sustainable business
practices and ethics.
The business model that supports and ensures the implementation of the Group's strategic objectives is as follows:
➢ Focus on maintaining dynamic sales growth both on an organic basis and through acquisitions, combined
with new strategic international brand distribution agreements, as well as the geographical expansion of
the Group.
➢ Focus on cost optimization, economies of scale and the exploitation of synergies.
➢ Efficient liquidity management.
➢ Reinvestment of net cash flows to further enhance the operation and financing of development projects.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
In fulfilling the Group’s mission, we are guided by our values. Our core values are: Excellence, Trust, Humbleness,
Ownership, Sustainability. They are the foundation of our business model and, together with our solid financial
performance, create the basis of our successful future development.
Our values define how we do business with our colleagues, partners, customers and consumers, while giving
purpose to our daily work life.
“We are a Team with ETHOS”
Ethos comes from the Greek word “Ήθος” and shows a set of beliefs and ideas about the social behavior and
relationships of a person or a group. ETHOS inspires constantly our moral culture. It’s the path we have chosen to
follow faithfully all these years.
Excellence: We strive for continuous improvement. We are restless to deliver top quality solutions to all our
stakeholders and create value for them. Our results-driven performance – oriented culture empowers people to
reach their full potential and achieve continuous growth
Trust: We are reliable partners. We build relationships that are in the interests of all involved. We always act and
communicate with integrity and transparency. We follow through our promises and we deliver on them.
Humbleness: We dare to review our actions against the language of pride. We are willing to learn from each other
and from failures as well as successes. We are confident and proud of our heritage, but we never assume that we
are at the top of the game.
Ownership: We have owner’s mentality. We think, decide and act like each of us owns the business. We understand
that everything happens with a collective effort and we thus treat each other with respect and empathy. We lead
with drive, passion and commitment to achieve success.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Sustainability: We conduct our business in a socially responsible and ethical manner providing long lasting value to
our stakeholders. We respect diversity, human rights and the communities where we operate in.
Sustainable Development Strategy
1
We recognize that our operations have direct and indirect economic, social and environmental impacts on our
stakeholders, including consumers, employees, investors, customers, partners and local communities in which we
operate around the world.
We fully understand the importance of our contribution to sustainable development, we are committed to
responsible management of these impacts throughout our value chain, from the production of the raw materials we
procure to the use and disposal of our products by consumers.
For us, responding to the economic, social and environmental needs and expectations of our stakeholders, but also
contributing to addressing the respective challenges of the wider society, especially on issues related to our sector,
is not only a moral obligation but also a business incentive as we seek to maintain the optimum balance of our
economic performance with responsible environmental and social practices.
Our business practices are designed to create value both in the short and long term, maximizing positive effects,
such as creating employment and improving the health and well-being of consumers, and minimizing negative
impacts, such as greenhouse gas emissions or the use of plastic.
To develop our sustainable development strategy, we followed a detailed mapping of our stakeholders, including all
those who are affected by us and who affect us, in all countries of activity.
Applying the Principle of Stakeholder Participation of the GRI Standards, we have carried out a detailed mapping of
the key categories and subcategories of stakeholders that are affected by us and that affect us, in all countries of
activity.
2
The following table includes our identified main stakeholder categories, their issues of interest, as well as the basic
engagement types and their frequency.
1
ATHEX C-G4
2
ATHEX C-S1
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Materiality analysis
3
The materiality analysis process was based on the GRI Principles (Principle of Materiality, Principle of Completeness,
Principle of Stakeholder Inclusiveness, Principle of the Sustainability Context).
We examined the economic, social and environmental impacts of our operation, throughout the value chain, which
create effects either directly on our stakeholders, or more broadly in the economy, society and the natural
environment.
Overall, 15 sustainability topics were identified across four main ESG pillars, based on the everyday communications
with various stakeholder groups, review of the market sector, the points of interest of our stakeholders. These
topics were prioritized using an online survey.
An internal materiality assessment conducted in 2021 ranked the topics based on their importance on influencing
the decisions of stakeholders and on creating economic, environmental and social value throughout the Group’s
value chain in all the countries where the Group operates.
The results of the materiality analysis were validated by Sarantis Group upper management.
The identified topics and the material topics (bold) are as follows:
1
Ensuring robust economic performance
2
Safeguarding corporate governance, regulatory compliance and business ethics
3
Ensuring product quality and customer safety
4
Safeguarding sustainable, and circular sourcing of raw and packaging materials
5
Assessing suppliers against ESG criteria (i.e. energy, emissions, water, biodiversity, human rights,
etc.)
6
Improving water use efficiency, wastewater treatment and circularity in production
7
Improving energy efficiency, use of renewable sources and reduction of GHG emissions in
production and distribution
8
Minimizing packaging and adopting circular economy waste practices
9
Practicing responsible marketing and product environmental and social labeling
10
Supporting responsible consumption and sustainable lifestyles (i.e. water consumption and disposal
related with use of products)
11
Investing in R&D for innovative and sustainable products
12
Building community relations and responding to societal needs
13
Creating employment and ensuring human capital development
14
Safeguarding employee diversity, equal opportunities and human rights
15
Ensuring occupational health & safety and wellbeing
3
ATHEX C-G3
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
The analysis of our economic, social and environmental impacts identified four main ESG pillars, and established the
following key topics for sustainable development.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
I. Principal non-financial risks and their management
Risk Management System
Risk Assessment and Management is part of the Internal Audit System (paragraph 2.12.4). The Group has a Risk
Assessment & Management Unit that operates according to regulations.
The methodology on which the risk assessment of the year is based takes into account both the risks of the
operating environment and those due to endogenous operating factors. The evaluation process involves the
following steps:
- Risk identification
- Description of the possible effect on the operation since its occurrence
- Assessment of the possibility of the risk
- Assessment of the possible impact on the operation
- Determining the Group’s level of tolerance for the specific risk
- Management actions to address the risk (based on the main approaches of avoidance, acceptance,
mitigation and transfer). The Executive Management Committee is the committee responsible for
managing business risks.
Depending on the nature, impact and likelihood of the risks arising, relevant decisions are made, based on cost-
benefit estimates.
The Board of Directors, with the support of the executive Management Committee, reviews the business risks at
regular intervals (at least annually) and adjusts the corporate strategy and the Internal Audit System accordingly.
The main risks faced by the group are reported in the report of the Board of Directors addressed to the General
Shareholders Meeting and in more detail in the Annual Financial Statements. The description of the main risks
identified by the management is presented in Chapter 2.4 of the Annual Financial Report, while the description of
the main identified risks’ management is included in Chapter 4.9 of the Annual Financial Report.
In addition to the financial risks described in the Annual Financial Report, the Group takes into consideration
environmental (i.e. exposure to waste management and packaging material regulations, carbon footprint of our
supply chain and potential implications, environmental impacts of the raw materials used in our products, etc.) and
social (i.e. recalls, supply and sourcing risks, compliance with responsible marketing practices, etc.) risks that need
to be managed. Environmental and social risks can have financial, legal and reputational impacts that threaten the
Group’s operations. As the Group operates in a sector that is heavily depended on raw materials and their
extraction processes as well as the effects of products to our consumers, managing these risks is an integral part of
our management procedure.
The Management has supported the development of a new risk assessment methodology based on which the
annual risk assessment will be carried out starting from the year 2022.
The Management has compiled and uses, as a general framework of rules and operations for the Group, the
Internal Regulation of Operations, the Corporate Governance Code and the Code of Business Conduct
4
. The Internal
Regulation of Operations and the Code of Business Conduct are posted in the corporate website:
https://www.sarantisgroup.com/investor-relations/corporate-governance/corporate-governance/.
4
ATHEX C-G5
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
II. Environmental policies
The Group’s commitment to safeguarding the environment is expressed through its environmental policy that
incorporates the protection of the environment and halting climate change in the company strategy and culture.
Reaching a difficult crossroad regarding the planet’s environmental challenges, it is crystal clear that our planet is at
stake. We take steps to conserve natural resources by mitigating the Group’s environmental footprint to contribute
to change. This is a pivotal part of our responsibility to the world, and we embrace it by caring and enhancing
sustainable production throughout our operational journey.
In the area of production, adopting sustainable development practices is a key component of our strategy within
the supply chain. The efficient use of energy and natural resources, the use of renewable energy resources, the
mitigation of waste production and their rational management, the manufacturing of more environmentally friendly
products have been and still remain our commitments vis-à-vis the environmental challenges.
As far as responsible consumption is concerned, we are committed in promoting a more sustainable way of life to
our consumers by supporting an ecological perspective in the usage of our products, while embracing recycling,
responsible use of our products with respect to the environment, proper waste segregation and reusage of their
packaging.
Ensuring product quality and customer safety
Product quality and safety is one of the Group’s top priorities as we strive to the highest level of quality and safety
criteria during our production processes, following all relevant local and European regulations. Quality is the
foundation behind our product development process and is the factor that builds trust with consumers and drives
strong brand awareness and performance. There is a continuous flow of new innovative ideas and techniques
presenting an improved environmental and social footprint, having quality as a guiding principle.
Our focus is to provide the best possible ingredients, formulation, and performance in all Group’s products. From
careful sourcing to impeccable packaging, every step in the production process is carefully preselected, embracing
quality as our pivotal commitment all along our operational journey.
The Group is constantly keeping abreast with the developments mainly around the European Union and worldwide,
by following the positions and attitudes of opinion delivery organizations (IFRA, SCCS, etc.) and/or of collective
bodies (Polish Association of Cosmetic and Detergent Industry, Romanian Union of Cosmetics and Detergents
Manufacturers etc.).
The aim is to be in full and immediate compliance with the legal framework, regarding products, in the countries
where the Group operates. The Group is in a position to respond to consumers' concerns and questions, offering
documented information over the phone or in writing.
Moreover, the Group has implemented a vendor management process, in order to assess its suppliers through
quality and social criteria, further ensuring quality to the final product produces.
Additionally, we are following strict internal quality control and quality assurance procedures in all our productions
plants (Ergopack, Polipak, Poland, Inofyta). These procedures are an integral part of the Group’s approach towards
Quality. That way we are able to mitigate the impacts of any possible faulty product reaching the consumer as all
finished products are checked thoroughly, while we monitor closely the whole production process aiming for
excellence.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
International Standard
International Standard
Implementation Department
Scope of Certification
FSSC 22000
Food Safety System
Certification [for
Packaging Materials]
GR. SARANTIS SA
HOUSEHOLD PRODUCTION
▪ Production (winding) & packaging of aluminium
foil, cling-films and repacking of one-use plastic
food packaging products.
ISO 9001
Quality Management
Systems-Requirements
GR. SARANTIS SA
HOUSEHOLD PRODUCTION
▪ Production and Packaging of Aluminum Foil, Plastic
Films, Plastic Food Containers for multiple uses
and related Food Packaging Products and
Household – Garbage Bags for Household and
Industrial Use.
ISO 22716
Cosmetics-Good
Manufacturing Practices
(GMP)-Guidelines on
Good Manufacturing
Practices
GR. SARANTIS SA
COSMETICS PRODUCTION
▪ Production and Packaging of Sun Care Products,
Hair Care Products, Skin Care Products, Perfumery
Products and Depilatory Products.
ISO 9001
Quality Management
Systems-Requirements
GR. SARANTIS SA
DISTRIBUTION CENTER /
HEALTH & CARE DPT
▪ Trade and Distribution of Medical Devices for Self
Care, Diagnostics and Disposables: Dressings and
Wound Care, Thermometers, Devices for
Venipuncture, Therapy Delivery Devices, Earplugs,
Thermogel, Ice Spray and Nasal Spray.
▪ Trade and Distribution of IVD and self-test IVD
ISO 13485
Medical devices-Quality
Management Systems-
Requirements for
regulatory purposes
GR. SARANTIS SA
DISTRIBUTION CENTER /
HEALTH & CARE DPT
ISO 9001
Quality Management
Systems-Requirements
SARANTIS ROMANIA SA
▪ Import and distribution of cosmetics and home care
products.
ISO 13485
Medical devices-Quality
Management Systems-
Requirements for
regulatory purposes
SARANTIS ROMANIA SA
▪ Import and distribution of medical devices - Mouth
rinse device for prevention and/or treatment of tooth
sensitivity and foot skin care products. Storage and
distribution of products. Labeling and repackaging of
products
BRC Consumer Products
(Personal Care and
Household)
SARANTIS POLAND
HOUSEHOLD PRODUCTION
▪ Rewinding and packaging of aluminum foil, LDPE and
PVC foil for food, baking paper, breakfast paper;
packaging of baking sleeves and freezer bags; sealing
and packaging of ice bags.
Exclusions: commercial products including other food
contact articles, cosmetics, household chemicals,
household and cleaning accessories, personal hygiene
accessories.
ISO 9001
Quality Management
Systems-Requirements
POLIPAK POLAND
▪ Designing, Production and Sales of Foil Packaging
ISO 9001
Quality Management
Systems-Requirements
SARANTIS HUNGARY
▪ Distributing of Household Products, Household
Cleaning Products and Cosmetic Products
ISO 9001
Quality Management
Systems-Requirements
ERGOPACK
▪ Development, Manufacture and Supply of Household
Disposable Goods
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Investing in R&D for innovative and sustainable products
The Group demonstrates its commitment to a constantly evolving research and development philosophy by
investing behind specialized R&D departments in its production facilities based in Greece, Poland and Ukraine.
The result of this effort is a continuous flow of new product development initiatives that satisfy sustainability
criteria, such as the following:
• "Green Life" Garbage bags line using 90% - 100% of recycled plastic & FSC paper label packaging. The line
supports brands such as Sanitas, Fino, Jan Niezbędny from 2020 until today.
• “Flexi” garbage bags that derive from 100% of recycled plastic, enhancing a more environmental friendly
profile, while the line has an eco-packaging of a paper wrap, removing plastic packaging bags. The specific line
will be supported by our brands Sanitas and Fino.
• Μoreover, the Group is examining to reduce the thickness of its plastic bags.
• Sarantis Group was awarded, for its environmentally responsible practices, with the German Blue Angel
ecolabel. Particularly, the Group’s garbage bags production plant in Poland, Polipak, was distinguished for the
high level of recycled plastic used in its products. Specifically, the Blue Angel ecolabel confirms Polipak’s
capability to produce garbage bags that include at least 80% of recycled plastic, through production methods
that limit the environmental pollutants.
• An ecoline will be launched within 2022 in our suncare subcategory having a sustainability orientation in terms
of packaging and formulas.
• Moreover, within our skincare category, it is planned to launch in 2022 fully recyclable tissue masks, with 100%
recyclable packaging and 100% biodegradable tissue fabric.
• The new investment at the Group’s subsidiary Polipak will lead to a more automated production process within
2022, which, combined with a new R&D lab and new equipment, will result in increased production efficiency
and QA improvement. Moreover, a new production technology in under development as well. When
implemented within 2022, it will result in improved production processes that bear a smaller environmental
footprint. This new technology is expected to be part of a new investment launched at Polipak’s plant located in
Poland.
• New machinery in the Polish production plant (Polipak) will enhance the production of recycled plastic tie
handle garbage bags, while we have implemented also new technology in embossed draw string bags. This
product is produced 100% from recycled material and the new embossed technology is giving us opportunity to
achieve better mechanical properties with the same sizes/thickness.
The Group is actively searching and investing in new production processes that will allow the increase of ingredients
sourced from sustainable sources and adapt our formulas to have an improved environmental footprint (i.e.
increase the percentage of natural ingredients, vegan friendly formulas, eco-balanced UV filters).
For instance, in our personal care category:
- Indulona Caring Liquid Soaps contain in their formula 97% biodegradable ingredients.
- Orzene’s products contain high percentage of biodegradable ingredients, specifically its Shampoo: 80% &
its Conditioners/ Masks: 60% biodegradable ingredients
-Luksja products contain a high percentage of natural ingredients, their formulas are vegan and
biodegradable, in the categories of bar soaps, liquid soaps, refills, shower gels and bath foams.
-Noxzema shower products contain 95% of biodegradable ingredients in the shower gels formulations.
Overall, the Group is committed in applying the most updated technologies for safety and environmental
protection, strictly following all relevant local and European regulations.
Safeguarding sustainable, and circular sourcing of raw and packaging materials
o The Group is continuously examining ways to increase the level of ingredients that are coming from sustainable
sources, increase the percentage of sustainably sourced natural ingredients, increase the level of biodegradable
ingredients and adapt our formulas to have an improved environmental footprint.
o Taking into account the increasing focus of the industry in more sustainable solutions - which has been
accelerated with the outburst of COVID-19 - as well as the escalating environmental consumer awareness, the
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
trend of sustainable suncare protection remains on the spotlight, therefore the Group plans to launch within
2022 its brand new suncare ecoline.
o We aim to increase capacity of own production for post-consumer plastic (PCR-regranulation) which is used in
the processes of garbage collection/sorting, washing, melting, granules creation, foil production.
o We choose to closely collaborate with top suppliers, that have a proven ESG orientation, for the procurement
of sustainably sourced materials. Collaborating with expert partners that actively support new trends and
sustainable materials innovation is inspiring us and drives our ambitions towards a sustainable future. Our
Vendor Management process that includes, amongst others, sustainability criteria to help us in the
management, evaluation and risk assessment of our suppliers.
Minimizing packaging and adopting circular economy waste practices
The Group is continuously examining ways to increase the use of recycled packaging materials (plastic, glass, paper)
and increase the packaging materials that are recyclable, reusable, or biodegradable. Indicative initiatives include:
o Suncare, Personal Care and Home Care product lines, have increased more the percentage of recycled
plastic in their packaging. For instance, AVA products contain 20% less plastic in their packaging,
Noxzema products contain 30% less plastic in their packaging and STR8’s new deo spray contain 48%
less plastic versus its previous packaging.
o Luksja, Elode, Noxzema roll on products have FSC certified paper in their packaging which means it
meets the "gold standard" ethical production. The wood is harvested from forests that are responsibly
managed, socially beneficial, environmentally conscious, and economically viable.
o Within the skincare category, fully recyclable tissue masks are currently being prepared.
o Currently the Group examines to create a new skincare line with a recyclable-reusable glass packaging,
that will have additional refills.
o The Group has increased the FSC-certified paper boxes that uses in packaging,
o In the homecare product category, garbage bags made the transition to paper wrap packaging,
removing the plastic package.
o More specifically, within the Home Care category plan within 2022 to rollout packaging deriving from
100% recycled paper (outer carton boxes, inner pack boxes & paper cores made from FSC certified
material). With regards to the plastic packaging materials we aim to reduce the inner pack plastic
packaging and increase the proportion of recycled material where possible, or use alternative
packaging materials, without compromising quality and product safety.
o In the context of the Circular Economy we own a vertically integrated system for the production of
recycling plastic film from consumer waste.
o In Greece, our financial contributions to the Hellenic Recovery Recycling Corporation, support the
effort to improve the recycling infrastructure in Greece. The total amount of the company's financial
contributions corresponds to the financing of the purchase of 5,540 blue bins or 10 recycling vehicles.
o Furthermore, through our “Vendor Management” procedure we focus on collaborating with partners
that adopt circular economy waste practices and have standardized recycling processes.
Improving energy efficiency, use of renewable sources and reduction of GHG emissions in production and
distribution
The Group’s commitment to safeguarding the environment is expressed through its environmental policy that is
incorporated in the Group’s Code of Conduct. As the policy states, environmental topics such as the protection and
conservation of the natural environment as well as halting climate change are incorporated in the Group’s strategy
and culture.
Sarantis Group has identified that the efficient use of energy and the use of renewable energy resources in its
production processes have an intrinsic role in achieving the goals that are set and honoring our commitments
regarding the environmental challenges we are facing.
• The Group has maintained this year its solar refrigeration system in the production site located in Inofita,
Greece. The system transforms solar power into cooling energy, covering part of the plant’s needs in air
conditioning. The maintenance ensured more energy efficiency at the production plant, optimizing the system’s
efficiency.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
• The Group implemented the Energy Management System ISO 50001 in its headquarters and production site
located in Greece. The relative certification was renewed in 2021. The certification scope covers production and
packaging of household products and cosmetics, as well as trade and distribution of household products,
cosmetics and health & care products. The system contributes to further improvement of energy performance,
by reducing energy use and thus reducing greenhouse gas emissions.
• Investments were made in environmental management systems by implementing and obtaining the relevant
certification regarding ISO 14001 on Ergopack’s production site located in Ukraine. The scope of the
certification is the development, manufacture and Supply of household disposable goods. It is planned to
expand the environmental ISO, in Greece’s production plant within 2023 and by end of 2022 in the Polish
production facility as well.
• The first phase of the installation of photovoltaics in our production site in Greece was completed within 2021,
while its connection and operation is expected within 2022. The system installed is expected to cover almost
45% of the production’s needs. At the same time, it is examined to further expand the current photovoltaics
system within 2022 in order to cover in the future almost 90% of the plant’s needs.
• Moreover, we are examining to proceed in PVs implementation at Polipak’s production facility in the future
covering c. 30% of plant’s needs.
• It is scheduled to proceed in Greece’s plant to compressed air network control and upgrading of existing electric
motors, in order to further mitigate our environmental footprint.
• Finalized the replacement of lamps with led in all production areas at our production facility in Greece.
• Optimizing our supply chain across our countries in order to mitigate our environmental footprint.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
III. Social & labor policies
Building community relations and responding to societal needs
Together with our employees, we are committed to making a lasting contribution to the society across our
countries, above and beyond our business activities. Sharing is inextricably linked to our future, empowering us to
emerge stronger and united despite the adverse environment of social injustice.
Creating positive social impact beyond our products is the extension of our corporate philosophy and we take it just
as seriously as we do our core business.
Sarantis Group family longs for a sustainable future and in that way, we insist on addressing social challenges. Ιn this
context, each year we demonstrate our commitment to contribute to multiple NGOs and vulnerable groups through
our well-planed brand-based donations or financial donations in order to further strengthen the communities by
allocating multiple funds towards a better future for all.
After the pandemic crisis the Group organized to mobilize funds to provide emergency aid across its countries. In
2021 in Greece, after the Varipompi wildfires which destroyed almost the entire region exposing many people in an
adverse situation, we have provided kind aid to support those affected. In Czech Republic, after a tornado passed
through several villages on the border of the Břeclav and Hodonín regions in southern Moravia during summer,
leaving the region undoubtedly affected, the Group provided product based aid to further smoothen the needs of
those affected by the catastrophic weather phenomenon. Within 2021, product-based emergency aid was
distributed, amounting to 20,000€ expressing our solidarity to vulnerable groups.
Counting our progress this year we have channeled multi-dimensional donations in 7 countries (Greece, Poland,
Romania, Bulgaria, Czech Republic, Ukraine and Philippines) supporting more than 28 ΝGOs/organizations, 6
hospitals/nursing homes, 10 kindergartens, 4 orphanages to cover their needs while embracing their mission. More
than 720,000 € were allocated by the Group to do our part towards our thriving communities sustainability pillar,
supporting those who need it the most.
More specifically, in Greece our social contribution as below:
o Multiple financial donations were mobilized to further support NGOs’ mission. This year we have
supported: Child's Friends, Boroume, Ark of the World, Merimna, KETHEA, make a wish, Women on Top,
Hara and Hadjipaterion.
- Sarantis Group fully supported the NGO’s W.I.N HELLAS cause in preventing and combating violence against
women and promoting gender equality. Our trusted health care brand Lanes launched a supporting initiative
by providing products that have a supporting message to the NGO. Through the brand’s sales, financial
support was directed to the organization. In Sarantis Group family, we support a future without violence
towards women, and we do our best to ensure gender equality and women empowerment.
- Sarantis Group contributed through financial donation to KETHEA’s Early Intervention & Prevention Network.
The amount was raised via products’ discounts at AB VASILOPOULOS (SANITAS, AVA, AFROSO, BIOTEN,
NOXZEMA, STR8, ORZENE, WASH & GO, KOLESTON and WELLA) to cover logistical needs but also to support
the network’s activities: funding of training seminars for beneficiaries and staff and recreational activities.
- NOXZEMA, BIOTEN, KOLESTON, WELLAFLEX, ORZENE, WASH & GO, STR8, BU, AVA & SANITAS through
product discounts offered financial support to the "Association of People with Multiple Sclerosis of Kastoria".
o Our purposeful brands acted through CSR initiatives further supporting many NGOs and organizations:
- NOXZEMA provided a product donation of 30,000 soap bar items to Child's Friends NGO for their yearly
needs.
- SANITAS embraced the Save you hood initiative aiming to provide cleaner Neighborhoods, by providing
SANITAS garbage bags for their needs during May, June and July!
- Packaging materials, cleaning, dishwashing detergents, shampoos, shower gels, soaps and other products
were provided to the NGO Ark of the world through a product donation empowered by our brands SANITAS,
AVA, TUBOFLO, AFROSO, TEZA , PYROX, NOXZENA, BIOTEN , STR8, ORZENE, BU.
- SANITAS joined forces with the NGO “Boroume” to support the work of the Network of Immediate Social
Intervention of Western Athens and the church of Agiwn Asomatwn at Thissio - Ag. Georgiou Chatzikosta.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
SANITAS offered 100,000 portions of food and 6,000 food packaging products to further strengthen the two
organizations that support vulnerable social groups.
- SANITAS provided NGO Ithaca with 9.000 garbage bags and 9.040 gloves to support their cause and daily
demanding operations. We are glad to be part of this action, as Ithaca counts 6 years of existence and has
helped more than 6.000 people in need through their mobile washing machine van unit, so as to restore their
dignity and self-esteem.
- SANITAS for the 5th consecutive time offered over 6,000 food packaging products to Galini Foundation and
Agia Paraskevi’s Social Kitchen. Galini Foundation serves daily 600 people through free meals service and
Agia Paraskevi’s Social Kitchen takes care of the needs of 120 people on a daily basis.
- SAM LOVES BETTY provided with products the Municipality of Athens.
- LANES offered free products to athletes, to consumers with severe health issues and at the Association of
Border Guards of the Prefecture of Evros through the Panhellenic Federation of Border Guards (PO.SY.FY),
while our Health Care division was a golden sponsor at the 1st Pharmacy Symposium "Vitamins and trace
elements in COVID-19 period".
- CARROTEN also donated multiple products at the Municipality of Nikaia and the Municipality of Lemnos,
while supported the Safe Water sports initiative by embracing educational seminars regarding sun care and
sun protection.
- SANITAS, AVA, AFROSO, PYROX, CARROTEN, ΝΟΧΖΕΜΑ, ΒΙΟΤΕΝ, STR8, KOLESTON, WELLAFLEX, ORZENE via
products' discounts at galaxy's hypermarkets supported Hadjipaterion’s cause.
- Personal care & home care products of AVA, ORZENE, STR8, BIOTEN, ANTONIO BANDERAS, SANITAS, TEZA
were donated to support the elder people living the SAINT ATHANASIOS elderly home.
- FINO, CARROTEN, NOXZEMA, STR8, C-THRU embraced via product donation the cause of Hellenic Voluntary
Support amke.
In addition, though our CSR activity we have gave widely our support to many other countries.
o In Poland:
-The Group supported the “Clean Poland Initiative” through Jan Niezbędny sponsorship, while products of Jan
Niezbędny and Luksja were donated to participants. This year at our subsidiary in Poland we celebrated the
10
th
anniversary of the Tatra Initiative, which is the biggest cleaning project in Poland. “Clean Tatra Mountains”
event aims at raising ecological awareness and informing participants about current environmental issues. This
year we have achieved to collect 589kg of waste, while volunteers had the opportunity to participate in various
workshops. During workshops information about the changes in packaging, the need to segregate garbage, the
recycling cycle, as well as the variety of products made of plastic was given. Furthermore, there was a lecture
on the protection of Baltic ecosystems, emphasizing on the threats, opportunities and changes that await us in
the near future. Kind Sponsors of the event were Biedronka, Garnier JN, REKOPOL, Olivia Business Centre,
Re.kologia and ENEA.
-Carex was a proud sponsor of 1
st
Company Bike Run at Wrocław and provided freely the run participants with
personal care products.
-Financial contribution was allocated to support the orphanage in Szlachcin, the nursing home in Środa Wlkp,
the Foundation "Siepomaga", "Wielka Orkiestra Świątecznej Pomocy " for sick children. Moreover, financial
support was given to Hospital "Szpital Średzki Serca Jezusowego", to the local Voluntary Fire Brigade in order
to co-finance the purchase of a fire engine and to High school Liceum Ogólnokształcące, Zespół Szkół
Rolniczych in order to provide equipment for school laboratories and student scholarships.
