2022
2023
ANNUAL REPORT

RIAS

NASDAQ Copenhagen A/S
Postbox 1040
1007 København K
Roskilde, 12 December 2023

ANNUAL MESSAGE FOR THE FINANCIAL YEAR 2022/23

The Board of Directors of RIAS A/S is pleased to present the annual report for the fiscal year 2022/23, which was reviewed and approved today.

Revenue amounted to DKK 313.1 million, a decrease of DKK 24.6 million compared to 2021/22 however the expected lower turnover is due to the underlying trend where volumes sold are falling and prices decreasing. The demand in the industrial division has been on a lower level and with the price decreases, this division contributed to the lower turnover. Processing work is developing as expected and is at a steady level of activity compared to last year. The Building & Construction division has had higher revenue compared to what was expected but at a lower level than last year.
The financial statements are characterized by a market with high uncertainty on both supplier and customer sides. High interest and inflation are having an impact on our markets and causing customers to change their purchase behavior. Investments in the green transition and digitalization is still a high focus area and will be in the future.
EBIT amounted to DKK 16.9 million compared to DKK 21.6 million the year before.
The expectations for the EBIT in the 2023/24 financial year is in the range of DKK 16.0-18.0 million and the revenue is expected to be in the range of DKK 300-320 million.

Statement from CEO, Karsten Due:

"The year, much like the previous one, has been marked by significant challenges and global changes.

RIAS has once again proven to be a resilient and adaptable company, with our dedicated employees delivering outstanding performance.

We have strengthened our market position in strategic areas through continued investment in new technology and the recruitment of new talent.

I am proud of our organization, which has demonstrated readiness for challenges and created substantial value for our stakeholders.

We look forward to the coming year with optimism and will continue to focus on delivering value-added solutions and sustainable growth."

Management's review

4
- Introduction
- Financial highlights
- Ratios
- Presentation of the Board of Directors and the Executive Board
- Review
- Financial review
- Shareholder information and corporate governance

Financial statements 2022/23

19
- Statement of comprehensive income
- Balance sheet
- Statement of changes in equity
- Cash flow statement
- Notes to the Financial Statements

Management's statement

RIAS A/S, part of thyssenkrupp Plastics International.

thyssenkrupp Plastics International is comprised of nine companies spread across Europe with approximately 1,100 employees.

thyssenkrupp Plastics is part of the larger thyssenkrupp group, which operates worldwide.

The thyssenkrupp group has approximately 100,000 employees and a turnover of approximately 38 billion euros.

THE YEAR IN BRIEF 2022/2023

We have been through a year filled with challenges and uncertainty. But as an organisation, we have demonstrated our ability to adapt and thrive in these turbulent times. During the 2022/2023 financial year, we have managed to reach our revenue targets and even exceed them at EBIT level, which is a significant achievement in a time of financial pressure and uncertainty.

One of the key challenges that has affected us is the situation in Ukraine. The conflict in Ukraine has created geopolitical tension and financial uncertainty, which has affected our business environment and trade conditions in the region. This has required us to react quickly and carefully to these new circumstances and adapt our strategy accordingly.

Like many others, we have also faced challenges related to climate change, from extreme weather patterns to environmental impacts. These challenges underline the importance of our commitment to sustainability and environmental responsibility, a task we are very conscious of.

Despite these challenges, we have achieved a strong financial result this year. This is a result of our organisation's strength and ability to face change with determination. Our adaptability and ability to tackle challenges have been key to this success.

We look forward to continuing to evolve and meeting the challenges of the future with confidence and determination. We will continue to focus on creating value for our customers and remain "challenge-ready" in the coming years.

As the new director at RIAS, I must express my immense pride in heading an organization that is both strong and resilient. Together, we have achieved a strong outcome.

RIAS Annual Report 2022/23

THE JOURNEY CONTINUES

2022/2023 has been my first year at the helm of RIAS. I can look back on a year where RIAS has shown its strength as a company. We have been able to overcome the challenges we have faced as a consequence of the economic uncertainty in the market, both on the supplier and customer sides. RIAS is a strong company and a strong brand, but it is also important to remember that the foundation of this is all the employees who ensure that we can provide our customers with the service and products they expect from RIAS on a daily basis. With that in mind, I can proudly look back and say that the entire team behind RIAS helped ensure we have had another fantastic year where we reached our budget and even exceeded it on key metrics.

When you take over from a CEO who has been at the helm of RIAS for the past 18 years, there are some big shoes to fill, especially because Henning Hess handed over a company in good shape both in terms of turnover and earnings. That is why I am extra happy, together with the team, to be leading a RIAS company that has exhibited its strength and resilience. For me, it also says something about the quality of the employees who make sure we are essential and provide the best service to our customers every day.

I'm excited to continue that journey with the entire team and continue to develop the management team to ensure we have both the expertise and experience to lead the company into what is still regarded as a changing world.

One of the most pressing challenges we have faced was the intense competition for orders. Even though we have had access to raw materials, prices have been dropping and this has led to increased competition in our industry. This situation has put pressure on our earnings and required us to work even harder to maintain our position in the market.

Another key challenge that has shaped our year is the conflict in Ukraine, which has created geopolitical uncertainty and affected our trade relations in the region. To deal with this situation, we have had to adapt our business strategy and find new ways to navigate a complex geopolitical context.

Although we have faced these challenges, we have managed to achieve a financial result that exceeds our targets for the year. This is the result of our ability to adapt and find opportunities in these difficult circumstances. We have collaborated closely with our customers to ensure they understand the challenges we face. Our communication has been well received and accepted.

We continue to invest significantly in our future

We have expanded our production capacity and invested in sustainability by once again installing solar panels on our roof in Roskilde. With this phase 2 expansion, we have ensured that we can produce a significant portion of our needed energy, in-house. We continue our green transition, where our goal is to become climate neutral by 2030. This involves a wide range of initiatives, including energy renovation, establishing an electric car fleet, as well as a continued focus on sustainable behaviour and recycling of plastic materials.

Our digital transformation continues with full force

We continue to free up resources and use digital solutions to improve our business processes and strengthen our customer interaction. This digital transformation will also help us to be more efficient and focus on value-adding activities, both in production and in the offices.

Continue strengthening the organisation

At the same time, we continue to strengthen our organisation, partly through restructuring with the appointment of a Sales Director, but also by adding both a Sales Manager and a PTA Manager in our production unit, which has equipped us to tackle the challenges of 2024 with confidence and determination, all in line with our strategy.

Recycling plastics

This point is a repeat from last year and it is on purpose. At RIAS, we have a strong focus on what we see as our responsibility, which is to make it easier for our customers to return plastic waste through our Green Concept. In this annual report, we have included information on how much we have collected in 2022/2023 and continue to keep this high on our agenda so we can continue to offer our customers a place to return their excess materials.

Overall, despite the challenges we have faced, we are well-equipped to face the future, with both determination and innovation. We look forward to continuing to create value for our customers and navigate through an ever-changing business landscape.

Karsten Due
Managing Director
RIAS A/S

RIAS Annual Report 2022/23 5

Management's Review

Financial highlights

	2022/23	2021/22	2020/21	2019/20	2018/19
Income statement (DKK million)
Revenue	313,1	338,7	308,4	294,3	285,3
Production Costs	209,6	230,0	204,8	200,4	198,0
Gross profit	103,5	108,7	103,6	93,9	87,3
Capacity costs*	86,6	87,1	85,5	80,5	77,6
Profit before special items	16,9	21,6	18,1	13,4	9,7
Special items	0	0	1,5	1,8	0
Profit before financial income and expenses (EBIT)	16,9	21,6	16,6	11,6	9,7
Net financials	-0,9	-0,2	-0,6	-0,5	-0,3
Profit before tax	16,0	21,4	16,0	11,1	9,4
Corporation tax	3,5	4,4	3,4	2,5	2,1
Net profit for the year	12,5	17,0	12,6	8,6	7,3
Balance sheet at 30 September (DKK million)
Non-current assets	120,5	122,8	124,2	125,3	99,8
Current assets	131,9	131,4	120,9	123,2	119,5
Assets	252,4	254,2	245,1	248,5	219,3
Equity	187,2	186,2	177,3	170,5	167,7
Deferred tax	9,8	9,5	9,5	9,5	9,5
Long term Leasing liabilities	4,2	7,4	7,1	7,4	0
Short-term liabilities	51,2	51,1	51,2	61,1	42,1
Liabilities and equity	252,4	254,2	245,1	248,5	219,3
Cash flows (DKK million)
Cash flows from operating activities	26,9	22,5	7,6	29,9	16,7
Cash flows from investing activities	-4,9	-2,0	-4,7	-17,2	-4,7
Including investments in property, plant and equipment	-4,9	-2,0	-4,7	-17,2	-4,7
Cash flows from financing activities	-16,1	-12,9	-10,8	-10,5	-5,8
Total cash flows	5,9	7,9	-7,9	2,1	6,2
Average number of full-time employees	104	104	106	107	103

Capacity costs include distribution and administrative expenses.
IFRS 16 was implemented with retrospective effect and therefore no adjustment of comparison figures from 2018/19 and backwards have been done.

RIAS Annual Report 2022/23

Management's Review

Ratios

	2022/23	2021/22	2020/21	2019/20	2018/19
Key figures
Gross margin	33%	32%	34%	32%	31%
Profit margin before special items	5%	6%	6%	5%	3%
Profit margin	5%	6%	5%	4%	3%
Return on assets	8%	10%	7%	6%	5%
Profit per DKK 100 share	54.2	73.5	55	37	32
Dividend per DKK 100 share	37	50	35	25	25
Equity value per DKK 100 share	812	808	769	740	727
Return on equity before tax	9%	12%	9%	7%	6%
Return on equity after tax	7%	9%	7%	5%	4%
Solvency ratio	74%	73%	72%	69%	76%
Market price per DKK 100 share at 30 September	670	570	645	450	434

The ratios have been calculated in accordance with the definitions below. Profit per share which has been calculated in accordance with IAS 33.

Definition of financial ratios:

Gross margin is calculated as gross profit in percentage of revenue.

Profit margin before special items is calculated as profit before special items in percentage of revenue.

Profit margin is calculated as profit before financials in percentage of revenue.

Return on assets is calculated as profit before financials in percentage of average operating assets for the year, ie of total assets less cash at bank and in hand and fixed asset investments.

Profit per DKK 100 share is calculated as profit for the year divided by 1/100 of the share capital after deduction of the Company's holding of treasury shares at 30 September.

Dividend per DKK 100 share is calculated as dividend divided by 1/100 of the share capital after deduction of the Company's holding of treasury shares at 30 September.

Equity value per DKK 100 share is calculated as equity at 30 September divided by 1/100 of the share capital after deduction of the Company's holding of treasury shares at 30 September.

Return on equity before tax is calculated as profit before tax in percentage of average equity for the year.

Return on equity after tax is calculated as net profit for the year in percentage of average equity for the year.

The solvency ratio it calculated as equity at 30 September in percentage of total assets at 30 September.

RIAS Annual Report 2022/23

Management's review

Board of Directors

1) Astrid Meicherczyk
Chairman
Joined the Board of Directors in September 2021 (1968 F)
Non-independent

Directorships in other companies:
CEO Operating Unit Plastics
Europe, thyssenkrupp Materials Services GmbH

Member of the board of Directors:
thyssenkrupp Materials
Nederland B.V., Amsterdam, Netherlands

thyssenkrupp Plastics Belgium
N.V./S.A., Lokeren, Belgium

Member of the Supervisory Board:
SteelBuy Ltd Third Floor
Friars Gate
1011 Stratford Road Shirley
Solihull B90 4BN

2) Peter Sørensen
Vice-chairman
Joined the Board of Directors in January 2023 (1968 M)
Non-independent

Directorships in other companies:
Partner, Lund Elmer Sandager, København

Member of the board of Directors:
A/S Rørkær, København (Chairman)
Aktieselskabet P. Hatten & Co. (Chairman)
CNH Industrial Danmark A/S (Chairman)
Dansk Centralkontor for Sommerhus-Udlejning ApS (Chairman)
DCSU A/S
Ejendomsselskabet
Nørrebrogade 43 A/S (Chairman)
CA Auto Finance Danmark A/S
HHM A/S (Chairman)
HHM Holding A/S (Chairman)
IC Nordics A/S (Chairman)
Iveco Danmark A/S (Chairman)
Iveco Sweden AB (Chairman)
Iveco Norge AS (Chairman)
Iveco Finland OY (Chairman)
Intra A/S (Chairman)
L. Hasselkjær Invest ApS (Chairman)
M.S. HOLDING A/S
NORLIP A/S
SPPC A/S (Chairman)
Rørkærfonden "Erhvervsdrivende" (Chairman)

3) Dieter Wetzel
Member of the board of Directors
Joined the Board of Directors in January 2010 (1961 M)
Non-independent

Directorships in other companies:
CFO Operating Unit Plastics
Europe, thyssenkrupp Materials Services GmbH
CFO, thyssenkrupp Plastics GmbH, Essen, Germany

Member of the board of Directors:
thyssenkrupp Plastics Belgium
nv/sa, Belgium

5) June Svendsen
Member of the Board of Directors
Employee representative (1970 F)
Joined the Board of Directors in December 2014

4) Nicolas Neuwirth
Member of the board of Directors
Joined the Board of Directors in January 2022 (1965 M)
Non-independent
CEO, thyssenkrupp Plastics GmbH, Essen Germany

6) Søren Koustrup
Member of the Board of Directors
Employee representative (1958 M)
Has left the Board of Directors in December 2023

7) Jette Duus
Member of the Board of Directors
Employee Representative (1972 F)
Joined the Board of Directors in December 2023

RIAS Annual Report 2022/23

Management's review

Executive Board

Karsten Due
CEO

Dannie Michaelsen
CFO

Management

Anders Topp
CSO

Lars Danner Hansen
Factory & Warehouse Manager

Niklas Thomas Jensen
Purchasing Manager

Mikkel Koefed
Internal Executive Advisor

Mette Nygaard Jensen
EA/HR

RIAS Annual Report 2022/23

313 Mio
Revenue (339 Mio)

16.9 Mio
EBIT before special items (21.6 Mio)

26.9 Mio
Cash Flow from operating activities (22.5 Mio)

37 DKK/share
Proposed dividend (50 DKK)

5%
EBIT-margin before special items (6%)

RIAS Annual Report 2021/22

Management's Review

Review

Mission

RIAS A/S' mission is to supply plastic materials and high-quality processing of plastics in Scandinavia.

