Siguldas CMAS

Annual Report • Mar 24, 2025

Joint Stock Company 'SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA'

ANNUAL REPORT for 2024

Index of Contents

	Page
Information on the Company	3
Management Report	4
Profit or Loss Account	5
Balance sheet	6
Cash flow statement	8
Statement on changes in shareholders' equity	9
Notes to the Financial Statements	10
Report on Management Liability	24

Information on the Company

Company's name	SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA
Company's legal status	Joint stock company
Registration number, place and date	40003013295, Riga, 26 July 1991
	Registration in the Commercial Register on 19 June 2004
Legal address	'Kalnabeites 8', Sigulda, Sigulda municipality, LV-2150
Shareholders holding more than 5% of the total number of voting shares	'Siguldas mākslīgās apsēklošanas stacija' Ltd. (49.80%), registration No. 40003311954
	SCI AG (8.07%) Bartholomäus-Arnoldi-Str. 82, DE-61250 Usingen, Germany
	Oļegs Radčenko (5.17%)
Members of the Management Board	Nils Ivars Feodorovs, chairman of the Management Board, holding 400 shares Sarmīte Arcimoviča, member of the Management Board, holding 4 124 shares Valda Mālniece, member of the Management Board, holding 14 260 shares
Members of the Supervisory Board	Inita Bedrīte, chairwoman of the Supervisory Board, holding 1 084 shares Guntis Mecaucis, deputy chairman of the Supervisory Board, holding 5 448 shares Līga Kubuliņa, member of the Supervisory Board, do not own shares Baiba Mecauce, member of the Supervisory Board, holding 10 304 shares Edgars Nartišs, member of the Supervisory Board, do not own shares
Reporting period	01.01.2024 – 31.12.2024
Previous reporting period	01.01.2023 – 31.12.2023
Auditors	Olga Kuzmiča Sworn Auditor Certificate No. 207
	'Orients Audit & Finance' Ltd. Gunāra Astras street 8B Riga, LV-1082, Latvia Sworn Auditors' Commercial Company's license No. 28

Management Report

Types of Operations

JSC 'Siguldas ciltslietu un mākslīgās apsēklošanas stacija' (hereinafter referred to as the Company) is the only producer of high-quality breeding bull semen and one of the largest suppliers of it in Latvia. The second largest field of the Company's basic economic activities is the milk testing services. The Company also provides other breeding related services – consultations on issues of cattle breeding, feeding and keeping, evaluation of cow exterior, artificial insemination of cows, initial processing of the supervisory data. The Company offers Latvian farms to test genome samples of herd animals in the US genetics laboratory.

Brief Description of the Company's Activities in the Reporting Year and Financial Condition

The Company's net turnover in 2024 was 1.7 million euros, which is by 118.8 thousand euros or 7.7% more than in 2023. The proportionality of the income from the basic occupation has slightly changed compared to 2023 – revenue from the sale of goods and services in the genetics industry has increased and accounted for 75.2% of the net turnover, while the income from the services of milk analysis and monitoring data processing has decreased - they totalled 19.3% from net turnover.

In 2024, the evaluation of the investment property at the true value generated revenues of 8 thousand euros, accordingly, in 2023 its value increased by 17 thousand euros.

2024 ended with a profit of 80.8 thousand euros. Compared to 2023, the profit before taxes for the reporting year has increased by 15.6 thousand euros.

During the reporting period, the Company received two a new medium-duty truck on a financial lease for five years.

The Russia's invasion in Ukraine did not significantly affect the Company's economic activity, financial situation and economic indicators

In 2024, there were no other significant events that would affect the financial statement, as well as there are no significant risks that the Company could face and that could affect its financial position and financial results of operations.

Future Prospects and future Development

By increasing the efficiency of the Company's operation, the Company will continue to work to expand the market size of its products and services provided.

Post-Balance-Sheet Events

In the period from the last day of the reporting year to the day of signing the financial report, there have been no events that significantly affect the Company's financial position as of 31 December 2024.

