Podravka d.d. — Interim / Quarterly Report 2016

Oct 25, 2016

Appendix 1 Reporting period:		1.1.2016. to	30.9.2016.
		Quarterly financial report of entrepreneur - TFI-POD
Registration number (MB)	03454088
Identification number of subject (MBS)	010006549
Personal identification number (OIB)	18928523252
		Issueer company: PODRAVKA prehrambena industrija d.d., KOPRIVNICA
Postal code and place	48000	KOPRIVNICA
	Street and number ANTE STARCEVICA 32
	E-mail address: podravka@podravka.hr
	Internet adress: www.podravka.com
Code and name of comune/town	KOPRIVNICA 201
Code and county name	6	KOPRIVNIČKO-KRIŽEVAČKA	Number of employees 3541
Consolidated statement	NO		(at quarter end) NKD/NWC code: 1039
Subsidiaries subject to consolidation (according to IFRS):		Headquarters	Registration number:
Book keeping service:
Contact person: Laljek Senka	(authorised person for representation)
Phone number: 048 653 203			Fascimile: 048 220 562
	E-mail address: senka.laljek@podravka.hr
Surname and name Mršić Zvonimir	(authorised person for representation)
Disclosure documents: shareholders' equity and notes to the financial statements) 2. Interim management Report 3. Statement of responsible persons for preparation of financial statements		1. Financial statements (balance sheet, profit and loss account, cash flow statement, statement of changes in

DRAVHA
KOPRIVNICA¹⁷³

(signed by authorised person for representation)

BALANCE SHEET as at 30.09.2016.

Obligator: Podravka prehrambena industrija d.d., Koprivnica
Item	AOP code	Last year (net)	Current year (nat)
1	$\bf{z}$	3	4
ASSETS
A) RECEIVABLES FOR SUBSCRIBED BUT NOT PAID-IN CAPITAL	001	$\Omega$
B) LONG-TERM ASSETS (003+010+020+029+033)	002	1.894.605.133	1.914.612.550
I. INTANGIBLE ASSETS (004 to 009)	003	122.818.399	116.030.214
1. Assets development	004	0
2. Concessions, patents, licences fees, trade and service marks, software and other rights	005	110.590.711	109.907.002
3. Goodwill	006
4. Prepayments for purchase of intangible assets	007
5. Intangible assets in preparation	008	12.227.688	6.123.212
6. Other intangible assets	009
II. TANGIBLE ASSETS (011 to 019) 1. Land	010	829.594.913	848.049.740
2. Buildings	011	43.034.502 445.633.300	43.034.503
3. Plant and equipment	012 013	250.256.948	428.025.298 251.092.500
4. Tools, facility inventory and transport assets	014	10.567.741	9.694.210
5. Biological assets	015
6. Prepayments for tangible assets	016	11.571.631	4.406.542
7. Tangible assets in progress	017	67.808.592	111,086,246
8. Other tangible assets	018	722.199	710.441
9. Investments in buildings	019
III. LONG-TERM FINANCIAL ASSETS (021 to 028)	020	891.559.077	913.531.413
1. Investments (shares) with related parties	021	791.517.561	808.073.131
2. Loans given to related parties	022	95.481.262	102.821.433
3. Participating interest (shares)	023	994.100	340.500
4. Loans to entrepreneurs in whom the entity holds participating interests	024
5. Investments in securities	025
6. Loans, deposits and similar assets	026	3,566,154	2.296.349
7. Other long - term financial assets	027	0	0
8. Investments accounted by equity method	028	0
IV. RECEIVABLES (030 to 032)	029	0	0
1. Receivables from related parties	030	0	0
2. Receivables from based on trade loans	031	0
3. Other receivables	032
V. DEFERRED TAX ASSETS	033	50.632.744	37.001.183
C) SHORT TERM ASSETS (035+043+050+058)	034	1.324.306.673	1.457.776.314
I. INVENTORIES (036 to 042) 1. Raw-material and supplies	035	563.215.130	574.825.576
2. Work in progress	036 037	138.433.496 44.585.030	141.005.873 48.489.307
3. Finished goods	038	125.410.263	166.515.686
4. Merchandise	039	55.062.839	47.452.544
5. Prepayments for inventories	040	Ð
6. Long - term assets held for sales	041	199.723.502	171.362.166
7. Biological assets	042	$\Omega$
II. RECEIVABLES (044 to 049)	043	614.044.171	606.593.860
1. Receivables from related parties	044	359.347.835	366.202.879
2. Accounts receivable	045	216.209.194	225.005.747
3. Receivables from participating parties	046
4. Receivables from employees and members of related parties	047	1.320.499	934.268
5. Receivables from government and other institutions	048	15.436.005	639.219
6. Other receivables	049	21.730.638	13.811.747
III. SHORT TERM FINANCIAL ASSETS (051 to 057)	050	51.633.549	230.849.043
1. Shares (stocks) in related parties	051	20.000	45.878.800
2. Loans given to related parties	052	49.421.133	181.642.692
3. Participating interests (shares)	053
4. Loans to entrepreneurs in whom the entity holds participating interests	054
5. Investments in securities	055	645.000	1.007.665
6. Loans, deposits, etc.	056	1.332,498	2.319.886
7. Other financial assets	057	214.918
IV. CASH AT BANK AND IN CASHIER	058	95.413.823	45.507.835
D) PREPAID EXPENSES AND ACCRUED REVENUE	059	40.170.206	5.837.958
E) TOTAL ASSETS (001+002+034+059)	060	3.259.082.012	3.378.226.822
F) OFF-BALANCE RECORDS	061	980.151.421	1.009.179.901