The company operates with two product areas:

Sale, processing and distribution of semi-finished plastic products to all branches of the building and construction sector.
Sale, processing and distribution of semi-finished plastic products to industry and the public sector.

Long-term objective

RIAS A/S' long-term objective is to increase its market value through organic growth and the expansion of existing business areas and to provide shareholders with a competitive return on their invested capital.

A review of the EBIT expectations for 2022/23, published in the 2021/22 Annual report and the revised adjustment to the expectations published 28 September 2023 shows that the company is within the range of the latest stated expectations for the result which was an EBIT of DKK 16.5 – 17.0 Mio. This was achieved despite a very competitive market and a financial year with increasing prices for materials, freight and energy.

The expectations for turnover in 2022/23 published in the annual report of 2021/22 was in the range of DKK 300 – 320 Mio.

The actual turnover in 2022/23 reached DKK 313 Mio. which is within the range published in 2021/22.

Expectations for 2023/24 and forward

In the 2023/24 financial year, we will continue to focus our efforts on optimizing the organization and increasing the growth in market share. During 2022/23 we have seen an unstable and volatile macroenvironment affecting the global economy, with inflationary effects on raw materials, energy prices and logistics costs. The Board of Directors expect this will continue in 2023/24 and on that basis The Board of Directors expects turnover in the range of DKK 310 – 330 Mio. an EBIT result for the 2023/24 financial year in the range of DKK 16 – 18 Mio.

In the years to come the Board of Directors expects the revenue to grow with 6.1% from 2023/24 to 2025/26 due to investments in strategic areas with increasing EBIT as well.

The assumptions for future growth is also mentioned in the note related to impairment of goodwill on page 33.

Particular risks

Operational risks

Unforeseen price fluctuations and reduced business activities with major clients could have a negative impact on the company compared to the expectations for the result, but such risks are normal in a trading company. Supply chain disruptions due to the war in Ukraine, the Middle East or other major incidents could result in loss of revenue. The company try to mitigate this risk by dual sourcing on most materials.

Financial risks

There is no speculation in financial risks, and the company's management is only dealing with the management of the financial risks that are a direct consequence of RIAS A/S' operations and financing. The company owns no derivatives.

Interest rate risks

The company does not have interest rate positions to hedge interest rate risks, as moderate changes to the interest rate environment will have no significant impact on earnings.

Credit risks

The company's credit risks are associated with receivables from sales and services.

It is the company's policy to have credit insurance for receivables from sales and services to the greatest extent possible. Receivables from sales and services are assessed on an ongoing basis and write-downs are made when required. The company uses Danske Bank and has funds deposited in excess of the government deposit guarantee amount.

Currency risks

The company is only impacted by currency risks to a limited extent. Almost all business is conducted using DKK, SEK or EUR. As the currency risk for the DKK/EUR is considered very tight, the company does not hedge its net EUR debt. The company buys and sells in SEK, and these transactions are thus impacted by the DKK/SEK exchange rates.

The management follows the SEK currency development very closely but assesses this risk to be minimal, as the number of transactions in SEK are not a major proportion and thus do not justify hedging of future purchases and sales in SEK.

Liquidity risks

The company only has debt that is due within one year, cf. the balance sheet. The payment of this debt, DKK 51 Mio. can be fully covered by payments from receivables and bank deposits.

Knowledge resources

The company possesses specific knowledge and competences in the selling of semi-finished plastic products and knowledge about processing such products.

The company is focused on attracting, retaining and developing well-trained and motivated employees who can help to ensure that the core value of providing customers with the best possible service is maintained.

On average, the company has employed 104 full-time employees in 2022/23, which is the same as in 2021/22. The company employs 106 full-time employees as at 30 September 2023, which is the same as at 30 September 2022.

IT security risks

Globally and across most industries, a significant increase in cyber-criminal activity, such as phishing campaigns and malicious websites, is taking place. Cyber threats like cybercrime and cyberattacks are real and could have a major business impact, including affecting RIAS' operations, delivery performance and competitive advantage. RIAS is continuously improving its measures to monitor and respond to potential breaches and cyberattacks. On a regular basis, we conduct both internal and external security assessments, including vulnerability assessments, penetration testing and threat hunting.

RIAS Annual Report 2022/23 11

Management Review

Financial Review

Income statement Revenue

Revenue decreased by DKKt (DKK thousand) 25,583 from DKKt 338,727 in 2021/22 to DKKt 313,144 in 2022/23.

The revenue in the Industrial Division decreased by DKKt 19,756 and the revenue in the Building & Construction Division decreased by DKKt 5,838 in 2022/23.

The decrease in revenue from the Industrial Division is a reflection of price decreases for raw materials and a lower demand in certain areas of the industry. The development shows major differences in demand from different industries where especially the industry for visual communication has been decreasing. Sales in the processing area are in line with the established expectations.

The sales of the company's Building & Construction products have been better than expected but at a lower level than in 2021/22 due to price decrease in the market compared to 2021/22.

Gross result

The gross profit percentage has increased compared to 2021/22 and this is partly due to lower prices for materials and a different sales mix.

Distribution and administration costs (capacity costs)

Costs have decreased by DKKt 527 from DKKt 87,117 in 2021/22 to DKKt 86,590 in 2022/23. Measured as a percentage of revenue, capacity costs were at 27.6% which is higher than last year and is partly due to still having high costs for developing the business and having a transition period with two CEOs. Further costs for a green transition in the usage of energy and higher salary increases than the years before has also been a reason for the increase of cost%.

Special items

In this financial year the company has had no costs that the management designate as "special items".

Tax on the year's result

The effective tax percentage for 2022/23 amounts to 21.8% compared to 21.7% in 2021/22.

Balance sheet Intangible assets

Intangible assets decreased due to depreciation and no investments. As of 30 September 2023, the amount was DKKt 53,197 compared to DKKt 53,352 as at 30 September 2022. The most significant intangible asset is goodwill, amounting to DKKt 53,085 which can be attributed to the acquisition of the activities in Rodena A/S and Nordisk Plast A/S. The goodwill values have been subject to an impairment test, which is described in more details in note 11 of the accounts.

As of 30 September 2023, software amounted to DKKt 86 compared to DKKt 179 as at 30 September 2022, as no new software investments have been made.

Tangible assets

Tangible assets increased from DKKt 57,577 as at 30 September 2022 to DKKt 58,693 as at 30 September 2023. The company made investment during the year for safety and fire protection on Roskilde site. Investment in new machines in processing department and focused on optimizing the current machines.

Additional solar panels in Roskilde, has also been part of the investments in the financial year.

Leasing assets

Contracts considered as leasing under IFRS 16 have been recognised at a value as at 30 September 2023 of DKKt 8,570 which is DKKt 3,239 lower as at 30 September 2022 and is mainly due to rental agreement in Assentoft. Leasing mainly consists of the recognition of a rental contract.

Low value and short-term contracts are not recognised here, but included as an operational cost.

Inventories

Inventories increased by DKKt 4,183 from DKKt 24,205 as at 30 September 2022 to DKKt 28,388 as at 30 September 2023. The company is continually focused on adjusting its inventory so that it matches the current market.

Receivables

Receivables decreased by DKKt 9,169 from DKKt 67,299 as at 30 September 2022 to DKKt 58,130 as at 30 September 2023. Receivables decreased due to lower activity compared to the same period last year.

Liabilities

Liabilities decreased by DKKt 2,732 from DKKt 67,929 as at 30 September 2022 to DKKt 65,197 as at 30 September 2023 mainly due to a lower level of lease liability for rental of warehouse.

Cash flow Operating activity

Cash flows from operating activities increased by DKKt 4,258 from DKKt 22,714 in 2021/22 to DKKt 26,972 in 2022/23. The difference in cash flow is mainly from changes in working capital.

Investment activity

The company has invested in operational machinery for processing and fire protection on the site in Roskilde.

Investments are higher than last year and cash flows to investment increased by DKKt 2,887 compared to prior year.

Liquidity reserves

Overall, the company's liquidity reserves increased by DKKt 5,935 compared to prior year.

RIAS Annual Report 2022/23

Management Review

Shareholder information and corporate Governance

Shareholder information

Statutory Statement on Corporate Governance under section 107b of the Danish Financial Statements Act.

Company Management believes that corporate governance is a key element and currently seeks to improve the Company's management structure. The overall framework for the Management of RIAS A/S has been planned with a view to ensuring that the Company meets its obligations towards shareholders, customers, employees, authorities and other stakeholders in the best possible way and that long-term value creation is supported.

The Board of Directors of RIAS A/S currently works on ensuring that the Company complies with the policies and procedures laid down by the Committee of Corporate Governance which NASDAQ Copenhagen requires be applied. The Board of Directors discusses how the Company's corporate governance in practice at any time ensures that the management of RIAS A/S meets the highest standard and that the work of the Board of Directors supports the Company's future business potential.

Openness is a key factor.

The Board of Directors has chosen to publish the Statutory Statement on Corporate Governance under section 107b of the Danish Financial Statements Act on the Company's website.

Links to the account on good corporate governance:

Applicable account (2023): https://www.riasnordic.com/investor-relations/2023

The Committee for Good Corporate Governance:

Link to recommendations:

https://corporategovernance.dk/sites/default/files/2023-08/Danish-recommendations-corporate-governance-02122020.pdf

The Board of Directors overall approach towards NASDAQ Copenhagen's recommendations for good corporate governance are found on RIAS A/S' website. This statutory account of corporate governance covers the accounting period from 1 October 2022 to 30 September 2023 and is part of the management's report. The statutory account is not covered by the declaration from the independent auditor.

RIAS A/S has in this connection chosen to compare the company's account of good corporate governance with the Committee's recommendations of December 2020. This creates the best possible overview of which recommendations RIAS A/S has chosen to follow completely and which recommendations the company has chosen not to pursue or which are still being worked on.

For a more detailed account:

https://www.riasnordic.com/Admin/Public/DWSDownload.aspx?File=%2fFiles%2fFiler%2frias%2finvestor-relations%2fRemuneration-policy2022-UK.pdf

Tasks and responsibilities of the Board of Directors

The work done by the Board of Directors is specified in the rules of procedure which are evaluated at least once per year. RIAS A/S complies with the recommendation regarding members and the rules of procedure being adjusted to the company's needs. The Board of Directors meets four times per year or more as needed. This process ensures that the management can react quickly and effectively to external conditions. Five meetings were held in the 2022/23 financial year, including the company's ordinary annual general meeting in January 2023.

Composition of the Board of Directors

The Board of Directors consists of six members, of which two are elected by the company's employees. The board members elected by the annual general meeting are elected for a one-year term at a time. The Board of Directors has evaluated the personal capacity of each individual board member and finds that they are managing their tasks in the board of RIAS A/S in a sound manner. None of the board members elected by the annual general meeting are independent as defined in the recommendations, as the board members are elected based on the company's ownership structure.

Executive Board

The Executive Board is appointed by the Board of Directors, which specifies the Executive Board's terms of employment. The Executive Board is responsible for the day-to-day operations of RIAS A/S, including RIAS A/S' activity-related and operational development, its results and its internal affairs. The Board of Directors' delegation of responsibility to the Executive Board is specified in the company's rules of procedure and the Danish Companies Act. RIAS A/S' Executive Board consists of two persons.