The war between Russia and Ukraine has no significant impact on the Company's economic activity, financial situation and economic indicators.

Branches and Representative Offices Abroad

The Company has no branch offices, nor any representative offices abroad.

Proposals Regarding the Use of the Company's Profit or Losses

The proposal of the Board is – to leave the profit of the reporting year undistributed.

Chairman of the Management Board

Nils Ivars Feodorovs Sarmīte Arcimoviča Valda Mālniece Member of the Management Board

Member of the Management Board, Manager of the Financial and Accounting department

21 March 2025

Profit or loss account

	Note	2024 EUR	2023 EUR
Net sales	3	1 656 333	1 537 526
a) from agricultural activities		1 656 333	1 537 526
Changes in stock of ready-made goods and unfinished products	4	21 940	5 225
Other operating income	5	82 781	65 959
Costs of materials:		(944 498)	(832 591)
a) raw materials and auxiliary costs of materials		(856 889)	(737 121)
b) other external costs		(87 609)	(95 470)
Personnel costs:	6	(529 967)	(485 788)
a) salaries for work		(415 412)	(380 929)
b) state social insurance compulsory contributions		(100 096)	(93 475)
c) other social insurance costs		(14 459)	(11 384)
Depreciation adjustments:		(114 042)	(143 584)
a) depreciation adjustments of fixed and intangible assets		(85 170)	(89 755)
b) depreciation adjustments of current assets which the company considers to be above the normal write-off amounts		(28 872)	(53 829)
Other operating costs	7	(81 353)	(72 327)
Interest payments and similar costs:	8	(7 530)	(6 386)
a) to other persons		(7 530)	(6 386)
Profit or loss before enterprise income tax		83 664	68 034
Enterprise income tax for the reporting year		(2 876)	(2 599)
Profit or loss after enterprise income tax calculation		80 788	65 435
The profit or loss for the year		80 788	65 435
Earnings per 1 share (EPS)	17	0.191	0.155

Notes on pages 10 to 23 form an integral part of these financial statements.

Chairman of the Management Board

Nils Ivars Feodorovs Sarmīte Arcimoviča Valda Mālniece Member of the Management Board

Member of the Management Board, Manager of the Financial and Accounting department

21 March 2025

Balance sheet

Assets	Note	2024 EUR	2023 EUR
Long-term investments
Intangible assets
Concessions, patents, licenses, trademarks and similar rights		-	-
Intangible assets total	9	-	-
Fixed assets (fixed assets, investment properties)
Fixed assets
Immovable properties - land parcels, buildings and constructions		91 035	100 639
Productive animals		54 048	26 561
Technological equipment and machinery		102 379	131 494
Other fixed assets and inventory		72 527	48 019
Fixed assets total	10	319 989	306 713
Investment properties	11	144 000	136 000
Long-term financial investments
Other securities and investments		684	684
Long-term financial investments total		684	684
Long-term investments total		464 673	443 397
Current assets
Stock
Raw materials, basic materials and auxiliary materials		14 446	16 129
Ready-made goods and goods for sale	12	1 162 933	1 001 456
Prepayments for goods		38 445	-
Stock total		1 215 824	1 017 585
Receivables
Trade receivables	13	470 396	416 612
Other receivables	14	4 021	86
Prepaid expenses	15	10 270	10 553
Accrued income		20 775	23 855
Receivables total		505 462	451 106
Cash	16	82 385	154 235
Current assets total		1 803 671	1 622 926
Assets total		2 268 344	2 066 323

Balance sheet

Shareholders' equity and liabilities	Note	2024 EUR	2023 EUR
Shareholders' equity
Share capital	17	591 416	591 416
Retained earnings or loss carried forward from previous years		1 219 399	1 175 086
Profit or loss of the reporting year		80 788	65 435
Shareholders' equity total		1 891 603	1 831 937
Payables
Long-term payables
Other loans	18	87 965	64 415
Long-term payables total		87 965	64 415
Short-term payables
Other loans	19	29 796	18 271
Prepayment received from customers		1 103	884
Trade payables		163 057	65 279
Taxes and social insurance payments	20	44 565	44 828
Other payables		28 840	20 661
Accrued liabilities	21	21 415	20 048
Short-term payables total		288 776	169 971
Payables total		376 741	234 386
Shareholders' equity and liabilities total		2 268 344	2 066 323

Notes on pages 10 to 23 form an integral part of these financial statements.