-In order to support the local biodiversity, we adopted three European bison from the Poznan New Zoo by
financially supporting their maintenance.
o Ιn Bulgaria:
- Through a crowd funding method our colleagues at Bulgaria’s subsidiary raised money for the children
deprived of parental care who live at the Institutional care Lisichovo. Moreover, linen for all the children in
the home, books, board games, Christmas gift sets with chocolates and candies were offered as well.
o In Romania:
- Through our beloved brands: STR8, ANTONIO BANDERAS, CTHRU, ELMIPLANT, TESORI D’ ORIENTE, WASH &
GO, DENIM, BABYLINO, TOPSTAR, FINO we mobilized product donations to the “Flowers’ Whisper”
Association that help abused women and children, victims of domestic violence and of human trafficking, to
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
NGOs such as: the Association for Sustainable Development, the Association “lives with joy” and finally we
offered as well products to the Hospital for Infectious Diseases and Psychiatry - Baia Mare.
o In Ukraine:
- We offered homecare products of MZ at the Heart Disease Department of Kyiv hospital.
- Provided financial fund to further support a local orphanage and sponsored the celebrations made for the
Official Day of Kaniv.
o In Czech Republic:
- Our emergency aid fund was mobilized and through a product donation of INDULONA, we offered personal
care products to those affected by the tornado at South Moravia during June (East-South region of Czech
Republic).
- We supported through washing hand seminars 10 kindergartens and donated INDULONA soap bars
addressing the covid-19 pandemic.
o In Philippines
- Τogether with the NGO For the Future, Madtravel.org, I-Face and bioten’s Influencer Nadine Lustre, we have
set a goal of planting in the upcoming years 88k trees in Philipinnes – in reflection of bioten’s 88% natural
ingredients included in SKIN MOISTURE face creams. This initiative will further enhance our endeavors to
support change towards a greener future. Moreover, the initiative will significantly contribute to the local
communities supporting them to thrive, as the Zambales province was destroyed by the eruption of Mt.
Pinatubo in 1991 and therefore we embrace the efforts made by The Yangil and the Banawen tribes to replant
the region.
Employer’s Responsibility
Empowered employees and consistent investment for the development, safety, and wellbeing of our employees are
part of the Group’s philosophy. The Group is committed to provide a supportive workplace, while creating
prospects for its employees, investing in upskilling their knowledge and capabilities in order to help them grow and
fulfill their professional aspirations.
In this context, the main axes that the Group focuses on is the following:
• Creating employment and ensuring human capital development
o The Group supports the youth that long to get involved professionally in the FMCG sector. For that
reason, we provide the “Shape your future with us” Internship Program. The program provides the
opportunity to young university students to join our team and to get professional experience gaining
knowledge and skills to further continue their professional journey. In 2021, we had the opportunity to
welcome four interns in our premises in Greece, both in our headquarters and our production facility.
Through this Internship program our HR department cooperates with the top universities and
professional institutions of the country, to actively support the induction of young people into the
workplace.
o We believe that having the right person in the right position is the key to unlocking value for the Group,
and therefore we invest in a modern recruitment process with updated HR tools, while this year we
have upgraded our profile in a recruitment platform in order to attract further candidates.
o This year through our collaboration with LinkedIn Learning platform, we launched my Sarantis LinkedIn
learning tool that provides access to our employees across our countries to over 9,500 courses in
different fields through a user-friendly environment and high caliber instructors. The tool within 2021
launched in Greece, Bosnia, Bulgaria, Czech Republic & Slovakia, Hungary, North Macedonia, Romania,
Serbia and Ukraine, while in 2022 it will be available to our subsidiary in Poland too. More than 61,877
videos have been viewed offering the upskilling of our working force. Main content axes of the
webinars this year were about: Leadership, Team Management, Performance Management,
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Constructive Feedback, Marketing, Sales, Project Management, Supply Chain Management, HSE
Management, ISO 50001, Competition Law, Lean Manufacturing, Labor Law, E-Commerce, Customer
Service, Health & Safety, Tax and Risk Management. The Group seeks to empower its employees
helping them to grow and fulfill their professional aspirations. This initiative will have a major impact
on the Group’s workplace culture by fostering continuous learning and development.
o Towards rewarding our employees for their efforts and evaluating their performance, within 2021 the
HR department implemented an upgraded Perfomance Management process for all its employees. The
timeline of the process is 3 times per year (target setting, midyear evaluation, endyear evaluation). This
process will do its part in better monitoring and improving our employees’ performance, assisting us to
reward them accordingly.
o Group’s aim is to strengthen the leadership capabilities of its people, their business insight, and their
talents to create high-performance teams. The ever-changing, competitive conditions in the markets
where the Group operates necessitate a business frame of mind that promotes innovation and
improved performance. To that end, the Group invests in educational programs and training seminars
for its employees internally or externally (SAP trainings, BV trainings, ESG trainings, PR trainings, crisis
management trainings etc.), upgrading further their skillset and their knowhow in doing business.
o We provide a tailor-made induction program to all our fresh beginners in the company. In that way
they may have the bigger picture of the company as weapon for their business journey.
• Ensuring occupational health & safety and wellbeing
Our employees are the Group’s driving force, their welfare enhances the Group’s prosperity, therefore we
do our best in numerous ways to ensure their health, safety and wellbeing throughout their daily efforts.
• Working environment: The working environment can affect productivity directly. A safe and
comfortable workplace, as well as a pleasant working environment where dialogue and
cooperation are encouraged, can assist employees to overcome difficulties and be more motivated
and efficient.
The Group’s offices are hosted in modern buildings having advanced safety and security features
(fire control systems etc.). We offer spacious, clean offices with modern furniture, adequate
lighting-access to natural daylight, temperature control and quality of air. Furthermore, we provide
a well-equipped space for their breaks (restaurant area etc.), and all the necessary tools, resources,
and technology features to maximize their efficiency. Moreover, especially in Greece’s a new eco-
friendly building will be available by the end of 2022 to further accommodate our employees and
their increased needs. As far as the employees at our production facilities are concerned, we do
are best to ensure occupational health & safety, all best practices are followed under the strictest
working conditions criteria. Our production plant at Ukraine obtains ISO 45001 regarding
Occupational Health and Safety Management Systems-Requirements, and we plan to expand this
ISO across our countries in the future, starting with Greece’s production facility within 2022.
• Personal attention & Support: We believe that family issues faced from employees during their
business life need to be fully supported. While we do not make our employees feel uncomfortable
to report sickness. We care for the wellbeing of our employees, both mental and physical, apart
from their productivity. Especially this year, in the occasion of the International Family day the HR
department held an online speech with a psychologist regarding the positive impact of covid-19 to
family relations. The conversation was open for employees to join remotely and aimed in
enhancing their wellbeing within the covid-19 era.
• Medical & Health Care Services: The company has ensured (most of) its employers under a group
policy which provided them and their children with various advantages, as well as, coverages such
as: Life insurance, Major medical insurance, Maternity benefit insurance, preventive insurance
(check-up), Surgical benefit insurance etc. Moreover, within 2021 the HR department achieved
better terms in our medical plan.
• We provide free appointments with an internal doctor / nutritionist in a yearly basis, while through
the Hellenic anti-cancer company we have organized free mammographic examination for all our
women employees in Greece.
• Other Corporate Benefits provided to our employees for their wellbeing amounting to 84,950 €.
Regarding the remuneration package, based on employees’ position we offer: Health and
insurance medical program, Pension scheme, Performance-based bonus, Interest-free loans for
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
serious incidents/emergencies, Corporate e-shop, Christmas box gifts, prepaid cards, free lunches,
Blood bank both for our employees and their relatives and gifts on the occasion of the wedding,
childbirth or retirement. Especially in our subsidiary in Czech Republic and Slovakia we offer 50%
discount in multisport cards, financial support for vitamins/flu vaccinations and transportation
cards.
• Our Wellness approach towards our employees:
We provide an in-house doctor and nutritionist for the employees of our company; therefore, we
had the opportunity to share nutrition and detox tips to all our employees throughout the year and
especially during easter. Moreover, “Sarantis Wellness Days” initiative was implemented by the HR
department, aiming at empowering our employees’ physical and mental health. Our employees in
Greece had the opportunity to attend virtual events regarding mental resilience and more
sustainable ways of nutrition, vitality health checks, yoga class, step challenge competition,
@Linkedin Learning courses and healthy products for everyone.
• Further initiatives empowering employees’ wellbeing through the Group’s brand initiatives:
Furthermore, throughout the year other initiatives took place as well. During summer, with the
support of beloved bioten and Carroten we have embraced summer in Greece, with a special
welcome event held for our employees at our headquarters. The event honored bioten’s new
launch, Vitamin C, by offering healthy smoothies to all Sarantis Group family members, while a
summer photobooth supported by Carroten was offered to capture the moment of bonding.
Moreover, as October is Breast Cancer Awareness Month, an annual campaign was organized at
our premises in Greece to raise awareness about the impact of breast cancer and the importance
of prevention in the fight against it. The initiative was empowered by the personal care brand
bioten, the activation embraced all our female employees by spreading the word via encouraging
messages regarding prevention, screening, and early diagnosis of the disease. Finally, during March
we celebrated in the occasion of the International Women’s Day our women workforce,
recognizing their efforts behind the Group’s success.
• Impact of the COVID-19 pandemic on Sarantis Group
Unfortunately the pandemic is still escalating across the globe, therefore all relevant rules and regulations that were
imposed to halt the COVID-19 pandemic which were strictly implemented by the Group, both in Greece and in all
countries within 2020, were extended throughout 2021.
▪ Canceling business and personal travels
▪ Canceling all internal and external events
▪ Upkeeping personal hygiene
▪ Keeping social distance
▪ Appropriate use and disposal of single use masks and gloves
In addition, remote working was extended as well, and all employees were asked to consult the human resources
department immediately in the event of COVID-19 symptoms.
• Safeguarding employee diversity, equal opportunities, and human rights
We believe that being different widens our perspective and strengthens our business. We respect the uniqueness of
each individual and we aim to treat everyone equally, with respect and dignity. We value and pursue diversity in our
business environment, we believe that diversity within the Group brings different thinking and agility. Furthermore,
we believe in gender equality and women empowerment, therefore we invest in females’ employees and their
skills. In 2021, 55% of our total workforce are women employees, achieving a high percentage of diversity within the
Group. Overall, the Group:
• Offers equal employment opportunities.
• Ensures no unlawful discrimination is practiced in any aspect of employment relationship.
• Provides an inclusive working environment, free of any form of disrespectful treatment and hate activity
such as harassment and bullying.
Encourages employees to report any concerns regarding discrimination in the workplace.
• Ensures that female employees are equally treated, remunerated, and promoted within the company, as
male employees.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
The Group’s Human Rights Policy is incorporated in the Code of Business Conduct
5
, which is posted in the corporate
website: https://www.sarantisgroup.com/investor-relations/corporate-governance/corporate-governance/.
IV. Anti-corruption & anti-bribery policies
Safeguarding corporate governance, regulatory compliance and business ethics
• Fair competition
We fully comply with the Commercial Law and the Law on Competition in our transactions with competitors,
partners and customers. We support and boost free entrepreneurship and we care for our operation pursuant
to the principles of fair and free competition, in all sectors of our activities. Accordingly, we expect our
employees to comply with the legal requirements on monopoly and competition and to participate only in fair
and meritocratic transactions. Every employee, when necessary or if he/she has any doubt, must consult the
Group’s Legal Service for relevant issues, while he/she must directly inform the Group’s Legal Service in case
he/she receives any notification from an authority responsible for anti-monopoly issues. In the context of the
above, any conduct that restricts or hinders free and fair competition is not acceptable by our Company.
• Combating any form of corruption and bribery
Any form of corruption, or unlawful professional activity or bribery is prohibited in our Group. Always in
compliance with the applicable laws and regulations, unfair practices on behalf of our employees, partners or
suppliers, which could be inappropriate and illegal activities, are not allowed. In the same context, any activity
related to money laundering or illegal funding is condemned.
Moreover, the Company does not allow employees to accept gifts, invitations or offers, as there is a risk that
their integrity and honesty may be questioned or professional decisions may be affected.
• Prevention of fraud
In the context of our responsible operation and activity, cases that may be connected to fraud are not
tolerated. With a view to preventing such cases, safety valves have been developed, while through a special
policy of complaints and reports that we have adopted (whistleblowing) an event of fraud or corruption can be
reported, investigated and solved. The Report and Complaints Management Policy of Sarantis determines the
principles and the operation of the procedure adopted by the Company in order to receive, process and
investigate anonymous and/or identified reports and complaints regarding unethical conduct, irregularities,
omissions or unlawful activities. The main commitment of the Company is to protect the anonymity and ensure
the confidentiality of the data of people who file such reports/complaints. The Policy takes into account the
Directive (ΕU) 2019/1937, and the best practices applied in the market.
The Company’s Management has the responsibility to prevent, monitor and make corrective actions, while the
individual divisions and departments must strictly apply all the relevant procedures and prevention measures.
• Conflict of interest
The conflicts of interest are forbidden within the framework of the Company’s policy. A “conflict of interests”
occurs when the private interest of an employee or executive or exclusive partner interferes in any way with or
seems to affect the Company’s interests. The Management and all the employees must settle their personal or
other external activities and financial interest in such a way so that they ensure that there are no conflicts of
interest with the Company. As conflicts of interest may occur in multiple cases in such a large Group as Sarantis,
a policy and procedure to prevent and address conflicts of interest has been developed, providing detailed
guidelines in order to avoid any relevant involvement of an employee, executive or exclusive partner. The
conflicts of interest may not be always obvious; therefore, if any of our members has a question on whether a
particular situation involves a conflict of interest, he/she should consult the Head of the regulatory compliance.
5
ATHEX C-S6
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
• Protection of data and confidential information
In full compliance with the relevant applicable legislation and in line with the Group’s Personal Data Protection
Policy
6
, we ensure that personal data and confidential information are protected and kept confidential.
Confidential information means any trade secret, exclusive information about customers or suppliers, contract
or financial position. All employees must treat personal data and information with utmost discretion and must
not disclose confidential information to third parties, persons or organizations, outside the Company.
Moreover, we care for the continuous protection of the information systems, as the protection of their integrity
and their rational use ensure the effective protection of personal and professional data against unauthorized
access, loss, manipulation or leak. We follow best practices and we take all necessary steps to avoid security
issues and maintain confidentiality, while the compliance with regulatory and legislative authorities is ensured.
In this context, all employees of the Company should contribute to the protection of the security of information
stored or circulated in the information systems within the organization. Unauthorized use or distribution of this
information violates the Company’s Policy and may result in civil and/or criminal penalties.
6
ATHEX C-G6
55
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
V. Outcomes and non-financial performance
The main results of the above policies are presented in the table below. Our non-financial information reporting is
aligned with global sustainability reporting standards such as the GRI standards and takes into account the ATHEX
ESG reporting guidelines:
Environment
2021
2020
2019
Total Consumed Energy (GRI 302-1) (MJ)*
159,471,949
168,756,356
175,481,684
Energy intensity (GRI 302--3)
0.39
0.43
0.47
Consumed Energy from Renewable Energy Sources (GRI 302-1) (MJ)*
7,622,382
9,181,723
12,363,458
Total amount of energy consumed within the organisation (ATHEX C-
E3) (MWh)*
44,298
46,877
48,745
Percentage of electricity consumed, in percentage (ATHEX C-E3)*
57.76%
61.56%
60.39%
Percentage of energy consumed from renewable sources, in
percentage (ATHEX C-E3)*
4.78%
5.44%
7.05%
Direct GHG emissions - Scope 1 (GRI 305-1, ATHEX C-E1) (tCO2)
3,635.6
3,396.5
3,665.9
Energy indirect GHG emissions - Scope 2 (GRI 305-2, ATHEX C-E2) -
location based (tCO2)
14,547.7
16,155.2
15,724.4
Energy indirect GHG emissions - Scope 2 (GRI 305-2, ATHEX C-E2) -
market based (tCO2)
16,500.0
18,282.0
18,116.9
GHG emissions intensity (GRI 305-4) - Scope 2 location based
0.04
0.05
0.05
GHG emissions intensity (GRI 305-4) - Scope 2 market based
0.05
0.06
0.06
Labor
Total number of employees (GRI 102-8)
Headcount
2021
2020
2019
2,376
2,683
2,786
Percentage of total women employees (ΑΤΗΕΧ C-S2)
2021
2020
2019
55%
56%
47%
Total number of employees by employment contract by gender in 2020 (GRI 102-8)
Men
Permanent
Temporary
1,007
58
Women
Permanent
Temporary
1,252
59
Total number of employees by employment type, by gender in 2020 (GRI 102-8)
Men
Full-time
Part-time
1,048
19
Women
Full-time
Part-time
1,219
90
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Percentage of individuals within the organization’s governance bodies by age and gender in 2021 (GRI 405-1, ATHEX C-S3)
Men
<30 years
30-50 years
>50 years
0%
31%
54%
Women
<30 years
30-50 years
>50 years
0%
0%
15%
Number of work-related injuries (GRI 403-9)
2021
2020
2019
11
6
7
Average hours of training per year per employee (GRI 404-1)
2021
5
Percentage of employees receiving regular performance review (GRI 404-3)
Men
Women
63%
54%
Laws & regulations
2021
2020
2019
Total number of confirmed incidents of corruption (GRI
205-3)
0
0
0
Significant fines and non-monetary sanctions for non-
compliance with laws and/or regulations
in the social and economic area (human rights &
compulsory labor (GRI 419-1)
0
0
0
Significant fines and non-monetary sanctions for non-
compliance with environmental laws
and/or regulations (GRI 307-1)
0
0
0
Social impact
2021
2020
2019
Donations, charities, community offering (€)
720,033
926,812
190,000
Percentage of the procurement budget spent on local
suppliers (GRI 204-1 )
71.84%
66.90%
73.20%
*Compared to last year’s reporting, energy consumption reported here includes company vehicles’ fuel consumption (diesel, petrol,
LPG,LNG) for 2019-2021 and Hungary’s natural gas consumption regarding years 2019, which last year was not taken into account due
to COVID-19 pandemic restrictions that made more difficult to retrieve specific data. Furthermore, consumed energy from renewable
sources (fuels) apart from Greece’s data, this year include data from our production facility in Ukraine, specifically data regarding
Biomass. The Data presented in the energy consumption chart refer to our operations in: Greece, Poland, Romania, Bulgaria, Hungary,
Serbia, Czech Republic, Slovakia, North Macedonia, Bosnia & Herzegovina, Russia and Ukraine.
More sustainability related data will be presented in our 2021 Sustainability Report, which is currently being
prepared in accordance with the GRI standards and is expected to be available later this year.
VI. EU Taxonomy
In order to support the transition to a more sustainable economy and in view of the global warming, the European
states have committed themselves to more climate protection and reducing the GHG emissions. Ιn order to enable
this transition, the Paris Climate Agreement and the European Green Deal view sustainable investments as an
important starting point. A key instrument in this context is the EU taxonomy (https://ec.europa.eu/info/business-
economy-euro/banking-and-finance/sustainable-finance/eu-taxonomy-sustainable-activities_en), an EU-wide
classification system for sustainable economic activities with the aim of promoting investment in them. According
to the “Regulation (EU) 2020/852 of the European Parliament and of the Council of June 2020 on the establishment
of a framework to facilitate sustainable investment, and amending Regulation (EU) 2019/2088,” an economic
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
activity is considered environmentally sustainable if it substantially contributes to achieving one or more of the
environmental objectives.
The environmental objectives defined in terms of the Taxonomy Regulation are: climate change mitigation, climate
change adaptation, the sustainable use and protection of water and marine resources, the transition to a circular
economy, pollution prevention and control, and the protection and restoration of biodiversity and ecosystems.
At the same time, the economic activity that substantially contributes to achieving one or more of the
environmental objectives must not significantly harm (DNSH) the other environmental objectives. In addition, the
economic activity must be carried out in compliance with the minimum social safeguards and comply with the
technical screening criteria established by the EU Commission by means of the delegated acts.
The EU Taxonomy Climate Delegated Act introduces the first set of technical screening criteria to determine which
activities contribute significantly to achieving two of the environmental objectives set out in the Taxonomy
Regulation: climate change mitigation and climate change adaptation.
We have undertaken a review of the Group’s turnover, capital expenditure and operating expenditure (as defined in
the EU taxonomy) to identify the extent of any eligible activities within our business.
We identified the following eligible economic activities:
• “Manufacture of plastics in primary form” (C.20.1.6), as it relates to part of Sarantis Group home care
business unit.
In particular, Polipak, the Group’s subsidiary that specializes on the production of Garbage Bags, engages,
as part of its activities, in the production of recycled plastic granules from its own plastic waste that is
subsequently re-used in the production process.
Moreover, Ergopack, processes post-consumer plastic waste producing recycled plastic granules that are
used in the production of Ergopack’s garbage bags.
• “Production of electricity from solar PVs” (D.35.1.1).
In particular, as part of its plan to reduce its GHG emissions, within 2021 the Group proceeded to the
installation of photovoltaics at the Group’s production plant at Oinofyta. The power of the installed
photovoltaic system is 1 MW and the generated energy is estimated to reach 1,333 MWh, covering almost
50% of the factory’s needs in terms of energy (net metering). It is noted that the system will be connected
and operational within 2022.
Finally, the production and sales of Cosmetics and Personal Care products do not fall within the scope of taxonomy
eligibility. Therefore, there were no corresponding investments or operating expenses that could be qualified as
eligible.
The following table presents the KPIs of the economic activities that are EU taxonomy eligible for the fiscal year
2021:
Economic Activities
% of
turnover
% of
capex
% of opex
A. EU-taxonomy eligible
activities
Manufacturing of plastics in primary form
(C.20.1.6)
1.86%
0
1.47%
Production of electricity from solar PVs (D.35.1.1)
0
1,60%
0
total
1.86%
1.60%
1.47%
B. EU-taxonomy non-eligible activities
98.14%
98.40%
98.53%
Total A+B
100%
100%
100%
Accounting Policy
The Group has defined the eligible Key Performance Indicators (hereinafter "KPI") in accordance with the legal
requirements and describes its accounting policy in this regard, as follows:
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
The figures presented in this report have been calculated and are presented in accordance with the International
Financial Reporting Standards (IFRS). Their preparation requires estimations during the application of the Group’s
accounting principles. Important assumptions are made wherever deemed appropriate.
In the present report we present the following KPIs: the proportion of the total turnover from the sale of goods, as
well as the total capex and opex of the Group’s economic activities that correspond to activities eligible for EU
Taxonomy purposes according to the description of these activities and taking into account the respective NACE
activity codes, as these are presented in the Delegated Act 2021/2139/EU.
Since we are currently in the first period of implementation of the Taxonomy framework (1/1 – 31/12/2022), the
Group’s economic activities were reviewed and ultimately included/excluded solely on eligibility basis and no
testing for alignment has been conducted against the technical screening criteria provided in the related Delegated
Acts.
Taking into consideration the above, the presented proportions have been calculated using the following approach:
• KPI - Proportion of the total turnover: It was calculated based solely on the total net turnover from the
sale of goods. The numerator includes only the activities that are considered to be eligible according to the
Taxonomy regulation and under the condition that the related revenue is not intended for own use or
intergroup transactions.
• KPI - Proportion of the total capex: It was calculated based on the capitalized expenses incurred for
additions to assets or processes corresponding to eligible economic activities. The numerator includes only
the activities that are considered to be eligible according to the Taxonomy regulation.
• KPI- Proportion of the total opex: It was calculated based on the operating expenses related to the repair
and maintenance of assets or processes corresponding to eligible economic activities. The numerator
includes only the activities that are considered to be eligible according to the Taxonomy regulation.
This section is included for the first time in the Non-Financial Statement, as provided for in Regulation (EU)
2020/852. The information presented follow the requirements of the Rules of regulation and the delegated acts
issued. The relevant instructions leave room for interpretation and evolve, so accordingly the Group will monitor
the developments and will adjust its approach accordingly.
2.14 ALTERNATIVE PERFORMANCE MEASURES (“APM”)
The Group utilizes Alternative Performance Measures (APM) in the context of its decision making with regard to the
financial, operational and strategic planning as well as for the evaluation and public disclosure of its performance.
These APM serve and facilitate the best understanding of the financial and operating results of the Group, its
financial position and the statement of cash flows. The Alternative Performance Measures (APM) should be always
taken into consideration along with the financial results which have been prepared in accordance with the IFRS
whereas in no case they replace IFRS.
Definitions and reconciliation of Alternative Performance Measures (“APM”)
a) Profitability ratios
The Group utilizes the following profitability ratios for the purpose of the full analysis of its operating results:
EBITDA (Earnings before interest, taxes, depreciation and amortization)
EBITDA is calculated from the annual financial statements as follows: “Gross operating earnings” plus “Other
operating income” minus the “Administrative Expenses” and the “Distribution Expenses” prior to depreciation and
amortization. The depreciation and amortization for the Group are presented in the paragraph “Table of Changes in
Fixed Assets” of the financial statements.
59
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
(Euro million)
FY 2021
FY 2020**
Gross operating earnings
143.90
148.47
Other operating income
12.73
12.53
Administrative expenses
19.06
18.26
Distribution expenses
90.74
92.74
Depreciation and amortization
12.87
12.63
Earnings before interest, taxes, depreciation and
amortization
59.69
62.64
** The comparative figures for the year 2020 have been revised due to the change in the accounting policy of IAS 19.
EBIT (Earnings before interest and taxes)
EBIT equals with the operating earnings of the Group as they are recorded in the annual financial statements.
ΕΒΤ (Earnings before taxes)
EBT equals with the earnings deriving before the deduction of taxes from the annual financial statements.
Net Income (Net earnings)
It equals with the earnings after the deduction of taxes as they are recorded in the financial statements. These
earnings are distributed to the shareholders of the parent company.
Profitability Margins
For all the above profitability figures, the corresponding profit margin is calculated by dividing each figure with the
total turnover.
(Euro million)
FY 2021
FY 2020**
Margin
Margin
EBITDA
Earnings before interest, taxes, depreciation and
amortization
59.69
14.62%
62.64
15.92%
EBIT
Earnings before interest and taxes
46.82
11.47%
50.00
12.71%
EBT
Earnings before taxes
49.57
12.14%
47.39
12.05%
Net Income
Net Earnings
40.29
9.87%
38.70
9.84%
** The comparative figures for the year 2020 have been revised due to the change in the accounting policy of IAS 19.
b) Net Debt
The net debt comprises a figure which depicts the capital structure of the Group. It is calculated by adding the long-
term loans and the short-term loans then by deducting the cash and cash equivalents and other financial assets,
such as the “Financial Assets at fair value through results”, since they are considered to be liquid items. The relevant
calculations are presented in the following table:
(Euro million)
FY 2021
FY 2020
Long-term loans
43.97
48.61
Short-term loans
12.57
7.81
Cash and cash equivalents
45.81
40.60
Other financial assets
4.77
4.91
Net Debt
5.96
10.91
c) Operating Working Capital
Working capital is an indicator that aims to capture the Group's liquidity. The calculations are presented below:
(euro εκ.)
FY 2021
FY 2020
Trade receivables
91.91
90.95
Inventories
99.61
108.60
Suppliers
68.35
64.80
Operating Working Capital
123.17
134.75
Operating Working Capital over sales
30.17%
34.25%
60
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Marousi, April 28
th
2022
The Board of Directors
THE CHAIRMAN OF THE BOARD
CHIEF EXECUTIVE OFFICER &
BOARD MEMBER
THE FINANCE DIRECTOR &
BOARD MEMBER
GRIGORIS SARANTIS
KYRIAKOS SARANTIS
KONSTANTINOS ROZAKEAS
ID No. Χ 080619/03
ID No. ΑΙ 597050/2010
ID No. ΑΚ 783631/13
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
61
3. INDEPENDENT AUDITOR’S REPORT
To the Shareholders of “Gr. Sarantis SA”
Report on the Audit of the Separate and Consolidated Financial Statements
Opinion
We have audited the accompanying separate and consolidated financial statements of the Company “Gr.
Sarantis SA” (the Company), which comprise the separate and consolidated statement of financial position as
at December 31, 2021, and the separate and consolidated statements of comprehensive income, changes in
equity and cash flow for the year then ended, as well as a summary of significant accounting policies and
other explanatory notes.