Remuneration for the Board of Directors and Executive Board

The Board of Directors has adopted a very simple remuneration policy for both the Board of Directors and the Executive Board. The remuneration policy for the Board of Directors does not contain any incentive-based remuneration or other variable components.

The Board of Directors for RIAS A/S is not covered by any bonus or option schemes. The total annual remuneration for the Board of Directors is approved by the annual general meeting in connection with the approval of the annual report.

In 2022/23, the remuneration for the Executive Board consisted of a base salary plus usual fringe benefits such as a car and phone plus an annual bonus, and this is described in the remuneration report. The Executive Board's terms of employment, including remuneration and terms for dismissal/resignation are assessed as being in accordance with normal practices for positions of this nature.

Link to remuneration policy and remuneration report:

https://www.riasnordic.com/Admin/Public/DWSDownload.aspx?File=%2fFiles%2fFiler%2frias%2finvestor-relations%2fRemuneration-policy2022-UK.pdf

Audit committee

The Board of Directors of RIAS A/S also serve as the audit committee.

The audit committee's overall objective is to minimize the risk of significant errors in the financial reporting - both internally and externally. In practice, this takes place by analyzing the internal control environment, financial reporting, accountancy, the applied accounting practices and the submission of interim and annual reports in general.

The audit committee focuses on a continuing development of the control environment and a continual assessment of the business processes and financial and accounting-related matters that have a significant impact on the accounting information.

The external auditor can also be summoned to the audit committee's meetings. Four meetings were held in 2022/23 and the external auditor participated in one without the presence of the management.

RIAS Annual Report 2022/23

Management Review

Shareholder information and corporate Governance

ESG for 2022/23

Besides informing our stakeholders of our ESG work, this report also serves as our statutory CSR report pursuant to Sections 99(a) and 99(b) in the Danish Financial Statements Act.

At RIAS, we have always strived to act responsible and to create value in a decent and credible manner. It is deeply embedded in our DNA and it has been a fundamental factor in the company's development – also long before governance, the UN's Sustainable Development Goals and the climate debate were put near the top of the agenda. See "Mission" page 11.

Over the last many years, we have continually worked towards reducing our energy consumption, we have improved employee working conditions and we have had a good and responsible management culture. Shared responsibility and initiatives in, among other things, climate and environmental impacts, employee conditions and governance issues are continuing at full capacity, and this is an important part of the everyday lives of our managers and employees who are all assuming a great deal of responsibility.

At RIAS, we make a commitment to behaving decently and credibly. We believe that results are made through people who responsibly contribute to ensuring our common future, and we have always prioritised doing things the right way.

At RIAS, we believe that a company's activities have a critical impact on the development of a sustainable society. We aim to proactively improve the environmental, social and governance conditions, particularly in the areas that are naturally associated with our business.

Our values, together with the UN's Global Compact principles, form the basis for our approach to ESG and is a testimony to the fact that ESG has always been an integral part of RIAS for the purpose of creating real value for society as a whole via the company's ESG work.

ESG strategy in accordance with the UN's Sustainable Development Goals (SDGs)

The UN's SDGs reflect a desire to create a better world. The 17 SDGs are the cornerstone of the UN's "Agenda 2030" and specify the direction of the work.

RIAS has a particular focus on the SDGs that are most relevant to our stakeholders and our business, as this is where we believe we can make the biggest difference. In order to meet the risks of this increased focus and the possibilities associated with sustainability, we have decided to launch sustainability targets that create a close connection between our company and the SDGs.

We have specified measurable and ambitious targets for SDG 7 concerning renewable energy and SDG 12 concerning consumption and production. These are described in the section about the environment and climate below.

Risks

Below is an overview of the most important risks and actions for each of the UN's Global Compact principles and the specified policy areas.

Human rights:

Risk: The company mainly relies on suppliers from within Europe, and the risk of failure to comply with human rights and labour rights is minimal.
Action: All suppliers are asked to fill out a Supplier Code of Conduct that emphasises human rights and labour rights. Only the suppliers who fulfil the requirements of this code of conduct are used.

Labour:

Risk: Our employees' safety is a risk factor since we have warehouses and production facilities.
Action: The management is continually focused on safety and we are working to improve this further via education and training.

Environment and climate:

Risk: Our own processing and purchasing of raw materials from suppliers involves a risk of negative environmental impacts.
Action: We are systematically working on reducing our environmental impact from our warehouses and processing activities and we encourage our suppliers to do the same. We have introduced an ambitious target being climate neutral by 2030 and we are continuously investing in initiatives to meet this target.

Anti-corruption work:

Risk: Legal violations relating to corruption can result in major financial losses and a poor reputation.
Action: Targeted training in business ethics and anti-corruption work for selected high-risk areas such as the sales team. Continuous monitoring of changes to legislation concerning anticorruption work and the implementation of applicable rules. Updating the Code of Conduct, also for suppliers. Available whistleblower hotline. Online training in anti-trust and compliance for all employees.

Environment and climate

Protecting the environment is important to RIAS, and we make every effort to minimise negative environmental impacts and address climate change.

The company has a limited environmental impact which mainly consists of waste from products and transportation and driving in company cars and electricity consumption for the company's processing work, offices and warehouses.

The company is working in a targeted manner to reduce its environmental impact from PVC waste, and here the company has a partnership with the organisation Wuppi which collects and disposes PVC in a sustainable fashion.

During 2022/23 RIAS continued to introduce Green Concept which is an offer to customers who are unable to send their plastic scrap to recycling. RIAS collect the scrap and makes sure that it gets recycled. During 2022/23 41 tons of scrap have been collected and delivered to recycling. This scrap would most likely otherwise have been considered to be waste.

RIAS makes every effort to make environmental considerations an integral part of our activities. Our work with reducing climate emis

RIAS Annual Report 2022/23

Management Review

Shareholder information and corporate Governance

sions is focused on, but not limited to, energy, heating, behaviour and transport. The work with reducing our environmental impact is focused on, but not limited to, responsible purchasing, responsible packaging and waste management. Our goal is to reduce the negative climate and environmental consequences of our activities, and we expect the same from our suppliers. We are convinced that effective and systematic environmental initiatives create both environmental benefits and value for our stakeholders.

Target

RIAS is working towards being carbon neutral in 2030.

In 2024 the company will make a roadmap with concrete measures on how to achieve this target.

RIAS A/S is continually monitoring energy consumption levels and waste figures for the entire company in a database called WeSustain, and here the development is compared to previous years.

Results achieved

Based on input from WeSustain concerning the company's consumption in areas such as electricity, fuel and water, it is possible to calculate a carbon footprint that can be used to assess where new initiatives are needed to support the company's target of being carbon neutral in 2030.

The company is continuously working on reducing its energy consumption in its warehouses, production facilities and administration with the support from energy consultants who gives advice on the newest technology and where it makes sense to reduce our energy consumption with the biggest impact.

By tracking our energy consumption and the CO2 output we are able to work more efficient towards our goal in 2030.

In 2024 the company will conduct an energy check with external consultance as requested every 4th year.

RIAS has the following energy consumption split by source. The emissions are calculated on the basis of energy consumption and CO2 emissions are calculated using the GHG Protocol methodology.

Tonnage CO2	CO2 emissions by source
	2022/23	2021/22	2020/21	2019/20	2018/19
Electrical power	65	74	173	157	138
	20%	19%	32%	27%	26%
Natural gas	48	57	51	54	54
	15%	15%	9%	9%	10%
Diesel / Petrol	132	144	118	121	136
	40%	37%	21%	21%	25%
District heat	91	111	207	256	210
	28%	29%	38%	44%	39%
Total	336	386	549	588	538

Electricity consumption

The company uses a large part of its electricity consumption in its warehouses and processing work; During the last year we have been able to reduce our use of electricity and therefore also the emission of CO2 from this source. In 2022/23 the company invested in additional solar panels for the site in Roskilde. The additional solar panels were implemented in the spring of 2023 and therefore the company did not see the full effect of it during 2022/23.

In 2022/23 RIAS has been able to produce 143,415 Kwh. This production amounts to 19% of our usage of electricity.

Investments in automation of the usage of electricity in processing department has also been done which will replace manual judgement of how much energy should be used for our pumps in the department. This is estimated to reduce our usage of electricity by 20t Kwh pr year equal to 3% reduction.

Internal and external lightning has been changed to LED and a high awareness of the use of electricity among our colleagues have also contributed to a reduction in the use of electricity and will continue to be a topic for the future.

The company still expects to invest in new machinery in the future and energy usage will therefore be a big part of the choice of brand and which machine that should be invested in.

Preparation for additional charging stations have been made and foundation for up to 28 charging stations are in place. The company expects to increase the existing 4 charging stations with additional 4 during 2023/24

13% of RIAS' leased fleet is either electric or hybrid and is an increase compared to 9% 2021/22. As shown above the company still has a significant emission of CO2 from cars and therefore a strategy for a transmission from cars running on fossil fuels to electric cars are being worked on and will be implemented during Q1 in 2023/24.

In order to improve our future tracking and documenting electricity usage in RIAS, the company has installed devices on each machine and other assets that use electricity in order to track the usage when running or in standby mode so any unnatural usage can be discovered and stopped before having any waste of energy.

Heating usage

RIAS uses natural gas to heat the building in Assentoft and district heating for the buildings in Roskilde, and the company has mainly worked on reducing consumption on the Roskilde site.

Isolation and replacement of new windows during the last years have been done where needed and during Q1 of 2023/24 an inspection of the building in Roskilde will be carried out in order to see where possible potentials for improvement can be done.

Our supplier of district heating is also working on making their production more "green" and will therefore also have an indirect effect on our CO2 emission from this source in the future. The usage of natural gas in Assentoft is at a stable level and still has an emission of 48 tons CO2. The company expects that a transmission from gas to district heat also will be done in Assentoft during 2023/24 which will decrease the CO2 emission from the warehouse.

Waste

The company generates waste as part of its processing of plastics, but it is a very limited amount. RIAS is working in a targeted manner to reduce the environmental impact of PVC waste, and the company has a partnership with the organisation Wuppi, which collects and disposes of hard PVC waste in a sustainable fashion.

During 2022/23 Wuppi collected 7,144 tons of plastic waste, which was send to recycling.

During 2022/23 RIAS further introduced Green Concept which is an offer to customers who are unable to send their plastic scrap to recycling. RIAS collects the scrap and makes sure that it gets recycled. During 2022/23 40.9 tons of scrap have been collected and delivered to recycling. This scrap would most likely otherwise have been considered to be waste.

RIAS Annual Report 2022/23

Management Review

Shareholder information and corporate Governance

RIAS is continually working on finding new sustainable solutions for our products. One example of this is the PLEXIGLAS®proTerra, which is a plate that consists of 90% regenerated material without compromising on quality or properties.

Another example is lyx® Foam Eco which transforms conventional notion of green by introducing black as the new environmentally conscious hue. Crafted from PVC foam, this innovative product incorporates up to 80% reclaimed post-production waste, effectively curbing landfill contributions and establishing itself as a more sustainable option in the realm of foam PVC.

In 2022/23 RIAS introduced a product called Prism24 which can be used in the sign business. The product is 33% more energy efficient compared to previous products.

During 1st half of 2023/24 the company will introduce a certified Product Carbon Footprint calculator that will give the customers a possibility to see which footprint the products they purchase will have from production site to the customer's warehouse.

RIAS A/S aims to conduct its operations in a responsible manner and is continually working on creating coherence between the company's strategy and responsibility to the society that the company operates in. For RIAS A/S, social responsibility work is a continual process and in 2023/24 the company continues to work on structuring the required internal processes.

Based on a criticality assessment, the company is working with areas such as employees, the environment, supplier conditions and anticorruption. The overall policy is described below in addition to how the policy works in practice and, where relevant, what has been achieved.

Social factors

Ensuring good social conditions for employees is important to the company, and RIAS offers all of its employees good working conditions in accordance with applicable legislation and good practices.

There are monthly follow-ups on sick leave in order to improve well-being, and in general, the company is continually working on ensuring the best possible working environment. The total absences for the 2022/23 financial year have decreased compared to 2021/22 and are at 2.4% compared to 3.1% last year.

Workplace safety is important to the company, and there is continual investment in initiatives that improve safety at warehouses and production facilities. During 2022/23 investments done in fire protection has been done in Roskilde.

Investments have been made in equipping trucks with blue lights both front and rear so that employees can see when a truck is headed their way.

Investments have also been made on pallet racks to prevent forklifts from damaging the racks so that a breakdown of the racks can injure the workforce.

In the financial year of 2022/23 the company had one workplace accident where an employee stretched a muscle during a lift.

The company will continue to work on safety issues via daily morning meetings at warehouses and production facilities in order to ensure that the number of workplace accidents remains at zero. In the coming period, the company is expecting to complete an employee satisfaction survey to ensure that the social conditions remain good via the use of employee dialogues.