Chairman of the Management Board

21 March 2025

Nils Ivars Feodorovs Sarmīte Arcimoviča Valda Mālniece Member of the Management Board

Member of the Management Board, Manager of the Financial and Accounting department

Cash flow statement

	Note	2024 EUR	2023 EUR
Cash flow from operating activities
Income from sale of goods and provision of services		1 998 027	1 680 906
Payments to suppliers, employees, other expenses arising from basic operations		(1 984 359)	(1 753 900)
Gross cash flow from basic operations		13 668	(72 994)
Expenses for interest payments		(6 530)	(6 386)
Expenses for enterprise income tax payments		(2 583)	(56)
Net cash flow from operating activities		4 555	(79 436)
Cash flow from investing activities
Purchase of fixed assets and intangible investments		(77 022)	(26 943)
Income from dispossession of fixed assets		44 642	9 199
Net cash flow from investing activities		(32 380)	(17 744)
Cash flow from financing activities
Subsidies received as a state support		6 397	5 885
Expenses for the redemption of a leased fixed asset		(21 605)	(52 048)
Dividends paid		(21 122)	-
Net cash flow from financing activities		(36 330)	(46 163)
Result of foreign exchange rate fluctuations		(7 695)	(5 193)
Net increase or decrease of cash and its equivalents		(71 850)	(148 536)
Cash and its equivalents balance at the beginning of the
reporting year		154 235	302 771
Cash and its equivalents balance at the end of the reporting year	16	82 385	154 235

Notes on pages 10 to 23 form an integral part of these financial statements.

Chairman of the Management Board

Nils Ivars Feodorovs Sarmīte Arcimoviča Valda Mālniece Member of the Management Board

Member of the Management Board, Manager of the Financial and Accounting department

21 March 2025

Statement on changes in shareholders' equity

	Share capital	Retained earnings carried forward from previous years	Profit of the reporting year	Shareholders' equity total
	EUR	EUR	EUR	EUR
31.12.2022	591 416	1 031 686	143 400	1 766 502
Profit of 2022 transferred to retained earnings of previous years	-	143 400	(143 400)	-
Profit of the reporting year	-	-	65 435	65 435
31.12.2023	591 416	1 175 086	65 435	1 831 937
Profit of 2023 transferred to retained earnings of previous years Dividends distributed Profit of the reporting year	- - -	65 435 (21 122) -	(65 435) - 80 788	- (21 122) 80 788
31.12.2024	591 416	1 219 399	80 788	1 891 603

Notes on pages 10 to 23 form an integral part of these financial statements.

Chairman of the Management Board

Nils Ivars Feodorovs Sarmīte Arcimoviča Valda Mālniece Member of the Management Board

Member of the Management Board, Manager of the Financial and Accounting department

21 March 2025

(1) General information on the Company

JSC 'Siguldas ciltslietu un mākslīgās apsēklošanas stacija' (hereinafter - the Company) was registered in the Register of Enterprises of the Republic of Latvia on 26 July 1991 and was reregistered in the Commercial Register of the Republic of Latvia on 19 June 2004.

The Company's basic activities are agriculture and the types of business are as follows:

• production and sale of agricultural products high-quality breeding animals semen,
• making of milk analyses,
• evaluation of cow exterior,
• artificial insemination of cows,
• milk recording data processing,
• animals breeding organization.