In our opinion, the accompanying separate and consolidated financial statements present fairly, in all
material respects, the financial position of the Company “Gr. Sarantis SA” and its subsidiaries (the Group) as
of December 31, 2021, and of their financial performance and their cash flows for the year then ended in
accordance with International Financial Reporting Standards as endorsed by the European Union.
Basis for Opinion
We conducted our audit in accordance with the International Standards on Auditing (ISAs) as incorporated in
Greek Legislation. Our responsibilities, under those standards are described in the “Auditor’s Responsibilities
for the Audit of the separate and consolidated financial statements” section of our report. During our audit,
we remained independent of the Company and the Group, in accordance with the International Ethics
Standards Board for Accountants’ Code of Ethics for Professional Accountants (IESBA Code) as incorporated in
Greek legislation and the ethical requirements relevant to the audit of the separate and consolidated
financial statements in Greece and we have fulfilled our responsibilities in accordance with the provisions of
the currently enacted law and the requirements of the IESBA Code. We believe that the audit evidence we
have obtained is sufficient and appropriate to provide a basis for our opinion.
Emphasis of Matter
We draw attention to Note 4.10.27 of the separate and consolidated financial statements, which describes
the military invasion in Ukraine by Russian Federation which is constantly evolving from February 24, 2022.
Taking into account that its course could significantly affect the operating environment of the subsidiaries in
Ukraine and Russia and the final settlement cannot be predicted with certainty, the management of the
Company and the Group closely monitors the situation and is ready to make any adjustments as soon as the
impact of the invasion becomes clear. Our opinion is not modified in respect of this matter.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Key Audit Matters
Key audit matters are those matters that, in our professional judgment, were of most significance in our
audit of the separate and the consolidated financial statements of the current period. These matters and the
related risks of material misstatement were addressed in the context of our audit of the separate and the
consolidated financial statements as a whole, and in forming our opinion thereon, and we do not provide a
separate opinion on these matters.
Key audit matter
Audit response
Assessment of goodwill impairment
As it is presented in note 4.10.3 of the financial
statements, the book value of the goodwill in the
balance sheet of the Group and the Company on 31
st
December 2021 amounts to € 7,663 k. and € 1,100 k.
respectively.
The goodwill is tested for impairment at least on an
annual basis. This review includes estimates based
on assumptions of future cash flows, including the
assumptions in relation to revenue growth, profit
margins and projected cash flows, the selection of
the appropriate discount rates and the assessment
of the cash generation units of the Group and the
Company.
Due to the significance of the value of the above
item, the subjectivity with regard to the
assumptions of the management and the significant
judgments and estimates that are being made for
the determination of the recoverable amount, we
consider the evaluation of the potential goodwill
impairment as one of the most significant issues
within our audit.
The disclosures of the Group and the Company with
regard to the accounting policy, as well as the
judgments and estimates that were utilized during
the assessment of goodwill impairment are included
in notes 4.7.6, 4.8.4 and 4.10.3 of the financial
statements.
Our audit approach was based on the audit risk
and includes, among other, the performance of
the following procedures:
- We obtained the impairment estimate that was
prepared by the management and we assessed the
judgments, estimates and assumptions with regard
to the future cash flows, the prospective growth
rates in sales value and volume, the expected
growth rates as well as the discount rate used for
the cash flows of the Cash Generating Units. In the
context of our assessment, we utilized historic
data.
- We assessed the consistency between the years,
the methods, the assumptions and the calculations
which are being followed by the Group and the
Company, and the extent to which the
management has taken into account any events
within the year and after the year end which
affect the environment or the conditions and the
elements which in turn affect the assumptions
used or changes in business practices, accounting
principles and policies that affect the calculations.
- We assessed the adequacy and the
appropriateness of the relevant disclosures in the
financial statements.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Inventory Valuation
As it is presented in note 4.10.4 of the financial
statements, the value of the inventory on the balance
sheet of the Group and the Company on 31
th
December
2021, amounts to € 99,614 k. and € 41,642 k.
respectively. Against these inventories balances, the
Group and the Company have recognized impairment
provisions of € 3,037 k. and € 2,660 k. respectively.
The Group and the Company values the inventory at
the lowest price between their acquisition cost and
their net residual value. The net residual value is the
estimated sales price during the normal course of the
Group’s and Company’s activities, minus the estimated
cost which is deemed as necessary for the realization
of the sale.
Based on the above, the Group’s management
performs estimates for the calculation of the provision
for obsolete inventories, based on the maturity of the
inventory, their movement during the year as well as
the respective planning for the following period and
estimation of future selling prices.
Due to the significance of the value of inventory at the
year end and the management’s judgments and
estimates in the determination of the net residual
value, we deem that the proper valuation of the
inventory comprises one of the most significant issues
of our audit.
The Group’s and Company’s disclosures regarding the
accounting policy that is utilized for the valuation of
the inventory is included in the notes 4.7.6, 4.8.9 and
4.10.4 of the financial statements.
Our audit approach was based on the audit risk and
includes, among other, the performance of the
following procedures:
- We partially attended the process of inventory
physical counting that took place at Group’s and
Company’s warehouses in order to examine, in a
sampling basis, the inventories’ condition.
- For a sample of inventory codes, we recalculated
the net realizable value based on the average sales
of the period as well as of the period after the end
of the reporting period and we compared it with the
year-end cost.
- For inventories of a limited economic life due to
maturity, we ascertained the proper calculation of
the impairment provision and the appropriate
presentation in the financial statements.
- We assessed the management’s estimations
reviewing historical data and reports, regarding the
maturity of the inventory, the write-offs and the
selling prices of the inventories.
- We assessed the adequacy and the appropriateness
of the relevant disclosures in the financial
statements.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Recoverability of Trade Receivables
As it is presented in note 4.10.5 of the financial
statement, the value of the trade receivables in the
balance sheet of the Group and the Company on 31
th
December 2021 amounts to € 91,911 k. and € 43,372
k. respectively. Against these trade receivables the
Group and the Company have recognized impairment
provisions of € 5,508 k. and € 4,278 k. respectively.
The management assesses the recoverability of the
Group's and Company's trade receivables and
assesses the required provision of bad debts for the
expected credit losses.
The management assesses the estimated provision
based on the targeted review of customer accounts
taking into consideration its experience in relation
to the current economic conditions as well as the
guarantees which have been acquired from specific
customers.
Due to the significance of the value of trade
receivables and the fact that the assessment of
impairment requires a significant degree of
judgment from the management regarding the
assessment of the ability of the client to repay, the
expected collection time, the value of the
warranties held and future market conditions, we
consider that the recoverability of the Group's and
Company's trade receivables is one of the most
significant matters of our audit.
The Group’s and Company’s disclosures with regard
to the trade receivables, the related risks such as
the credit risk and the aging of trade receivables,
are included in notes 4.7.6, 4.8.12 and 4.10.5 of the
financial statements.
Our audit approach was based on the audit risk
and includes, among other, the performance of
the following procedures:
- We obtained an understanding of the Group’s
process to monitor trade receivables, and of the
factors considered in estimating the provision for
impairment. We evaluated whether the process is
in line with the relevant accounting standards.
- We received confirmation letters from third
parties for a representative sample of trade
receivables and we executed procedures for the
collection of the year end balances after the date
of the financial statements.
- We assessed the management’s estimation
regarding the recoverability of the trade
receivables, taking into consideration the aging
analysis, any guarantees that have been granted
from the customers.
- We obtained and reviewed the letters of the
legal advisors with regard to the recoverability of
the trade receivables.
- On a sample basis, we confirmed the accuracy
and completeness of the data used by the
management in the calculation of expected credit
losses.
- We assessed the adequacy and suitability of the
relevant disclosures in the financial statements.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Other Information
Management is responsible for the other information. The other information is included in the Board of
Directors’ Report, as referred to the “Report on other Legal and Regulatory Requirements” section, in the
Declaration of the Board of Directors Representatives, but does not include the financial statements and our
auditor’s report thereon, which we obtained prior to the date of this auditor’s report, and the “Corporate
Responsibility & Sustainability Report”, which is expected to be made available to us after this date.
Our opinion on the separate and consolidated financial statements does not cover the other information and
we will not express any form of assurance conclusion thereon.
In connection with our audit of the separate and consolidated financial statements, our responsibility is to
read the other information identified above and, in doing so, consider whether the other information is
materially inconsistent with the separate and consolidated financial statements or our knowledge obtained in
the audit, or otherwise appears to be materially misstated. When we read the “Corporate Responsibility &
Sustainability Report”, if we conclude that there is a material misstatement therein, we are required to
communicate this matter to those charged with governance and, depending on the case, to proceed in
further action in compliance with relevant legislation.
Responsibilities of Management and Those Charged with Governance for the separate and consolidated
Financial Statements
Management is responsible for the preparation and fair presentation of the separate and consolidated
financial statements in accordance with International Financial Reporting Standards, as endorsed by the
European Union, and for such internal control as Management determines is necessary to enable the
preparation of separate and consolidated financial statements that are free from material misstatement,
whether due to fraud or error.
In preparing the separate and consolidated financial statements, Management is responsible for assessing the
Company’s and Group’s ability to continue as a going concern, disclosing, as applicable, matters related to
going concern and using the going concern basis of accounting unless, management either intends to liquidate
the Company and the Group or to cease operations, or has no realistic alternative but to do so.
The Audit Committee (art. 44 of Law 4449/2017) of the Company is responsible for overseeing the Company’s
and the Group’s financial reporting process.
Auditor’s Responsibilities for the Audit of the separate and consolidated Financial Statements
Our objectives are to obtain reasonable assurance about whether the separate and the consolidated financial
statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an
auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a
guarantee that an audit conducted in accordance with ISAs, as incorporated in Greek Legislation, will always
detect a material misstatement when it exists. Misstatements can arise from fraud or error and are
considered material if, individually or in the aggregate, they could reasonably be expected to influence the
economic decisions of users taken on the basis of these separate and consolidated financial statements.
As part of an audit in accordance with ISAs as incorporated in Greek Legislation, we exercise professional
judgment and maintain professional skepticism throughout the audit. We also:
• Identify and assess the risks of material misstatement of the separate and consolidated financial
statements, whether due to fraud or error, design and perform audit procedures responsive to those
risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The
risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from
error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override
of internal control.
• Obtain an understanding of internal control relevant to the audit, in order to design audit procedures
that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the Company’s and the Group’s internal control.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates
and related disclosures made by management.
• Conclude on the appropriateness of management’s use of the going concern basis of accounting and,
based on the audit evidence obtained, whether a material uncertainty exists related to events or
conditions that may cast significant doubt on the Company’s and the Group’s ability to continue as a
going concern. If we conclude that a material uncertainty exists, we are required to draw attention in
our auditor’s report to the related disclosures in the separate and consolidated financial statements or, if
such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence
obtained up to the date of our auditor’s report. However, future events or conditions may cause the
Company and the Group to cease to continue as a going concern.
• Evaluate the overall presentation, structure and content of the separate and consolidated financial
statements, including the disclosures, and whether the separate and consolidated financial statements
represent the underlying transactions and events in a manner that achieves fair presentation.
• Obtain sufficient appropriate audit evidence regarding the financial information of the entities or
business activities within the Group to express an opinion on the separate and consolidated financial
statements. We are responsible for the direction, supervision and performance of the audit of the
Company and the Group. We remain solely responsible for our audit opinion.
We communicate with those charged with governance regarding, among other matters, the planned scope
and timing of the audit and significant audit findings, including any significant deficiencies in internal control
that we identify during our audit.
We also provide those charged with governance with a statement that we have complied with relevant
ethical requirements regarding independence, and to communicate with them all relationships and other
matters that may reasonably be thought to bear on our independence, and where applicable, related
safeguards.
From the matters communicated with those charged with governance, we determine those matters that were
of most significance in the audit of the separate and consolidated financial statements of the current period
and are therefore the key audit matters.
Report on Other Legal and Regulatory Requirements
1) Board of Directors’ Report
Taking into consideration that management is responsible for the preparation of the Board of Directors’
Report which also includes the Corporate Governance Statement, according to the provisions of paragraph 5
of article 2 of L. 4336/2015 (part B), we note that:
a) The Board of Directors’ Report includes the Corporate Governance Statement which provides the
information required by Article 152 of Law 4548/2018.
b) In our opinion the Board of Directors’ Report has been prepared in accordance with the applicable legal
requirements of articles 150-151 and 153-154 and paragraph 1 (cases c’ and d’) of article 152 of Law
4548/2018 and its content is consistent with the accompanying separate and consolidated financial
statements for the year ended 31.12.2021.
c) Based on the knowledge we obtained during our audit about the company “Gr. Sarantis SA” and its
environment, we have not identified any material inconsistencies in the Board of Directors’ Report.
2) Additional Report to the Audit Committee
Our audit opinion on the separate and the consolidated financial statements is consistent with our Additional
Report to the Audit Committee of the Company, referred to in article 11 of EU Regulation 537/2014.
3) Provision of Non-Audit Services
We have not provided to the Company and the Group any prohibited non-audit services referred to in article
5 of EU Regulation No 537/2014 or other permissible non-audit services.
4) Auditor’s Appointment
We were appointed as statutory auditors for the first time by the General Assembly of shareholders of the
Company on 26/06/2014. Our appointment has been, since then, uninterrupted renewed by the Annual
General Assembly of shareholders of the Company for 8 consecutive years.
67
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
5) Bylaws (Internal Regulation Code)
The Company has in effect Bylaws (Internal Regulation Code) in conformance with the provisions of article 14
of Law 4706/2020.
6) Assurance Report on European Single Electronic Format
We examined the digital records of the Company, prepared in accordance with the European Single Electronic
Format (ESEF) as defined by the European Commission Delegated Regulation 2019/815, amended by the
Regulation (EU) 2020/1989 (ESEF Regulation), which comprise the separate and consolidated financial
statements of the Company for the year ended December 31, 2021, in XHTML format
(21380078FJXYHFE8KP46-2021-12-31-en.xhtml), as well as the provided XBRL file (21380078FJXYHFE8KP46-
2021-12-31-en.zip) with the appropriate mark-up, on the aforementioned consolidated financial statements.
Regulatory Framework
The digital records of the ESEF are prepared in accordance with the ESEF Regulation and the Commission
Interpretative Communication 2020/C379/01 of November 10, 2020, in conformance with Law 3556/2007 and
the relevant announcements of the Hellenic Capital Market Commission and the Athens Stock Exchange (ESEF
Regulatory Framework). In summary, this framework includes, inter alia, the following requirements:
- All annual financial reports shall be prepared in XHTML format.
- For the consolidated financial statements in accordance with IFRS, financial information included in the
statements of comprehensive income, financial position, changes in equity and cash flows shall be marked-up
with XBRL tags, in accordance with the effective ESEF Taxonomy. ESEF technical specifications, including the
relevant taxonomy, are set out in the ESEF Regulatory Technical Standards.
The requirements set out in the current ESEF Regulatory Framework constitute the appropriate criteria for
expressing a conclusion of reasonable assurance.
Responsibilities of Management and Those Charged with Governance for the ESEF Digital Records
Management is responsible for the preparation and submission of the separate and consolidated financial
statements of the Company for the year ended December 31, 2021, in accordance with the requirements of
ESEF Regulatory Framework, and for such internal control as management determines is necessary to enable
the preparation of digital records that are free from material misstatement, whether due to fraud or error.
Auditor’s Responsibilities for the Reasonable Assurance of ESEF Digital Records
Our responsibility is to design and conduct this assurance engagement in accordance with No. 214/4/11-02-
2022 Decision of the Board of Directors of the Hellenic Accounting and Auditing Standards Oversight Board
(HAASOB) and the "Guidelines on the auditors’ engagement and reasonable assurance report on European
Single Electronic Format (ESEF) for issuers whose securities are admitted to trading on a regulated market in
Greece" as issued by the Institute of Certified Public Accountants of Greece on 14/02/2022 (hereinafter "ESEF
Guidelines"), in order to obtain reasonable assurance that the separate and the consolidated financial
statements of the Company, prepared by the management in accordance with ESEF are in compliance, in all
material respects, with the effective ESEF Regulatory Framework.
We conducted our work in accordance with the Code of Ethics for Professional Accountants (IESBA Code)
issued by the International Ethics Standards Board for Accountants, as incorporated in Greek legislation and
we have complied with the ethical requirements of independence, in accordance with Law 4449/2017 and EU
Regulation 537/2014.
We conducted our work in accordance with the International Standard on Assurance Engagements (ISAE) 3000
“Assurance Engagements other than Audits or Reviews of Historical Financial Information” and our procedures
are limited to the requirements of ESEF Guidelines. Reasonable assurance is a high level of assurance, but is
not a guarantee that this work will always detect a material misstatement of non-compliance with the
requirements of ESEF Regulation.
Conclusion
Based on the procedures performed and the evidence obtained, the separate and consolidated financial
statements of the Company for the year ended December 31, 2021, in XHTML format
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
(21380078FJXYHFE8KP46-2021-12-31-en.xhtml), as well as the provided XBRL file (21380078FJXYHFE8KP46-
2021-12-31-en.zip) with the appropriate mark-up on the above consolidated financial statements, have been
prepared, in all material respects, in accordance with the requirements of the ESEF Regulatory Framework.
BDO Certified Public Accountant S.A.
449 Mesogion Av,
Athens- Ag. Paraskevi, Greece
Reg. SOEL: 173
Ag. Paraskevi, April 29, 2022
Certified Public Accountant
Christoforos Achiniotis
Reg. SOEL: 35961
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
69
ANNUAL FINANCIAL STATEMENTS
70
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4. ANNUAL FINANCIAL STATEMENTS
Those responsible for the preparation of the 2021 Annual Financial Statements (01/01/2021 – 31/12/2021) are the
signatories at the end of the Financial Statements.
4.1 STATEMENT OF FINANCIAL POSITION
The basic financial statements should be read in conjunction with the attached notes.
*The comparative figures of the Group and the Company for the year 2020 have been revised due to the change of the accounting policy
of IAS 19 (see note 4.7.7.1).
* Regarding the reserves from dividends, a reclassification has been made to the comparative figures of the Company for the fiscal year
2020 between the items "Reserves" and "Profit (loss) carried forward" (see note 4.8.23).
Amounts in €
31.12.2021 31.12.2020* 31.12.2021 31.12.2020*
ASSETS
Non-current assets 2 12 ,6 67 ,1 17 1 83 ,4 01 ,2 76 187,155,150 181,918,424
Tangible fixed assets 4.10.21 9 9,89 9,92 2 7 3,34 3,01 1 43,110,411 38,791,337
Right of use 4.10.21 1 1,08 8,65 8 1 4,62 2,68 6 4,587,805 5,694,264
Investments in Property 4.10.21 4 ,63 2,07 6 1 ,03 3,0 26 31,857 31,857
Intangible assets 4.10.21 5 9,28 6,93 9 6 0,38 1,32 2 30,464,273 31,436,048
Company goodwill 4.10.3 7 ,66 2,55 6 7 ,67 6,3 64 1,100,000 1,100,000
Deferred tax assets 4.10.12 1 26 ,96 3 2 87 ,37 8 0 0
Investments in subsidiaries, associates 4.10.2 2 9,6 06 ,07 8 2 5,64 9,28 3 107,598,517 104,633,691
Other long-term receivables 36 3,9 26 4 08 ,20 7 262,288 231,228
Current assets 2 50 ,2 72 ,2 17 25 1,9 73 , 1 62 115,225,509 119,516,988
Inventories 4.10.4 9 9,6 13 ,52 7 10 8,5 95 ,39 9 41,642,311 49,258,450
Trade receivables 4.10.5 9 1,9 11 ,21 7 9 0,95 1,74 7 43,372,075 45,583,265
Other receivables 4.10.5 8,1 66 ,54 7 6,9 21 ,48 0 5,357,115 3,628,334
Cash & cash equivalents 4.10.6 4 5,80 9,27 8 4 0,59 5,34 1 20,082,361 16,137,744
Financial assets at fair value through profit and loss 4.10.7 4 ,77 1,64 8 4 ,90 9,1 95 4,771,648 4,909,195
Total Assets 4 62 ,9 39 ,3 35 43 5,3 74 , 4 38 302,380,660 301,435,412
Shareholders' EQUITY:
Share capital 4.10.16 5 4,50 4,43 8 5 4,50 4,43 8 54,504,438 54,504,438
Share premium account 4.10.16 4 0,67 6,35 6 4 0,67 6,35 6 40,676,356 40,676,356
Reserves 4.10.20 1 9,74 4,90 4 1 7,38 8,83 3 13,818,124 11,903,109
Profit (losses) carried forward 1 82 ,99 6,59 6 15 8,02 6,0 14 107,371,318 96,344,957
Total Shareholders' Equity 2 97 ,9 22 ,2 93 27 0,5 95 , 6 41 216,370,235 203,428,860
Non controlling interest 2 ,0 71 ,8 26 2 ,63 8,73 7 0 0
Total Equity 2 99 ,9 94 ,1 19 27 3 ,2 34 ,3 78 216,370,235 203,428,860
LIABILITIES
Long-term liabilities 6 3,07 1,64 1 69 ,92 1,19 8 36,685,620 51,905,214
Loans 4.10.10 4 3,97 3,72 9 4 8,60 7,62 4 30,385,000 44,000,000
Lease liabilities 7 ,32 4,83 5 1 0,59 5,26 8 3,096,925 3,974,856
Deferred tax liabilities 4.10.12 6 ,67 6,94 2 5 ,86 8,6 90 2,153,149 2,037,813
Provisions for post employment employee benefits 4.10.23 1 ,19 6,0 07 2 ,01 2,8 02 1,050,546 1,885,457
Provisions - Long-term liabilities
4.10.9
Short-term liabilities 9 9,87 3,57 5 92 ,21 8,86 3 49,324,805 46,101,339
Suppliers
4.10.8
Other liabilities
4.10.8
Income taxes - other taxes payable 5 ,21 6,26 5 5 ,74 5,5 99 2,900,381 2,499,440
Loans
4.10.10
Lease liabilities 4 ,45 5,85 0 4 ,64 6,4 78 1,778,839 1,890,534
Total Equity & Liabilities 4 62 ,9 39 ,3 35 43 5,3 74 , 4 38 302,380,660 301,435,412
Note
Group
Company
71
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.2 STATEMENT OF COMPREHENSIVE INCOME
The basic financial statements should be read in conjunction with the attached notes.
*The comparative figures of the Group and the Company for the year 2020 have been revised due to the change of the accounting policy
of IAS 19 (see note 4.7.7.1)
Amounts in €
01.01-31.12.2021
Total Activities
01.01-31.12.2020*
Total Activities
01.01-31.12.2021
Total Activities
01.01-31.12.2020*
Total Activities
Revenue 4.10.1 40 8,19 8,98 7 39 3,37 5,38 4 167,902,356 163,893,474
Cost of sales 4.10.14 (26 4,2 99,6 92 ) (24 4,9 06,3 47 ) (106,879,558) (102,892,199)
Gross operating profit 14 3,89 9,29 5 14 8,46 9,038 61,022,798 61,001,275
Income from associates 4.10.2 1 1,81 2,50 1 1 1,50 2,93 3 0 0
Other operating income 91 6,93 4 1,03 1,07 5 1,763,069 1,782,480
Administrative expenses 4.10.14 (19 ,06 1,33 6 ) (18 ,25 6,70 3 ) (10,354,239) (9,360,393)
Distribution expenses 4.10.14 (90 ,74 3,20 2 ) (92 ,74 1,49 0 ) (46,264,466) (45,880,185)
Operating profit (loss) 46 ,8 24,19 2 5 0,00 4,85 3 6,167,162 7,543,177
Financial Income-Expenses 4.10.15 (89 0,98 5 ) (2,6 31,1 09 ) 21,934,046 11,595,893
Gain (loss) from revaluation/disposal of fixed assets 4.10.21 3,6 35,2 44 19 ,057 0 0
Earnings (loss) before taxes 4 9,56 8,45 1 4 7,39 2,801 28,101,208 19,139,070
Income tax 4.10.11 (8,17 5,09 6 ) (8,08 3,69 0 ) (1,032,988) (699,795)
Deferred tax 4.10.11 (79 6,22 7 ) 1 76,1 58 (127,520) (143,584)
Earnings (loss) after the deduction of tax (A) 40 ,5 97,12 8 3 9,48 5,26 9 26,940,700 18,295,690
Owners of the parent 40 ,2 92,2 16 38,6 97,7 55 26,940,700 18,295,690
Non controlling interest 30 4,91 2 78 7,51 3 0 0
Other Comprehensive Income:
Items not transferred to the statement of comprehensive
income:
Profit from revaluation of fixed assets 2,2 54,6 02 4 80 ,38 1 1,640,857 35,162
Deferred tax from revaluation of fixed assets (11 5,4 89 ) (8 3,10 5 ) 0 0
Share of associates' other comprehensive income 1 (7 9,91 5 ) 0 0
Profit/Loss from actuarial study (28 ,35 2 ) (1 05 ,29 9 ) (23,245) (75,194)
Actuarial study deferred tax 5,1 14 21 ,2 87 5,114 18,047
Effect from change in tax rate 7,0 71 0 7,071 0
Items which may be transferred in future to the statement of
comprehensive income:
Foreign exchange differences from subsidiaries abroad 2,6 44,6 84 (8 ,72 3,28 4 ) 0 0
Other total income after taxes (Β) 4,76 7,63 0 (8,48 9,93 5 ) 1,629,796 (21,986)
Total comprehensive income after taxes (A) + (B) 45 ,3 64,75 8 3 0,99 5,33 4 28,570,496 18,273,704
Owners of the parent 44 ,9 32,2 52 30,7 21,1 51 28,570,496 18,273,704
Non controlling interest 43 2,50 5 27 4,18 3 0 0
Earnings (loss) per share, which correspond to the parent's
shareholders for the period
4.10.17 0.60 14 0.57 66 0.4021 0.2726
Note
Group
Company
72
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.3 STATEMENT OF CHANGES IN GROUP’S EQUITY FOR THE PERIOD
The basic financial statements should be read in conjunction with the attached notes.
*The comparative figures of the Group and the Company for the year 2020 have been revised due to the change of the accounting policy
of IAS 19 (see note 4.7.7.1)
Amounts in €
Balance as at 1 January 2020 54,50 4,438 4 0,676,35 6 13,75 1,423 142 ,33 9,55 0 25 1,271,76 7 2,364,554 25 3,636,32 0
Adjustment due to change in accounting policy IAS 19 (200 ,06 9 ) 818 ,30 7 618 ,237 6 18,237
Adjusted balances as at 1 January 2020 5 4,504,438 40 ,676 ,35 6 13,55 1,354 143 ,157 ,85 7 25 1,890,00 4 2,364,55 4 25 4,254,55 8
Total comprehensive income for the period
Net profit for the period 38,6 97,755 38 ,697 ,755 787 ,513 3 9,485,26 9
Other comprehensive income
Foreign exchange differences (8,150 ,524 ) (8 ,15 0,524 ) (572,760 ) (8 ,723 ,284 )
Reserve due to actuarial study (84,01 2 ) (84,0 12 ) 0 (84,012 )
Revaluation of property 3 37,847 337 ,847 59,4 29 39 7,277
Change from associates (79,91 5 ) (7 9,915 ) 0 (79,91 5 )
Other comprehensive income 2 53,835 (8,230,43 9 ) (7,976,604 ) (513,330 ) (8,489 ,93 5 )
Other transactions registered in Equity
Total comprehensive income after taxes 253 ,83 5 30,46 7,316 3 0,721,151 2 74,183 30 ,995 ,334
Purchase of treasury shares (8 01,481 ) (801 ,48 1 ) 0 (8 01,481 )
Distributed dividends (1 1,214,03 4 ) (11,21 4,034 ) 0 (11,21 4,034 )
Formation of reserves 4,385,12 5 (4,38 5,125 ) 0 0 0
Other transactions registered in Equity 3,583 ,64 4 (15,59 9,15 9 ) (12,015,515 ) (12,01 5,51 5 )
Balance as at 31 December 2020 54,50 4,438 4 0,676,35 6 17,38 8,833 158 ,02 6,01 4 27 0,595,64 1 2,638,737 27 3,234,37 8
Balance as at 1 January 2021 54,50 4,438 4 0,676,35 6 17,38 8,833 158 ,02 6,01 4 27 0,595,64 1 2,638,737 27 3,234,37 8
Total comprehensive income for the period
Net profit for the period 40,2 92,216 40 ,292 ,216 304 ,912 4 0,597,12 8
Other comprehensive income
Foreign exchange differences 2,56 9,805 2 ,569 ,805 74,879 2,64 4,684
Reserve due to actuarial study (16,16 8 ) (16,1 68 ) (16,168 )
Revaluation of property 2,08 6,398 2,08 6,398 52 ,71 4 2,139,1 13
Change from associates 0 1 1 1
Other comprehensive income 2,070 ,23 1 2,569,80 6 4,640,036 1 27,593 4 ,767 ,63 0
Other transactions registered in Equity
Total comprehensive income after taxes 2,070 ,23 1 42,86 2,022 4 4,932,252 4 32,505 45 ,364 ,758
Purchase of treasury shares (6 29,121 ) (629 ,12 1 ) 0 (6 29,121 )
Distributed dividends (1 5,000,00 0 ) (15,00 0,000 ) 0 (15,00 0,000 )
Minority interests due to acquisition of interest in a subsidiary (1,975 ,40 9 ) (1 ,97 5,409 ) (999,417 ) (2 ,974 ,826 )
Formation of reserves 915 ,030 (915 ,03 0 ) 0 0 0
Change from subsidiaries (69 ) (1,000 ) (1,069 ) 0 (1,06 9 )
Other transactions registered in Equity 285 ,84 0 (17,89 1,43 9 ) (17,605,599 ) (999,417 ) (18 ,605 ,016 )
Balance as at 31 December 2021 54,50 4,438 4 0,676,35 6 19,74 4,904 182 ,99 6,59 6 29 7,922,29 3 2,071,826 29 9,994,11 9
Attributed to shareholders of the parent
Share Capital
Share Premium
Readjustments
Reserve and other
reservesl
Balance of profit /
losses
Total
Non controlling
interest
Total
73
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.4 STATEMENT OF CHANGES IN COMPANY’S EQUITY FOR THE PERIOD
The basic financial statements should be read in conjunction with the attached notes.