Inclusion is also important to the company, and it employs those in vocational training programmes and offers flexible working schemes (flexjob) to employees with a limited work capacity.

In addition, there are schemes for seniors offered to employees who are close to retirement.

RIAS also assumes responsibility by training young people in various job roles, and currently the company has three trainees hired in warehouses and in purchasing functions.

RIAS has a maternity leave for men that is equal to the one offered to women and by doing that exceeding the legal requirements. This has the effect that men and women have the same opportunity in this matter.

Suppliers and human rights

The company typically enters into long-term supplier relationships, and the suppliers are mainly located in Europe. An overall assessment of the suppliers also includes - besides financial and quality related assessments an assessment of whether the supplier demonstrates social responsibility, including not using child labour, etc.

All new suppliers are asked to fill out a Supplier Code of Conduct which, among other things, has questions related to human rights. In the financial year only suppliers fulfilling the requirements of the Supplier Code of Conduct have been used.

RIAS A/S has received an updated Supplier Declaration at the end of the financial year and will therefore from now on use this one for new suppliers, while also getting this updated version signed by the current suppliers.

Anti-corruption

As a company, RIAS wants to ensure that we carry out our activities in an honest manner without the involvement of corruption or bribery to gain unfair advantages. It is important that all of RIAS' activities are characterised by integrity.

Bribery and corruption harm the societies in which they take place and prevent economic growth and development.

It is RIAS' policy to comply with all applicable laws on fighting corruption and to correctly list all transactions in RIAS' financial statements and reports.

The company has zero tolerance for bribery and corruption made by employees or others acting on our behalf.

To support the policy on fighting bribery, all new employees must complete online courses in anti-trust and anti-corruption issues within three months of starting in their jobs and updated courses are continuously held for employees in RIAS A/S.

In the 2022/23 financial year, compliance e-learning courses in anti-corruption work have been held for all employees and 100% of employees completed the course.

Compliance is also an item on the agenda at board meetings, and here the Board of Directors has also been informed of the e-learning courses that have been completed.

The management group also discusses compliance issues and this is a permanent part of the agenda.

RIAS Annual Report 2022/23

Management Review

Shareholder information and corporate Governance

During 2022/23 the company expanded the whistleblower hotline so it gives any one the possibility to report on all critical issues they might observe. The hotline is available from the website RIAS.dk and therefore is an option for both internal employees and external stakeholder to use. The hotline is managed by an external partner and therefore everything can be reported strictly confidential.

There have been no whistleblower reports submitted in 2022/23. Nor has management been made aware of corruption issues by other channels, and the Board of Directors has also been notified of this.

In the 2022/23 financial year, all employees have been asked to complete e-learning courses on compliance, GDPR and IT security.

Diversity

At RIAS, we believe that a diverse workplace and an inclusive working environment is an asset for our company.

We believe that diverse teams are more innovative, make better decisions and contribute to novel thinking, and we also promote tolerance among our employees.

RIAS wants and strives to be a responsible workplace that recruits, promotes and develops its employees based on their competences and in a manner that promotes diversity.

We therefore also make every effort to ensure that our recruitment, terms of employment, promotions and any potential terminations are made without prejudice towards gender, sexual orientation, age, nationality, physical ability, handicaps, political views, ethnicity, family status, religious convictions or other ideologies. When we recruit new managers, we focus on equal terms and on identifying candidates from both genders.

How we work with diversity at RIAS:

We are continually working on ensuring diversity both in management teams and among employee groups. We work based on the following principles:

RIAS is a workplace with equal opportunities for everyone in a safe and non-discriminatory working environment.
We strive to ensure that women are represented by more than 25% among our management teams and we therefore focus on equal terms and on identifying candidates from both genders when recruiting new managers.
We comply with Danish and international human rights standards and laws regarding equal opportunity and we offer fair and equal terms in employment and working conditions, regardless of gender, ethnic origins, religious beliefs or other personal conditions.
We do not tolerate bullying, sexual harassment, discrimination, offensive behaviour or threats.
We strive to ensure that the composition of our employees is a mix of young and experienced employees who together can inspire and contribute to the development of RIAS.

Policy for the gender composition of the Board of Directors and Executive Board, cf. Section 99(b)

The current Board of Directors are elected on an annual basis, and the board members are selected based on their overall competences.

The Board of Directors currently consists of four members, of which three are men and the chairman is a woman. Therefore 25% which is in excess of the 15% target. There has thus been achieved an equitable gender distribution in the top management team.

As the registered Executive Board at present consists of two members, there is no target for the gender composition in the Executive Board.

RIAS A/S' personnel policy states that the proportion of women in other administrative bodies should be increased.

RIAS A/S is taking the following actions to achieve a more equitable gender composition among the other administrative bodies:

Work is being done to ensure at least 25% female managers in the company which was achieved in 2021/22. This is accomplished by using recruitment agencies to find the best employees and to ensure that the candidates include well-qualified women.

Making the company more attractive to managers of both genders, such as by ensuring there is an HR policy that promotes the career opportunities of both men and women, which is accomplished by offering a flexible and family-friendly workplace.

Creating a safe framework for individual career development via networks with managers in other companies, for example, via the intranet where employees can network with other managers in other thyssenkrupp companies. Our young managers are also participating in external networking groups.

There have been no changes to the management team in the financial year, and the distribution is 25% women and thus the same as last year.

Data ethics § 99 d

It is RIAS's policy to maintain the highest ethical standards and comply with all applicable data and privacy laws and regulations. Our work with data ethics is governed by the data ethics policy as well as internal policies and standard operating procedures.

As described in RIAS' Policy for data ethics, which is available at rias.dk, we at RIAS have identified a number of data ethical values that we as a company must work towards, and which can support that we always make well-considered decisions on our digital journey. The data ethical values are places on top of the relevant legislation for the area and complement RIAS' personal data policy.

The policy implies that RIAS continuously consider the advantages and disadvantages of the use of new digital solutions in relation to the data processing they entail, as RIAS is very aware that the use and processing of data must never go beyond RIAS' data ethical values and in the end, end up damaging trust in RIAS as a digitally responsible company.

Please refer to riasnordic.com/about-rias/data-ethics-policy

Tax policy

During 2022/23 the company developed a Tax policy stating how the company pay Taxes and VAT like required in the different countries the company operates in.

There is not anything new in the policy since the company always has operated in a compliant way.

RIAS' tax policy has been approved by the Board of Directors and is available on the homepage RIAS.dk

RIAS Annual Report 2022/23

Management Review

Shareholder information and corporate Governance

Share capital

The Company's share capital of DKKt 23,063 is distributed on DKKt 3,125 A-shares and DKKt 19,938 B-shares.

The A-shares, which are non-negotiable, carry 10 votes per DKK 100 share, see clause 11 of the articles of association.

The B-shares, which are negotiable, carry 1 vote per DKK 100 share, see clause 11 of the articles of association.

The B-shares are listed on NASDAQ Copenhagen, and at 30 September 2023 the price corresponding to the market price of the B-shares was DKK 133.9 Mio.

The Company has more than 200 shareholders registered by name.

The following shareholders have stated that they own 5% or more of the total capital: thyssenkrupp Facilities Service GmbH, Germany, a nominal amount of DKK 3,125,000 A-shares and a nominal amount of DKK 9,363,000 B-shares, corresponding to 54.15% of the total capital. thyssenkrupp Facilities Service GmbH holds 79.34% of the votes.

Expon Aps, a nominal amount of DKK 2,576,100 B-shares, corresponding to 11.17% of the total capital. Expon Aps holds 5.03% of the votes.

The Board of Directors and the Executive Board do not hold any shares in the Company.

"Change of control" clauses

The Company has an agreement with thyssenkrupp about the use of SAP. If the control of the Company changes due to an implemented takeover, the Company expects however to be able to reestablish an appropriate new agreement about the use of SAP in such a situation.

In case of a takeover, the period of notice will be extended by six months to the Executive Board.

Amendment of the articles of association

An amendment of the Company's articles of association requires that 2/3 of the share capital is represented at the General Meeting and that the proposed amendment is adopted by both 2/3 of the votes cast and of the share capital represented at the General Meeting.

Annual General Meeting

The Annual General Meeting will be held on 24 January 2024, at 13.00 pm CET, at the Company's address, Industriej 11, Roskilde, Denmark.

Proposals for the General Meeting:

The Board of Directors proposes that for the financial year 2022/23 dividend be distributed to the shareholders in the amount of DKK 37 per DKK 100 share of the share capital at 30 September 2023 of DKK 23,063,000, corresponding to a total proposed dividend of DKK 8,533,310.
The Board of Directors proposes to the General Meeting that the present elected board members are re-elected.
The Board of Directors proposes to the General Meeting that BDO Statsautoriseret Revisionsaktieselskab is re-elected as auditors.

Expected Stock Exchange Announcements in 2023/24

RIAS A/S expects to publish the following Stock Exchange Announcements:

12 dec. 2023: Announcement of financial results 2022/23
21 jan. 2024: Announcement of interim results
21 jan. 2024: Annual General Meeting
14 may 2024: Announcement of the half year report.
21 aug. 2024: Announcement of interim results

Contact person – Investor relations

Inquiries concerning investor relations and the share market may be directed at:

Karsten Due, CEO

Telephone: +45 46 77 00 00

E-mail: [email protected]

Statement of Comprehensive Income

Statement of comprehensive income 1 October to 30 September		Amounts in DKK '000
Note		2022/23	2021/22
3	Revenue	313,144	338,727
	Production Cost	-209,621	-230,000
	Gross profit	103,523	108,727
4-5	Distribution expenses	-73,644	-74,192
4-5	Administrative expenses	-12,946	-12,925
4-5	Profit before special items	16,933	21,610
6	Special items	0	0
	Profit before financial income and expenses	16,933	21,610
7	Financial income	313	294
8	Financial expenses	-1,252	-550
	Profit before tax	15,994	21,354
9	Corporation tax	-3,487	-4,395
	Net profit for the year	12,507	16,959
	Other comprehensive income	0	0
	Total comprehensive income	12,507	16,959
10	Earnings per share
	Earnings per DKK 100 share	54.20	73.53
	Earnings per DKK 100 share, diluted	54.20	73.53

RIAS Annual Report 2022/23 19

Balance sheet

Balance sheet assets at 30 September		Amounts in DKK '000
Note		2022/23	2021/22
	Assets
	Non-current assets
11	Intangible assets
	Goodwill	53,085	53,085
	Customer relations	26	88
	Software	86	179
		53,197	53,352
12	Property, plant and equipment
	Land and buildings	38,927	39,313
	Plant and machinery	16,019	14,709
	Other fixtures and fittings, tools and equipment	2,874	3,555
	Assets under construction	873	0
		58,693	57,577
	Leasing assets	8,570	11,809
	Total non-current assets	120,460	122,738
	Current assets
14	Inventories	28,388	24,205
15	Receivables	58,130	67,299
	Prepayments	4,720	5,149
	Cash at bank and in hand	40,714	34,779
	Total current assets	131,952	131,432
	Total assets	252,412	254,170

RIAS Annual Report 2022/23

Balance sheet

Balance sheet liabilities and equity at 30 September		Amounts in DKK '000
Note		2022/23	2021/22
	Liabilities and equity
16	Equity
	Share capital	23,063	23,063
	Revaluation reserve	1,898	1,898
	Retained earnings	153,722	149,748
	Proposed dividend	8,533	11,532
	Equity	187,216	186,241
	Liabilities
	Non-current liabilities
17	Deferred tax	9,789	9,464
13	Lease liabilities	4,238	7,699
	Total non-current liabilities	14,027	17,163
	Current liabilities
13	Lease liabilities	4,658	4,238
18	Trade payables and other payables	43,733	43,017
	Corporation tax	2,778	3,511
	Total current liabilities	51,169	50,766
	Total liabilities	65,196	67,929
	Total liabilities and equity	252,412	254,170
19	Contingencies and other financial commitments
20- 23	Other notes

RIAS Annual Report 2022/23

Statement of Changes in Equity

Amounts in DKK '000

	Share capital	Revaluation reserve	Retained earnings	Proposed dividend	Total
2022/23
Equity at 1 October 2022	23,063	1,898	149,748	11,532	186,241
Change in equity in 2022/23
Total comprehensive income	0	0	12,507	0	12,507
Dividend paid to shareholders	0	0	0	-11,532	-11,532
Proposed dividend to shareholders	0	0	-8,533	8,533	0
Total changes in equity in 2022/23	0	0	3,974	2,999	6,973
Equity at 30 September 2023	23,063	1,898	153,722	8,533	187,216
2021/22
Equity at 1 October 2021	23,063	1,898	144,321	8,072	177,354
Change in equity in 2021/22
Total comprehensive income	0	0	16,959	0	16,959
Dividend paid to shareholders	0	0	0	-8,072	-8,072
Proposed dividend to shareholders	0	0	-11,532	11,532	0
Total changes in equity in 2021/22	0	0	5,427	3,460	8,887
Equity at 30 September 2022	23,063	1,898	149,748	11,532	186,241

RIAS Annual Report 2022/23

Cash flow statement

Amounts in DKK '000

	2022/23	2021/22
Net profit for the year	12,507	16,959
Adjustment for non-cash operating items etc:
Tax on profit for the period	3,487	4,395
Depreciation and amortisation	8,738	8,714
Profit or loss on sale of property, plant and equipment and financial assets	40	62
Financial income	-313	-294
Financial expenses	1,252	550
Cash flows from operating activities before changes in working capital	25,711	30,386
Changes in inventories	-4,183	4,984
Changes in receivables (and prepayments)	9,597	-7,742
Changes in trade payables and other payables	716	112
Cash flows before financial income and expenses and tax	31,841	27,740
Financial income, received	111	578
Financial expenses, paid	-1,085	-735
Corporation tax paid	-3,895	-4,869
Cash flows from investment activities	26,972	22,714
Purchase of intangible assets	0	0
Purchase of property, plant and equipment	-4,917	-2,030
Sale of property, plant and equipment	0	0
Cash flows from investment activities	-4,917	-2,030
Installments on leasing debt	-4,622	-4,817
Paid dividend	-11,532	-8,072
Cash flows from financing activities	-16,154	-12,889
Cash flows for the year	5,901	7,795
Cash and cash equivalents at 1 October	34,779	27,084
Currency regulation cash	34	-100
Cash and cash equivalents at 30 September	40,714	34,779

RIAS Annual Report 2022/23 23

RIAS Annual Report 2022/23

Notes

Note 1. Accounting policies

RIAS A/S is a public limited company registered in Denmark. The Annual Report covers the period 1 October 2022 – 30 September 2023.