(2) Significant accounting principles

Underlying principles of preparation of the Financial Statements

The Company's Financial Statements have been prepared according to the Law On Annual Reports and Consolidated Annual reports of the Republic of Latvia. According to Section 5 of the Law on Annual Reports and Consolidated Annual reports, the Company is classified as a small company according to the last two years figures. Taking into account the legal requirements for commercial companies whose transferable securities are listed on a regulated market, the Company applies requirements that are binding on a large company. The Profit or Loss Account is been prepared based on classification according to expense types. The Cash Flow Statement was prepared according to the direct method.

Complying the regulation stated in Article 13 Part 5 Chapter 2 of the Law On Annual Reports and Consolidated Annual reports, the Company acknowledges, assesses, shows in its financial report and provides explicative information on investment properties in compliance with the international accounting standards.

Accountig principles used

The items of the Financial Statements have been evaluated according to the following accounting principles:

• It is assumed that the Company will be a going concern;
• The same evaluation methods have been used, which were used in the previous year;
• Evaluation was done with sufficient prudence:
  • The Financial Statements include solely the profit gained until the balance sheet date,
  • All expected risk amounts and losses have been taken into account, which occurred during the reporting year or in previous years, also if they were known during a certain period of time between the balance sheets date and the day of preparing the Financial Statements,
  • All value decreasing and depreciation amounts have been taken into account irrespective whether the reporting year was closed with profit or loss;
• reporting year related income and costs were recognized irrespective of the payment date and the date of receipt or issuance of invoice. Costs have been agreed with the income in the reporting period;
• components of asset and liabilities items have been recognized separately;
• the opening balance of the reporting year agrees with the closing balance of the previous year;
• all items have been recognized, which materially influence assessment or decision-making process of the users of the annual report, insignificant items are merged and they are detailed in the Appendix;
• operating transactions in the reporting year have been recognized in the Financial Statements by taking into account their economic substance and contents, rather than legal form.

Financial instruments

Fair value of financial assets and liabilities

Fair value of financial assets and liabilities reflect the amount, for which it is possible to exchange assets or perform liabilities in a deal between well informed, interested and financially independent persons. If in the Company's management opinion, fair value of financial assets and liabilities materially differs from the value recognized in the balance sheet, then the fair value of these assets and liabilities is recognized in the Notes to the Financial Statements.

Financial risks management

Credit risk

The Company's management has developed credit policy, which is constantly controlled. Client evaluation is done for all customers above a fixed amount. The Company cooperates with clients who have proper credit assessment.

Currency risk

Based on the current structure of Company's financial assets and liabilities held in foreign currencies, the currency risk is not material.

Reporting period

The reporting period is twelve months from 1 January to 31 December 2024.

Revaluation of foreign currencies

The Company's functional currency and the currency used in the Financial Statements is euro (EUR). All transactions in foreign currencies are converted into euro according to the euro foreign exchange reference rate published by the European Central Bank on the day of particular transaction being performed.

Monetary assets and liabilities, which are shown in foreign currencies, are converted into euro according to the fixed euro foreign exchange reference rate published by the European Central Bank on the last day of the reporting period.

	31.12.2024	31.12.2023
USD	1.03890	1.10500

Currency exchange rate differences arising from settlements in currencies or when recognizing assets and liabilities by using currency exchange rates, which differ from the initial currency exchange rates used for accounting of transactions, are recognized in the profit or loss account in net value.

Recognition of income

Income is recognized according to the conviction about the Company's possibility to gain economic benefit and in the amount, in which it is possible to state it, less value added tax and sales-related discounts. When recognizing income, also the following provisions are taken into account.

Sale of goods

Income is recognized when the Company has transferred to the purchaser major risks and indemnities related to the title of goods.

Provision of services

Income from services is recognized in the period when the services are provided.

Penalty and delay charges

Income from penalty and delay charges is recognized at the moment of their receipt.

Interest

Income is recognized according to the respective period of time.

Long-term and short-term items

Long-term items include amounts whose receipt, payments or write-off terms are due later after the end of the respective reporting year. Amounts, which are receivable, payable or written off during the year, are recognized in short-term items.