*The comparative figures of the Group and the Company for the year 2020 have been revised due to the change of the accounting policy
of IAS 19 (see note 4.7.7.1).
* Regarding the reserves from dividends, a reclassification has been made to the comparative figures of the Company for the fiscal year
2020 between the items "Reserves" and "Profit (loss) carried forward" (see note 4.8.23).
Amounts in €
Balance as at 1 January 2020 54,504,438 40,676,356 9,027,851 92,343,788 196,552,433
Adjustment due to change in accounting policy IAS 19 (200,069) 818,307 618,237
Adjusted balances as at 1 January 2020 54,504,438 40,676,356 8,827,782 93,162,095 197,170,670
Total comprehensive income for the period
Net profit for the period 18,295,690 18,295,690
Other comprehensive income
Reserve due to actuarial study (57,148) (57,148)
Revaluation of property 35,162 35,162
Other comprehensive income (21,986) (21,986)
Other transactions registered in Equity
Total comprehensive income after taxes (21,986) 18,295,690 18,273,704
Purchase of treasury shares (801,481) (801,481)
Formation of reserves 3,898,794 (3,898,794) 0
Distributed dividends (11,214,034) (11,214,034)
Other transactions registered in Equity 3,097,313 (15,112,828) (12,015,515)
Balance as at 31 December 2020 54,504,438 40,676,356 11,903,109 96,344,957 203,428,860
Balance as at 1 January 2021 54,504,438 40,676,356 11,903,109 96,344,957 203,428,860
Total comprehensive income for the period
Net profit for the period 26,940,700 26,940,700
Other comprehensive income
Reserve due to actuarial study (11,060) (11,060)
Revaluation of property 1,640,857 1,640,857
Other comprehensive income 1,629,796 1,629,796
Other transactions registered in Equity
Total comprehensive income after taxes 1,629,796 26,940,700 28,570,496
Purchase of treasury shares (629,121) (629,121)
Distributed dividends (15,000,000) (15,000,000)
Formation of reserves 914,339 (914,339) 0
Other transactions registered in Equity 285,218 (15,914,339) (15,629,121)
Balance as at 31 December 2021 54,504,438 40,676,356 13,818,124 107,371,318 216,370,235
Share Capital
Share Premium
Readjustments
Reserve and other
reservesl
Balance of profit /
losses
Total
Attributed to shareholders of the parent
74
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.5 STATEMENT OF CASH FLOWS
The basic financial statements should be read in conjunction with the attached notes.
*The comparative figures of the Group and the Company for the year 2020 have been revised due to the change of the accounting policy
of IAS 19 (see note 4.7.7.1).
01.01 - 31.12.2021 01.01 - 31.12.2020* 01.01 - 31.12.2021 01.01 - 31.12.2020*
Operating Activities
Earnings / (loss) before tax (continuing activities) 49 ,568 ,451 47,3 92,8 01 28,101,208 19,139,070
Plus/minus adjustments for:
Depreciation/Amortization 12 ,86 8,15 4 12 ,634 ,766 6,905,388 6,810,518
Revaluation of fixed assets (3 ,635 ,244 ) (1 9,05 7 ) 0 0
Foreign Exchange differences 41 0,75 3 1 ,23 7,33 1 15,005 (48,201)
Results (income, expenses, profits and losses) from investing activities (1 3,34 7,64 7 ) (1 2,75 3,36 7 ) (23,074,114) (13,059,173)
Interest expense and related expenses 1,7 15,1 32 2,09 5,80 7 1,162,845 1,484,179
Decrease / (increase) in inventories 9 ,73 3,44 7 (17 ,769 ,983 ) 7,616,139 (5,430,299)
Decrease / (increase) in receivables (1,4 46,6 60 ) 5,40 6,41 5 (56,870) 6,807,492
Decrease) / increase in liabilities (other than to banks) 2,3 94,7 71 (281 ,328 ) 254,505 (3,460,032)
Less:
Interest and related expenses paid (1,8 51,3 56 ) (2,13 4,19 9 ) (1,073,444) (1,471,978)
Tax paid (5,9 50,7 21 ) (3,58 9,36 9 ) (795,758) 0
Total inflows / (outflows) from operating activities (a) 50 ,45 9,08 0 3 2,21 9,81 8 19,054,905 10,771,577
Investing Activities
Acquisition/Sale of subsidiaries, associates, joint ventures and other investments (1 ,681 ,255 ) (1 ,86 1,03 5 ) (1,688,379) (9,346,016)
Purchase of tangible and intangible fixed assets (30 ,503 ,544 ) (2 8,20 1,29 9 ) (7,364,413) (16,044,429)
Proceeds from sale of tangible and intangible assets 12 7,09 8 1 75 ,57 1 63,523 1,727
Interest received 16 4,35 4 1 70 ,35 9 151,078 691,664
Dividends received 5,2 53,3 23 4,91 4,21 1 22,471,872 18,219,184
Proceeds from grants 1,2 63,0 51 3,22 9,35 0 0 0
Total inflows / (outflows) from investing activities (b) (25 ,37 6,97 3 ) (2 1,57 2,84 4 ) 13,633,682 (6,477,869)
Financing Activities
Proceeds from loans granted / assumed 33 ,917 ,651 40,2 41,3 94 22,000,000 40,000,000
Payment of borrowings (33 ,730 ,000 ) (4 8,94 4,35 5 ) (33,730,000) (45,000,000)
Payment of lease liabilities (4,44 9,08 3 ) (4,1 42,2 10 ) (1,721,858) (1,684,230)
(Payments) / Proceeds from (purchase) / sale of treasury shares (62 9,12 1 ) (8 01 ,4 81 ) (629,121) (801,481)
Dividends paid towards the shareholders of the parent (14 ,662 ,991 ) (1 0,94 9,15 3 ) (14,662,991) (10,949,153)
Total inflows / (outflows) from financing activities (c) (1 9,553 ,54 4 ) (24 ,59 5,80 4 ) (28,743,970) (18,434,863)
Net increase / (decrease) in cash and cash equivalents (a+b+c) 5,52 8,56 3 (1 3,94 8,83 0 ) 3,944,617 (14,141,155)
Cash and cash equivalents at beginning of period 40,59 5,34 1 5 4,84 7,40 5 16,137,744 30,278,899
Cash and cash equivalents of merged subsidiary 0 0 0 0
Effect from foreign exchange differences due to translation to euro (31 4,62 6 ) (3 03 ,2 34 ) 0 0
Cash and cash equivalents at the end of the period 45 ,80 9,27 8 4 0,59 5,34 1 20,082,361 16,137,744
Amounts in €
Group
Company
75
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.6 NOTES ON THE ANNUAL FINANCIAL STATEMENTS
4.6.1 The Company
Gr. Sarantis SA (the Company) has the legal form of a société anonyme and is the parent company of the Gr.
Sarantis SA Group (the Group).
The Company’s domicile is located at 26 Amarousiou – Chalandriou Street , Marousi Greece , The Company’s central
offices are also located at the same address.
The shares of Gr. Sarantis SA are listed on the main market of the Athens Exchange.
4.6.2 Group’s Structure
The Group’s companies, which are included in the consolidated financial statements, are the following:
During May 2021, the Company purchased more than 10% of the company IVYBRIDGE, as a result the Group now
owns 100% of the shares, as well as the indirect participations of ERGOPACK and HOZTORG.
Sarantis Ukraine LLC was liquidated in September 2021.
Company Domicile
Direct Participation
Percentage
Indirect
Participation
Percentage
Total
GR. SARANTIS S.A. GREECE PARENT
SARANTIS BULGARIA LTD BULGARIA 100.00% 0.00% 100.00%
SARANTIS ROMANIA S.A. ROMANIA 100.00% 0.00% 100.00%
SARANTIS BELGRADE D.O.O. SERBIA 100.00% 0.00% 100.00%
SARANTIS BANJA LUKA D.O.O. BOSNIA 0.00% 100.00% 100.00%
SARANTIS SKOPJE D.O.O. F.Y.R.O.M. 0.00% 100.00% 100.00%
SARANTIS POLSKA S.A. POLAND 100.00% 0.00% 100.00%
POLIPAK SP. Z.O.O. POLAND 0.00% 80.00% 80.00%
SARANTIS CZECH REPUBLIC sro CZECH REPUBLIC 100.00% 0.00% 100.00%
SARANTIS HUNGARY Kft. HUNGARY 100.00% 0.00% 100.00%
ZETAFIN LTD CYPRUS 100.00% 0.00% 100.00%
ZETA COSMETICS LTD CYPRUS 0.00% 100.00% 100.00%
WALDECK LTD CYPRUS 0.00% 100.00% 100.00%
ELODE FRANCE S.A.R.L FRANCE 100.00% 0.00% 100.00%
SARANTIS FRANCE S.A.R.L FRANCE 100.00% 0.00% 100.00%
SARANTIS PORTUGAL Lda PORTUGAL 100.00% 0.00% 100.00%
ASTRID T.M. A.S. CZECH REPUBLIC 100.00% 0.00% 100.00%
SARANTIS SLOVAKIA S.R.O SLOVAKIA 0.00% 100.00% 100.00%
IVYBRIDGE VENTURES LTD CYPRUS 100.00% 0.00% 100.00%
ERGOPACK LLC UKRAINE 0.00% 100.00% 100.00%
HOZTORG LLC RUSSIA 0.00% 100.00% 100.00%
ELCA COSMETICS LTD CYPRUS 0.00% 49.00% 49.00%
ESTEE LAUDER HELLAS S.A. GREECE 0.00% 49.00% 49.00%
ΕSTEE LAUDER BULGARIA EOOD BULGARIA 0.00% 49.00% 49.00%
ESTEE LAUDER ROMANIA S.A. ROMANIA 0.00% 49.00% 49.00%
GROUP STRUCTURE
Full Consolidation Method
Equity Consolidation Method
76
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Business activity
The Group is active in the production and trade of cosmetics, household products and parapharmaceutical items .
The Group’s basic activities have not changed since the previous year.
4.7 BASIS FOR THE PREPARATION OF THE INTERIM CONDENSED FINANCIAL STATEMENTS
4.7.1 Compliance with IFRS
The consolidated and individual financial statements of “GR. SARANTIS S.A.” are in accordance with the
International Financial Reporting Standards (IFRS), which have been issued by the International Accounting
Standards Board (IASB) as well as their interpretations, which have been issued by the International Financial
Reporting Interpretations Committee (IFRIC) of IASB that have been adopted by the European Union.
4.7.2 Basis for the preparation of the financial statements
The consolidated and parent financial statements of “GR. SARANTIS SA” have been compiled on the basis of the
“going concern” principle as well as on the basis of the historical cost principle, apart from the financial assets at fair
value through results, available for sale, which based on the requirements of IFRS are recorded at fair value.
4.7.3 Approval of financial statements
The annual consolidated financial statements have been approved by the Company’s Board of Directors on April
28
th
2022 and are subject to the approval of the Annual Shareholders General Meeting.
4.7.4 Covered period
The present annual consolidated financial statements include the financial statements of “GR. SARANTIS S.A.” and
its subsidiaries, which together are referred to as the Group, and cover the period from January 1
st
2021 to
December 31
st
2021.
4.7.5 Presentation of the financial statements
The present financial statements are presented in €, which is the Group’s operating currency, namely the currency
of the primary economic environment in which the parent Company operates.
4.7.6 Significant judgments and estimations by Management
The Group and the Company make estimates and assumptions related to the future. Therefore these estimates will
rarely be identical to actual events. Estimates and assumptions that involve a significant revaluation risk in the book
value of assets and liabilities in the subsequent period are reported below.
Estimates and assumptions are continually revalued and rely on past evidence and experience as adjusted in line
with current market conditions and other factors including expectations for future events that are considered
reasonable under current circumstances. The actual results may differ from the above estimates under different
assumptions or conditions. Significant accounting estimates and assumptions relating to future and other principal
sources of uncertainty at the date of preparation of the financial statements that present a significant risk of
causing material adjustments to the book values of assets and liabilities in the next financial year are as follows:
Impairment of goodwill
The Group and the Company assess whether there is impairment of goodwill at least on an annual basis. Therefore,
it is necessary to estimate the value in use of each cash-generating unit to which goodwill has been allocated.
Estimated value in use requires the Group and the Company to estimate the future cash flows of the cash-
77
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
generating units and to select the appropriate discount rate, based on which the present value of the future cash
flows will be determined. An analysis of impairment testing is included in note 4.10.3.
Estimation of the useful life of assets
The Group and the Company value the useful lives of tangible and intangible fixed assets. These estimates shall be
reviewed at least on a yearly basis taking into account new circumstances and market conditions.
Own used assets
With respect to land and plots, fair value is determined by approved independent appraisers based on international
rules and guidelines (e.g. RICS Valuation - Professional Standards 2017), taking into account comparative evidence
of recent or past real estate prices in the wider real estate area as well as its specific features such as location, size,
quality construction and maintenance status. These estimates are reassessed, particularly due to the COVID-19
pandemic, at regular intervals.
On 31/12/2021, a valuation was carried out by an approved appraiser for buildings and land plots in the Company
as well as the Company’s subsidiaries in Poland, Romania and Ukraine.
Investment property
The fair value determination is carried out by approved independent appraisers based on international rules and
guidelines (e.g. RICS Valuation - Professional Standards 2017), taking into account comparative evidence of recent
or past real estate prices in the wider real estate area as well as its specific features such as location, size, quality
construction and maintenance status. These estimates are reassessed on at least a yearly basis, or sooner due to
the COVID-19 pandemic.
On 31/12/2021, a valuation was carried out by an approved appraiser and according to specific guidelines and rules.
Assets with right of use
The Group's most significant estimates regarding right of use assets relate to: the determination of the existence of
leases in specific transactions, the terms of renewal of leases and the determination of the discount rate.
Provision for income tax
The income tax provision under IAS 12 "Income Taxes" relates to the amounts of taxes that are expected to be paid
to the tax authorities and includes the provision for current income tax and the provision for any additional taxes
that may arise as a result of control by the tax authorities. Group companies are subject to different income tax
laws and therefore significant management assessment is required to determine the Group's income tax income.
Income tax expense may differ from these estimates due to future changes in tax legislation, significant changes in
the laws of the countries in which the Group and the Company operate or unforeseen consequences from the final
determination of the tax liability of each fiscal year by the tax authorities .These changes may have a significant
impact on the Group's and Company's financial position. In the event that the resulting additional taxes are
different from the amounts initially recorded, these differences will affect income tax and deferred tax provisions in
the use that has been made to determine tax differences.
Deferred tax receivables
Deferred tax assets and liabilities are recognized in the event of temporary differences between the book value and
the tax base of assets and liabilities using the tax rates that have been enacted and are expected to apply in the
periods when those differences are expected to be eliminated. Deferred tax receivables are recognized for all
deductible temporary differences and tax losses transferred to the extent that it is probable that taxable profit will
be available and will be used against the deductible temporary differences and the transferred unused tax losses.
The Group and the Company take into account the existence of future taxable income and follow a continuous
conservative tax planning strategy in assessing the recovery of deferred tax receivables. Accounting estimates
related to the deferred tax receivables require the management to make assumptions about the timing of future
events, such as the probability of expected future taxable income and the available tax planning capabilities.
78
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Inventories
Inventories are valued at the lower of their acquisition cost and their net realizable value. Net realizable value is the
estimated selling price in the ordinary course of business of the Group companies less the estimated cost necessary
to make the sale. The management of the Group makes estimates for the calculation of any provision for
impairment of inventories, including, but not limited to, the maturity of inventories, their movement through use,
planning for the next period, and an estimate of the future selling price. Regarding the provision for impairment due
to obsolescence of for the FY 2021 see paragraph 4.10.4.
Provisions for expected credit losses from customer receivables and contract assets
The Group applies the simplified approach of IFRS 9 for the calculation of expected credit losses, according to which
the provision for impairment is always measured at the amount of the expected credit losses over the life of the
receivables from customers. At each balance sheet date, the historical percentages used and the estimates of the
future financial situation are updated.
The correlation between the historical data, the future financial situation and the expected credit losses includes
significant estimates. The amount of expected credit losses depends to a large extent on the changes in the
conditions and forecasts of the future financial situation. In addition, past experience and forecasts for the future
may not lead to conclusions indicative of the actual amount of customer default in the future. Additional analysis is
included in Note 4.10.5.
Liabilities in relation to post-employment benefits
The present value of the pension benefits of defined benefit plans is based on a number of factors identified using
actuarial methods and assumptions. Such actuarial assumptions are the discount rate used to calculate the cost of
provision and the rate of wage increases. Any changes in these assumptions will affect the balance of pension
liabilities. The Company determines the appropriate discount rate at the end of each financial year. This is defined
as the interest rate that should be used to determine the present value of future cash flows that are expected to be
required to meet pension plan liabilities. In determining the appropriate discount rate, the Company uses the
interest rate on low-risk corporate bonds that are converted into the currency in which the liability will be paid and
whose maturity date is close to that of the relevant pension liability. Additional analysis is included in note 4.10.23.
Business combinations
When acquiring a company, the fair value and useful life of the acquired tangible and intangible assets are
determined, where estimations are required. Future events could cause changes in the assumptions used by the
Group, which could have an impact on the Group's results and equity.
Contingent liabilities
The Group and the Company are involved in various disputes and legal proceedings. The Group and the Company
review the status of each significant case on a periodic basis and evaluate the potential economic risk, based on the
views of legal advisers. If the potential loss from any litigation or legal case is considered probable and the amount
can be estimated reliably, the Group and the Company calculate a provision for the estimated loss. Both the
determination of the probability and the determination of whether the risk can be reliably estimated require the
management's judgment to a significant degree. When additional information becomes available, the Group and
the Company reconsider the probable liability for outstanding litigation and legal affairs and may review the
estimates of the probability of an adverse effect and the related estimate of potential loss. Such revisions to the
estimates of the probable liability may have a material effect on the Group's and Company's financial position and
results.
Estimates on the impact of the COVID-19
The exponential COVID-19 spread and its declaration by WHO as a pandemic, is an unexpected global challenge
with an uncertain course.
79
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
The Group responded with flexibility and sensitivity, supported by its people, despite the continuous challenges
across the Group’s countries.
Sarantis Group, with an utmost sense of responsibility, closely monitors the recent developments and responds
appropriately at all levels, having prepared a specific coronavirus action plan, according to the evolution of the
pandemic across its geographical region.
Since the beginning of the COVID-19 outbreak, set out its key priorities:
• Ensuring the protection and safety of employees, customers, partners, consumers, as well as the ongoing
support of social groups in need, especially those at the forefront of the pandemic and caring for those
affected.
Since the beginning of 2020, when the virus started to spread worldwide, the Group enacted a special
management team and precautionary measures in line with each state’s government in which it operates and
in accordance with the official WHO’s guidelines.
In Greece, a special coronavirus protection policy was enacted which includes remote working, suspension of
both professional and personal travel, cancellation of both internal and external events, the headquarters’
decontamination and special health guidance. In the other countries of its operation, the Group aligned with
the precautionary measures taken by the authorities and implemented remote work and further specific
protection measures.
Since then, the Group maintains safety and hygiene measures across its facilities and adapts according to the
restrictive measures imposed by governments and relevant authorities in the countries of its operation, as the
pandemic is still evolving.
In addition, the Group's contribution to the society was intensified during the pandemic, focusing on
strengthening the health sector and supporting those in need in the Group's countries, through product and
monetary donations, as well as donations in-kind to hospitals, nursing homes, NGOs and other socially
vulnerable groups.
Moreover, during the quarantine period, we offered internally information on the pandemic and health & well-
being promotion services [eg. healthy nutrition habits within the quarantine, alternative proposals of leisure
entertainment like seminars, online theaters, online books, online tours, etc].
• Implementing contingency and business continuity plans in order to safeguard production plants and enable the
Group’s supply chain to remain fully operational in order to ensure the uninterrupted business continuity and
the continuous supply of high-demand products to the market.
As the needs of the consumers turned to specific product categories, the Group ensured its ability to respond to
increased demand for specific product categories, such as home care and personal hygiene products as well as
food supplements.
In addition, the Group entered into the production of antibacterial products, in the hand cleansing category, in
order to meet the high demand for these products.
• Maintenance of financial resilience and implementation of the Group’s strategic plan in order to support the
Group’s further growth.
Amidst this extraordinary environment, and as the Group’s priorities remained focused on the health & safety
of its employees and the society and its uninterrupted business continuity, the Group managed to maintain a
solid financial position and free cashflow generation, while executing its investment plan and creating further
value to all stakeholders.
During 2021, investments realized relate to new product development, upgrading machinery equipment,
expanding production capacity, acquisitions, while a dividend payment was done to the shareholders of the
Company.
The Group’s agility and ability to respond to unpredictable consumption trends, increased demand for certain
product categories, and deal with unprecedent challenges posed by the COVID-19 crisis, is reflected in the
Group’s robust 2021 performance which is characterized by increased sales, increase in earnings and strong
cashflow generation.
80
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
While the outlook for the global economy in 2022 remains uncertain, the management is encouraged by the
Group’s resilient performance and sets out the plans for the future behind its strategic priorities.
The Group's strong capital base, low net debt and strong cash flows, provide safety and the support necessary
to mitigate any potential negative impact, enabling it to continue as a going concern.
Estimates on the impact in Ukraine and Russia
The company GR. SARANTIS SA, operates in the markets of Ukraine and Russia through its 100% subsidiaries
ERGOPACK LLC and HOZTORG LLC respectively.
Ergopack LLC sales in 2021 represent 6.7% of the Group's total sales and Hoztorg LLC sales in 2021 represent
0.5% of the Group’s total sales. In addition, based on 2021, Ergopack LLC Earnings, Interest and Taxes (EBIT)
represent 1.0%, while Hoztorg LLC Earnings, Earnings and Interest (EBITs) represent -2.47% of total Earnings,
Taxes and Interest of the Group.
The Group has no significant suppliers in Ukraine or Russia.
Having the health and safety of its employees as a top priority, ERGOPACK’s production facility located in Kaniv,
from the first day of the invasion, temporarily suspended its operation. Since then the management has been
monitoring the situation closely and has been in frequent communication with the local team in Ukraine.
4.7.7 Significant Accounting Policies
The significant accounting policies that were adopted in the preparation of the financial statements of the Group
are presented in the note 4.8. The policies are applied on a consistent manner for all annual periods unless it is
stated otherwise.
Changes in accounting policies
a. New Accounting Standards, amendments of standards and Interpretations applied in the financial statements
IFRS
IASB Effective Date
IBOR reform and its effects on financial report – phase 2
1 January 2021
New and amended standards and Interpretations issued by the IASB did not impact the Group as they are either not
relevant to the Group’s activities or require accounting which is consistent with the Group’s current accounting
policies.
In addition to the above pronouncements, the IFRS Interpretations Committee has issued a number of agenda
decisions which set out the Interpretations Committee’s rationale on how the requirements of applicable IFRSs
should be applied.
Accounting Standard
Topic
IAS 19 Employee Benefits
Attributing Benefit to Periods of Service
The application of the agenda decision relating to IAS 19 resulted in changes in the accounting policies applied by
the Group. Details of the impact this amendment has had are given in note 4.7.7.1.
b. New standards, amendments to standards and interpretations issued not yet effective, nor early adopted
Mandatorily effective for
periods beginning on or after
IFRS 16 Leases: Covid-19-Related Rent Concessions beyond 30 June
2021
1 April 2021
81
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Mandatorily effective for
periods beginning on or after
Annual Improvements to IFRSs - 2018-2020 cycle
1 January 2022
IAS 16 Property, Plant and Equipment (Amendment – Proceeds before
Intended Use)
1 January 2022
IAS 37 Provisions, Contingent Liabilities and Contingent Assets
(Amendment – Onerous Contracts – Cost of Fulfilling a Contract)
1 January 2022
IFRS 3 Business Combinations (Amendment – Reference to the
Conceptual Framework)
1 January 2022
IFRS 17 Insurance Contracts
1 January 2023
IAS 1 Presentation of Financial Statements and IAS 8 Accounting
Policies, Changes in Accounting Estimates and Errors (Amendment –
Classification of Liabilities as Current or Non-current)
1 January 2023
IAS 1 Presentation of Financial Statements and IFRS Practice
Statement 2 (Amendment – Disclosure of Accounting Policies)
1 January 2023
IAS 8 Accounting policies, Changes in Accounting Estimates and Errors
(Amendment - Definition of Accounting Estimates)
1 January 2023
IAS 12 Income Taxes (Amendment - Deferred Tax related to Assets and
Liabilities arising from a Single Transaction)
1 January 2023
The Company and the Group are currently assessing the impact of these new accounting standards and
amendments. These standards and interpretations are not expected to have a material impact on the financial
statements once adopted.
4.7.7.1 Change in accounting policy according to IAS 19
The IFRS Interpretations Committee (IFRS IC) has issued, in May 2021, a tentative decision “Attributing Benefit to
Periods of Service (IAS 19 Employee Benefits)” where additional explanatory application guidance is provided on the
method used to attribute employee benefits on specific defined benefit schemes with similar characteristics of the
scheme contemplated in article 8 of legislation Ν.3198/1955 which refers to staff retirement indemnity.
The application guidance modifies the method currently used in Greece to apply the basic principles of IAS 19 and
as a result, entities which prepare IFRS financial statements are required to change their accounting policy
accordingly.
Until the issuance of the agenda decision, the Company applied IAS 19 by distributing the benefits defined by article
8 of L.3198 / 1955, L.2112 / 1920, and its amendment by L.4093 / 2012 in the period from the date of hiring to the
date of retirement of the employees.
The application of this final Decision in the attached financial statements, has as a result now the distribution of
benefits in the last 16 years until the date of retirement of employees following the scale of Law 4093/2012.
Any changes are presented as a change in accounting policy and applied retrospectively in the annual financial
statements for the year ending 31 December 2021, adjusting comparatives balances for 2020 and the opening
balance of reserves for amounts relating to previous periods, as if the new policy had always been applied.
The following tables present the impact of applying the practical expedient.