The Annual Report of RIAS A/S for 2022/23, which comprises Management's Review and Financial Statements for the period 1 October 2022 – 30 September 2023, is prepared in accordance with International Financial Reporting Standards as adopted by the EU and Danish disclosure requirements for listed companies.

On 12 of December 2023, the Board of Directors and the Executive Board discussed and adopted the Annual Report of RIAS A/S for 2022/23. The Annual Report will be presented to the shareholders of RIAS A/S for adoption at the Annual General Meeting on 24 January 2024.

Basis of preparation

The Annual Report is presented in DKK rounded off to the nearest DKK 1,000.

The Annual Report is prepared under the historical cost convention. The accounting policies described below have been applied consistently for the financial year and for the comparative figures.

Changes in accounting policies and disclosures Impact of new accounting standards

Effective from the 2022/23 financial year, the RIAS has implemented all new, updated or amended international financial reporting standards and interpretations (IFRSs) as issued by the IASB and IFRSs adopted by the EU that are effective for the 2022/23 financial year. RIAS has implemented the amendments to IFRS 7, IFRS 9 and IFRS 16 Interests Rate Benchmark Reform - Phase 2. The amendments did not have an impact on recognition or measurement.

The implementation of new, updated or amended international financial reporting standards and interpretations (IFRSs and IFRICs) did not, in all material respects, affect the financial statements.

New financial reporting standards to be adopted

New and amended standards are implemented when taking effect. Reporting standards or interpretations which are not adopted by the EU have not been applied in this annual report.

Description of applied accounting practices

Conversion of foreign currency

Transactions in foreign currency are converted at the exchange rates on the transaction date or at the approximate rate. Currency differences arising between the exchange rate on the transaction date and the rate on the date of payment are recognised in the income statement under financial revenue or costs.

Receivables, debt and other monetary balance sheet items in foreign currency are converted at the exchange rates on the balance sheet date. The difference between the rate on the balance sheet date and the rate at the time of the receivable or debt arising or the rate in the latest annual report are recognised in the income statement under financial revenue and costs.

Fixed assets purchased in foreign currency are converted using the exchange rate at the transaction date.

The annual report is submitted using DKK as the functional currency.

Income statement

Net revenue

Revenue covers the sale of tradable goods and finished goods minus cash and bulk discounts.

Revenue from the sale of goods is recognized in the income statement when all performance obligations have been fulfilled. Revenue is measured at the fair value of the agreed consideration, exclusive of VAT and taxes collected on behalf of a third party. At the time of recognition of income, a number of price adjustments are also estimated. These are recognized as a reduction to revenue.

Payment terms for receivables from sales depend on the creditworthiness of the customer, ordinary business practices and signed agreements. Some customers have payment terms with a credit period that begins once the product is shipped. Most common payment term is 30 days.

Segmentation information

The company has one operating segment and operates within two product areas:

Sale, processing and distribution of semi-finished plastic products to all branches of the building and construction sector. (Construction)
Sale, processing and distribution of semi-finished plastic products to industry and the public sector. (Industry)

Based on the IFRS 8 operational segments and internal reporting to the management in their assessment of the company's results, financial position and allocation of resources, an operational segment has been identified consisting of sales, processing and distribution of semi-finished plastic products. This reflects the management's approach to allocation of resources and its organisational management. The revenue is divided between the product areas of Building & Construction and Industry.

Production costs

Production costs include costs that are incurred to realise the revenue for the year. This includes direct and indirect costs for raw materials and consumables.

Distribution costs

Distribution costs include costs that are incurred to distribute goods sold during the year and costs for the year's completed sales campaigns, etc. Distribution costs also include costs for salespeople, advertising and exhibition costs and depreciation and write-downs.

Administration costs

Administration costs include costs that are incurred during the year for management and administration, including costs for the administrative personnel and offices plus depreciation and write-downs. Administration costs also include write-downs of receivables from sales.

Special items

The purpose of separating special items in the income statement is to improve transparency and separate special items from the regular operations.

Notes

Financial revenue and costs

Financial revenue and costs includes interest rate gains/losses, currency exchange rate gains/losses and write-downs for securities, debt and transactions in foreign currencies. It also includes supplements and payments under the on-account tax scheme.

Tax on the year's result

RIAS A/S is jointly taxed with all Danish companies in the thyssenkrupp Group. The Danish corporation tax is divided among the jointly taxed companies based on their taxable income.

RIAS A/S is an administration company for the jointly taxed Danish companies.

The jointly taxed companies are included in the on-account tax scheme. See note 19.

The tax for the year, which consists of actual taxes and deferred taxes is included in the income statement with the portion that can be attributed to the year's result and directly in the equity with the portion that can be attributed to items directly on the equity.

Balance sheet

Intangible assets

Goodwill is included in the first recognition in the balance sheet at cost price. Subsequently, goodwill is measured at cost price with deductions of accumulated write-downs. There is no amortisation of goodwill.

The book value of goodwill is allocated to the company's cash flow-generating units at the time of acquisition.

Other intangible assets are measured at cost price with the deduction of accumulated depreciation and write-downs. Other intangible assets undergo linear depreciation over the expected period of use, which is:

Customer relationships	16 years
Software	5-10 years

Property, plant and equipment

Plots and buildings, production facilities and machines, other facilities, operational materials and inventory are measured at cost price with the deduction of accumulated depreciation and write-downs.

The cost price includes the acquisition price and costs directly associated with the acquisition until the point in time where the asset was ready to use.

Subsequent costs, for example, when replacing components of a tangible asset, are included in the book value of the relevant asset when it is likely that the cost will result in future financial benefits for the company. The replaced components will cease to be included on the balance sheet and the book value will be transferred to the income statement. All other costs for regular repairs and maintenance are included in the income statement as the costs are incurred.

The cost price for an overall asset is divided into separate components that are depreciated separately if the usable periods of the individual components vary. Tangible assets are subject to linear depreciation over the expected usable period of the assets, which are:

Office and warehouse buildings	10-30 years
Production facilities and machinery	8-10 years
Other facilities, operational material and inventory	3-10 years

The scrap value for office and warehouse buildings is assessed on an ongoing basis and currently amounts to 50% of the cost price.

Plots of land are not depreciated.

The basis for depreciation is calculated considering the asset's scrap value and reduced by any potential write-downs. The scrap value is specified at the time of acquisition and revised annually. If the scrap value exceeds the assets' book value, depreciation will cease.

When the depreciation period or scrap value is changed, the impact of depreciation is then from then on recognised as an accounting estimate.

Depreciation is recognised in the income statement under, respectively, distribution and administration costs.

Impairment test of long-term assets. Goodwill is tested annually for whether it needs to be written down, the first time at the end of the acquisition year.

The book value of goodwill is tested for whether it needs to be written down in the cash flow-generating unit to which the goodwill is allocated and written down to the recoverable value over the income statement if the book value is higher.

The recoverable value is measured as the present value of the future net cash flows from the company or activity (cash flow-generating unit) that the goodwill is associated with.

The book value of the other long-term assets is assessed annually to determine if there are indications for write-downs. When such indications are present, the recoverable value of the asset is calculated. The recoverable value is the highest of the asset's fair value with deductions of expected selling costs or capital value.

The capital value is calculated as the present value of expected future cash flows from activities or the cash flow-generating unit that the asset is a part of.

A write-down is recognised when the book value of an asset or a cash flow-generating unit exceeds the activity's or the cash flow-generating unit's recoverable value. The write-down is recognised in the income statement under, respectively, distribution and administration costs. Write-downs of goodwill are recognised on a separate balance sheet item in the income statement.

Write-downs of goodwill are not reversed. Write-downs of other assets are reversed to the extent that changes have happen to the pre-requisites and estimates that led to the write-down.

Write-downs are only reversed to the extent that the asset's new book value does not exceed the book value the asset would have had after a write-down if the asset had not been written down.

Leasing assets

Leasing assets include the leasing of warehouses and office buildings, company cars, IT hardware and other office equipment.

Whether a contract contains a lease contract is assessed at the commencement of the contract. For identified leasing contracts, a right of use for a leased asset is recognised along with associated leasing obligations at the start date of the lease.

In the first recognition, the right of use is measured at cost price matching the leasing obligation that has been recognised, adjusted

RIAS Annual Report 2022/23 25

RIAS Annual Report 2022/23

Notes

for any leasing prepayments or directly related costs, including removal and restoration costs. The leasing obligation is measured at the present value of leasing payments in the leasing period, discounted using the implicit interest rate in the leasing contract. In cases where the implicit interest rate cannot be determined, the company's marginal lending rate is used.

When there is an extension of the leasing period, options are only recognised if it is reasonably certain that they will be exercised. The majority of the extension and termination options in the contract can only be exercised by the company and not the respective lessor.

For subsequent measurements, the right of use is used with deduction of accumulated depreciations and write-downs and adjusted for any potential re-measurements of the leasing obligation. Depreciation is only made based on the linear method over the leasing period of right of use period, whichever is shortest. The leasing obligation is measured at amortised cost price when using the effective interest rate method and adjusted for any potential re-measurements or changes made to the contract. Any potential service elements that can be separated from the lease contract are recognised separately from the lease contract. For service elements that cannot be separated from the lease contract, the payments for these are recognised as part of the leasing obligation.

The right of use for assets and leasing obligations are not recognised if the leasing agreement concerns low-value assets or if the leasing period is 12 months or below. These are recognised as a cost linearly over the leasing period. The company has chosen to make an exception and not separate leasing contracts into leasing or service elements. The company uses this approach for, among other things, cars where the value of the service is not calculated.

Inventories

Inventories are measured at cost price based on the FIFO method or the net realisation value if this is lower.

The cost price for commercial goods includes the acquisition price with the addition of any potential import taxes. The net realisation value for inventories is calculated as the sales sum minus the completion costs and cost incurred to realise the sale and determined while taking into account transferability, obsolescence and the developments in the expected sales price.

Receivables

Receivables from sales are mainly product receivables. Receivables are at the first recognition measured at fair value and subsequently at amortised cost price. Receivables from sales are written down on the basis of an individual assessment and the simplified approach pursuant to IFRS 9, where provisions for losses are based on the expected credit loss for the duration.

Receivables from sales and other receivables are recognised at amortised cost price minus write-downs to address losses. There is made write-downs to address the losses that are believed to possibly materialise. If the customers' financial conditions deteriorate further and they are unable to make the payments, it may be necessary to make additional write-downs in future financial years. A provision for the expected credit loss in the duration is based on a customer group's credit risk and by how much the due date for payment has been exceeded. In connection with assessing whether RIAS' write-downs to address losses are sufficient, the management analyses receivables, including earlier losses on receivables from goods, the customers' creditworthiness, current financial conditions and changes to the customers' terms of payment.

Prepaid costs

Prepaid costs are measured at cost price.

Equity

Dividends

Dividends are recognised as a liability at the time the proposal for dividends is adopted at the ordinary annual general meeting (the time of declaration). Dividends that are expected to be paid for the year are shown as a separate item under equity.

Revaluation reserve

The revaluation reserve consists of a value adjustment in connection with revaluing the price of buildings when transitioning to the Danish Financial Statements Act of 2001.