This is a translated copy of the original document. The original document in Latvian language has been submitted to the Nasdaq Riga stock exchange (https://www.nasdaqbaltic.com) in European Single Electronic Format (ESEF), XHTML format.

Leasing transactions

Financial leasing

In cases when fixed assets are purchased on the conditions of financial leasing and the related risks and return are taken over, these fixed assets are recognized in the value, for which they could be purchased with immediate payment. Leasing interest payments and similar payments are included in the profit or loss account of that period when they occurred.

Intangible assets and fixed assets

In the balance sheet, all intangible assets and fixed assets are reflected at their purchase prices, less depreciation. Depreciation is calculated from the first date of the next month after their commissioning and finished on the first date of the subsequent month after it is excluded from fixed assets. Depreciation is calculated according to the straight line method and is written off during the useful life time of respective fixed assets by choosing the following annual depreciation rates as fixed by the management:

Intangible assets:

Licenses	5 years
Fixed assets:
Buildings and constructions	10, 20, 25, 40 and 59 years
Productive animals	2 years
Equipment and machinery	5, 6 and 7 years
Computer hardware and communication equipment	5 years
Inventory and tools	3 and 5 years
Other fixed assets	2 and 3 years

Balances of fixed assets have been counted in the annual count of fixed assets.

The Company capitalizes its fixed assets valued over 70 euro with useful life exceeding one year. Depreciation for improvements and other low costs items with the value less than 70 euro is recognized by 100 % after commissioning.

If sufficient evidence is acquired that the future economic benefit associated with subsequent repair or reconstruction costs will flow to the Company, which exceeds the return set previously, costs are capitalized as additional costs to the fixed asset.

Net gains or losses from disposal of fixed assets is calculated as the difference between the carrying amount of the fixed asset and proceeds from sale, and recognized in the income statements during the period when disposal are incurred.

If it is possible to conclude due to any kind of occurrence or circumstances that residual value of fixed or intangible assets could not reach its recoverable value, appropriate value of fixed or intangible asset is to be decreased until recoverable value. Recoverable value is calculated as the highest of fair value less costs to sell or value in use.

Productive animals meet the value criteria of fixed assets and are included in fixed assets.

Investment properties

Investment property is property (land plots, building or part of building) held by the owner or by lessee under a finance lease to earn rentals or for capital appreciation rather than use in the production or supply of goods or services or for administrative purposes or sale in the ordinary course of business. For the land with uncertain future use (if the Company has not determined that it will use the land as owner occupied or short term sale in the ordinary course of business, it is assumed that land is held for capital appreciation), it is classified as investment property.

Investment property of the company– land in possession of the stock company, which market value is expected to grow. Investment properties have been filed according to their purchase value. No later than at the end of the year of account

This is a translated copy of the original document. The original document in Latvian language has been submitted to the Nasdaq Riga stock exchange (https://www.nasdaqbaltic.com) in European Single Electronic Format (ESEF), XHTML format.

the investments properties are being revalued according to their real market value considering any other activities related to particular property. The revaluation is performed by a certified evaluator. Any changes in the market value of the investments properties are being shown in the profit and loss account.

Evaluation using a comparable transaction method was carried out by a certified evaluator:

2024 – LTD 'Eiroeksperts' 2023 – LTD 'Eiroeksperts'

Stock

Stock is recognized in the lowest cost or net sales value. All stock is assessed by using the average weighted method.

Net sales value is the sales price of stock fixed during normal Company's operations, less the stock completion and selling costs. In cases when the stock net selling value is lower than their cost price, provisions are made for these stocks for decrease of their value down to the net sales value.

All direct costs, which are related to production of breeding animals - bull semen, during the year are booked in the profit or loss account and are adjusted at the end of the year when evaluating stocks according to the lowest sales value or cost price and including them in stocks as "Ready-made goods and goods for sale".