82
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
31.12.2019
Adjustment
IAS19
01.01.2020 31.12.2019
Adjustment
IAS19
01.01.2020
ASSETS
Non-current assets 162,023,115 0 162,023,115 163,278,521 0 163,278,521
Tangible fixed assets 67,215,999 67,215,999 38,363,658 38,363,658
Right of use 11,960,168 11,960,168 4,603,531 4,603,531
Investments in Property 1,032,612 1,032,612 31,857 31,857
Intangible assets 51,689,682 51,689,682 21,659,829 21,659,829
Company goodwill 7,898,422 7,898,422 1,100,000 1,100,000
Deferred tax assets 166,767 166,767 0 0
Investments in subsidiaries, associates 21,458,228 21,458,228 97,148,691 97,148,691
Other long-term receivables 601,237 601,237 370,955 370,955
Current assets 259,525,736 0 259,525,736 139,064,473 0 139,064,473
Inventories 94,553,285 94,553,285 43,828,151 43,828,151
Trade receivables 102,486,263 102,486,263 45,734,670 45,734,670
Other receivables 5,124,423 5,124,423 16,708,392 16,708,392
Cash & cash equivalents 54,847,405 54,847,405 30,278,899 30,278,899
Financial assets at fair value through profit and loss 2,514,360 2,514,360 2,514,360 2,514,360
Total Assets 421,548,851 0 421,548,851 302,342,993 0 302,342,993
Shareholders' EQUITY:
Share capital 54,504,438 54,504,438 54,504,438 54,504,438
Share premium account 40,676,356 40,676,356 40,676,356 40,676,356
Reserves 13,751,423 -200,069 13,551,353 137,114,752 -200,069 136,914,683
Profit (losses) carried forward 142,339,551 818,307 143,157,858 -35,743,113 818,307 -34,924,806
Total Shareholders' Equity 251,271,767 618,237 251,890,004 196,552,433 618,237 197,170,670
Non controlling interest: 2,364,554 2,364,554 0 0
Total Equity 253,636,320 618,237 254,254,558 196,552,433 618,237 197,170,670
LIABILITIES
Long-term liabilities 52,718,198 -618,237 52,099,961 42,100,833 -618,237 41,482,596
Loans 35,000,000 35,000,000 35,000,000 35,000,000
Lease liabilities 8,768,273 8,768,273 3,245,488 3,245,488
Deferred tax liabilities 6,025,422 195,233 6,220,655 1,717,043 195,233 1,912,276
Provisions for post employment employee benefits 2,230,142 -813,470 1,416,672 2,138,302 -813,470 1,324,832
Provisions - Long-term liabilities 694,362 694,362 0 0
Short-term liabilities 115,194,332 0 115,194,332 63,689,728 0 63,689,728
Suppliers 65,725,156 65,725,156 31,993,865 31,993,865
Other liabilities 9,998,637 9,998,637 7,784,885 7,784,885
Income taxes - other taxes payable 4,871,081 4,871,081 2,264,380 2,264,380
Loans 30,814,535 30,814,535 20,000,000 20,000,000
Lease liabilities 3,784,924 3,784,924 1,646,597 1,646,597
Accruals and deferred expenses 0 0 0 0
Total Equity & Liabilities 421,548,851 0 421,548,851 302,342,993 0 302,342,993
Amounts in €
Group
Company
83
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
31.12.2020
Adjustment
IAS19
Revised
31.12.2020
31.12.2020
Adjustment
IAS19
Revised
31.12.2020
ASSETS
Non-current assets 183,401,276 0 183,401,276 181,918,424 0 181,918,424
Tangible fixed assets 73,343,011 73,343,011 38,791,337 38,791,337
Right of use 14,622,686 14,622,686 5,694,264 5,694,264
Investments in Property 1,033,026 1,033,026 31,857 31,857
Intangible assets 60,381,322 60,381,322 31,436,048 31,436,048
Company goodwill 7,676,364 7,676,364 1,100,000 1,100,000
Deferred tax assets 287,378 287,378 0 0
Investments in subsidiaries, associates 25,649,283 25,649,283 104,633,691 104,633,691
Other long-term receivables 408,207 408,207 231,228 231,228
Current assets 251,973,162 0 251,973,162 119,516,988 0 119,516,988
Inventories 108,595,399 108,595,399 49,258,450 49,258,450
Trade receivables 90,951,747 90,951,747 45,583,265 45,583,265
Other receivables 6,921,480 6,921,480 3,628,334 3,628,334
Cash & cash equivalents 40,595,341 40,595,341 16,137,744 16,137,744
Financial assets at fair value through profit and loss 4,909,195 4,909,195 4,909,195 4,909,195
Total Assets 435,374,438 0 435,374,438 301,435,412 0 301,435,412
Shareholders' EQUITY:
Share capital 54,504,438 54,504,438 54,504,438 54,504,438
Share premium account 40,676,356 40,676,356 40,676,356 40,676,356
Reserves 17,463,998 -75,164 17,388,833 141,131,347 -75,164 141,056,183
Profit (losses) carried forward 157,236,105 789,909 158,026,014 -33,598,025 789,909 -32,808,116
Total Shareholders' Equity 269,880,896 714,745 270,595,641 202,714,115 714,745 203,428,860
Non controlling interest: 2,638,737 2,638,737 0 0
Total Equity 272,519,633 714,745 273,234,378 202,714,115 714,745 203,428,860
LIABILITIES
Long-term liabilities 70,635,943 -714,745 69,921,198 52,619,959 -714,745 51,905,214
Loans 48,607,624 48,607,624 44,000,000 44,000,000
Lease liabilities 10,595,268 10,595,268 3,974,856 3,974,856
Deferred tax liabilities 5,642,981 225,709 5,868,690 1,812,104 225,709 2,037,813
Provisions for post employment employee benefits 2,953,256 -940,454 2,012,802 2,825,911 -940,454 1,885,457
Provisions - Long-term liabilities 2,836,813 2,836,813 7,087 7,087
Short-term liabilities 92,218,863 0 92,218,863 46,101,339 0 46,101,339
Suppliers 64,800,497 64,800,497 29,662,690 29,662,690
Other liabilities 9,220,899 9,220,899 6,048,675 6,048,675
Income taxes - other taxes payable 5,745,599 5,745,599 2,499,440 2,499,440
Loans 7,805,390 7,805,390 6,000,000 6,000,000
Lease liabilities 4,646,478 4,646,478 1,890,534 1,890,534
Total Equity & Liabilities 435,374,438 0 435,374,438 301,435,412 0 301,435,412
Amounts in €
Group
Company
84
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.8 BASIC ACCOUNTING PRINCIPLES
4.8.1 Consolidation
4.8.1.1 Subsidiaries
The Group’s subsidiaries are legal entities on which the Group has the ability to set the operational and financial
policies, usually by participating in their share capital with a voting right over 50%. The existence and effect of
voting rights that may be exercised or converted are taken into account when establishing whether the Group
controls a legal entity.
Subsidiaries are consolidated with the full consolidation method from the date that control is transferred to the
Group and cease to be consolidated from the date that this control no longer exists.
The accounting method of the acquisition is used for the accounting entries of the subsidiaries’ acquisition by the
Group. The acquisition cost is calculated as the fair value of assets acquired, liabilities assumed or existing and
financial products issued during the transaction date. Expenses related to the acquisition are registered in the
results. The assets acquired, the liabilities and contingent liabilities assumed during a business combination are
initially recognized at fair value during the acquisition date. According to the case, the Group recognizes the value of
the minority interest either at fair value or as a percentage of the minority shareholders on the net assets acquired.
The difference between the acquisition cost, the proportion of the minority interest plus fair value during the
acquisition date of a previous participation and the Group’s share in the net assets acquired, is booked as goodwill.
If this value is less than the fair value of net assets acquired, the difference is registered directly in the results.
Transactions between group companies and unrealized profit related to transactions between Group companies are
eliminated. Unrealized losses are also eliminated. The accounting principles of subsidiaries have been amended
when necessary in order to conform to the accounting principles of the Group. In the financial statements of the
parent company, investments in subsidiaries are valued at acquisition cost minus any cumulative impairment loss.
01.01 - 31.12.2020
Adjustment
IAS 19
Revised
01.01 - 31.12.2020
01.01 - 31.12.2020
Adjustment
IAS 19
Revised
01.01 - 31.12.2020
Revenue 393,375,384 393,375,384 163,893,474 163,893,474
Cost of sales -244,906,347 -244,906,347 -102,892,199 -102,892,199
Gross operating profit 148,469,038 148,469,038 61,001,275 61,001,275
Income from associates 11,502,933 11,502,933 0 0
Other operating income 1,031,075 1,031,075 1,782,480 1,782,480
Administrative expenses -18,256,703 -18,256,703 -9,360,393 -9,360,393
Distribution expenses -92,685,518 -55,972 -92,741,490 -45,824,213 -55,972 -45,880,185
Operating profit (loss) 50,060,825 -55,972 50,004,853 7,599,149 -55,972 7,543,177
Financial income-expenses -2,649,716 18,607 -2,631,109 11,577,286 18,607 11,595,893
Gain (loss) from revaluation of fixed assets 19,057 19,057 0 0
Earnings (loss) before taxes 47,430,166 -37,365 47,392,801 19,176,435 -37,365 19,139,070
Income tax -8,083,690 -8,083,690 -699,795 -699,795
Deferred tax 167,190 8,968 176,158 -152,552 8,968 -143,584
Earnings (loss) after the deduction of tax (A) 39,513,666 -28,398 39,485,269 18,324,088 -28,398 18,295,690
Shareholders of the parent 38,726,153 -28,398 38,697,755 18,324,088 -28,398 18,295,690
Non controlling interest 787,513 787,513 0 0
Other Comprehensive Income:
Items not transferred to the statement of
comprehensive income:
108,444 124,905 233,349 -146,891 124,905 -21,986
Profit from revaluation of fixed assets 480,381 480,381 35,162 35,162
Deferred tax from revaluation of fixed assets -83,105 -83,105 0 0
Share of associates' other comprehensive income -79,915 -79,915 0 0
Profit/Loss from actuarial study -269,648 164,349 -105,299 -239,543 164,349 -75,194
Actuarial study deferred tax 60,731 -39,443 21,287 57,490 -39,443 18,047
Items which may be transferred in future to the
statement of comprehensive income:
-8,723,284 0 -8,723,284 0 0 0
Foreign exchange differences from subsidiaries abroad -8,723,284 -8,723,284 0 0
Other total income after taxes (Β) -8,614,840 124,905 -8,489,935 -146,891 124,905 -21,986
Total comprehensive income after taxes (A) + (B) 30,898,827 96,508 30,995,334 18,177,197 96,508 18,273,704
Owners of the parent 30,624,644 96,508 30,721,151 18,177,197 96,508 18,273,704
Non controlling interest 274,183 274,183 0 0
Earnings (loss) per share, which correspond to the
parent's shareholders for the period
0.5770 0.5766 0.2730 0.2726
Group
Company
Amounts in €
85
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.8.1.2 Investments in associate companies
Associates are companies on which the Group can exert significant influence but which do not fulfill the conditions
to be classified as subsidiaries or joint ventures. Significant influence is the authority to participate in decisions that
regard decisions for the issuer’s financial and business policies, but not control on such polices. Significant influence
is usually implied when the group holds a percentage between 20% and 50% of the voting rights through ownership
of shares or another type of agreement.
Investments in associates are initially recognized at cost and are subsequently valued using the equity method for
consolidation purposes. Goodwill is included in the book cost of the investment and is examined for impairment as
part of the investment.
When an economic unit of the group transacts with a group’s associate company, any possible intra-company profit
and losses are written-off by the participation percentage of the group in the relevant associate company.
All subsequent changes of the participation percentage in the associate company’s net position are recognized in
book value of the group’s investment.
Changes that arise from the profit or losses of associates are registered in the consolidated profit and loss account.
Changes that have been directly recognized in equity of the associates are recognized in the group’s consolidated
equity.
Any changes recognized directly in equity that are not related to a result, such as the distribution of dividends or
other transactions with shareholders of the associate, are registered in the book value of the participation. No
effect in the net result or equity is recognized in the context of such transactions.
When the share of losses in as associate for the group is equal or over the book value of the investment, including
any other secured receivables, the group does not recognize further losses, unless it has been burdened with
commitments or has proceeded with payments on behalf of the associate.
The accounting policies of associates are amended when deemed necessary in order to render such consistent with
the policies adopted by the group.
In the parent’s financial statements, investments in associates are valued, according to IAS 28, at acquisition cost
minus any accumulated impairment loss.
4.8.1.3 Joint agreements
Investments in joint arrangements are classified as joint activities or joint ventures and their classification depends
on the contractual rights and obligations of each investor.
The Group assessed the nature of the joint arrangements’ investments and decided that they form joint ventures.
The joint ventures are accounted based on equity method. Based on the equity method, participations in joint
ventures are recognized initially at the acquisition cost and adjusted to the Group's share on operating profit (or
loss) and on the total other joint venture's profits.
Where the Group's share of the losses of a joint venture is equal or greater than that of the participation in the joint
venture, the Group does not recognize any further losses unless it has incurred obligations or has made payments
for the joint venture's account.
Non-realized profits from transactions among the Group and the joint-ventures are eliminated according to the
participation share of the Group in the joint ventures. Non-realized losses are also eliminated, unless there is
evidence from the transaction for the impairment of the assets that have been transferred. In the Company's
separate financial statements, the participations in joint ventures appear in the acquisition cost minus any
impairment losses, if any.
86
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.8.2 Foreign currency translation
Transactions in foreign currency are translated to the operating currency using exchange rates in effect during the
date of the transactions.
Profit and losses from foreign exchange difference, which arise from the settlement of such transactions during the
period and from the conversion of monetary items expressed in foreign currency with the effective exchange rates
during the balance sheet date, are registered in the results.
Foreign exchange differences from non-monetary items valued at fair value, are considered as part of the fair value
and thus are registered accordingly as fair value differences.
Items of the financial statements of the group’s companies are calculated based on the currency of the economic
environment in the country where each group company operates.
The individual financial statements of companies participating in the consolidation, and which are initially presented
in a currency different than the group’s presentation currency, have been converted to €. The assets and liabilities
have been converted to € according to the closing exchange rate during the balance sheet date. Income and
expenses have been converted to the group’s presentation currency at average exchange rates of each reported
period. Any differences that arise from this procedure have been transferred to an equity reserve.
4.8.3 Financial information by segment
The company’s Board of Directors is the main decision maker and controls the internal financial reporting in order
to assess the company’s and Group’s performance and make decisions relating to the allocation of resources.
The Management has defined activity sectors based on such internal reports according to IFRS 8. Operating
segments are defined as the segments in which the Group operates and on which the Group’s internal information
system is based.
For the breakdown per operating segment, the following have been taken into account:
- The nature of products and services.
- The quantitative limits defined by IFRS 8.
The Group offers information per geographic segment as additional information to readers of the financial
statements.
4.8.4 Goodwill
Goodwill which is acquired during a business combination, is initially recognized at cost, which is the excess cost of
the combination, over the group’s proportion in the fair value of net assets acquired.
Following the initial recognition, goodwill is calculated at cost minus any accumulated impairment losses. The group
examines goodwill for impairment at least on an annual basis. Impairment losses that are registered for goodwill
are not reversed in subsequent periods.
4.8.5 Intangible assets
Intangible assets of the group are initially recognized at acquisition cost. Following the initial recognition, intangible
assets are calculated at cost minus accumulated amortization and any impairment loss that may have emerged.
The useful economic life and depreciation method are reviewed at least at the end of each financial period. If the
estimated useful life or expected burn-up rate of future economic benefits incorporated in another intangible asset
have changed, the changes are accounted for as changes in accounting estimations.
87
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
The amortization of the intangible fixed assets is calculated with the straight line method along their economic life,
depending on the utilization time of the intangible assets and varies between 3 and 50 years.
Intangible assets mainly include the acquired software used in production or management as well as trademarks
and other rights.
4.8.6 Tangible assets
Tangible assets are recognized at the acquisition cost including all expenses directly attributed to the acquisition of
the assets. Subsequent expenses are registered as in increase of the tangible assets’ book value or as a separate
fixed asset, only to the extent where such expenses increase the future economic benefits expected to arise from
the use of the fixed assets, and the cost of such may be reliably calculated. The cost of repairs and maintenance is
registered in the results of the period where such are realized.
Self-produced tangible assets constitute and addition to the acquisition cost of tangible assets at values that include
the direct payroll cost for staff that participates in the construction, the cost of used materials and other general
costs.
Land-plots and buildings are presented in the financial statements at readjusted values minus accumulated
depreciations.
The fair value of land-plots and buildings is defined periodically by an independent evaluator. These revaluations are
performed at regular intervals to ensure that the carrying amount does not differ materially from that determined
using the fair value at the end of the reporting period. When the book values of the plots and buildings exceed their
fair value, the difference (impairment) is initially recorded in a reduction of the formed reserve of fair value (if it
exists for the respective fixed asset) which is reflected in the equity accounts. Any impairment loss arising in
addition to the accumulated provision for that asset is recognized immediately as an expense in the income
statement.
On 31/12/2021, a valuation was carried out by an approved appraiser for buildings and land plots in the Company
as well as the Company’s subsidiaries in Poland, Romania and Ukraine.
The mechanical equipment and other tangible fixed assets are presented at acquisition cost minus accumulated
depreciations and possible impairment losses.
The depreciations of tangible fixed assets are calculated with the straight line method during their useful life, which
is as follows:
Buildings
from 10 to 60 years
Mechanical Equipment
from 8 to 10 years
Vehicles
from 4 to 10 years
Other Equipment
from 3 to 20 years
The residual values and useful economic lives of tangible fixed assets are subject to reassessment at each balance
sheet date. When the residuals values, the expected useful life or expected burn-up rate of future economic
benefits incorporated in an asset have changed, the changes are accounted for as changes in accounting
estimations.
Upon sale of the tangible fixed assets, any difference between the proceeds and the book value are booked as
profit or loss to the results.
The book value of tangible fixed assets is examined for impairment when there are indications, namely events or
changes in circumstances, that the book value may not be recoverable. If there is such an indication and the book
value exceeds the estimated recoverable amount, the assets or cash flow creation units are impaired to the
recoverable amount. The recoverable amount of the mechanical equipment and other equipment is the largest
between their net sales price and their value in use. For the calculation of the value in use, the expected future cash
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
flows are discounted to present value using a pre-tax discount rate that reflects the market’s current expectations
for the time value of money and related risks as regards to the asset. When the book values of tangible assets
exceed their recoverable value, the difference (impairment) is recognized directly as an expense in the profit and
loss account.
4.8.7 Investments in Property
The investments in property include privately owned land plots and buildings, which are possessed by the Company
with the objective to receive lease payments or / and to generate capital gains. The investments in property are
initially recorded at their acquisition cost, which also includes the transaction costs. In a following stage, the
investments in property are recorded at fair value, with any differences being recognized in the profit and loss
account.
On 31/12/2021, a valuation was carried out by an approved appraiser and according to specific guidelines and rules.
4.8.8 Impairment of non-financial assets
Assets with an indefinite useful economic life are not depreciated and are subject to impairment reviews annually
and also when several events or changes in conditions indicate that the book value may not be recoverable. The
assets depreciated are subject to impairment review when there are indications that their book value will not be
recovered. Impairment losses are recognized for the amount for which the book value of the fixed asset exceeds its
recoverable value. The recoverable value is the largest between fair value less the relevant cost required for the
sale and value in use (present value of cash flows expected to be generated according to management’s estimation
on the future financial and operating conditions). To estimate impairment losses, assets are classified in the
smallest possible cash flow generating units. Non-financial assets apart from goodwill that have suffered
impairment are re-assessed for possible reversal of the impairment during each balance sheet date.
4.8.9 Inventories
The cost of inventories is defined using the weighted average method, and includes all the expenses realized in
order to render inventories to their current position and condition and which are directly attributable to the
production process, as well as part of general expenses related to the production. During the Balance Sheet date,
inventories are presented at the lowest price between acquisition cost and net realizable value.
Net realizable value is the estimated sales price during the normal conduct of the company’s activities, minus the
estimated cost necessary to realize the sale.
4.8.10 Financial instruments
Financial assets are classified at initial recognition and subsequently measured at amortized cost, at fair value
through other comprehensive income and fair value through profit or loss.
The classification of financial assets at initial recognition depends on the contractual characteristics of the cash
flows of the financial asset and the business model of the Company and the Group for their management. With the
exception of trade receivables that do not contain a significant financial component, the Company and the Group
initially measure financial assets at their fair value plus, in the case of a financial asset not valued through profit or
loss, transaction costs. Receivables from customers that do not have a significant financial component are valued at
the transaction price determined in accordance with IFRS 15.
In order for a financial asset to be classified and measured at amortized cost or at fair value through total income,
cash flows that are "exclusive capital and interest payments (SPPIs)" of the original capital must be obtained.
The Company's and Group's business model for managing financial assets refers to the way in which it manages its
financial capabilities to generate cash flows. The business model determines whether cash flows arise from the
collection of contractual cash flows, the sale of financial assets, or both.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
The purchase or sale of financial assets that require the delivery of assets within a timeframe specified by a
regulation or a contract on the market is recognized on the trade date meaning on the date on which the Company
commits to purchase or sell the asset.
For the purpose of subsequent measurement, financial assets are classified in the following categories:
(a) Financial assets measured at fair value through profit or loss
(b) Financial assets at amortized cost
(c) Financial assets measured at fair value through total income without recycling of cumulative gains and losses on
de-recognition
(a) Financial assets that are measured at fair value through profit or loss
Financial assets valued at fair value through profit or loss include financial assets held for trading, financial assets
designated at initial recognition at fair value through profit or loss, or financial assets that are required to be
measured at fair value. Financial assets are classified as held for trading if they are acquired for sale or repurchase in
the near future. Derivatives, including embedded derivatives, are also classified as held for trading, unless defined
as effective hedging instruments. Financial assets with cash flows that are not only capital and interest payments
are classified and measured at fair value through profit or loss, irrespective of the business model.
(b) Financial assets at amortized cost
The Company and the Group measure financial assets at amortized cost if both of the following conditions are met:
(a) the financial asset is retained in a business model in order to hold financial assets for the collection of
contractual cash flows; and (b) the contractual clauses of the financial asset generate cash flows on specific dates
that consist only of capital and interest payments on the balance of the original capital.
Gains and losses are recognized in profit or loss when the asset is derecognized, modified or impaired.
(c) Financial assets classified at fair value through total income
Upon initial recognition, the Company and the Group may choose to irrevocably classify its equity investments as
equity instruments at fair value through total income when they meet the definition of equity in accordance with
IAS 32 Financial Instruments: Presentation and not held for trading purposes. Classification is determined by
financial instrument.
Profits and losses from these financial assets are never recycled to profits or losses. Dividends are recognized in the
income statement when the payment entitlement has been established, unless the Company benefits from such
income as a recovery of part of the cost of the financial asset, so that the gains are recognized in the statement of
comprehensive income. Equity instruments measured at fair value through total income are not subject to an
impairment test.
A financial asset is derecognized primarily when:
• The rights to receive cash flows from the asset have expired, or
• The Company and the Group have transferred their rights to receive cash flows from the asset or
have undertaken to fully pay the cash flows received without significant delay to a third party under a
pass-through agreement and either (a) the Company and the Group have transferred substantially all
the risks and rewards of the asset or (b) the Company and the Group have not transferred or held
substantially all the risks and estimates of the asset but have transferred the control of the asset.
When the Company and the Group have transferred the rights to receive cash flows from an asset or have entered
into a transfer agreement, they assess whether and to what extent they own the risks and rewards of ownership.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
When the Company and the Group have not transferred or hold substantially all the risks and rewards of the asset
and have not transferred ownership of the asset, they continue to recognize the transferred asset to the extent of
its continued involvement. In this case, the Company and the Group also recognize any relevant obligation. The
transferred asset and the related liability are valued on the basis of the rights and obligations that the Company and
the Group hold.
Further disclosures about impairment of financial assets are also provided in the following notes:
• Disclosure of important assumptions
• Customers' receivables
4.8.11 Offsetting of financial instruments
Financial assets and liabilities are offset and presented in the statement of financial position in the statement of
financial position if there is a legal right to offset the amounts recognized and, in addition, if it is intended to clear
the net amount, i.e. fixed assets and liabilities to be offset at the same time.
4.8.12 Trade receivables
Receivables from customers are recognized when there is an unconditional right to receive the consideration for the
client's contractual obligations to the entity. A contract asset is recognized when the Company and the Group have
satisfied their obligations to the customer before the customer pays or before the payment is due, for example
when the goods or services are transferred to the customer prior to the Company's right and also the Group’s right
to issue an invoice. Receivables from customers on credit are initially recognized at their fair value, which
corresponds to the nominal value, net of impairment losses.
Regarding non-doubtful trade receivables, the Company and the Group apply the simplified approach of IFRS 9 and
calculate the expected credit losses over the life of the receivables. For this purpose, the Group uses a maturity
forecast table based on the historical data for credit losses, adjusted for future factors in relation to borrowers and
the economic environment. The bad debts are evaluated one by one for the calculation of the relevant provision.
The amount of the provision is recognized in the statement of comprehensive income.
4.8.13 Cash & cash equivalents
Cash & cash equivalents include cash in banks and in hand, as well as short-term highly liquid investments such as
repos and bank deposits with a maturity less than three months.
4.8.14 Share capital
The share capital includes the Company’s common shares. Direct expenses realized for the issue of shares are
presented after the deduction of the relevant income tax, and reduce the product of the issue.
4.8.15 Loans
Loans are initially registered at fair value, minus any direct expenses realized for the transaction. Subsequently
loans are valued at net book cost. Any difference between the received amount (net of relevant expenses) and the
repayment value is recognized in the results during the borrowing term according to the effective interest rate
method. Loans are characterized as short-term liabilities unless the Group has the final right to postpone payment
for at least 12 months following the balance sheet date.
4.8.16 Leases
Leases of fixed assets where the Group essentially maintains all the risks and benefits of ownership are classified as
financial leases. Financial leases are capitalized at the inception of the lease at the lower value between the fair
value of the fixed asset and the present value of minimum leases. Each lease payment is allocated between the
liability and the financial expenses so as to achieve a fixed interest rate on the balance of the liability. The
corresponding liabilities from leases, net of financial expenses, are presented in liabilities. The part of the lease’s
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
financing cost that refers to interest, is recognized in the results throughout the lease period in a way that assures a
fixed rate on the balance of the liability during each period. Fixed assets acquired with financial leasing are
depreciated within the smallest period between the useful life of the assets and the duration of their lease. Leases
where essentially all the risks and benefits of ownership are maintained by the lessor, are classified as operating
leases. The lease payments of an operating lease (net of any incentives offered by the lessor) are registered
proportionately in the results throughout the duration of the lease period.
4.8.17 Employee benefit
4.8.17.1 Short-term benefits
Short-term employee benefits (apart from employment termination benefits) in money and in kind, are recognized
as an expense on an accrual basis.
4.8.17.2 Liabilities due to retirement
The group has both defined benefits and defined contribution schemes, according to the conditions and practices in
place in the countries where the Group is active.
The defined benefits schemes define a specific amount as pension payment / benefit, which an employee will
receive at in his / her retirement. Typically, this depends on a variety of factors such as age, length of service and
compensation.
Defined benefits scheme is defined a pension plan where within its framework the Group makes fixed contributions
and there is no legal or monetary liability to pay additional contributions in the event that the Fund's merits are
insufficient to compensate for the employees’ benefits for the current period and the previous periods.
The liability regarding the defined benefit schemes that is recognized in the financial position statement is the
present value of the commitment for the defined benefit at the date of the preparation of the financial statements,
less the fair value of the assets of the scheme (if any). The commitment of the defined benefit is calculated annually
from an independent actuary using the recommended credit unit's method. The present value of the commitment
for the defined benefit is calculated by the discount of future cash outflows using the interest rates of the high-
rated treasury bills, which are denominated in the currency at which the benefit will be paid and which have a
duration that relates to the duration of the related retirement obligation.
The Group recognizes in income statement the current cost of service and net financial income or expense.
Revaluations, which are consisted of actuary profits or losses, are recognized immediately in the financial position
statement with the relative debit or credit of the retained earnings through the other comprehensive income of the
period realized. The reassessments are not reclassified at the results of subsequent periods.
For defined benefits schemes the Group pays contributions to the social security funds of the State at obligatory
base. The Group does not have any other obligation to pay if it has paid its contributions. The contributions are
recognized as personnel expenses when due. Contributions that are pre-paid are recognized as an asset if there is a
chance to reimburse the money or to set-off with new obligations.
4.8.17.3 Share based payments
The Group has a stock option plan in effect. The total amount of the expense during the maturity period of the
option is defined according to the fair value of the plan during the period when the option is provided. The
conditions not related to the purchase are included in the assumptions for the definition of the number of options
expected to be exercised. At each balance sheet date, the Group revises its estimations on the number of stock
options expected to be exercised. It recognizes the effect of the revision of initial estimations in the results with a
corresponding adjustment of equity.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.8.18 Recognition of income
Revenue is defined as the amount that an entity expects to be entitled to receive in exchange for the goods or
services it has transferred to a client, except for amounts collected on behalf of third parties (value added tax, other
sales tax). Variable amounts are included in the consideration and are calculated using either the "expected value"
method or the "most likely amount" method.