Payable taxes and deferred taxes

Current tax liabilities and receivable current taxes are recognised in the balance sheet as calculated tax on the year's taxable income, adjusted for tax on previous years' taxable incomes and for paid on account taxes.

Deferred taxes are measured based on the balance sheet oriented debt method of all temporary differences between the book value and the taxable value of assets and liabilities. However, deferred taxes from temporary differences concerning taxable goodwill that cannot be depreciated and other items are not included in the event that the temporary differences, except for company handovers, have arisen at the time of acquisition without having an impact on the result or the taxable income. In cases where the calculation of the taxable value can be made after different tax rules, deferred taxes are measured on the basis of the management's planned use of the asset or the repayment of the liability.

Deferred tax assets, including the taxable value of deficits that can be carried forward, are recognised under other long-term assets at the value of which they are expected to be used, either for the equalisation of tax or when offsetting deferred tax liabilities in the same legal tax entity or jurisdiction.

Deferred tax assets of tax liabilities are offset if the company has a legal duty to offset current tax liabilities and tax assets or if it intends to pay current tax liabilities and tax assets on a net basis or to realise the assets and liabilities concurrently.

Deferred taxes are measured on the basis of the tax rules and tax rates in the respective countries which pursuant to the legislation on the balance sheet day would apply when the deferred taxes are expected to become current taxes. Changes to deferred taxes resulting from changes to tax rates are recognised in the year's total income.

Provisions

Provisions are recognised when the company, due to an event that has occurred before or on the balance sheet date, has a legal or actual obligation and it is likely that financial benefits must be paid to meet this obligation.

Provisions are measured based on the management's best estimates of the amount at which the obligation can be paid.

Financial liabilities

Debt to credit institutions, etc. is recognised at the time the debt is assumed at fair value after the deduction of incurred transaction costs. In subsequent periods, the financial obligations are measured at amortised cost price using the "effective interest rate method", so that the difference between the profits and the nominal value are

recognised in the income statement under financial costs over the period of the loan.

Cash flow statement

The cash flow statement shows the cash flows distributed by operating, investment and financing activities for the year, the year's changes to liquid assets and liquid assets at the start and end of the year.

Cash flows from operating activities are measured based on the indirect presentation method as a result after tax for non-cash operating items, changes to operating capital, received and paid interest and paid corporation tax.

Cash flows from investment activities include payments in connection with the buying and selling of intangible, tangible and other long-term assets plus the buying and selling of securities that are not counted as liquid assets.

Cash flows from financing activities include changes in the loans taken, payments on interest-bearing debt and the payment of dividends to the company's shareholders.

Liquid assets include liquid assets and short-term contractual deposits that can without issue be converted to liquid assets and of which there is only a slight risk of changes in value.

Key figures

Earnings per share (EPS) and diluted earnings per share (EPS-D) are calculated in accordance with IAS 33.

Other key figures have been prepared in accordance with the key figure definitions described in the management's report under Key Figures.

Note 2. Accounting estimates and assessments

The uncertainty of estimates

The calculation of the book value of certain assets and liabilities require the use of assessments, estimates and assumptions about future events.

The estimates and assumptions applied are, among other things, based on historical experiences and other factors that the management deems reasonable under the circumstances but which, by their nature, are uncertain and unpredictable. The assumptions may be incomplete or inexact, and unexpected events or circumstances may appear.

Due to the risks and uncertainties the company is subject to, actual outcomes may deviate from the estimates.

It may be necessary to change earlier estimates due to changes in the conditions that they were based on or due to new knowledge or subsequent events.

Estimates that are significant to the submission of the financial statements are made, among other things, by a valuation and impairment test of goodwill and the writing down of inventory.

Impairment test of goodwill

In the annual Impairment test of goodwill or when there are indications of a need for a write-down, estimates are made about whether the company will be able to generate sufficient positive net cash flows in the future to support the value of goodwill or other net assets. The book value of goodwill currently amounts to DKK 53 Mio.

Due to the nature of the business, there needs to be made estimates about expected cash flows many years into the future, and this is of course associated with an element of uncertainty. The uncertainty relates to the management's expectations for future growth and the ability to achieve the planned savings and streamlining processes (Estimate).

The impairment test is described in more detail in note 11.

IFRS 16

When recognising and measuring lease contracts, different assessments are made when specifying rights of use and leasing obligations. Estimates include the assessment of leasing periods, the exercise of extension options (estimate) and applicable discount rates (estimate).

RIAS Annual Report 2022/23 27

Notes

Amounts in DKK '000

Note 3. Revenue

Sales outside Denmark amount to 15% of the company revenue. Sweden amount to 12.3%. All non-current assets are placed in Denmark.

	2022/23			2021/22
	Revenue Industry	Revenue building/ construction	Revenue in total	Revenue Industry	Revenue building/ construction	Revenue in total
DK	152,097	112,984	265,081	169,242	116,931	286,173
Sweden	16,795	21,796	38,591	18,050	22,804	40,854
Others	8,534	938	9,472	9,890	1,810	11,700
In total	177,426	135,718	313,144	197,182	141,545	338,727

The company's products are mainly sold to Danish customers. Sales are distributed on a large number of different products and customers. One single customer accounts for more than 10% of total sales. Sale to this customer amounts to DKK 41.3 Mio. In 2021/22 sale to this customer was DKK 41.4 Mio.

The operating segment consists of two sales departments for Building & Construction and Industry, respectively, which are supported by a number of joint functions such as purchasing, logistics and production, and the purchased products are used for re-sale in both Industry and Building & Construction. There are also a number of employees who carry out production and processing of products for both Industry and Building & Construction, and this also applies to employees in the two sales offices. Based on this, Management has assessed that RIAS A/S only has one operating segment. The Building & Construction Division primarily deals in finished plastic products, eg roof plates, thermo roofs, etc. The Industry Division deals in semi-finished plastic products, eg tubes, plastic rods and processing of these.

Note 4. Depreciation	2022/23	2021/22
Depreciation and amortisation are included in productions cost as follows:
Depreciation of property, plant and equipment	2,447	2,197
Depreciation and amortisation are included in distribution expenses as follows:
Amortisation of intangible assets	0	9
Depreciation of property, plant and equipment	1,323	1,515
Depreciation from lease assets	4,541	4,626
	5,864	6,150
Depreciation and amortisation are included in administrative expenses as follows:
Amortisation of intangible assets	63	63
Depreciation of property, plant and equipment	82	59
Depreciation from lease assets	242	247
	387	369
Gain/loss from sale of asset	40	0
Total depreciation and amortisation	8,738	8,716

Specifications to depreciation lease assets. Note 13.

RIAS Annual Report 2022/23

Notes

Amounts in DKK '000

Note 5. Staff	2022/23	2021/22
Wages and salaries	44,452	43,865
Pensions, defined contribution plan	5,888	5,815
Remuneration to the Executive Board	3,796	2,602
Pension to the Executive Board	346	188
Fee to the Board of Directors	537	250
Other social security expenses	1,657	1,762
	56,676	54,482
Average number of full-time employees	104	104
Number of full-time employees at 30 September	106	106
Total remuneration to the Executive Board	4,444	3,066
Total remuneration to the Executive Board and the Board of Directors	4,981	3,316
The CEO has 1 year notice period with salary in case of a termination of the contract.
In case of a take over the period is 1.5 year.
The CFO has 1/2 year notice period with salary in case of a termination of the contract.
Salaries are included in productions cost as follows:
Salaries are included in distribution expenses as follows:	48,508	46,697
Salaries are included in administrative expenses as follows:	7,631	7,538
Note 6. Special items
Restructuring costs	0	0
Total	0	0
Note 7. Financial income
Interest	111	2
Exchange gains	202	292
	313	294
Note 8. Financial expenses
Interest	882	550
Exchange losses	370	0
	1,252	550

RIAS Annual Report 2022/23

Notes

Amounts in DKK '000

Note 9. Corporation tax		2022/23	2021/22
Current tax for the year		3,162	4,638
Deferred tax for the year		325	-15
Adjustment of tax concerning previous year		0	-228
Total		3,487	4,395
22% tax calculated on profit for the year		3,519	4,698
Tax effect of non-deductible costs		27	34
Tax effect of IFRS 16		44	12
Tax effect other adjustments		-103	-101
Total		3,487	4,643
Effective tax rate		21.80%	21.65%
Note 10. Earnings per share
Net profit for the year		12,507	16,958
Average number of shares, DKK 100		230,630	230,630
Earnings per DKK 100 share		54.2	73.53
Earnings per DKK 100 share, diluted		54.2	73.53
Note 11. Intangible assets	Goodwill	Customer relations	Software
---	---	---	---
Cost at 1 October 2022	53,085	1,000	9,965
Additions for the year	0	0	0
Disposals for the year	0	0	0
Transfers during the year	0	0	0
Cost at 30 September 2023	53,085	1,000	9,965
Amortisation at 1 October 2022	0	-912	-9,786
Amortisation for the year	0	-62	-93
Reversed depreciations on the disposals og the year	0	0	0
Amortisation at 30 September 2023	0	-974	-9,879
Carrying amount at 30 September 2023	53,085	26	86
Cost at 1 October 2021	53,085	1,000	9,965
Additions for the year	0	0	0
Disposals for the year	0	0	0
Transfers during the year	0	0	0
Cost at 30 September 2022	53,085	1,000	9,965
Amortisation at 1 October 2021	0	-850	-9,669
Amortisation for the year	0	-62	-117
Reversed depreciations on the disposals og the year	0	0	0
Amortisation at 30 September 2022	0	-912	-9,786
Carrying amount at 30 September 2022	53,085	88	179

RIAS Annual Report 2022/23

Notes

Impairment test

Goodwill

The most material intangible asset is goodwill of DKKt 53,085, which is attributable to the acquisitions of the activities in Rodena A/S and Nordic Plastic A/S.

Stock value is lower than book value and the management assess that this is due to low interest for the stock since the shares are mainly owned by two bigger shareholders (thyssenkrupp and Expon Aps).

At 30 September 2023, Management tested the carrying amount of goodwill for required write-down for impairment based on the allocation made to the cash-generating unit of the cost of goodwill. In Management's opinion, RIAS A/S has only one cash-generating unit, which is the legal entity.

Amounts in DKK '000	2022/23
RIAS A/S	53,085

The recoverable amount is based on the value in use determined by using expected net cash flows on the basis of approved budgets as well as substantiated projections for the remaining period.

Key assumptions

Revenue estimate for the budget period is based on approved budget and forecast for the next three years based on Management's experience and expectations for the future. Revenue is expected to increase in the budget due to expectations of more tonnage sold compared to 2022/23 in strategic areas.

In the forecast period from 2023/24 to 2025/26 an increase is expected in revenue of 6.1% which will, among other things, be achieved through our activities in Building division including Sweden, where we can see that the market is growing, and the development in the processing department and in the industry division.

A growth rate of 1.8% is estimated for years 4 to 6, as well as a growth rate of 1.8% in the terminal period (2021/22: 1.8%). In Management's assessment this is a realistic level of growth for the building and construction market as well as the industrial sector, in which RIAS A/S is operating.

EBIT is estimated to increase from the current level of DKK 16.9 Mio. to DKK 18.1 Mio. in the budget period 2023/24. The increase is expected due to higher turnover, see above. In the forecast period EBIT is expected to increase with a steady state due to focus on product groups with higher gross profit and cost control, which are achieved through improved utilisation of IT systems and focus on improved use of the Company's resources.

A discount rate of 11.2% before tax (2021/22: 9.5%) and 9.1% after tax (2021/22: 8.3%) has been applied as, in Management's assessment, this is in line with the risk profile of RIAS A/S.

Sensitivity analysis

The difference between the calculated recoverable amount, DKK 227 Mio. and the carrying amount of equity, DKK 197 Mio. is DKK 24 Mio. In Management's assessment, the discount rate after tax may increase to 10.1% before write-down for impairment is required, and Management is monitoring the development in the risk-free interest rate closely.

Another key assumption of the impairment test is our expectations for an increase in EBIT to DKK 21.6 Mio. in the terminal period. EBIT may decrease to DKK 18 Mio. in the terminal period before write-down for impairment is required. Due to the fact that expected future cash flows are based on an estimate, the impairment test is inherently subject to uncertainty.