Obligator: Podravka prehrambena industrija d.d., Koprivnica
Item		Last year (net)	Current year (net)
1	2	3	$\overline{A}$
LIABILITIES AND CAPITAL
A) CAPITAL AND RESERVES (063+064+065+071+072+075+078)	062	1.950.372.711	1.966.224.962
I. SUBSCRIBED CAPITAL	063	1,566,400,660	1.566.400.660
II. CAPITAL RESERVES	064	184.178.962	183.146.365
III.RESERVES FROM PROFIT (066+067-068+069+070)	065	99.642.627	141.703.654
1. Reserves prescribed by low	066	12.651.998	17.659.521
2. Reserves for treasury shares	067	147.604.502	147-604-502
3. Treasury stocks and shares (deduction)	068	66.709.496	74.958,910
4. Statutory reserves	069	0	$\overline{0}$
5. Other reserves	070	6.095.623	51.398.541
IV. REVALUATION RESERVES	071		$\Omega$
V, RETAINED EARNINGS OR ACCUMULATED LOSS (073-074)	072	$-56.821.344$	1.360.387
1. Retained earnings	073		1.360.387
2. Accumulated loss	074	56.821.344	$\Omega$
VI. PROFIT/LOSS FOR THE CURRENT YEAR (076-077)	075	156.971.806	73.613.896
1. Profit for the current year	076	156.971.806	73.613.896
2. Loss for the current year	077	$\Omega$	0
IX. MINORITY INTERESTS	078	0	0
B) PROVISIONS (080 to 082)	079	31.667.552	31.748.398
1. Provisions for pensions, severance pay, and similar liabilities	080	17.013.353	17.013.353
2. Reserves for tax liabilities	081	$\Omega$	0
3. Other reserves	082	14.654.199	14.735.045
C) LONG - TERM LIABILITIES (084 to 092)	083	634.831.994	562.392.555
1. Liabilities to related parties	084	$\overline{0}$	118.872.756
2. Liabilities for loans, deposits etc.	085
3. Liabilities to banks and other financial institutions	086	634.831.994	443,519.799
4. Liabilities for received prepayments	087	0
5. Accounts payable	088	0	0
6. Liabilities arising from debt securities	089	0	0
7. Liabilities to entrepreneurs in whom the entity holds participating interests	090	$\Omega$	0
8. Other long-term liabilities	091	0	0
9. Deferred tax liability	092	0
D) SHORT - TERM LIABILITIES (094 to 105)	093	596.989.702	760.155.232
1. Liabilities to related parties	094	11.670.539	37.233.931
2. Liabilities for loans, deposits etc.	095	498.365	422.833
3. Liabilities to banks and other financial institutions	096	257-215.121	438.263.589
4. Liabilities for received prepayments	097	38.175
5. Accounts payable	098	286.319.738	231.246.767
6. Liabilities arising from debt securities	099
7. Liabilities to entrepreneurs in whom the entity holds participating interests	100	0
8. Liabilities to employees	101	35, 358.859	31.631.337
9. Liabilities for taxes, contributions and similar fees	102	2.776.920	13.759.759
10. Liabilities to share - holders	103	676.368	676.368
11. Liabilities for long-term assets held for sale	104	$\Omega$
12. Other short - term liabilities	105	2.435.617	6.920.648
E) DEFFERED SETTLEMENTS OF CHARGES AND INCOME DEFERRED TO FUTURE PERIOD	106	45.220.053	57.705.675
F) TOTAL - CAPITAL AND LIABILITIES (062+079+083+093+106)	107	3.259.082.012	3.378.226.822
G) OFF-BALANCE RECORDS	108	980.151.421	1.009.179.901
APPENDIX to balance sheet(to be filled in by entrepreneur that prepares consolidated annual financial report)
CAPITAL AND RESERVES
1. Attributed to equity holders of parent company	109	0	0
2. Attributed to minority interest	110	0	0