The Group recognizes revenue when (or as it) meets the obligation to execute a contract by transferring the goods
or services promised to the customer. The customer acquires control of the good or service if the customer is able
to direct the use and derive virtually all the economic benefits from that good or service. Control is passed over a
period or at a specific time.
Revenue from the sale of goods is recognized when the control of the good is transferred to the customer, usually
upon delivery, and there is no unfulfilled obligation that could affect the acceptance of the good by the customer.
The Group is active in the production and distribution of consumer products. The main products of the Company
and the Group are perfumes, personal care products, sunscreen products, hair care products as well as food
packaging products, plastic garbage bags and household cleaning products. Net proceeds from sales are measured
at the fair value of the consideration received or receivable and are declared net of discounts on sales and the
consideration paid to customers. These are, in particular, incentives to promote sales which are recorded as
deductions from sales.
The customer receivable is recognized when there is an unconditional right for the entity to receive the
consideration for the contractual obligations performed to the customer. A contract asset is recognized when the
Company and the Group have satisfied their obligations to the customer before the customer pays or before the
payment is due, for example when the goods or services are transferred to the customer prior to the Company's
right and Group to issue an invoice.
The contractual obligation is recognized when the Company and the Group receive a consideration from the client
(prepayment) or when it retains the right to a price that is unconditional (deferred income) before performing the
obligations of the contract and the transfer of the goods or services. The contractual obligation is de-recognized
when the contractual obligations are executed and the income is recorded in the income statement.
Classification of revenue is as follows:
i. Sales of goods
Sales of goods are recognized when the Group delivers the property and risks associated with the
ownership of the goods to the customers, the goods are accepted by them and the collection of the
receivable is reasonably assured.
ii. Interest income
Interest income is recognized on a time proportion basis using the effective interest rate.
iii. Rental income
Receivables from rentals are recognized in the income statement on the basis of the rental amount
corresponding to the period under review.
iv. Income from Dividends
Dividends are recognized as income when the right to receive the dividend is established.
4.8.19 Government grants
The Group recognizes the government grants that cumulatively satisfy the following criteria:
➢ There is reasonable certainty that the company has complied or will comply to the conditions of
the grant and
➢ It is probable that the amount of the grant will be received.
Government grants that relate to acquisition of fixed assets are presented as a deferred income in liabilities and
recognized in the results during the useful life of the fixed assets such refer to.
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.8.20 Contingent Liabilities and Provisions
Provisions are booked when the Group has a present, legal or constructive obligation as a result of past events, it is
probable that an outflow of resources will be required to settle the obligation and the amount can be reliably
measured. The provisions are reviewed at every balance sheet date and are adjusted so as to reflect the present
value of the expense deemed necessary to settle the liability. Contingent liabilities are not recorded in the financial
statements but are disclosed, except if the probability of an outflow of resources that embody economic benefits is
very small. Contingent assets are not recorded in the financial statements but are disclosed if the inflow of
economic benefits is probable.
4.8.21 Dividend distribution
Dividend distribution to shareholders of the parent from the period’s profit, are recognized as a liability in the
individual and consolidated financial statements on the date when the distribution is approved by the General
Shareholders’ Meeting.
4.8.22 Current and deferred taxation
The period’s charge with income tax consists of current taxes and deferred taxes. Tax is recognized in the
“Statement of comprehensive income”, unless it is related to amounts recognized directly in “Equity”. In the latter
case tax is also recognized in Equity.
Income tax on earnings, is calculated based on the tax law in effect during the balance sheet date in countries
where the Group’s activities are carried out and is recognized as an expense during the period when earnings are
gained. Management periodically reviews cases where the relevant tax law needs clarifications when interpreted.
When deemed necessary provisions are made on the amounts expected to be paid to the tax authorities.
Deferred income tax is calculated according to the liability method which results from the temporary differences
between the book value of assets or liabilities in the financial statements with their respective tax base. Deferred
income tax is not recorded if such results from the initial recognition of an asset or liability in a transaction, apart
from a business combination, which did not affect the accounting or the tax profit or loss when realized. Deferred
tax is defined according to the tax rates and laws in effect during the balance sheet date and those expected to be
effective when the deferred tax assets will be realized or the deferred tax liabilities repaid.
Deferred tax assets are recognized to the extent that there will be future taxable profit for the use of the temporary
difference that creates the deferred tax asset. Deferred tax assets and liabilities are offset only when the law
permits the offsetting of tax assets and liabilities and given that the deferred tax assets and liabilities arise from the
same tax authority on one entity that is taxed or on different entities when the settlement is intended to take place
through offsetting.
4.8.23 Reclassification of items
During the current period, the Group reclassified items for better information. As a result of this reclassification,
some comparative data of the company and the consolidated statement of financial position and comprehensive
income respectively of the previous year were adjusted to cover the changes in the presentation of the current
year.
More specifically, in the Statement of Financial Position, the part from the item Reserves that concerns intragroup
dividends, in the current year is shown in the Item Retained Earnings. Respectively, in the Statement of Changes in
Equity, the intragroup dividends are included in the fiscal year’s earnings.
4.9 FINANCIAL RISK MANAGEMENT
4.9.1 Capital Management
The Group’s objectives as regards to management of capital, is to reassure the ability for the Group’s smooth
operation, aiming at providing satisfactory returns to shareholders and to maintain an ideal capital structure by
reducing thus the cost of capital. The Group monitors its capital based on the leverage ratio. The leverage ratio is
calculated by dividing net debt with total employed capital. Net debt is calculated as “Total debt” (including “short-
term and long-term debt” as presented in the Statement of Financial Position) minus “Cash and cash equivalents”,
“Financial assets available for sale” and “financial assets at fair value through the profit and loss”. The calculation of
net debt does not include the purchase of treasury shares. Total employed capital is calculated as “Shareholders’
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Equity” as presented in the statement of financial position plus net debt. The leverage ratio on 31 December 2021
and 31 of December 2020 respectively was as follows:
4.9.2 Financial Instruments
The Group’s financial instruments mainly consist of bank deposits, bank overdrafts, trade debtors and creditors,
investments in securities, other liabilities.
The financial assets and liabilities during the date of the financial statements can be classified as follows:
4.9.3 Definition of fair values
The following table presents the fixed assets measured at fair value, according to the measurement method. The
different categories are as follows:
• Published market prices (without amendment or adjustment) for the financial assets traded in active money
markets (level 1)
• Measurement or valuation techniques based directly on publicized market prices or calculated indirectly from
publicized market prices for similar instruments (level 2).
Amounts in €
31.12.2021 31.12.2020
Total Debt 56,539,117 56,413,014
Minus
Cash & cash equivalents (45,809,278) (40,595,341)
Financial assets at fair value through profit and loss (4,771,648) (4,909,195)
Net Debt 5,958,191 10,908,477
Shareholders' Equity 297,922,293 270,595,641
Total Employed Capital 303,880,484 281,504,118
Leverage Ratio 1.96% 3.88%
Group
Amounts in €
31.12.2021 31.12.2020 31.12.2021 31.12.2020
Non-current assets
Financial assets available for sale
Other long-term receivables 363,926 408,207 262,288 231,228
Total 363,926 408,207 262,288 231,228
Current assets
Trade receivables 91,911,217 90,951,747 43,372,075 45,583,265
Other receivables 8,166,547 6,921,480 5,357,115 3,628,334
Cash & cash equivalents 45,809,278 40,595,341 20,082,361 16,137,744
Financial assets at fair value through profit and loss 4,771,648 4,909,195 4,771,648 4,909,195
Total 150,658,690 143,377,763 73,583,198 70,258,538
Long-term Liabilities
Loans 43,973,729 48,607,624 30,385,000 44,000,000
Lease liabilities 7,324,835 10,595,268 3,096,925 3,974,856
Provisions and other long-term liabilities 3,900,128 2,836,813 0 7,087
Total 55,198,692 62,039,705 33,481,925 47,981,943
Short-term Liabilities
Loans 12,565,387 7,805,390 7,885,000 6,000,000
Lease liabilities 4,455,850 4,646,478 1,778,839 1,890,534
Suppliers 68,353,645 64,800,497 29,594,583 29,662,690
Other liabilities 9,282,427 9,220,899 7,166,001 6,048,675
Total 94,657,310 86,473,264 46,424,424 43,601,899
Group
Company
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
• Measurement or valuation techniques that are not based on available information from current transactions in
active money markets (level 3).
The financial assets measured at fair value during 31 December 2021, are as follows:
The fair value of own- use tangible fixed assets and investments in property is carried out by approved appraiser
based on international rules and standards, taking into account comparative data of recent or past realized real
estate prices in the wider real estate area if they exist or with the method of amortized replacement cost (DRC) as
well as its special characteristics such as location, size, construction quality and maintenance condition.
The fair value of fixed assets traded on active markets (i.e. derivatives, equity, bonds, mutual funds), is defined
based on the published prices in effect during the end of the reporting period. A market is considered “Active”
when there are available and revised prices in frequent intervals that are published by a stock exchange, broker,
sector, rating agency or regulatory authority. Such financial instruments are included in level 1.
The fair value of fixed assets not traded on active markets (i.e. over the counter derivative contracts) is defined
using valuation techniques that are based primarily on available information for transactions carried out in active
markets, while they use the least possible estimations by the entity. Such financial instruments are included in level
2.
If the valuation techniques are not based on available market information, then the financial instruments are
included in level 3.
4.9.4 Foreign exchange risk
The Group operates in an environment characterized by relatively high foreign exchange risk given that almost 65%
of the Group’s total turnover comes from Eastern European countries where the volatility of foreign exchange rates
has recently been high. The Management of the Group is constantly examining the currencies’ fluctuations, but at
the moment has not taken any measures against the foreign exchange risk due to the lack of appropriate hedging
tools.
On 31 December 2020, if the euro had depreciated by 5% against the following currencies, with all other variables
remaining constant, the effect on the statement of comprehensive income and on the equity of the Group for each
currency separately, would be as follows:
Assets Level 1 Level 2 Level 3 Total
Tangible fixed assets 0 55,364,491 0 55,364,491
Investments in Property 0 4,632,076 0 4,632,076
Financial Assets at Fair Value through Profit and Loss 4,771,648 0 0 4,771,648
Group
Assets Level 1 Level 2 Level 3 Total
Tangible fixed assets 0 27,294,399 0 27,294,399
Investments in Property 0 31,857 0 31,857
Financial Assets at Fair Value through Profit and Loss 4,771,648 0 0 4,771,648
Company
Impact P&L Equity
PLN 370,202 2,648,026
RON 556,891 1,017,713
YUD 127,661 1,569,976
UAH 50,868 1,086,876
HUF 19,764 214,101
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
An appreciation by 5% against the relevant currencies, would have an equivalent but opposite effect on the above
currencies with the amounts presented above, given that all other variables remain constant.
4.9.5 Interest Rate Risk
The Group’s objective is to achieve an optimal balance between borrowing cost and the potential effect of interest
rate changes on earnings and cash flows. The Group monitors and manages its debt and overall financing strategies
using a combination of short and long-term debt. It is Group policy to continuously review interest rate trends along
with its financing needs. Daily working capital requirements are typically financed with operational cash flow and
through the use of various committed lines of credit. The interest rate on these short-term borrowing
arrangements, is generally determined as the inter-bank offering rate at the borrowing date plus a pre-set margin.
The mix of fixed-rate debt and variable-rate debt is managed within Group policy guidelines. In case of an interest
rate increase, the Group will not be affected as regards to next year’s results as part of the Group’s current strategy
is the continuous reduction of its existing bank loans.
An increase of the borrowing rate by 0.5%, taking into account the total debt on 31/12/2021, would result in a
reduction of net results and Equity by € 0.28 million.
4.9.6 Credit Risk
The Group’s trade receivables mainly come from wholesale clients. All Group companies monitor the financial
position of their debtors on an ongoing basis and control the granting of credit as well as the credit lines. When
considered appropriate, credit guarantee insurance cover is purchased. When there is a possibility that receivables
will not be collected, provisions are made for bad debts.
A relevant analysis is presented in note 4.10.5.
Specifically, regarding customers who have used the 75-day check repayment extension, the Company still receives
all receivables. These customers relate to the luxury cosmetics network in Greece while the sales of this network
represent less than 10% of the total sales of the Group.
4.9.7 Liquidity Risk
Prudent liquidity risk management implies the existence of a balance between cash flows as well as funding through
adequate amounts of committed credit facilities. The Group closely monitors the amount of short-term and long-
term funding as well as the proportion of such towards total debt and the composition of total debt, manages the
risk that could arise from the lack of sufficient liquidity and secures that necessary borrowing facilities are
maintained. The Group has sufficient credit line facilities that could be utilized to fund any potential shortfall in cash
resources.
The Group manages and monitors its working capital in order to minimize any possible liquidity and cash flow risks.
The maturity of financial liabilities on 31 December 2021 and 2020 for the Company and Group, is analyzed as
follows:
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ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Please note that Other Liabilities do not include grants and transitional liability accounts.
The Group is not dependent on suppliers who have suspended their operations or who are expected to be
significantly affected by COVID-19.
4.9.8 Raw material price risk
The Group is exposed to price volatility in the basic raw materials it uses for products that manufactures in its own
production facilities.
❖ The basic raw materials used by the Group for the Perfume, Cosmetics and Face Care products are perfumes,
oils and chemicals.
The prices of raw materials in perfumes, cosmetics and facials do not fluctuate significantly, and any differences are
eliminated by gradually transferring volumes from one supplier to another when necessary, maintaining active
alternative suppliers and creating security stocks.
❖ The basic raw materials used by the Group for the categories of household products (food packaging products
and plastic waste bags) are aluminum (in jumbo rolls), plastic (PVC / LDPE Clingfilm in Jumbo rolls) and
polyethylene (HDPE, LDPE, LLDPE).
Maturity of liabilities 2021 within 6 months 6 to 12 months 1 to 5 years over 5 years Total
Long-term loans 42,003,729 1,970,000 43,973,729
Short-term loans 5,301,373 7,264,015 12,565,388
Lease liabilities 2,362,108 2,291,013 6,557,555 1,157,818 12,368,494
Suppliers 68,358,767 (5,122) 68,353,645
Other Liabilities 5,214,793 213,383 (35,961) 95,024 5,487,239
Total 81,237,041 9,763,289 48,525,323 3,222,842 142,748,495
Maturity of liabilities 2020 within 6 months 6 to 12 months 1 to 5 years over 5 years Total
Long-term loans 48,607,623 48,607,623
Short-term loans 3,000,000 4,805,390 7,805,390
Lease liabilities 2,567,667 2,379,158 9,632,070 1,544,929 16,123,825
Suppliers 64,538,162 262,335 64,800,497
Other Liabilities 3,682,640 261,858 1,096,212 5,040,710
Total 73,788,470 7,708,741 59,335,905 1,544,929 142,378,046
Group
Group
Maturity of liabilities 2021 within 6 months 6 to 12 months 1 to 5 years over 5 years Total
Long-term loans 28,415,000 1,970,000 30,385,000
Short-term loans 3,942,500 3,942,500 7,885,000
Lease liabilities 930,074 927,679 2,681,766 565,200 5,104,720
Suppliers 29,594,583 29,594,583
Other Liabilities 3,252,409 2,276,700 308,010 5,837,120
Total 37,719,567 7,146,880 31,404,776 2,535,200 78,806,423
Maturity of liabilities 2020 within 6 months 6 to 12 months 1 to 5 years over 5 years Total
Long-term loans 44,000,000 44,000,000
Short-term loans 3,000,000 3,000,000 6,000,000
Lease liabilities 1,031,399 959,465 3,318,567 871,800 6,181,232
Suppliers 29,402,719 259,971 29,662,690
Other Liabilities 1,856,823 1,165,246 2,050,231 5,072,300
Total 35,290,941 5,384,683 49,368,798 871,800 90,916,221
Company
Company
98
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Commercial Activity Sectors
Mass Market
Cosmetics
Household
Products
Other Sales
Private Label
(Polipak)
Income from
associate
companies
Group Total
Income from external customers 176,313,682 158,883,379 50,503,779 22,498,148 0 408,198,987
Earnings before interest & tax (EBIT) 12,256,778 18,283,941 3,397,560 1,073,413 11,812,501 46,824,192
Interest income 59,787 53,877 17,126 7,629 0 138,418
Interest expenses (430,054) (387,539) (123,186) (54,876) 0 (995,654)
Earnings before tax 13,442,107 19,352,089 3,737,089 1,224,664 11,812,501 49,568,451
Income tax 2,282,005 3,285,315 634,428 207,906 2,561,668 8,971,323
Earnings / losses after tax 11,160,103 16,066,774 3,102,661 1,016,759 9,250,833 40,597,128
Depreciation / amortization 5,396,692 4,863,178 1,545,844 1,062,441 0 12,868,154
Earnings before interest, tax, depreciation & amortization
(EBITDA)
17,653,470 23,147,118 4,943,404 2,135,854 11,812,501 59,692,347
Commercial Activity Sectors
Mass Market
Cosmetics
Household
Products
Other Sales
Private Label
(Polipak)
Income from
associate
companies
Group Total
Income from external customers 166,274,914 156,388,265 48,581,931 22,130,275 0 393,375,384
Earnings before interest & tax (EBIT) 8,500,890 22,054,865 4,454,690 3,491,475 11,502,933 50,004,853
Interest income 42,980 40,425 12,558 5,720 0 101,684
Interest expenses (596,568) (561,096) (174,304) (79,400) 0 (1,411,368)
Earnings before tax 7,407,550 21,009,034 4,129,803 3,343,481 11,502,933 47,392,801
Income tax 1,158,879 3,295,582 647,821 524,475 2,280,775 7,907,532
Earnings / losses after tax 6,248,671 17,713,453 3,481,981 2,819,006 9,222,158 39,485,269
Depreciation / amortization 5,175,515 4,867,780 1,512,173 1,079,296 0 12,634,764
Earnings before interest, tax, depreciation & amortization
(EBITDA)
13,676,404 26,922,646 5,966,863 4,570,770 11,502,933 62,639,616
Regarding the effect of fluctuations in the prices of aluminum and plastic, the Group proceeds to the closing of price
at short intervals, and in addition creates a security stock when it deems it necessary.
However, in the scenario where the cost of products that are based on aluminum and plastic increases at the same
time by 3%-5%, then by keeping all other parameters stable, the burden on the Group's cost of sales will vary
between 1 and 1.8 million euro.
4.10 EXPLANATORY NOTES ON THE FINANCIAL STATEMENTS
4.10.1 Segment reporting
For management purposes, the Group is organized in four basic business segments: Mass Market Cosmetics,
Household Products, Other Sales and the Private Label Products. According to IFRS 8 – Operating Segments, the
management monitors the operating results of the business segments separately with the objective to evaluate the
performance and decision making as regards to the allocation of resources.
The Group’s results per business segment are analyzed as follows:
For the period 01/01/2021 – 31/12/2021:
For the period 01/01/2020 – 31/12/2020:
Notes
- Income from associate companies refers to income from the company ELCA Cosmetics Ltd.
- The calculation of financial income & expenses and depreciation, amortization has been proportionately based
on the sales of each business activity of the Group. The calculation of income tax is based proportionately on the
earnings before tax of each of the Group’s business activity.
The allocation of consolidated assets and liabilities to the Group’s business segments is analyzed as follows:
31.12.2021 31.12.2020 31.12.2021 31.12.2020 31.12.2021 31.12.2020 31.12.2021 31.12.2020 31.12.2021 31.12.2020
Total Assets 462,939,335 435,374,438 186,806,842 183,817,549 168,339,190 172,887,821 53,509,469 53,707,509 54,283,834 24,961,559
Total Liabilities 162,945,216 162,140,061 61,045,929 65,365,962 55,010,952 62,151,571 17,486,165 19,307,352 29,402,170 15,315,176
Group
Mass Market Cosmetics
Household Products
Other Sales
Private Label (Polipak)
99
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
The Group’s sales and non-current assets by geographical region are analyzed as follows:
For the period 01/01/20210 – 31/12/2021:
For the period 01/01/2020 – 31/12/2020:
Commercial Activity Sectors Revenue
Non Current
Assets
Greece 142,780,980 79,556,633
Poland 91,489,499 55,290,132
Romania 60,778,599 10,686,856
Bulgaria 14,208,364 751,299
Serbia 20,286,684 878,476
Czech 23,099,684 16,158,828
Slovakia 6,063,668 369,000
Hungary 10,504,212 1,894,311
North Macedonia 4,464,795 377,800
Bosnia 3,326,125 136,833
Portugal 1,928,689 2,872
Ukraine 27,328,523 16,864,223
Russia 1,939,162 93,177
Cyprus 0 29,606,078
France 0 597
Total 408,198,987 212,667,117
Commercial Activity Sectors Revenue
Non Current
Assets
Greece 136,049,690 77,284,733
Poland 92,954,829 34,391,475
Romania 55,204,052 8,132,130
Bulgaria 12,827,935 1,086,424
Serbia 19,921,852 1,048,399
Czech 20,651,521 15,838,665
Slovakia 6,048,407 339,012
Hungary 10,284,046 2,137,242
North Macedonia 4,015,026 514,753
Bosnia 3,037,960 256,061
Portugal 2,147,060 4,355
Ukraine 28,057,465 16,627,371
Russia 2,175,542 90,787
Cyprus 0 25,649,283
France 0 585
Total 393,375,384 183,401,276
100
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.10.2 Investments in subsidiaries, associates
The movement of the Company’s participations in subsidiaries is analyzed as follows:
During May 2021, the Company purchased more than 10% of the company IVYBRIDGE, as a result the Group now
owns 100% of the shares, as well as the indirect participations of ERGOPACK and HOZTORG.
Regarding the disposal amounting 10,000 euros relate to the liquidation of the Company Sarantis Ukraines LLC
realized in September 2021.
The financial figures of ELCA Cosmetics Ltd are consolidated through the equity method in Sarantis Group
consolidated financial figures
The movement of the Group’s participations in associate companies and joint ventures is analyzed as follows:
The basic consolidated financial figures of ELCA Cosmetics Ltd are presented below:
It is noted that the group and the company The Estée Lauder Companies Inc. (“EL”) have agreed to amend the
Shareholders Agreement governing ELCA, which was going to end in 2021, extending the term of the arrangement
from June 30, 2021 to June 30, 2028.
Based on the new agreement, EL will have the right to increase its interest in ELCA to 100% by purchasing shares
held by the Group, until June 30, 2027.
During July 2021, EL Europe announced its intention to exercise its first call option for the purchase of shares held
by the Group. The first call option represents 9% of ELCA’s shares.
Company 31.12.2021 31.12.2020
Opening Balance 104,633,691 97,148,691
Acquisitions 2,974,826 7,485,000
Disposals (10,000) 0
Ending Balance 107,598,517
104,633,691
Group
31.12.2021 31.12.2020
Opening Balance 25,649,283 21,458,228
Participation on associates gains 9,250,833 9,222,158
Dividends (5,253,323) (4,914,211)
Other total income 1 (79,915)
Foreign exchange differences (40,715) (36,976)
Ending Balance 29,606,078 25,649,283
ELCA COSMETICS
01.01-31.12.2021 01.01-31.12.2020
Revenue 106,504,061 108,345,768
Profit (loss) before tax 24,107,145 23,475,374
Profit (loss) after tax 18,879,250 18,820,730
ELCA COSMETICS
31.12.2021 31.12.2020
Current fixed assets 79,942,868 70,232,050
Non- current fixed assets 20,647,549 21,912,443
Current liabilities (30,599,336) (30,408,495)
Non-Current liabilities (9,570,514) (9,390,523)
Total equity 60,420,567 52,345,475
101
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.10.3 Goodwill
The goodwill of the Group and the Company are analyzed as follows:
The Group and the Company check on an annual basis for a likely impairment of the existing goodwill, in which case
the impairment is recognized in the income statement. For the fiscal year 2021, the assumptions used per country
are as follows:
The recoverable amount of the above cash generating units was determined using the value in use method. The
value in use was determined based on the projected cash flows derived from four year plans approved by
management, with these cash flows projected over to perpetuity. The annual assessment did not result in an
impairment of the existing goodwill.
The key assumptions used by Management to calculate their projected cash flows in the context of its annual audit
for the impairment of goodwill are as follows:
- The zero risk rate was established on the basis of external information.
- Earnings before interest and taxes were calculated based on last years’ historical data adjusted in order to take
into account the expected changes in operating performance.
4.10.4 Inventories
The inventories are analyzed as follows:
Amounts in Euros Group Company
Balance as at 1.1.2021 7,676,364 1,100,000
Acquisitions / Reductions
Impairments/Revaluation
Foreign exchange differences (13,808)
Balance as at 31.12.2021 7,662,556 1,100,000
Amounts in Euros Group Company
Balance as at 1.1.2020 7,898,422 1,100,000
Acquisitions / Reductions
Impairments/Revaluation
Foreign exchange differences (222,058)
Balance as at 31.12.2020 7,676,364 1,100,000
Assumptions 2021
D. Koukouzelis -
Greece
Elmiplant-
Romania
Polipak-Poland
Trade 90-
Hungary
Astrid Τ.Μ.-
Czech Rep.
Indulona-
Slovakia &Czech
Rep.
Ergopack-
Ukraine
WACC 8.1% 13.5% 10.7% 12.9% 9.6% 8.3% 21.0%
Rate of Increase rate 5+ 1.2% 2.5% 2.3% 3.4% 2.5% 2.0% 6.0%
ΕΒΙΤ (5yr horizon) 2,3% - 4,3% 14,3% - 14,8% 2,2% - 3,7% 2,9% - 3,5% 12,8% - 13,9% 7,2% - 7,7% 5,1% - 9,8%
Goodwill balance 1,100,000 2,159,841 2,066,275 1,285,763 236,776 269,156 544,744
Group
31.12.2021 31.12.2020
Merchandise 73,796,600 79,753,887
Products 9,075,069 12,353,966
Raw Materials 16,796,458 17,839,677
Prepayments for stock purchase 2,982,481 860,997
Impairment due to obsolescence (3,037,080) (2,213,126)
Total 99,613,527 108,595,399
102
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
There is no pledge over the Group’s and the Company’s inventories.
The analysis of the provision for the impairment due to obsolescence is as follows:
During the current fiscal year, the Group and the Company proceeded into destruction of inventory amounting to
4.4 million euros and 3.6 million euros in total respectively whereas the corresponding amounts in 2020 settled at
2.03 million euros and 1.3 million euros respectively.
4.10.5 Trade and other receivables
The trade receivables account is analyzed as follows:
Company
31.12.2021 31.12.2020
Merchandise 24,640,220 26,961,135
Products 8,070,893 11,344,251
Raw Materials 9,364,701 12,157,803
Prepayments for stock purchase 2,226,496 437,133
Impairment due to obsolescence (2,660,000) (1,641,873)
Total 41,642,311 49,258,450
Group
31.12.2021 31.12.2020
Opening Balance 2,213,126 2,274,919
Provision 5,061,390 1,800,893
Use of provision (4,233,299) (1,751,445)
Provision reserve (24,803) (38,886)
Foreign exchange differences 20,665 (72,354)
Closing balance 3,037,080 2,213,126
Company
31.12.2021 31.12.2020
Opening Balance 1,641,873 1,492,317
Provision 4,639,964 1,446,621
Use of provision (3,621,837) (1,297,064)
Closing balance 2,660,000 1,641,873
Group
31.12.2021 31.12.2020
Trade receivables 80,724,903 83,238,504
Minus provisions (3,107,534) (3,550,375)
Net trade receivables 77,617,370 79,688,129
Checks and notes receivable 16,693,847 13,663,618
Minus provisions (2,400,000) (2,400,000)
Net checks and notes receivable 14,293,847 11,263,618
Total 91,911,217 90,951,747
Company
31.12.2021 31.12.2020
Trade receivables 31,727,310 36,932,468
Minus provisions (1,877,517) (1,855,636)
Net trade receivables 29,849,793 35,076,832
Checks and notes receivable 15,922,282 12,906,433
Minus provisions (2,400,000) (2,400,000)
Net checks and notes receivable 13,522,282 10,506,433
Total 43,372,075 45,583,265
103
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
As the Group's core sales network focuses on the mass market retail channel, which has remained fully operational
due to increased consumer needs, there is a normal flow of receivables from customers.