RIAS Annual Report 2022/23

Notes

Amounts in DKK '000

Note 12. Property, plant and equipment	Land and buildings	Plant and machinery	Other fixtures and fittings tools and equipment	Asset under construction	Total
Cost at 1 October 2022	66,382	34,034	22,033	0	122,449
Additions for the year	0	3,919	125	873	4,917
Disposals for the year	0	0	0	0	0
Transfers	0	0	0	0	0
Cost at 30 September 2023	66,382	37,953	22,158	873	127,366
Depreciation at 1 October 2022	-27,069	-19,325	-18,479	0	-64,873
Depreciation for the year	-386	-2,609	-805	0	-3,800
Reversed depreciation on disposals for the year	0	0	0	0	0
Depreciation at 30 September 2023	-27,455	-21,934	-19,284	0	-68,673
Carrying amount at 30 September 2023	38,927	16,019	2,874	873	58,693
Cost at 1 October 2021	66,382	32,089	22,021	0	120,492
Additions for the year	0	1,945	85	0	2,030
Disposals for the year	0	0	-73	0	-73
Transfers	0	0	0	0	0
Cost at 30 September 2022	66,382	34,034	22,033	0	122,449
Depreciation at 1 October 2021	-26,553	-17,023	-17,644	0	-61,220
Depreciation for the year	-516	-2,302	-845	0	-3,663
Reversed depreciation on disposals for the year	0	0	11	0	11
Depreciation at 30 September 2022	-27,069	-19,325	-18,478	0	-64,872
Carrying amount at 30 September 2022	39,313	14,709	3,555	0	57,577

RIAS Annual Report 2022/23

Notes

Amounts in DKK '000

Note 13. Leasing	Land and buildings	Plant and machinery	Total
Leasing assets
Cost at 1 October 2022	18,283	5,763	24,046
Additions for the year	0	1,129	1,129
Remeasuring of leasing assets	506	0	506
Disposals for the year	0	-1,470	-1,470
Cost at 30 September 2023	18,789	5,422	24,211
Depreciation for the year	-9,334	-2,903	-12,237
Amortisation for the year	-3,002	1,872	-4,874
Disposals for the year	0	1,470	1,470
Amortisation at 30 september 2023	-12,336	-3,305	-15,641
Carrying amount at 30 september 2023	6,453	2,117	8,570
Cost at 1 October 2021	15,598	5,014	20,612
Additions for the year	0	2,609	2,609
Remeasuring of leasing liability	2,685	0	2,685
Disposals for the year	0	-1,860	-1,860
Cost at 30 September 2022	18,283	5,763	24,046
Depreciation for the year	-6,319	-2,906	-9,225
Amortisation for the year	-3,015	-1,857	-4,872
Disposals for the year		1,860	1,860
Amortisation at 30 september 2022	-9,334	-2,903	-12,237
Carrying amount at 30 september 2022	8,949	2,860	11,809
Depreciation from leasing assets are included as follows		2022/23	2021/22
Productions cost		0	0
Distribution cost		-4,541	-4,625
Administrative cost		-242	-247
Depreciation from lease assets in total		-4,783	-4,872
Lease liability
Liability appears as follows		2022/23	2021/22
Short term		4,635	4,872
Long Term		4,253	8,135
Total non- discounted leasing fees		8,888	13,007
Lease liability in the balance sheet		8,896	11,937
Short term		4,658	4,238
Long Term		4,238	7,699

RIAS Annual Report 2022/23

Notes

Amounts in DKK '000

Amount in profit and loss	2022/23	2021/22
Interest related to lease liability	654	283
Costs related to short term leasing contracts (less than 12 months)	0	0
Costs related to leasing contracts with low value	20	61
Amount in cash flow statement	2022/23	2021/22
Installments on lease liability	-4,622	-4,817
Interest, Lease liability	-654	-283

The company as Lessee

Leasing contracts are recognised in the balance sheet as an asset with a corresponding liability.

The company has decided not to include contracts with short period less than 12 months or contracts with low value.

The company has contracts for copy machines in administration which are considered to have low value and payments for these are expensed linear in the profit and loss statement.

Note 14. Inventories	2022/23	2021/22
Inventories are specified as follows:
Goods for resale	30,953	27,184
Work in progress	0	0
Inventories at 30 September	30,953	27,184
Write-down at 1 October	-2,979	-2,146
Reversed write-down made in previous years	0	0
Write-down for the year	414	-833
Write-down at 30 September	-2,565	-2,979
	28,388	24,205
Cost of goods sold included in production costs.	209,621	205,507

Adjustments relating to write-down of inventories are included in Production Costs.

Note 15. Receivables

Trade receivables	55,918	66,221
Receivables from group enterprises	172	96
Other receivables	2,040	982
	58,130	67,299
Insured trade receivables	39,533	45,915
Trade receivables not insured	18,118	21,955
Trade receivables at 30 September	57,651	67,870

No losses from insured receivables has been realized.

RIAS Annual Report 2022/23

Notes

Amounts in DKK '000

Provisions for bad debts are specified as follows:	2022/23	2021/22
Provisions at 1 October	-1,447	-1,283
Realised in the year	125	122
Reversed	0	0
Provisions for the year	-201	-286
Provisions at 30 September	-1,523	-1,447

The provision is generally due to the customers' inability to pay due to bankruptcy or expected bankruptcy. The increased provision is primarily due to an expected loss on a major customer.

RIAS does not grant credits with a term of more than 12 months.

The realized loss on receivables in 2022/23 amounts to approx. 6.7% of the amount RIAS had as provision ultimo 2021/22.

It is a decrease of 27.7% points compared to the year before where the loss amounted to 9.4% of the amount RIAS had as provision ultimo 2020/21.

Note 15. Receivables	2022/23	2021/22
Moreover, trade receivables which are overdue at 30 September
but not provided for are included as follows:
Period overdue:
Up to 30 days	3,733	2,014
Between 30 and 90 days	850	1,548
More than 90 days	1,679	834
	6,262	4,396
Including insured receivables of	2,695	2,360

Provisions for bad debts are made on a current basis. Adjustments to the provisions are included in distribution expenses.

Note 16. Equity Share capital

The Company's share capital of DKKt 23,063 is distributed on DKKt 3,125 A-shares and DKKt 19,938 B-shares. The share capital is fully paid up. The A-shares, which are non-negotiable, carry 10 votes per DKK 100 share, see clause 11 of the articles of association.

The B-shares, which are negotiable, carry 1 vote per DKK 100 share, see clause 11 of the articles of association.

Capital management

RIAS A/S assesses on a current basis the need to adjust the capital structure to balance the high requirements to return on equity against the increased uncertainty related to loan capital. The equity share of total assets was 74% at 30 September 2023 (30 September 2022: 73%). The solvency target has been set to 65-75%.

(The target for return on equity is 7-9%).

Realised return on equity before tax was 8.5% in 2022/23 (2021/22: 11.5%).

It is RIAS A/S's dividend policy that the shareholders should earn a return on their investments in the form of price increases and dividend which exceed a risk-free bond investment. Payment of dividend should be made with consideration to the required consolidation of equity as basis for the Company's continued expansion.

RIAS Annual Report 2022/23

Notes

Dividend

Dividend of DKKt 8,533 (2021/22: DKKt 11,532) is proposed, corresponding to dividend per share of DKK 37 (2021/22: DKK 50).

On 24 January 2023, RIAS A/S paid dividend to its shareholders of DKKt 11,532 (2021/22: DKKt 8,072), corresponding to dividend per share of DKK 50 (2021/22: DKK 35).

The distribution of dividend to the shareholders of RIAS A/S has no tax consequences for RIAS A/S.

Amounts in DKK '000

Note 17. Deferred tax	2022/23	2021/22
Balance at 1 October	9,464	9,479
Adjustment for the year of deferred tax	325	-15
Balance at 30 September	9,789	9,464
Deferred tax relates to:
Buildings	4,966	4,808
Operating equipment	1,311	1,128
Intangible assets	3,250	3,055
Other temporary differences	262	473
	9,789	9,464

The deferred tax is mainly expected to be utilized after 1 year.

Note 18. Trade payables and other payables	2022/23	2021/22
Trade payables	21,770	17,769
Payables to group enterprises	539	661
Accrued VAT	4,200	4,998
Holiday pay obligation	1,574	1,144
Accrued customer bonuses	12,029	13,303
Other payables	3,621	5,142
	43,733	43,017

Note 19. Contingencies and other financial commitments

The Company is not part in any complaints which effect the Company's financial position except for the receivables and commitments, which have been recognised in the balance sheet at 30 September 2023.

The company is jointly liable for taxes due in the joint Danish taxation. The administrative company is RIAS A/S. The amount due in taxes for the Danish tax group is by 30 September 2023 DKKt 5,276.

RIAS Annual Report 2022/23

Notes

Amounts in DKK '000

Note 20. Fees to auditors appointed at the General Meeting	2022/23	2021/22
Statutory audit	425	604
Tax advisory services	57	77
Non-audit services	78	129
	560	810

Fee for Non-audit services delivered by BDO Statsautoriseret Revisionsaktieselskab consists of general transferred pricing assistance. In 2022/23 BDO has conducted an statutory audit and other services for 503 TKR. PWC has conducted tax advisory services for 57 TKR in 2022/23.

Note 21. Financial risks

Financial risks

The Company does not speculate in financial risks, and the Company's management of such exposures focuses exclusively on managing financial risks that are a direct consequence of the Company's operations and financing.

The Company has no derivative financial instruments.

Interest rate risks

The Company does not enter into interest rate positions to hedge against interest rate exposures as moderate changes in the interest rate level will have no material effect on the Company's earnings and equity. The sensitivity to interest rate risks is low and mainly relates to cash at bank and in hand.

Credit risks

The Company's credit risks relate to trade receivables which arise when the Company carries through sales in respect of which prepayments are not received. The Company's policy for assuming credit risks implies that all customers are credit rated upon creation and on a current basis. If the credit rating of the customer is not satisfactory, separate security in respect of the sale is required. The primary instrument to hedge unsecure payments is to take out credit insurance which covers up to 90% of the total receivable exclusive of VAT. Credit insurance is taken out with COFACE credit insurance. If credit insurance cannot be taken out in respect of a customer, the customer is carefully assessed based on internal credit limits, or prepayment is requested.

The management of the credit exposure is based on internal customer credit limits. The credit limits are determined on the basis of the creditworthiness of the customers with consideration to the current market situation.

Provisions for bad debts are made to the extent necessary. See page 35.

Non-insured trade receivables amounts to DKKt 30,897 30 September 2023.

The company has deposit above state warranty and therefore there is a credit risk of DKKt 39,210. Only banks with low risk are being used. Risk evaluation is based on Standard & Poors rating.

	2022/23	2021/22
Classes of financial assets and liabilities Financial assets:
Financial assets at amortised cost	98,844	102,614
Financial liabilities:
Financial liabilities at amortised cost
Short term liabilities	43,733	43,017

RIAS Annual Report 2022/23

Notes

Foreign exchange risks

The Company is only to a limited extent exposed to the development in foreign exchange. Almost all trading takes place in DKK or EUR. As the foreign exchange risk relating to DKK/EUR is considered very low, the Company does not hedge its net debt in foreign currency. The company receives payment in SEK from Swedish customers. There is a risk from invoicing to payment from customer. This risk is considered minimal since payment terms are 30 days or less.

Liquidity risks

The Company's liquidity reserve consists of cash holdings. The Company's aim is to have adequate liquidity resources to be able to carry on appropriate operating activities in case of liquidity fluctuations.

The Company only has debt which falls due within one year, cf. the balance sheet. The payment of this debt, DKK 43 Mio. can be fully covered by payments from receivables.

Note 22. Related parties and related party transactions

Controlling interest: thyssenkrupp Facilities Services GmbH, which holds all the A-shares of RIAS A/S, exercises control over the Company.

RIAS A/S has registered the following shareholders as holding 5% or more of the share capital:

54.15% thyssenkrupp Facilities Services GmbH
11.17% Expon Aps. There have been no transactions with Expon Aps in the financial year.

Other related parties:

The Company's related parties comprise the Company's Board of Directors and the Executive Board and family members of these persons. More-over, related parties include the thyssenkrupp Group.

There have been no transactions with the Board of Directors, the Executive Board, senior officers, significant shareholders or other related parties, except for the payment of remuneration, including legal assistance.

The Annual Report of the ultimate Consolidated Financial Statements in which RIAS A/S is included as a subsidiary may be obtained from: thyssenkrupp AG, thyssenkrupp Allee 1, 45143 Essen, Germany, or may be obtained at: https://www.thyssenkrupp.com/en/investors

Amounts in DKK '000

Trade with companies in thyssenkrupp:	2022/23	2021/22
Other related parties
Other income	661	1,373
Sale of goods and services	1,164	220
Purchase of goods and services	5,165	5,755
There are no transactions with the Parent Company
Payables to companies in thyssenkrupp	527	661
Receivables with companies in thyssenkrupp	172	96
Key management personnel
Legal assistance from Lund Elmer Sandager (Board Member)	282	214

Note 23. Subsequent events

No material events have occurred after 30 September 2023.

RIAS Annual Report 2022/23

Management's statement

The Board of Directors and the Executive Board have today considered and adopted the Annual Report of RIAS A/S for 2022/23.

The Annual Report has been prepared in accordance with International Financial Reporting Standards (IFRS) as adopted by the EU and Danish disclosure requirements for listed companies.

In our opinion, the Financial Statements give a true and fair view of the financial position of the Company at 30 September 2023 and of the results of the Company operations and cash flows for the financial year 1 October 2022 – 30 September 2023.