Trade receivables and other receivables

In the balance sheet receivables are recognized in the recoverable value, provisions for doubtful receivables having been deducted. Provisions for doubtful debts are made in cases when there is objective evidence to the fact that the Company will not be able to receive the debts in full value according to the initially fixed repayment dates. Provisions for doubtful debts are the difference between the amortized purchase value of receivables and the recoverable value. The recoverable value of receivables is the current value of planned cash flow.

Cash

For the purposes of the cash flow statement, cash and cash equivalents comprise cash, the balances of the current bank account and other current liquid financial assets with maturities up to 90 days.

Provisions

Provisions are liabilities related to current or previous years events and at the preparation of financial statements it is probable that an outflow of resources will be required to settle the obligation and its amount can be reliably estimated. Provisions are measured at the present value of the expenditures expected to be required to settle the obligation.

Subsidies

Amounts, which are received as a state support for agricultural, i.e., for covering of expenses for maintaining high-quality breed bulls, are included in the income of that reporting period when they are received and all material conditions for the grant are fulfilled.

Taxes

Corporate income tax for the financial year

Corporate income tax is payable on the distribution of profits and the conditional distribution of profits. Distributed and notionally distributed profits are taxed at the rate of 20 percent of the gross amount, or 20/80 of net costs. Corporate income tax on the payment of dividends is recognized in the profit and loss account as an expense in the period in which the dividends are declared and, in the case of other retained earnings, as incurred.

Use of assumptions

When preparing the financial statements, the Company's management has to make calculations and assumptions, which impact recognition of assets and liabilities included in the financial statements as at the day of preparing the financial statements, as well as the income and expenses recognized in the specific reporting period. Management has made profit or loss assessment and considers that the financial statements reflect the true financial condition based on all currently available information.

(3) Net sales

Sales include income gained during the year from the Company's basic activities – sales of products and provision of services without value added tax and less discounts.

Type of operations	2024	2023
	EUR	EUR
Products and services in the genetics industry	1 246 036	1 097 347
Milk testing laboratory services	320 030	349 474
Other income	90 267	90 705
	1 656 333	1 537 526

Distribution of net sales according to the geographical markets:

	2024 EUR	2023 EUR
Latvia	1 656 333	1 537 172
Estonia	-	354
	1 656 333	1 537 526

(4) Changes in stock of ready-made goods and unfinished products

	2024 EUR	2023 EUR
Changes in the value of semen stocks produced	88 538	63 093
Written-off sperm	(66 598)	(57 868)
	21 940	5 225

(5) Other operating income

	2024 EUR	2023 EUR
Income from investment property revaluation	8 000	17 000
Net income from dispossession of fixed assets	20 480	4 866
State support for agricultural	6 397	5 885
Recovered doubtful and bad debts	47 463	38 204
Other income	441	4
	82 781	65 959

(6) Personnel costs

2024 EUR	2023 EUR
413 990	381 114
99 777	93 539
1 741	(249)
10 683	7 567
3 776	3 817
529 967	485 788

(7) Other operating expenses

	2024 EUR	2023 EUR
Insurance payments	5 016	8 218
Selling expenses	1 980	4 007
The costs of accreditation and employee training	3 220	3 260
Business trip expenses	2 577	3 194
Labour protection expenditure	2 612	2 811
Company's management and administrative expenses	10 077	7 806
Regulated securities market expenses	17 928	14 361
Mandatory audit of the annual report	4 600	4 500
Loss from foreign currency exchange rate fluctuations	11 311	3 707
Employees' leisure and similar costs	5 272	5 628
Real estate tax	1 862	1 862
Other costs	14 898	12 973
	81 353	72 327

(8) Interest payments and similar costs

	2024 EUR	2023 EUR
Interest on the use of financing	7 530	6 386
	7 530	6 386

(9) Intangible assets

	Concessions,
	patents, licenses,
	trademarks and
	similar rights
	EUR
Initial value
31.12.2023	8 943
Purchased	-
Disposed	-
31.12.2024	8 943
Accrued depreciation adjustments
31.12.2023	8 943
Annual write-off of the value	-
Adjustments to accrued depreciation of excluded intangible assets	-
31.12.2024	8 943
Book value as at 31.12.2023	-
Book value as at 31.12.2024	-