PROFIT AND LOSS ACCOUNT for the period 1.1.2016. to 30.09.2016.

Obligator: Podravka prehrambena industrija d.d., Koprivnica
Item	AOP code	Last Your		Current year
		Cumulative	Quarterly	Cumulative	Quarterly
	$\mathbf{z}$	$\overline{\mathbf{3}}$	×	5	6
OPERATING REVENUE (112+113)	111	1.358.627.804	500.332.948	1.424.433.528 1 382 983 441	512,807.928
1. Sales revenue	112 113	1.316.799.080	490 347 965		502,866,602
2. Other operating revenues	114	41.828.724 1.247.621.982	9 984 983 462.002.073	41.450.087 1.328.750.938	9.941.326 471,704.911
II. OPERATING EXPENSES (115+116+120+124+125+126+129+130)	115	$-26, 288, 659$	$-25, 141, 193$	$-41,640,050$	$-31.887.259$
1. Changes in value of work in progress and finished products 2. Material costs (117 to 119)	116	871.585.615	344.656.093	925 500.314	348.384.716
a) Raw material and material costs	117	489.503.039	194.052.180	623.027.180	234.820.843
b) Costs of goods sold	118	240,036,940	97.198.096	160 332 443	61.920.270
c) Other external costs	119	142 045 636	53.405.817	142.140.691	51.643.603
3. Staff costs (121 to 123)	120	247.549.032	86.971.128	285.456.937	101.140.000
a) Net salaries and wages	121	148.706.990	53.412.323	173 035 414	62.644.018
b) Cost for taxes and contributions from salaries	122	61.612.859	20.818.943	70,479.375	23.988.110
c) Contributions on gross salaries	123	37,229,183	12,739.862	41.942.148	14.507.872
4. Depreciation	124	59,216,215	19,633,201	67.987.043	21.098.588
	125		23.765.710
5. Other costs	126	63.681.386 2.825.294	3.649.921	73.650.330	26.271.278
6. Impairment (127+128)	127			$-2.466.681$	1.545.713
a) Impairment of long-term assets (financial assets excluded)
b) Impairment of short - term assets (financial assets excluded)	128	2,825,294	3.649.921	$-2,466,681$	1,545,713
7. Provisions	129			314.643	$-216.934$
8. Other operating costs	130	29.053.099	8.467.213	19.948.402	5.368.809
III. FINANCIAL INCOME (132 to 136)	131	35.842.729	3.879.455	32.607.634	6.139.859
1. Interest income, foreign exchange gains, dividends and similar income from related parties	132	22.688.267	3.191.558	15.464.945	4.948.942
2. Interest income, foreign exchange gains, dividends and similar income from non - related parties and other entities	133	12.327.131	1.208.165	17.125.173	1.179.132
3. Share in income from affiliated entrepreneurs and participating interests	134
4. Unrealized gains (income) from financial assets	135	827.331	$-520.268$	17.516	11,785
5. Other financial income	136
IV. FINANCIAL EXPENSES (138 do 141)	137	36.052.575	12,753,481	35 399.101	8.802.278
1. Interest expenses, foreign exchange losses, dividends and similar expenses from related parties	138	6.329.751	2.504.708	6.920.797	1.779.764