In our opinion, Management's Review provides a true and fair account of the development of Company's activities and financial circumstances, the profit for the year, cash flows and financial position as well as a description of the most material risks and uncertainties that may affect the Company.

In our opinion, the annual report of Rias A/S for the financial year 1 October 2022 to 30 September 2023 identified as RIAS-2023-09-30-en.xhtml is prepared, in all material respects, in compliance with the ESEF Regulation.

We recommend that the Annual Report be adopted at the Annual General Meeting.

RIAS Annual Report 2022/23 39

INDEPENDENT AUDITOR'S REPORT

To the Shareholders of RIAS A/S

REPORT ON THE AUDIT OF THE FINANCIAL STATEMENTS

Opinion

We have audited the Financial Statements of RIAS A/S for the financial year 1 October 2022 - 30 September 2023, which comprise income statement, total income statement, balance sheet, statement of changes in equity, cash flow statement, notes and a summary of significant accounting policies. The Financial Statements are prepared in accordance with the International Financial Reporting Standards as adopted by the EU and additional requirements in the Danish Financial Statements Act.

In our opinion, the Financial Statements give a true and fair view of the Company's financial position at 30 September 2023, and of the results of the Company's operations and cash flows for the financial year 1 October 2022 - 30 September 2023 in accordance with the International Financial Reporting Standards as adopted by the EU and additional requirements in the Danish Financial Statements Act.

Our opinion is consistent with our long-form audit report to the audit committee and the board of directors.

Basis for Opinion

We conducted our audit in accordance with International Standards on Auditing (ISAs) and the additional requirements applicable in Denmark. Our responsibilities under those standards and requirements are further described in the "Auditor's Responsibilities for the Audit of the Financial Statements" section of our report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Independence

We are independent of the Company in accordance with the International Ethics Standards Board for Accountants' International Code of Ethics for Professional Accountants (including International Independence Standards) (IESBA Code), together with the ethical requirements that are relevant to our audit of the financial statements in Denmark, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the IESBA Code.

To the best of our belief we have not performed any prohibited non-audit services, as stated in article 5, subarticle 1, in regulation (EU) no. 537/2014.

Appointment of auditor

We were initially appointed auditor of RIAS A/S on 27 January 2023 for the financial year 2022/23.

Key Audit Matters

Key Audit Matters are those matters that, in our professional judgment, were of most significance in our audit of the Financial Statements for the financial year 2022/23. These matters were addressed in the context of our audit of the Financial Statements as a whole, and in forming our auditor's opinion thereon, and we do not provide a separate opinion on these matters.

Key audit matter

Valuation of goodwill

Goodwill amounts to DKK 53 million.

As required by IFRS the valuation of goodwill is tested annually for impairment. Key assumptions in determining future cash flows are earnings growth, including in particular revenue growth, contribution margin together including taking into effect the expected changes in sales prices and the positive effect from cost control initiatives, changes to working capital as well as the discount rate and long-term growth rate.

We focused on the valuation of goodwill because the assessment of impairment requires considerable judgement and estimates by Management. Reference is made to note 2 "Accounting estimates and assessments" and note 11 "Intangible assets".

How our audit addressed the key audit matter

We assessed the impairment test prepared by Management, including the determination of the entire business as one cash generating unit.

We assessed the assumptions applied by Management in its budgets and forecasts, including net revenue growth, contribution margin taking into effect the expected decline in sales prices and positive effect from cost control initiatives, changes to working capital as well as the determination of discount rate and long-term growth rate.

We compared budgets and plans for prior years with actual figures realised with a view to assessing the accuracy of the judgements and estimates previously made by Management. In particular, in this regard we challenged Management's assessment of the future development in market conditions, foundation for further growth and initiatives to optimize production methods for the purpose of improving margins.

We assessed the sensitivity in the value in use of future cash flows for changes to the assumptions in the budget and forecast period, in particular the sensitivity relating to the long-term growth in the terminal period and changes to the discount rate.

We assessed the sufficiency of disclosures about the key assumptions applied and the sensitivity for changes in key assumptions.

Statement on Management Review

Management is responsible for the Management Review.

Our opinion on the Financial Statements does not cover the Management Review, and we do not express any form of assurance conclusion thereon.

In connection with our audit of the Financial Statements, our responsibility is to read the Management Review and, in doing so, consider whether the Management Review is materially inconsistent with the Financial Statements or our knowledge obtained during the audit, or otherwise appears to be materially misstated.

Moreover, it is our responsibility to consider whether the Management Review provides the information required under the Danish Financial Statements Act.

Based on the work we have performed, we conclude that the Management Review is in accordance with the Financial Statements and has been prepared in accordance with the requirements of the Danish Financial Statements Act. We did not identify any material misstatement of the Management Review.

RIAS Annual Report 2022/23

Management's Responsibilities for the Financial Statements

Management is responsible for the preparation of Financial Statements that give a true and fair view in accordance with the International Financial Reporting Standards as adopted by the EU and additional requirements in the Danish Financial Statements Act, and for such internal control as Management determines is necessary to enable the preparation of Financial Statements that are free from material misstatement, whether due to fraud or error.

In preparing the Financial Statements, Management is responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting in preparing the Financial Statements unless Management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

Auditor's Responsibilities for the Financial Statements

Our objectives are to obtain reasonable assurance about whether the 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 and the additional requirements applicable in Denmark 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 Financial Statements.

As part of an audit conducted in accordance with ISAs and the additional requirements applicable in Denmark, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

Identify and assess the risks of material misstatement of the 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 internal control.
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 in preparing the Financial Statements 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 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 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 to cease to continue as a going concern.
Evaluate the overall presentation, structure and contents of the Financial Statements, including the disclosures, and whether the Financial Statements represent the underlying transactions and events in a manner that gives a true and fair view.

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 them all relationships and other matters that may reasonably thought to bear on our independence, and where applicable, actions taken to eliminate threats or safeguards applied.

From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the Financial Statements of the current period and are therefore the key audit matters. We describe these matters in our Independent Auditor's Report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our Independent Auditor's Report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

REPORT ON COMPLIANCE WITH THE ESEF REGULATION

As part of our audit of the Financial Statements of RIAS A/S we performed procedures to express an opinion on whether the annual report for the financial year 1 October 2022 to 30 September 2023 with the file name RIAS-2023-09-30-en.xhtml is prepared, in all material respects, in compliance with the Commission Delegated Regulation (EU) 2019/815 on the European Single Electronic Format (ESEF Regulation) which includes requirements related to the preparation of the annual report in XHTML format and iXBRL tagging of the Financial Statements.

Management is responsible for preparing an annual report that complies with the ESEF Regulation. This responsibility includes:

The preparing of the annual report in XHTML format;
The selection and application of appropriate iXBRL tags, including extensions to the ESEF taxonomy and the anchoring thereof to elements in the taxonomy, for financial information required to be tagged using judgement where necessary;
Ensuring consistency between iXBRL tagged data and the Financial Statements presented in human readable format; and
For such internal control as Management determines necessary to enable the preparation of an annual report that is compliant with the ESEF Regulation.

Our responsibility is to obtain reasonable assurance on whether the annual report is prepared, in all material respects, in compliance with the ESEF Regulation based on the evidence we have obtained, and to issue a report that includes our opinion. The nature, timing and extent of procedures selected depend on the auditor's judgement, including the assessment of the risks of material departures from the requirements set out in the ESEF Regulation, whether due to fraud or error. The procedures include:

Testing whether the annual report is prepared in XHTML format;
Obtaining an understanding of the company's iXBRL tagging process and of internal control over the tagging process;
Evaluating the completeness of the iXBRL tagging of the Financial Statements;
Evaluating the appropriateness of the company's use of iXBRL elements selected from the ESEF taxonomy and the creation of extension elements where no suitable element in the ESEF taxonomy has been identified;
Evaluating the use of anchoring of extension elements to elements in the ESEF taxonomy; and
Reconciling the iXBRL tagged data with the audited Financial Statements.

In our opinion, the annual report of RIAS A/S for the financial year 1 October 2022 to 30 September 2023 with the file name RIAS-2023-09-30-en.xhtml is prepared, in all material respects, in compliance with the ESEF Regulation.

Roskilde, 12 December 2023

BDO Statsautoriseret revisionsaktieselskab
CVR no. 20 22 26 70

RIAS Annual Report 2022/23

Green Concept

Helping customers handle residual plastic

It should be easy for our customers to get rid of their residual plastic. That was our goal in 2022 when we first introduced our recycling program, Green Concept. Our objective was to ensure the proper handling of our customers' residual plastic and thereby contribute to an environmentally sound material cycle. Since we launched the program, we have delivered 341 boxes and entered into 48 contracts. In our latest fiscal year we have collected 216 boxes and

sent 41,180 kilo for recycling, turning the useful resources of plastic into usable products once more. The total amount of collected residual plastic from the program adds up to a staggering 49,838 kilo. These figures not only reflect our commitment towards sustainability within the industry but also the positive support from our customers, who actively contribute to reducing plastic waste and promoting a circular economy.

Fire-resistant polycarbonate panels

An efficient barrier against fire

When a customer requests solutions that offer both high security standards and minimal maintenance, high advanced products come into play. Such a request came in 2023 from a large Danish supermarket chain, seeking advice and flexibility for a major renovation project involving several of their stores. The supermarket chain needed a fire-resistant material that efficiently prevents the spread of fire through walls, ceilings, and other structures,

while being impact-resistant and maintenance-free. The chosen solution were fire-resistant polycarbonate panels. In addition to their fire-retardant properties, the panels are also resistant to wear, creating an effective protection of the walls, while requiring minimal maintenance. The project highlights our commitment to delivering tailored solutions which exceed expectations while ensuring long-term security and reliability.

Sneak Peek into 2024

Brand new charging stations

For many years we have been a proud supplier of the iconic red light strip for the canopy at OK's gas stations. Now we embark the beginning of an exciting chapter in our collaboration with OK by expanding our deliveries to also include their newly designed charging stations. The establishment of Hammelev's newly designed charging park will be the first in line to feature the red LEDStripe LED tubes from

SloanLED. As a new feature the canopy for the new charging park will have rounded corners unlike the more angular corners of OK's gas station canopies. We have therefore worked together with the manufacturer to produce curved tubes to help create the aesthetic touch that OK has depicted in their visualization of the Hammelev charging park.

New collaboration

in the maritime market

RIAS has entered a new and exciting supplier agreement with the Swedish company Humphrey AB, which develops innovative solutions for hydrodynamic, electronic, and digital controls for boats. Our manufacturing department is producing the plate-milled components, required for stern assembly in the stabilizers, used on ships and boats to reduce and control trim and stabilization. As a company, Humphrey is committed to offering products and services of the highest quality, and therefore set high standards to the quality and reliability of its suppliers. We are proud of our mutual collaboration, and the confidence Humphrey have placed in us, regarding the knowledge and precision required for the manufacturing of their products.

PLASTIC IS A WORLD OF OPPORTUNITIES

RIAS A/S
Industrivej 11
DK - 4000 Roskilde
Tlf. +45 46 77 00 00
www.rias.dk
VAT no. DK 44065118

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Rias — Annual Report 2023

3457_rns_2023-12-12_10058720-1075-42c5-9c36-41480f76ccb1.pdf

ANNUAL MESSAGE FOR THE FINANCIAL YEAR 2022/23

Statement from CEO, Karsten Due:

CONTENTS

Management's review

Financial statements 2022/23

Management's statement

THE YEAR IN BRIEF 2022/2023

THE JOURNEY CONTINUES

We continue to invest significantly in our future

Our digital transformation continues with full force

Continue strengthening the organisation

Recycling plastics

Management's Review

Financial highlights

Management's Review

Ratios

Definition of financial ratios:

Management's review

Board of Directors

Management's review

Executive Board

Management

Management's Review

Review

Mission

Long-term objective

Expectations for 2023/24 and forward

Particular risks

Operational risks

Financial risks

Interest rate risks

Credit risks

Currency risks

Liquidity risks

Knowledge resources

IT security risks

Management Review

Financial Review

Income statement Revenue

Gross result

Distribution and administration costs (capacity costs)

Special items

Tax on the year's result

Balance sheet Intangible assets

Tangible assets

Leasing assets

Inventories

Receivables

Liabilities

Cash flow Operating activity

Investment activity

Liquidity reserves

Management Review

Shareholder information and corporate Governance

Shareholder information

Tasks and responsibilities of the Board of Directors

Composition of the Board of Directors

Executive Board

Remuneration for the Board of Directors and Executive Board

Audit committee

Management Review

Shareholder information and corporate Governance

ESG for 2022/23

ESG strategy in accordance with the UN's Sustainable Development Goals (SDGs)

Risks

Human rights:

Labour:

Environment and climate:

Anti-corruption work:

Environment and climate

Management Review

Shareholder information and corporate Governance

Target

Results achieved

Electricity consumption

Heating usage

Waste

Rias Annual Report 2023