On 31
st
December 2021 and 2021, the maturity of the current and overdue trade receivables, was as follows:
The Group and the Company apply the simplified approach of IFRS 9 for the calculation of expected credit losses for
all trade receivables across their total life.
Expected loss rates are based on the historical credit losses of the group and the Company that occurred during the
three-year period before the end of the period. Historical loss rates are then adjusted for current and future
information on macroeconomic factors affecting the Group and the Company's customers.
The tables below present the credit risk analysis of the Group and the Company:
The other receivables are analyzed as follows:
31.12.2021 31.12.2020 31.12.2021 31.12.2020
Current (Not past due) 81,377,442 76,033,175 34,612,069 33,777,840
0-90 days 5,721,754 9,000,727 2,379,864 4,942,182
91-180 days 1,638,633 2,652,137 1,774,368 2,657,214
over 180 days 8,680,922 9,216,083 8,883,290 8,461,665
97,418,751 96,902,122 47,649,591 49,838,901
Group
Company
Group
TRADE RECEIVABLES
Current <90 90-180 181+ Total
TOTAL TRADE RECEIVABLES 81,377,442 5,721,754 1,638,633 8,680,922 97,418,751
EXPECTED CREDIT LOSS 245,494 229,621 175,738 4,856,681 5,507,534
PERCENTAGE EXPECTED CREDIT LOSS 0.30% 4.01% 10.72% 55.95% 5.65%
Company
TRADE RECEIVABLES
Current <90 90-180 181+ Total
TOTAL TRADE RECEIVABLES 34,612,069 2,379,864 1,774,368 8,883,290 47,649,591
EXPECTED CREDIT LOSS 16,792 14,988 13,752 4,231,985 4,277,517
PERCENTAGE EXPECTED CREDIT LOSS 0.05% 0.63% 0.78% 47.64% 8.98%
Group
31.12.2021 31.12.2020
Accounts receivable in legal contest 475,766 425,134
Sundry Debtors 5,488,849 3,146,064
Short-term Lease Receivables 179,116 216,755
Prepayments and accrued income 2,436,181 3,397,281
Accounts for management of prepayments & credits 47,530 46,511
Minus provisions (460,895) (310,266)
Total 8,166,547 6,921,480
104
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
The analysis of the provision for trade receivables and for other receivables is as follows:
4.10.6 Cash & cash equivalents
Cash & cash equivalents represent cash in hand of the Group and company and bank deposits available at first
demand, which are analyzed as follows:
4.10.7 Financial Assets at Fair Value through Results
The above items are placements with a short-term investment horizon that are traded on active markets.
Company
31.12.2021 31.12.2020
Accounts receivable in legal contest 425,136 425,136
Sundry Debtors 2,779,329 713,750
Receivables from dividends 1,219,981 1,728,348
Short-term Lease Receivables 179,116 181,871
Prepayments and accrued income 1,116,287 842,983
Accounts for management of prepayments & credits 47,530 46,511
Minus provisions (410,266) (310,266)
Total 5,357,115 3,628,334
Group
31.12.2021 31.12.2020
Opening Balance 6,260,641 6,446,024
Additions for the year 213,116 207,822
Receivables written off (374,963) (19,434)
Amounts offset (230,897) (83,461)
Foreign exchange differences 100,532 (290,309)
Closing balance 5,968,429 6,260,641
Company
31.12.2021 31.12.2020
Opening Balance 4,565,901 4,506,280
Additions for the year 121,881 67,045
Amounts offset 0 (7,423)
Closing balance 4,687,782 4,565,901
Group
31.12.2021 31.12.2020
Cash in hand 166,061 342,844
Bank deposits 45,643,217 40,252,497
Total 45,809,278 40,595,341
Company
31.12.2021 31.12.2020
Cash in hand 157,180 322,674
Bank deposits 19,925,181 15,815,070
Total 20,082,361 16,137,744
31.12.2021 31.12.2020 31.12.2021 31.12.2020
Opening Balance 4,909,195 2,514,360 4,909,195 2,514,360
Acquisitions 6,518,648 9,041,818 6,518,648 9,041,818
Cost of disposals (6,505,904) (6,457,126) (6,505,904) (6,457,126)
Fair value adjustments (150,291) (189,857) (150,291) (189,857)
Foreign exchange differences
Closing balance 4,771,648 4,909,195 4,771,648 4,909,195
Group
Company
105
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.10.8 Trade and other liabilities
The Company’s and Group’s trade and other liabilities are analyzed as follows:
The other liabilities of the Company and the Group are analyzed as follows:
The Group does not depend on suppliers who have suspended their operations or who are expected to be
significantly affected by COVID-19.
4.10.9 Provisions and other long-term liabilities
The provisions and other long-term liabilities are analyzed as follows:
The provisions analysis is as follows:
Group
31.12.2021 31.12.2020
Suppliers 65,289,371 60,921,970
Checks payable 3,064,274 3,878,527
Total 68,353,645 64,800,497
Company
31.12.2021 31.12.2020
Suppliers 26,530,309 25,784,163
Checks payable 3,064,274 3,878,527
Total 29,594,583 29,662,690
Group
31.12.2021 31.12.2020
Social Security Funds 1,848,740 1,780,949
Customer Prepayments 2,165,104 1,668,507
Long-term Liabilities payable in the following year 0 24,464
Government Grants 1,264,436 1,215,936
Dividends Payable 32,224 33,104
Accruals and deferred expenses 2,830,060 3,131,359
Sundry Creditors 1,141,862 1,366,579
Total 9,282,427 9,220,899
Company
31.12.2021 31.12.2020
Social Security Funds 1,253,790 1,167,084
Customer Prepayments 3,523,605 2,487,567
Short-term Liabilities towards Related Companies 562,373 558,255
Government Grants 5,161 8,885
Dividends Payable 32,224 33,104
Accruals and deferred expenses 1,323,721 967,491
Sundry Creditors 465,127 826,290
Total 7,166,001 6,048,675
Group
31.12.2021 31.12.2020
Government Grants 3,097,460 2,177,277
Other provisions 503,360 492,429
Other long-term liabilities 299,308 167,107
Total 3,900,128 2,836,813
Company
31.12.2021 31.12.2020
Government Grants 0 7,087
Other provisions 0 0
Total 0 7,087
106
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.10.10 Loans
Loans are analyzed as follows:
The Group’s bank loans concern loans for working capital and Bond Loans.
During the first half year of 2021, the remaining of the bond loan amounting to 10 million euros that had been
granted by Eurobank S.A. to GR. SARANTIS S.A was fully repaid, of initial amount of 20 million euros.
Moreover, during the first half year of 2021 a loan was granted by EBRD to the parent company, amounting to 10
million euros.
During the second half of 2021, part of the loans of the subsidiaries to Credit Suisse was repaid, amounting to 15
million euros.
During the year 2021, an investment loan of 11.8 million euros was granted by BNP PARIBAS to the subsidiary
POLIPAK.
Finally, in December 2021, a bond loan of 10 million euros was granted by Eurobank S.A. to the parent company.
The analysis of the bond loans is presented below:
4.10.10.1 Group
4.10.10.2 Company
The tables below present the change from liabilities arising from financing activities:
Group
31.12.2021 31.12.2020
Opening Balance 492,429 588,706
Additions for the year 239,273 536,865
Use of provision (249,873) (551,509)
Amounts offset 0 0
Foreign exchange differences 21,531 (81,632)
Closing balance 503,360 492,429
Short-term loans
31.12.2021 31.12.2020 31.12.2021 31.12.2020
Bank loans 8,390,387 7,805,390 1,460,000 0
Bond Loans 4,175,000 0 6,425,000 6,000,000
Long-term loans
Bank loans 28,148,729 28,607,624 7,810,000 0
Bond Loans 15,825,000 20,000,000 22,575,000 44,000,000
Total 56,539,117 56,413,014 38,270,000 50,000,000
Group
Company
Bank Maturity Amount
EUROBANK
18/9/2025 20,000,000
Total 20,000,000
Group
Analysis of Bond Loans
Bank Maturity Amount
EUROBANK
18/9/2025 20,000,000
SARANTIS POLSKA
25/9/2023 2,250,000
SARANTIS BULGARIA
25/9/2023 2,250,000
SARANTIS ROMANIA
25/9/2023 4,500,000
Total 29,000,000
Company
Analysis of Bond Loans
107
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Group
Non Current
Loans &
Borrowings
Current Loans &
Borrowings
Total
1.1.2020 35,000,000 30,814,535 65,814,535
Cash Flows 19,783,851 (28,486,812) (8,702,961)
Loans and borrowings liabilities from the Acquisition 0 0 0
Non Cash Flows
-Effects of Foreign exchange (176,227) (522,333) (698,560)
-Loans and borrowings classified as non current at 31 December 2019
becoming current during 2020
(6,000,000) 6,000,000 0
31.12.2020 48,607,624 7,805,390 56,413,014
Group
Non Current
Loans &
Borrowings
Current Loans &
Borrowings
Total
1.1.2021 48,607,624 7,805,390 56,413,014
Cash Flows 1,941,072 (1,753,422) 187,650
Loans and borrowings liabilities from the Acquisition 0 0 0
Non Cash Flows
-Effects of Foreign exchange (47,466) (14,081) (61,547)
-Loans and borrowings classified as non current at 31 December 2020
becoming current during 2021
(6,527,500) 6,527,500 0
31.12.2021 43,973,729 12,565,387 56,539,117
Company
Non Current
Loans &
Borrowings
Current Loans &
Borrowings
Total
1.1.2020 35,000,000 20,000,000 55,000,000
Cash Flows 15,000,000 (20,000,000) (5,000,000)
Loans and borrowings liabilities from the Acquisition 0 0 0
Non Cash Flows
-Effects of Foreign exchange 0 0 0
-Loans and borrowings classified as non current at 31 December 2019
becoming current during 2020
(6,000,000) 6,000,000 0
31.12.2020 44,000,000 6,000,000 50,000,000
Company
Non Current
Loans &
Borrowings
Current Loans &
Borrowings
Total
1.1.2021 44,000,000 6,000,000 50,000,000
Cash Flows (7,087,500) (4,642,500) (11,730,000)
Loans and borrowings liabilities from the Acquisition 0 0 0
Non Cash Flows
-Effects of Foreign exchange 0 0 0
-Loans and borrowings classified as non current at 31 December 2020
becoming current during 2021
(6,527,500) 6,527,500 0
31.12.2021 30,385,000 7,885,000 38,270,000
108
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.10.11 Income Tax
With regard to the fiscal year 2021, the Company is subject to the tax audit of the Certified Auditors stipulated by
the provisions of article 65A of Law 4174/2013. The audit is under progress and the relevant tax certificate is
expected to be granted after the release of the annual financial statements for the period 31.12.2021. The
Management of the Company does not expect the emergence of any significant tax obligations apart from those
already depicted in the financial statements.
It is noted that according to paragraph 120 of Law 4799/2021, the income from business activity obtained by legal
entities in Greece, excluding credit institutions, are taxed at a rate of 22% for the income of the tax year 2021
onwards. . The income tax rate for the 2020 tax year was 24%.
4.10.12 Deferred taxes
01.01-31.12.2021 01.01-31.12.2020 01.01-31.12.2021 01.01-31.12.2020
Income tax (8,175,096) (8,083,690) (1,032,988) (699,795)
Deferred tax (796,227) 176,158 (127,520) (143,584)
Total (8,971,323) (7,907,532) (1,160,508) (843,380)
Earnings / (Losses) before taxes 49,568,451 47,392,801 28,101,208 19,139,070
-minus/plus: Temporary differences in income (13,488,099) (6,475,610) (9,381,964) (6,823,417)
-minus/plus: Temporary differences in expenses 8,537,767 7,668,852 8,292,254 6,225,150
Adjustments in tax for income not subject to taxation (1,783,414) (3,689,369) (21,932,274) (13,026,238)
- Tax free income 0 (494,274) (21,930,693) (12,774,480)
- Differences in income (1,792,233) (3,195,044) (1,580) (251,758)
- Profit from company acquisition 0 0 0 0
- Other adjustments 8,819 (51) 0 0
Adjustments in tax for Expenses which are not tax deductible 2,556,091 528,995 (317,981) (2,598,750)
- Differences in expenses (2,765,745) (2,200,529) (2,103,261) (2,402,687)
- Non tax-deductible expenses 5,321,836 3,489,448 1,785,280 389,289
Offsetting of losses from previous fiscal years 0 (759,924) 0 (585,352)
Total 45,390,795 45,425,669 4,761,244 2,915,814
Tax Rate (Average tax for the Group) 18.59% 18.07% 22.00% 24.00%
Expected Tax Expense 8,440,176 8,209,282 1,047,474 699,795
Adjustments on the tax due to change in tax rate (112,216) 0 (112,216) 0
Tax due to recognition of tax losses 408 (19,335) 0 0
Tax of temporary differences 908,036 (156,823) 239,736 143,584
Other movements (265,080) (125,592) (14,485) 0
Provisions and expenses of additional tax liabilities 0 0 0 0
Real tax expense 8,971,323 7,907,532 1,160,508 843,380
Group
Company
Group
Deferred tax assets
31.12.2021 31.12.2020
Differences of intangible assets 1,105 (309,827)
Differences of tangible assets 6,815 (357,558)
Write-off of trade receivables 19,764 50,350
Provisions for employee benefits 0 9,290
Provisions 12,868 787,109
Recognition of tax loss 86,410 80,500
Foreign exchange differences 0 27,512
Total 126,963 287,378
109
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Deferred liabilities
31.12.2021 31.12.2020
Differences of intangible assets (7,174,072) (6,761,442)
Differences of tangible assets (1,273,541) (228,871)
Provisions for doubtful debts 59,286 60,244
Provisions for employee benefits 252,825 463,436
Provisions 1,439,091 597,305
Foreign exchange differences 19,470 637
Total (6,676,942) (5,868,690)
Deferred taxes income / (expense)
31.12.2021 31.12.2020
Differences of intangible assets 2,767 (63,566)
Differences of tangible assets (650,871) (236,332)
Provisions for doubtful debts (32,479) 30,079
Provisions for employee benefits (219,949) 95,015
Provisions 42,012 511,767
Recognition of tax loss (408) 19,335
Foreign exchange differences (9,028) 38,516
Subtotal (867,955) 394,815
Proportion of deferred tax from associate companies (31,576) (280,474)
Total (899,531) 114,340
Total deferred tax recognized on Comprehensive Income (a) (796,227) 176,158
Total deferred tax recognized on Other Comprehensive Income (b) (103,304) (61,817)
Company
Deferred tax assets / (liabilities)
31.12.2021 31.12.2020
Differences of intangible assets (3,205,058) (3,127,701)
Differences of tangible assets 279,671 282,547
Provisions for doubtful debts 35,332 33,292
Provisions for employee benefits 231,120 452,510
Provisions 505,786 321,538
Total (2,153,149) (2,037,813)
Deferred taxes income / (expense)
31.12.2021 31.12.2020
Differences of intangible assets (77,357) (363,993)
Differences of tangible assets (2,876) 53,832
Provisions for doubtful debts 2,039 (1,782)
Provisions for employee benefits (221,390) 134,550
Provisions 184,248 51,855
Total (115,335) (125,538)
Total deferred tax recognized on Comprehensive Income (a) (127,520) (143,584)
Total deferred tax recognized on Other Comprehensive Income (b) 12,185 18,047
110
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.10.13 Employee benefits
Employee salaries and expenses are analyzed as follows:
4.10.14 Expenses per category
Expenses per category are analyzed as follows:
Note: The above expenses are reduced by the amount of expenses that have been charged to the production of the
parent Company and Group.
Group
31.12.2021 31.12.2020
Employee salaries 39,640,535 41,183,057
Employee benefits 1,588,612 1,412,748
Employer contributions 7,964,206 8,340,719
Employment termination indemnities 995,561 1,238,172
Remuneration of BoD members 2,174,257 659,028
Total 52,363,171 52,833,723
Average number of employees 2,376 2,683
Company
31.12.2021 31.12.2020
Employee salaries 19,022,808 19,664,610
Employee benefits 973,259 837,491
Employer contributions 4,530,957 4,829,724
Employment termination indemnities 790,068 965,278
Remuneration of BoD members 2,174,257 532,298
Total 27,491,348 26,829,400
Average number of employees 846 857
Group
01.01 - 31.12.2021 01.01 - 31.12.2020
Cost of goods sold 264,299,692 244,906,347
Employee expenses 44,743,467 44,807,390
Third-party fees 6,163,728 6,356,993
Third-party benefits 8,097,834 8,583,525
Taxes – duties 2,662,588 2,711,661
Sundry expenses 38,627,998 39,093,791
Fixed asset depreciation 9,508,922 9,444,833
Total Activities 374,104,229 355,904,540
Company
01.01 - 31.12.2021 01.01 - 31.12.2020
Cost of goods sold 106,879,558 102,892,199
Employee expenses 24,780,436 24,270,776
Third-party fees 2,995,797 2,657,198
Third-party benefits 3,088,369 3,096,969
Taxes – duties 1,515,102 1,565,631
Sundry expenses 18,820,556 18,126,245
Fixed asset depreciation 5,418,446 5,523,760
Total Activities 163,498,263 158,132,777
111
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
The cost of sales analysis is as follows:
The administrative expenses analysis is as follows:
Group
01.01 - 31.12.2021 01.01 - 31.12.2020
Cost of goods 248,338,943 226,976,208
Employee expenses 7,619,703 8,026,333
Third-party fees 3,770,205 4,672,541
Third-party benefits 4,796,318 5,004,883
Taxes – duties 62,004 55,835
Sundry expenses 474,144 501,463
Fixed asset depreciation 3,362,268 3,192,381
Own consumption of goods (4,123,893) (3,523,296)
Total Activities 264,299,692 244,906,347
Company
01.01 - 31.12.2021 01.01 - 31.12.2020
Cost of goods 100,807,391 96,877,993
Employee expenses 2,710,912 2,558,624
Third-party fees 1,545,333 2,341,113
Third-party benefits 921,691 745,019
Taxes – duties 8,519 6,231
Sundry expenses 199,498 205,682
Fixed asset depreciation 1,489,977 1,289,208
Own consumption of goods (803,764) (1,131,670)
Total Activities 106,879,558 102,892,199
Group
01.01 - 31.12.2021 01.01 - 31.12.2020
Employee expenses 10,417,153 9,745,567
Third-party fees 2,436,317 2,165,293
Third-party benefits 3,018,949 2,997,035
Taxes – duties 333,094 341,517
Sundry expenses 881,958 1,038,961
Fixed asset depreciation 1,973,865 1,968,330
Total Activities 19,061,336 18,256,703
Company
01.01 - 31.12.2021 01.01 - 31.12.2020
Employee expenses 5,324,235 4,537,935
Third-party fees 1,224,907 939,375
Third-party benefits 1,940,971 1,970,263
Taxes – duties 113,985 135,666
Sundry expenses 607,827 654,841
Fixed asset depreciation 1,142,314 1,122,314
Total Activities 10,354,239 9,360,393
112
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
The distribution expenses analysis is as follows:
4.10.15 Financial Income / Expenses
The financial income / expenses are analyzed as follows:
Group
01.01 - 31.12.2021 01.01 - 31.12.2020
Employee expenses 34,326,315 35,061,822
Third-party fees 3,727,411 4,191,700
Third-party benefits 5,078,885 5,586,490
Taxes – duties 2,329,494 2,370,144
Sundry expenses 37,746,040 38,054,831
Fixed asset depreciation 7,535,057 7,476,503
Total Activities 90,743,202 92,741,490
Company
01.01 - 31.12.2021 01.01 - 31.12.2020
Employee expenses 19,456,201 19,732,841
Third-party fees 1,770,890 1,717,823
Third-party benefits 1,147,398 1,126,705
Taxes – duties 1,401,117 1,429,965
Sundry expenses 18,212,728 17,471,404
Fixed asset depreciation 4,276,132 4,401,447
Total Activities 46,264,466 45,880,185
Group
01.01-31.12.2021 01.01-31.12.2020
Interest Expense (995,654) (1,411,368)
Interest Income 138,418 101,684
Foreign exchange differences (410,753) (1,237,331)
Gain from sale of participations & securities 967,537 554,332
Loss from sale of participations & securities (43,950) (166,720)
Other financial income/expense (546,583) (471,706)
Total (890,985) (2,631,109)
Company
01.01-31.12.2021 01.01-31.12.2020
Interest Expense (946,995) (1,292,930)
Interest Income 36,601 174,195
Foreign exchange differences (15,005) 48,201
Gain from sale of participations & securities 967,537 554,332
Loss from sale of participations & securities (53,950) (166,720)
Dividends from subsidiaries 21,930,693 12,280,207
Other financial income/expense 15,164 (1,393)
Total 21,934,046 11,595,893
113
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.10.16 Share capital
4.10.17 Earnings per Share
Earnings per share were calculated according to the weighted average number of shares after the deduction of the
weighted average number of treasury shares held by the Company.
4.10.18 Dividends
- For the period ended on 31/12/2021:
The Ordinary General Meeting of shareholders during its meeting on 20.05.2021 approved the distribution of a
dividend of 0.214661421 euros per share or a total amount of 15,000,000 euros. According to the legislation in
effect, the dividend that corresponded to 2,891,424 treasury shares of the Company further increased the total
dividend of the other shareholders and therefore the total gross dividend per share accounted for 0.22392718
ευρώ.
Moreover, the Board of Directors of the company will propose during the Annual Ordinary General Meeting of 2022
the distribution of a dividend for the year 2021 amounting to 0.143108 Euros per share, which corresponds to an
amount of € 10 million.
- For the period ended on 31/12/2020:
The Ordinary General Meeting of shareholders during its meeting on 07.05.2020 approved the distribution of a
dividend of 0.1604814 Euros per share or a total amount of 11,214,034 Euros. According to the legislation in effect,
the dividend that corresponded to 2,731,600 treasury shares of the Company further increased the total dividend of
the other shareholders and therefore the total gross dividend per share accounted for 0.16701 Euros.
4.10.19 Treasury Shares
During the year 2021, the Company proceeded to the purchase of 70,329 treasury shares at an average purchase
price of 8.95 euro per share, paying 629,121 euro.
Including the 2,825,995 treasury shares already bought by the company during previous years, then as of
31/12/2021, the Company holds in total 2,896,324 treasury shares with nominal value of EUR 0.78 per share and an
average purchase price of 4.82 euro per share, having paid a total of 13,959,514 euro.
The treasury shares that the Company holds correspond to 4.14% of its share capital.
Number of
shares
Nomical value of
shares
Share capital Share premium Total
31.12.2021 69,877,484 0.78 54,504,438 40,676,356 95,180,793
31.12.2020 69,877,484 0.78 54,504,438 40,676,356 95,180,793
31.12.2019 69,877,484 0.78 54,504,438 40,676,356 95,180,793
Share Capital
01.01 - 31.12.2021 01.01 - 31.12.2020 01.01 - 31.12.2021 01.01 - 31.12.2020
Earnings after tax attributed to the owners of the Company 40,292,216 38,697,755 26,940,700 18,295,690
Weighted average number of shares 66,995,069 67,120,671 66,995,069 67,120,671
Earnings per share (€ ) 0.6014 0.5766 0.4021 0.2726
Group
Company
114
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.10.20 Reserves
The reserves are analyzed as follows:
During the current period, the Group reclassified items for better information. As a result of this reclassification,
some comparative data of the company and the consolidated statement of financial position and comprehensive
income respectively of the previous year were adjusted to cover the changes in the presentation of the current
year.
More specifically, in the Statement of Financial Position, the part from the item Reserves that concerns intragroup
dividends, in the current year is shown in the Item Retained Earnings. Respectively, in the Statement of Changes in
Equity, the intragroup dividends were already included in the fiscal year’s earnings.