2. Interest expenses, foreign exchange losses, dividends and similar expenses from non - related parties and other entities	139	29.722.824	10.248.773	27.254.432	7.311.259
3. Unrealized losses (expenses) on financial assets	140			1.223.872	$-288.745$
4. Other financial expenses	141	0
INCOME FROM INVESTMENT - SHARE IN PROFIT OF ASSOCIATED ENTREPRENEURS v.	142	$\Omega$
VI. LOSS FROM INVESTMENT - SHARE IN LOSS OF ASSOCIATED ENTREPRENEURS	143	0
VII. EXTRAORDINARY - OTHER INCOME	144	0
VIII. EXTRAORDINARY - OTHER EXPENSES	145
IX. TOTAL INCOME (111+131+142 + 144)	146	1.394.470.533	504.212.403	1.457.041.162	518.947.787
X. TOTAL EXPENSES (114+137+143 + 145)	147	1.283.674.557	474.755.554	1.364.150.039	480.507.189
XI. PROFIT OR LOSS BEFORE TAXATION (146-147)	148	110.795.976	29.456.849	92.891.123	38.440.598
1. Profit before taxation (146-147)	149	110.795.976	29.456.849	92.891.123	38.440.598
2. Loss before taxation (147-146)	150
XII. PROFIT TAX	151	15.279.892	3.285.571	19.277.227	7.901.725
XIII, PROFIT OR LOSS FOR THE PERIOD (148-151)	152	95.516.084	26.171.278	73.613.896	30.538.873
1. Profit for the period (149-151)	153	95.516.084	26.171.278	73.613.896	30.538.873
2. Loss for the period (151-148)	154	0	$\sigma$	0
APPENDIX to P&L account (to be filled in by entrepreneur that prepares consolidated financial report)
XIV. PROFIT OR LOSS FOR THE PERIOD
1. Attributed to equity holders of parent company	155	$\bf{0}$	$\Omega$	$\mathbf{O}$
2. Attributed to minority interest	156	ö	0	$\alpha$
STATEMENT OF OTHER COMPREHENSIVE INCOME (IFRS)
I. PROFIT OR LOSS FOR THE PERIOD (= 152)	157	95-516-084	26.171.278	73.613.896	30-538-873
II. OTHER COMPREHENSIVE INCOME / LOSS BEFORE TAX (159 do 165)	158			o
1. Exchange differences on translation of foreign operations	159
2. Movements in revaluation reserves of long - term tangible and intangible assets	160
3. Profit or loss from reevaluation of financial assets available for sale	161			0
4. Gains or losses on efficient cash flow hedging	162	O	0	$\overline{0}$	0
5. Gains or losses on efficient hedge of a net investment in foreign countries	163		O	$\Omega$
6. Share in other comprehensive income / loss of associated companies	164		$\Omega$	O
7. Actuarial gains / losses on defined benefit plans	165			0
III. TAX ON OTHER COMPREHENSIVE INCOME FOR THE PERIOD	166			U
IV. NET OTHER COMPREHENSIVE INCOME OR LOSS FOR THE PERIOD (158-166)	167			$\Omega$
V. COMPREHENSIVE INCOME OR LOSS FOR THE PERIOD (157+167)	168	95.516.084	26.171.278	73.613.896	30.538.873
APPENDIX to Statement of other comprenhensive income (to be filled in by entrepreneur that prepares consolidated financial report)
VI. COMPREHENSIVE INCOME OR LOSS FOR THE PERIOD
1. Attributed to equity holders of parent company	169		0	0
2. Attributed to minority interest	170		$\circ$	$\circ$

STATEMENT OF CASH FLOWS - INDIRECT METHOD

for the period 1.1.2016. to 30.09.2016.

Obligator: Podravka prehrambena industrija d.d., Koprivnica
Item		Last year	Current year
		3	4
CASH FLOW FROM OPERATING ACTIVITIES
1. Profit before tax	001	110.795.976	92.891.123
2. Depreciation	002	59.216.215	67.987.043
3. Increase in short term liabilities	003	30.208.265	8.749.209
4. Decrease in short term receivables	004
5. Decrease in inventories	005
6. Other increase in cash flow	006	9.408.304	3.337.479
I. Total increase in cash flow from operating activities (001 to 006)	007	209.628.760	172.964.854
1. Decrease in short term liabilities	008
2. Increase in short term receivables	009	144.040.379	4.241.715
3. Increase in inventories	010	36.894.359	39.971.782
4. Other decrease in cash flow	011	47.720.054	42.936.936
II. Total decrease in cash flow from operating activities (008 to 011)	012	228.654.792	87.150.433
A1) NET INCREASE IN CASH FLOW FROM OPERATING ACTIVITIES (007-012)	013	$\Omega$	85.814.421
A2) NET DECREASE IN IN CASH FLOW FROM OPERATING ACTIVITIES (012-007)	014	19.026.032
CASH FLOW FROM INVESTING ACTIVITIES
1. Cash inflows from sales of long-term tangible and intangible assets	015	4.575.640	12.123.252
2. Cash inflows from sales of equity and debt instruments	016	295.738.325	6.156.177
3. Interests receipts	017	6.136.911	5.011.815
4. Dividend receipts	018
5. Other cash inflows from investing activities	019	16.689.746	9.447.921
III. Total cash inflows from investing activities (015 to 019)	020	323.140.623	32.739.165
1. Cash outflow for purchase of long-term tangible and intangible assets	021	68.029.445	108.051.434
2. Cash outflow for acquisition of equity and debt financial instruments	022	423.498.081	11.402.307
3. Other cash outflow for investing activities	023	51.483.365	108.594.716
IV. Total cash outflow for investing activities (021 do 023)	024	543.010.892	228.048.457
B1) NET INCREASE IN CASH FLOW FROM INVESTING ACTIVITIES (020-024)	025
B2) NET DECREASE IN CASH FLOW FROM INVESTING ACTIVITIES (024-020)	026	219.870.269	195.309.292
CASH FLOW FROM FINANCIAL ACTIVITIES
1. Cash inflow from issuing property and debt financial instruments	027	506.393.995
2. Proceeds from the credit principal, promissory notes, borrowings and other loans	028	146.151.728	399.560.828
3. Other proceeds from financial activities	029	3.011.260	3.307.617
V. Total cash inflows from financial activities (027 to 029)	030	655.556.983	402.868.445
1. Cash outflow for repayment of credit principal and bonds	031	218.461.391	281.027.930
2. Cash outflow for dividends paid	032		48.479.634
3. Cash outflow for financial lease	033	550.581	795.641
4. Cash outflow for purchase of treasury shares	034	3.571.509	12.976.357
5. Other cash outflow for financial activities	035
VI. Total cash outflow for financial activities (031 to 035)	036	222.583.481	343.279.562
C1) NET INCREASE IN CASH FLOW FROM FINANCIAL ACTIVITIES (030-036)	037	432.973.503	59.588.883
C2) NET DECREASE IN CASH FLOW FROM FINANCIAL ACTIVITIES (036-030)	038
Total increase in cash flow $(013 - 014 + 025 - 026 + 037 - 038)$	039	194.077.202
Total decrease in cash flow $(014 - 013 + 026 - 025 + 038 - 037)$	040		49.905.988
Cash and cash equivalents at the beginning of the period	041	88.785.415	95.413.823
Increase of cash and cash equivalents	042	194.077.202
Decrease of cash and cash equivalents	043		49.905.988
Cash and cash equivalents at the end of the period	044	282.862.617	45.507.835

STATEMENT OF CHANGES IN EQUITY for the period 1.1.2016. to 30.09.2016.

Obligator: Podravka prehrambena industrija d.d., Koprivnica
Item		Last year	Current year
	$\overline{2}$	3
1. Subscribed capital	001	1.566.400.660	1.566.400.660
2. Capital reserves	002	184.178.962	183.146,365
3. Reserves from profit	003	99.642.627	141.703.654
4. Retained earnings or accumulated loss	004	$-56.821.344$	1.360.387
5. Profit or loss for the current year	005	156.971.806	73.613.896
6. Revaluation of long - term tangible assets	006
7. Revaluation of intangible assets	007
8. Revaluation of financial assets available for sale	008
9. Other revaluation	009
10. Total capital and reserves (AOP 001 do 009)	010	1.950.372.711	1.966.224.962
11. Currency gains and losses arising from net investement in foreign operations	011
12. Current and deferred taxes (part)	012
13. Cash flow hedging	013
14. Changes in accounting policy	014
15. Correction of significant errors in prior period	015
16. Other changes of capital	016	612.508.803	15.852.251
17. Total increase or decrease in capital (AOP 011 do 016)	017	612.508.803	15.852.251
17 a. Attributed to equity holders of parent company	018	$\Omega$
17 b. Attributed to minority interest	019

Notes:

During 2016 the company changed its accounting policy for revenue recognition to which sales is stated in amounts that are additionally reduced by contracted cost of marketing and sales promotion with customers.