Group 31.12.2021 31.12.2020
Ordinary reserve 11,491,426 10,577,086
Special reserve 151,865 168,032
Extraordinary reserve 165,377 165,446
Tax-free reserves on special law provisions 3,601,875 3,601,875
Reserve for treasury shares (13,959,514) (13,330,393)
Reserve from revaluation of fixed assets 18,293,876 16,206,787
Total 19,744,904 17,388,833
Company 31.12.2021 31.12.2020
Ordinary reserve 8,989,801 8,075,461
Special reserve 257,628 268,688
Tax-free reserves on special law provisions 3,601,875 3,601,875
Reserve for treasury shares (13,959,514) (13,330,393)
Reserve from revaluation of fixed assets 14,928,335 13,287,478
Total 13,818,124 11,903,109
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
115
4.10.21 Table of changes in fixed assets
4.10.21.1 Company
Acquisition cost 1.1.2020 8,550,833 35,712,545 31,972 16,794,644 1,048,714 12,286,365 134,992 29,129,726 103,689,791
Acquisitions 0 566,961 0 1,068,506 23,513 761,090 1,617,004 11,231,695 15,268,768
Reclassifications 0 36,733 0 (4,564) 0 4,746 (111,610) 74,696 0
Due to absorption of subsidiary 0 0 0 0 0 0 0 0 0
Revaluation (245,218) 684,942 0 0 0 0 0 0 439,724
Write-offs 0 (326,932) 0 0 0 (889,161) (18,510) 0 (1,234,603)
Cost of disposals 0 0 0 0 (31,620) (6,319) 0 0 (37,939)
Reductions from discont.operations 0 0 0 0 0 0 0 0 0
Other additions 0 0 0 0 0 0 0 0 0
Foreign exchange differences 0 0 0 0 0 0 0 0 0
Value as at 31.12.2020 8,305,615 36,674,248 31,972 17,858,586 1,040,607 12,156,721 1,621,876 40,436,117 118,125,742
Land - fields
Buildings,
building facilities
and technical
Investment
property
Machinery,
technical
installations and
Vehicles
Furniture and
other
equipment
Fixed assets
under
construction and
Intangible assets
Total
Depreciations 1.1.2020 0 16,978,390 115 9,790,071 812,248 8,583,725 0 7,469,897 43,634,448
Depreciations for the Period 0 1,250,487 0 1,111,406 52,646 1,124,072 0 1,530,172 5,068,783
Due to absorption of subsidiary 0 0 0 0 0 0 0 0 0
Revaluation 0 404,562 0 0 0 0 0 0 404,562
Depreciations of reclassifications 0 0 0 0 0 0 0 0 0
Depreciation on write-offs 0 (326,837) 0 0 0 (876,687) 0 0 (1,203,524)
Depreciation of disposals 0 0 0 0 (31,620) (6,148) 0 0 (37,768)
Depreciation on reductions from discont.operations
0 0 0 0 0 0 0 0 0
Foreign exchange differences 0 0 0 0 0 0 0 0 0
Depreciations 31.12.2020 0 18,306,603 115 10,901,477 833,274 8,824,961 0 9,000,069 47,866,501
Net book value as at 31.12.2020 8,305,615 18,367,645 31,857 6,957,109 207,333 3,331,759 1,621,876 31,436,048 70,259,241
Land - fields
Buildings,
building facilities
and technical
Investment
property
Machinery,
technical
installations and
Vehicles
Furniture and
other
equipment
Fixed assets
under
construction and
Intangible assets
Total
116
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Acquisition cost 1.1.2021 8,305,615 36,674,248 31,972 17,858,586 1,040,607 12,156,721 1,621,876 40,436,117 118,125,742
Acquisitions 0 139,262 0 1,953,374 75,638 978,859 3,407,490 370,609 6,925,233
Reclassifications 0 8,267 0 2,931,460 0 30,008 (3,208,257) 238,521 (0)
Due to absorption of subsidiary 0 0 0 0 0 0 0 0 0
Revaluation 1,184,836 1,152,422 0 0 0 0 0 0 2,337,258
Write-offs 0 0 0 0 0 (696,881) 0 0 (696,881)
Cost of disposals 0 0 0 (5,800) (30,000) (1,974) 0 0 (37,774)
Reductions from discont.operations 0 0 0 0 0 0 0 0 0
Other additions 0 0 0 0 0 0 0 0 0
Foreign exchange differences 0 0 0 0 0 0 0 0 0
Value as at 31.12.2021 9,490,451 37,974,200 31,972 22,737,621 1,086,245 12,466,732 1,821,109 41,045,247 126,653,578
Land - fields
Buildings,
building facilities
and technical
Investment
property
Machinery,
technical
installations and
Vehicles
Furniture and
other
equipment
Fixed assets
under
construction and
Intangible assets
Total
Depreciations 1.1.2021 0 18,306,603 115 10,901,477 833,274 8,824,961 0 9,000,069 47,866,501
Depreciations for the Period 0 1,287,712 0 1,281,996 47,239 980,804 0 1,580,905 5,178,656
Due to absorption of subsidiary 0 0 0 0 0 0 0 0 0
Revaluation 0 696,401 0 0 0 0 0 0 696,401
Depreciations of reclassifications 0 0 0 0 0 0 0 0 0
Depreciation on write-offs 0 0 0 0 0 (682,877) 0 0 (682,877)
Depreciation of disposals 0 0 0 (3,084) (7,150) (1,410) 0 0 (11,643)
Depreciation on reductions from discont.operations
0 0 0 0 0 0 0 0 0
Foreign exchange differences 0 0 0 0 0 0 0 0 0
Depreciations 31.12.2021 0 20,290,717 115 12,180,389 873,363 9,121,478 0 10,580,975 53,047,038
Net book value as at 31.12.2021 9,490,451 17,683,483 31,857 10,557,232 212,882 3,345,254 1,821,109 30,464,273 73,606,540
Land - fields
Buildings,
building facilities
and technical
Investment
property
Machinery,
technical
installations and
Vehicles
Furniture and
other
equipment
Fixed assets
under
construction and
Intangible assets
Total
117
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
The right of use assets for the Company as at 31
st
December 2021 are as follows:
Acquisition cost 1.1.2020 3,764,903 2,337,923 6,102,826
Acquisitions 2,745,829 133,924 2,879,753
Write-offs (352,608) (77,188) (429,796)
Value as at 31.12.2020 6,158,123 2,394,659 8,552,782
Total
Buildings,
building facilities
and technical
Vehicles
Depreciations 1.1.2020 907,065 592,230 1,499,295
Depreciations for the Period 1,084,175 660,011 1,744,186
Depreciation on write-offs (328,494) (56,469) (384,963)
Depreciations 31.12.2020 1,662,745 1,195,773 2,858,518
Net book value as at 31.12.2020 4,495,378 1,198,886 5,694,264
Buildings,
building facilities
and technical
Vehicles
Total
Acquisition cost 1.1.2021 6,158,123 2,394,659 8,552,782
Acquisitions 3,022 645,676 648,698
Write-offs (159,893) (63,955) (223,848)
Value as at 31.12.2021 6,001,252 2,976,380 8,977,632
Total
Buildings,
building facilities
and technical
Vehicles
Depreciations 1.1.2021 1,662,745 1,195,773 2,858,518
Depreciations for the Period 1,068,537 661,231 1,729,767
Depreciation on write-offs (159,893) (38,565) (198,458)
Depreciations 31.12.2021 2,571,388 1,818,439 4,389,827
Net book value as at 31.12.2021 3,429,864 1,157,941 4,587,805
Buildings,
building facilities
and technical
Vehicles
Total
118
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.10.21.2 Group
Acquisition cost 1.1.2020 11,116,955 49,249,832 1,032,727 41,314,472 2,693,227 13,532,516 1,708,456 64,741,919 185,390,104
Acquisitions 17,531 635,294 0 1,891,008 124,102 903,794 12,366,606 11,765,973 27,704,309
Reclassifications 0 36,568 0 1,340,369 36,976 (180,864) (1,307,744) 74,696 0
Revaluation (234,245) 1,355,177 19,057 0 0 0 0 0 1,139,988
Write-offs 0 (326,932) 0 (111,828) (53,220) (889,401) (127,481) (13,809) (1,522,672)
Cost of disposals 0 0 0 (906,835) (139,801) (57,415) 0 (123) (1,104,174)
Foreign exchange differences (216,566) (1,893,541) (18,643) (3,102,743) (118,709) (96,605) (597,800) (1,014,818) (7,059,424)
Value as at 31.12.2020 10,683,675 49,056,398 1,033,141 40,424,444 2,542,574 13,212,025 12,042,037 75,553,838 204,548,131
Furniture and
other
equipment
Land - fields
Buildings,
building facilities
and technical
Investment
property
Machinery,
technical
installations and
Vehicles
Fixed assets
under
construction and
Intangible assets
Total
Depreciations 1.1.2020 0 20,440,850 115 20,755,885 1,905,221 9,297,502 0 13,052,237 65,451,811
Depreciations for the Period 0 1,560,074 0 2,925,252 196,628 1,213,043 0 2,381,423 8,276,420
Revaluation 0 610,196 0 0 0 0 0 0 610,196
Depreciations of reclassifications 0 (4,462) 0 126,253 33,698 (155,488) 0 0 0
Depreciation on write-offs 0 (326,837) 0 (96,824) (39,386) (876,873) 0 (13,809) (1,353,728)
Depreciation of disposals 0 0 0 (632,837) (126,806) (38,590) 0 (123) (798,356)
Foreign exchange differences 0 (620,554) 0 (1,385,107) (81,633) (61,066) 0 (247,211) (2,395,571)
Depreciations 31.12.2020 0 21,659,267 115 21,692,623 1,887,722 9,378,528 0 15,172,516 69,790,772
Net book value as at 31.12.2020 10,683,675 27,397,130 1,033,026 18,731,821 654,852 3,833,496 12,042,037 60,381,322 134,757,359
Fixed assets
under
construction and
Intangible assets
Total
Land - fields
Buildings,
building facilities
and technical
Investment
property
Machinery,
technical
installations and
Vehicles
Furniture and
other
equipment
119
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
The additions in 2021 to the Fixed assets under construction, mainly concern the investment project that is in progress from 2020 in the subsidiary Polipak and which is expected
to be completed within 2022. Furthermore, the additions to Machinery - Tech. installations & Other concern the new machinery equipment in the factory of Inofyta.
In Investment property, an amount of 3.6 million euros concerns the revaluation of the investment land in Romania, the sale of which took place in January 2022 at a price of
€4.6 million.
The net book value of the Group's intangible assets as at 31/12/2021 consists of trademarks - rights amounting to approximately 52.7 million euros (53.9 million euros on
31/12/2020) and software programs amounting to approximately 6.5 million euros (6.5 million euros on 31/12/2020).
Respectively, the net book value of the Company's intangible assets as at 31/12/2021 consists of trademarks - rights amounting to approximately 26.7 million euros (27.7 million
euros on 31/12/2020) and software programs amounting to approximately 3.8 million euros (3.7 million euros on 31/12/2020).
The fixed assets of the Group are free of encumbrances.
Acquisition cost 1.1.2021 10,683,675 49,056,398 1,033,141 40,424,444 2,542,574 13,212,025 12,042,037 75,553,838 204,548,131
Acquisitions 384,836 139,262 0 2,398,979 118,486 1,001,977 25,939,180 468,209 30,450,930
Reclassifications 0 334,819 0 3,063,336 74,146 30,649 (3,741,472) 238,521 0
Revaluation 1,380,585 1,740,110 3,635,244 0 0 0 21,554 0 6,777,493
Write-offs 0 0 0 (115,691) (21,306) (699,935) (80,589) (57,324) (974,845)
Cost of disposals 0 0 0 (54,612) (130,711) (5,074) 0 0 (190,397)
Foreign exchange differences 14,111 546,036 (36,193) 798,033 31,242 3,588 (101,332) 700,203 1,955,688
Value as at 31.12.2021 12,463,207 51,816,624 4,632,191 46,514,490 2,614,431 13,543,230 34,079,379 76,903,447 242,567,000
Land - fields
Buildings,
building facilities
and technical
Investment
property
Machinery,
technical
installations and
Vehicles
Furniture and
other
equipment
Fixed assets
under
construction and
Intangible assets
Total
Depreciations 1.1.2021 0 21,659,267 115 21,692,623 1,887,722 9,378,528 0 15,172,516 69,790,772
Depreciations for the Period 0 1,611,474 0 3,080,078 180,637 1,070,395 0 2,436,051 8,378,634
Revaluation 0 888,914 0 0 0 0 0 0 888,914
Depreciation on write-offs 0 0 0 (105,884) (13,940) (685,931) 0 (57,324) (863,078)
Depreciation of disposals 0 0 0 (37,101) (93,462) (3,519) 0 0 (134,082)
Foreign exchange differences 0 212,605 0 384,764 22,293 1,974 0 65,266 686,903
Depreciations 31.12.2021 0 24,372,260 115 25,014,480 1,983,252 9,761,448 0 17,616,508 78,748,063
Net book value as at 31.12.2021 12,463,207 27,444,364 4,632,076 21,500,010 631,180 3,781,782 34,079,379 59,286,939 163,818,937
Land - fields
Buildings,
building facilities
and technical
Investment
property
Machinery,
technical
installations and
Vehicles
Furniture and
other
equipment
Fixed assets
under
construction and
Intangible assets
Total
120
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
The right of use assets for the Group as at 31 December 2021 are as follows:
Acquisition cost 1.1.2020 295,575 11,037,268 21,685 4,163,235 94,034 15,611,797
Acquisitions 0 4,768,275 0 2,817,440 0 7,585,715
Write-offs (1,063) (421,778) (20,776) (636,979) 0 (1,080,597)
Foreign exchange differences (70,648) (413,052) (909) (77,130) (1,740) (563,479)
Value as at 31.12.2020 223,864 14,970,713 0 6,266,566 92,294 21,553,436
Land - fields
Buildings,
building facilities
and technical
Machinery,
technical
installations and
Vehicles
Furniture and
other
equipment
Total
Depreciations 1.1.2020 10,714 2,398,205 8,674 1,221,642 12,393 3,651,628
Depreciations for the Period 9,142 2,780,764 5,540 1,559,951 13,298 4,368,696
Depreciation on write-offs 0 (360,140) (13,851) (579,337) 0 (953,328)
Foreign exchange differences (3,602) (116,142) (364) (15,822) (317) (136,246)
Depreciations 31.12.2020 16,255 4,702,688 0 2,186,434 25,375 6,930,751
Net book value as at 31.12.2020 207,609 10,268,025 0 4,080,132 66,919 14,622,686
Land - fields
Buildings,
building facilities
and technical
Machinery,
technical
installations and
Vehicles
Furniture and
other
equipment
Total
121
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Acquisition cost 1.1.2021 223,864 14,970,713 0 6,266,566 92,294 21,553,436
Acquisitions 0 401,382 0 1,085,841 0 1,487,223
Write-offs 0 (771,702) 0 (437,228) 0 (1,208,930)
Foreign exchange differences 27,633 43,586 0 5,473 (1,468) 75,225
Value as at 31.12.2021 251,497 14,643,979 0 6,920,652 90,826 21,906,955
Land - fields
Buildings,
building facilities
and technical
Machinery,
technical
installations and
Vehicles
Furniture and
other
equipment
Total
Depreciations 1.1.2021 16,255 4,702,688 0 2,186,434 25,375 6,930,751
Depreciations for the Period 8,709 2,757,197 0 1,723,666 13,038 4,502,609
Depreciation on write-offs 0 (367,369) 0 (257,601) 0 (624,970)
Foreign exchange differences 2,394 5,643 0 2,346 (476) 9,907
Depreciations 31.12.2021 27,358 7,098,159 0 3,654,844 37,936 10,818,296
Net book value as at 31.12.2021 224,139 7,545,821 0 3,265,808 52,890 11,088,658
Land - fields
Buildings,
building facilities
and technical
Machinery,
technical
installations and
Vehicles
Furniture and
other
equipment
Total
122
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.10.22 Number of Employees
The number of employees for the Group and Company is as follows:
4.10.23 Provisions for post-employment employee benefits
The liability for post-employment benefits is presented in the Financial Statements according to IAS 19 and is based
on an actuarial study that was carried out based on 31 December 2021.
The calculations of the study were based on the following actuarial assumptions:
a. Average annual long-term inflation rate: 1.8%
b. Annual Increase of Wages: 2.0%
c. Discount rate: According to guidance of IAS 19, the discount rate for the calculation of present values, and the
investment of reserves must be defined prudently. In our case, this rate was set at 1.20%, in nominal terms.
d. Employee mobility: We assumed that no dismissals will occur and all employees will receive indemnity during
their retirement.
0-1 year
3,00%
2-5 years
2,00%
6-10 years
1,00%
11-more years
0,00%
e. Retirement ages and condition: According to the statutory provisions of the Primary Social Insurance fund of each
employee.
f. Indemnities: In application of the legal provisions of Law 4093/2012.
g. Assets for the indemnity of Law 2112/20: zero (0)
The expense for the provision for staff retirement indemnities that was recognized in the results, is as follows:
01.01 - 31.12.2021 01.01 - 31.12.2020 01.01 - 31.12.2021 01.01 - 31.12.2020
Regular employees 2,036 2,262 748 765
Day-wage employees 340 421 98 92
Total Employees 2,376 2,683 846 857
Group
Company
31.12.2021 31.12.2020 31.12.2021 31.12.2020
Current Employment Service Cost 890,019 (458,114) 898,942 (445,350)
Financial cost (44,649) (40,081) (40,785) (40,081)
Profits/(Losses) from actuarial study (28,320) (105,334) (23,245) (75,194)
Total 817,050 (603,529) 834,911 (560,626)
Further Payments 0 0 0 0
Retirement expenses 817,050 (603,529) 834,911 (560,626)
Balance of Liability at beginning of period 2,012,802 1,416,672 1,885,457 1,324,832
Retirement expenses (817,050) 603,529 (834,911) 560,626
Fx Diferrences 255 (7,399) 0 0
Closing Balances 1,196,007 2,012,802 1,050,546 1,885,457
Group
Company
123
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
A quantitative sensitivity analysis of the major assumptions as of 31st December 2021 is presented below:
4.10.24 Litigation Cases
• There are no pending or under arbitration legal cases and decisions by judicial or arbitration bodies which
may significantly affect the financial statements of the Group and the Company, apart from the case of
Marinopoulos S.A., where the Company has a claim of 2.4 million euros, that is included in the Company’s
provisions.
4.10.25 Contingent Liabilities
During the period 01.01 – 31.12.2021 there are no contingent liabilities either in the Group or the Company.
4.10.26 Contractual Obligations
Α. Guarantees
The Company has guaranteed loan liabilities of its subsidiaries.
B. Capital investment commitments
A new investment in the subsidiary company Polipak is in progress that will lead to a more automated production
process. The cost of this project for the following years and until it is completed is estimated at approximately € 25
million.
4.10.27 Events after the Balance Sheet Date
❖ Update on Ergopack
The company GR. SARANTIS S.A., operates in the Ukrainian and Russian markets through its 100% subsidiaries
ERGOPACK LLC and HOZTORG LLC accordingly.
Sales of Ergopack LLC in 2021 represent 6.7% of the Group's total sales and sales of Hoztorg LLC in 2021 represent
0.5% of the Group's total sales.
Also, based on the year 2021, the EBIT of Ergopack LLC represents 1.0% and the EBIT of Hoztorg LLC represents
-2.47% of the Group’s total EBIT.
The Group does not have any significant suppliers in Ukraine or Russia.
29,515
3%
(28,076)
-3%
(27,995)
-3%
29,131
3%
9,330
1%
(9,211)
-1%
-10%
0.50%
0.50%
10%
Obligation
Discount rate
Discount rate
Estimated salary increase
Mortality
Estimated salary increase
Mortality
-0.50%
-0.50%
124
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Having as an ultimate priority the health and safety of its employees, ERGOPACK’s production facility located in
Kaniv, was temporarily suspended from the first day of the invasion.
Since then the management has been monitoring the situation closely and has been in frequent communication
with the local team in Ukraine.
❖ Sarantis Group announced on March 2
nd
2022 that it has entered into an agreement to acquire STELLA PACK
S.A., a Polish consumer household products company.
More specifically, Sarantis Polska S.A., a 100% subsidiary of Gr. Sarantis S.A., signed an agreement for the
acquisition of 100% of the share capital of the Polish company Stella Pack S.A. The finalization of this acquisition is
subject to customary closing conditions and the approval of the antimonopoly authorities in the countries of Stella
Pack’s activity.
STELLA PACK is a leading player in the production and distribution of household products, boasting 25 years of
successful presence in the categories of Garbage Bags, Food Packaging and Cleaning items for the Household with
an annual turnover of approximately 65 million euros.
STELLA PACK contributes to the cyclical economy as it works only with recycled plastic and it owns a waste
separation line that manufactures internally own recycled plastic covering fully its production needs.
This acquisition, completely aligned with the Group’s strategic growth plan, is a great fit within the Group’s portfolio
and reinforces its position as a leading consumer products company, supporting further the Group’s geographical
footprint in its territory.
4.10.28 Foreign Exchange Differences
The operating currency of the Group is the Euro. The Company converts the statements of income of the subsidiary
companies into euro based on the average exchange rate and the balance sheets based on the closing exchange
rate as of 31
st
December.
The major foreign exchange differences that were used in the conversion of foreign transactions into euro are the
following:
31.12.2021 31.12.2020 31.12.2021 31.12.2020
US dollar 1.18 1.14 1.13 1.23
UK sterling 0.86 0.89 0.84 0.90
Polish zloty 4.57 4.44 4.60 4.61
Romanian leu 4.92 4.84 4.95 4.87
Bulgarian lev 1.96 1.96 1.96 1.96
Czech koruna 25.65 26.45 24.86 26.25
Serbian dinar 117.57 117.58 117.58 117.58
Macedonian dinar 61.63 61.67 61.63 61.69
Hungarian florint 358.57 351.12 369.00 365.13
Bosnia-Herzegovina
convertible marka
1.96 1.96 1.96 1.96
Ukrainian hryvnia 32.30 30.80 30.92 34.74
Russian rouble 87.19 82.45 84.07 90.68
Average rate for the period ended
Spot rate as at
125
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.10.29 Related party transactions
The most significant transactions between the Company and its related parties, as such are defined by International
Accounting Standard 24, are presented below.
Subsidiaries
Trade receivables
31.12.2021 31.12.2020
Sarantis Belgrade D.O.O 0 88,281
Sarantis Banja Luca DOO 0 197
Sarantis Skopje D.O.O 0 245
Sarantis Bulgaria LTD 81,140 153,617
Sarantis Romania S.A. 896,889 582,200
Sarantis Polska S.A. 467,272 723,296
Sarantis Czech Republic sro 1,241,239 1,422,939
Polipak SP.Z.O.O. 8,526 47,530
Sarantis Slovakia S.R.O 64,936 320,150
Ergopack LLC 852,186 1,108,875
Sarantis Hungary Kft. 244,783 303,954
Sarantis Portugal Lda 671,346 1,119,722
Elode France SARL 31,042 27,734
Total 4,559,359 5,898,740
Company
Trade Liabilities
31.12.2021 31.12.2020
Sarantis Belgrade D.O.O 963,891 1,067,589
Sarantis Banja Luca DOO 0 5,648
Sarantis Skopje D.O.O 676,358 301,140
Sarantis Bulgaria LTD 1,769 0
Sarantis Romania S.A. 7,293 10,687
Sarantis Polska S.A. 583,828 629,875
Sarantis Czech Republic sro 3,143 0
Polipak SP.Z.O.O. 746,010 321,052
Sarantis Slovakia S.R.O 7 0
Ergopack LLC 0 470
Sarantis Hungary Kft. 5,608 10,626
Sarantis France SARL 45,630 48,960
Total 3,033,537 2,396,047
Liabilities from loans
31.12.2021 31.12.2020
Sarantis Bulgaria LTD 2,250,742 7,501,237
Sarantis Romania S.A. 4,501,484 15,002,474
Sarantis Polska S.A. 2,250,742 7,501,237
Waldeck LTD 562,373 558,255
Total 9,565,342 30,563,203
Grand Total Liabilities 12,598,879 32,959,250
126
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Income from sale of merchandise
01.01 - 31.12.2021 01.01 - 31.12.2020
Sarantis Belgrade D.O.O 1,940,193 2,474,368
Sarantis Skopje D.O.O 611,738 681,104
Sarantis Bulgaria LTD 1,756,835 2,051,024
Sarantis Romania S.A. 5,404,913 6,377,369
Sarantis Polska S.A. 6,226,631 6,766,827
Sarantis Czech Republic sro 4,987,002 4,793,629
Sarantis Slovakia S.R.O 1,733,014 1,121,558
Ergopack LLC 771,976 1,478,184
Sarantis Hungary Kft. 883,270 1,058,339
Sarantis Portugal Lda 804,948 1,041,381
Total 25,120,521 27,843,780
Income – Interest
01.01 - 31.12.2021 01.01 - 31.12.2020
Ergopack LLC 0 53,849
Total 0 53,849
Other Income
01.01 - 31.12.2021 01.01 - 31.12.2020
Sarantis Belgrade D.O.O 180,881 202,308
Sarantis Banja Luca DOO 8,501 4,695
Sarantis Skopje D.O.O 23,639 20,350
Sarantis Bulgaria LTD 34,992 27,669
Sarantis Romania S.A. 102,814 79,059
Sarantis Polska S.A. 583,281 421,105
Sarantis Czech Republic sro 183,365 123,851
Polipak SP.Z.O.O. 76,001 34,435
Sarantis Slovakia S.R.O 61,545 39,454
Ergopack LLC 149,328 309,685
Sarantis Hungary Kft. 75,801 92,700
Sarantis Portugal Lda 58,172 78,297
Total 1,538,320 1,433,608
Grand Total Income 26,658,841 29,331,237
Purchases of Merchandise - Services
01.01 - 31.12.2021 01.01 - 31.12.2020
Sarantis Belgrade D.O.O 1,443 35,041
Sarantis Banja Luca DOO 0 5,648
Sarantis Bulgaria LTD 4,526 0
Sarantis Romania S.A. 61,011 27,525
Sarantis Polska S.A. 1,976,184 2,222,215
Sarantis Czech Republic sro 3,515 6,579
Polipak SP.Z.O.O. 3,532,768 3,457,936
Sarantis Slovakia S.R.O 1,431 0
Ergopack LLC 0 2,541
Sarantis Hungary Kft. 5,675 11,177
Total 5,586,553 5,768,661
127
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
It is noted that related party transactions are done at market purchase prices.
Expenses – Interest
01.01 - 31.12.2021 01.01 - 31.12.2020
Sarantis Bulgaria LTD 127,068 180,452
Sarantis Romania S.A. 254,137 360,904
Sarantis Polska S.A. 127,068 180,452
Waldeck LTD 15,687 22,120
Total 523,960 743,929
Other Expenses
01.01 - 31.12.2021 01.01 - 31.12.2020
Sarantis Bulgaria LTD 2,445 0
Sarantis Romania S.A. 4,891 0
Sarantis Polska S.A. 2,445 0
Total 9,781 0
Grand Total Expenses 6,120,295 6,512,590
Table of Disclosures of Related Parties
Group Company
a) Income 0 26,658,841
b) Expenses 0 6,120,295
c) Receivables 0 4,559,359
d) Liabilities 0 12,598,879
e) Transactions and remuneration of senior executives and management
2,174,257 2,174,257
f) Receivables from senior executives and management 84,778 84,778
g) Liabilities towards senior executives and management 0 0
h) Receivables from affiliates 178 178
i) Liabilities to affiliates 0 0
128
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.10.30 Business Units and Geographical Analysis Tables
4.10.30.1 Breakdown by Business Unit
Turnover Analysis
SBU Turnover (€ mil)
FY '21
%
FY '20
Personal Care
176.31
6.04%
166.27
% of Total
43.19%
42.27%
Own
110.14
7.38%
102.57
% of SBU
62.47%
61.69%
Distributed
66.18
3.88%
63.71
% of SBU
37.53%
38.31%
Home Care
158.88
1.60%
156.39
% of Total
38.92%
39.76%
Own
155.82
1.13%
154.08
% of SBU
98.07%
98.52%
Distributed
3.06
32.83%
2.31
% of SBU
1.93%
1.48%
Private Label
22.50
1.66%
22.13
% of Total
5.51%
5.63%
Other Sales
50.50
3.96%
48.58
% of Total
12.37%
12.35%
Health Care
10.27
9.61%
9.37
% of SBU
20.34%
19.30%
Luxury Cosmetics
40.23
2.61%
39.21
% of SBU
79.66%
80.70%
Total Turnover
408.20
3.77%
393.38
129
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
EBIT Analysis
SBU EBIT (€ mil)
FY '21
%
FY '20**
Personal Care
12.26
44.18%
8.50
Margin
6.95%
5.11%
% of EBIT
26.18%
17.00%
Own
9.88
60.84%
6.14
Margin
8.97%
5.99%
% of EBIT
21.09%
12.28%
Distributed
2.38
0.87%
2.36
Margin
3.60%
3.71%
% of EBIT
5.09%
4.72%
Home Care
18.28
-17.10%
22.05
Margin
11.51%
14.10%
% of EBIT
39.05%
44.11%
Own
18.10
-17.01%
21.81
Margin
11.62%
14.15%
% of EBIT
38.66%
43.61%
Distributed
0.18
-25.25%
0.25
Margin
5.99%
10.64%
% of EBIT
0.39%
0.49%
Private Label
1.07
-69.26%
3.49
Margin
4.77%
15.78%
% of EBIT
2.29%
6.98%
Other Sales
3.40
-23.73%
4.45
Margin
6.73%
9.17%
% of EBIT
7.26%
8.91%
Health Care
2.13
21.87%
1.74
Margin
20.70%
18.62%
% of EBIT
4.54%
3.49%
Luxury Cosmetics
1.27
-53.10%
2.71
Margin
3.16%
6.91%
% of EBIT
2.71%
5.42%
Income from Associated Companies
11.81
2.69%
11.50
% of EBIT
25.23%
23.00%
Total EBIT
46.82
-6.36%
50.00
Margin
11.47%
12.71%
**Figures for 2020 have been revised due to the change in IAS19
130
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
4.10.30.2 Geographical Breakdown
Turnover analysis
Country Turnover (€ mil)
FY '21
%
FY '20
Greece
142.78
4.95%
136.05
% of Total Turnover
34.98%
34.59%
Poland
68.99
-2.59%
70.82
Poland - Polipak
22.50
1.66%
22.13
Romania
60.78
10.10%
55.20
Bulgaria
14.21
10.76%
12.83
Serbia
20.29
1.83%
19.92
Czech Republic
23.10
11.85%
20.65
Slovakia
6.06
0.25%
6.05
Hungary
10.50
2.14%
10.28
North Macedonia
4.46
11.20%
4.02
Bosnia
3.33
9.49%
3.04
Portugal
1.93
-10.17%
2.15
Ukraine
27.33
-2.60%
28.06
Russia
1.94
-10.87%
2.18
Foreign Countries Subtotal
265.42
3.14%
257.33
% of Total Turnover
65.02%
65.41%
Total Turnover
408.20
3.77%
393.38
EBIT Analysis
Country ΕΒΙΤ (€ mil)
FY '21
%
FY '20
Greece
27.73
2.11%
27.15
% of Total Ebit
59.22%
54.30%
Poland
5.07
-20.68%
6.39
Poland-Polipak
1.07
-69.26%
3.49
Romania
6.60
14.01%
5.79
Bulgaria
1.16
-23.92%
1.52
Serbia
1.90
-11.90%
2.16
Czech Republic
2.53
82.76%
1.38
Slovakia
0.21
303.13%
0.05
Hungary
0.11
-76.56%
0.45
North Macedonia
0.53
27.89%
0.42
Bosnia
-0.23
-43.72%
-0.16
Portugal
-0.08
49.91%
-0.16
Ukraine
0.27
-81.52%
1.48
Russia
-0.05
-233.03%
0.04
Foreign Countries Subtotal
19.10
-16.43%
22.85
% of Total Ebit
40.78%
45.70%
Total EBIT
46.82
-6.36%
50.00
131
ANNUAL FINANCIAL REPORT OF THE FISCAL YEAR FROM 1/1/2021 – 31/12/2021
Marousi, April 28
th
2022
THE CHAIRMAN OF
THE BOARD
CHIEF EXECUTIVE
OFFICER & BOARD
MEMBER
THE GROUP’S CHIEF
FINANCIAL OFFICER &
BOARD MEMBER
THE COMPANY’S
FINANCE DIRECTOR
THE ACCOUNTANT
DIRECTOR
GRIGORIS SARANTIS
KYRIAKOS SARANTIS
KONSTANTINOS ROZAKEAS
ANASTASIA-
STAVROULA LATSOU
EFSTATHIOS STEFAS
ID No. Χ 080619/03
ID No. ΑΙ
597050/2010
ID No. ΑΚ 783631/13
ID No. ΑΑ 128208/05
ID No. ΑI 988547/12