	Concessions,
	patents, licenses,
	trademarks and
	similar rights
	EUR
Initial value
31.12.2022	10 785
Purchased	-
Disposed	(1 842)
31.12.2023	8 943
Accrued depreciation adjustments
31.12.2022	10 785
Annual write-off of the value	-
Adjustments to accrued depreciation of excluded intangible assets	(1 842)
31.12.2023	8 943
Book value as at 31.12.2022	-
Book value as at 31.12.2023	-

(10) Report on movement of fixed assets

	Land, buildings and con-structions	Productive animals	Technological equipment and machinery	Other fixed assets and inventory	Total
	EUR	EUR	EUR	EUR	EUR
Initial value
31.12.2023	467 494	56 107	467 810	321 724	1 313 135
Purchased Dispossessed or	-	56 064	4 000	62 545	122 609
liquidated	-	(45 890)	-	(33 626)	(79 516)
31.12.2024	467 494	66 281	471 810	350 643	1 356 228
Accrued depreciation adjustments
31.12.2023 Calculated	366 855	29 546	336 316	273 705	1 006 422
depreciation Depreciation of dispossessed or liquidated fixed	9 604	21 989	33 115	20 387	85 095
assets	-	(39 302)	-	(15 976)	(55 278)
31.12.2024	376 459	12 233	369 431	278 116	1 036 239
Book value as on 31.12.2023	100 639	26 561	131 494	48 019	306 713
Book value as on 31.12.2024	91 035	54 048	102 379	72 527	319 989

As on 31 December 2024, the cadastral value of real estate – land and buildings – was EUR 158 539.

	Land, buildings and constructions	Productive animals	Technological equipment and machinery	Other fixed assets and inventory	Prepayments for fixed assets	Total
	EUR	EUR	EUR	EUR	EUR	EUR
Initial value
31.12.2022	467 494	53 497	309 183	333 011	47 092	1 210 277
Purchased Dispossessed or	-	18 634	111 535	8 462	-	138 631
liquidated	-	(16 024)	-	(19 749)	-	(35 773)
Requalified	-	-	47 092	-	(47 092)	-
31.12.2023	467 494	56 107	467 810	321 724	-	1 313 135
Accrued depreciation adjustments
31.12.2022	357 251	10 251	306 678	273 927	-	948 107
Calculated depreciation Depreciation of dispossessed or	9 604	30 986	29 638	19 527	-	89 755
liquidated fixed assets	-	(11 691)	-	(19 749)	-	(31 440)
31.12.2023	366 855	29 546	336 316	273 705	-	1 006 422
Book value as on
31.12.2022	110 243	43 246	2 505	59 084	47 092	262 170
Book value as on 31.12.2023	100 639	26 561	131 494	48 019	-	306 713

As on 31 December 2023, the cadastral value of real estate – land and constructions – was EUR 158 539.

(11) Investment properties

	Land
	EUR
Book value as on 31.12.2022	119 000
Increase/decrease of value due to revaluation	17 000
Book value as on 31.12.2023	136 000
Increase/decrease of value due to revaluation	8 000
Book value as on 31.12.2024	144 000

(12) Ready-made products and goods for sale

	2024 EUR	2023 EUR
Bull semen	1 148 170	990 585
Other goods for sale	14 763	10 871
	1 162 933	1 001 456

(13) Trade receivables

	2024 EUR	2023 EUR
Accounting value of trade receivables	521 060	490 608
Provisions for doubtful trade receivables	(50 664)	(73 996)
	470 396	416 612

(14) Other receivables

	2024 EUR	2023 EUR
Prepayment for services	3 435	-
Other receivables	586	86
	4 021	86

(15) Prepaid expenses

The item recognizes the costs made during the reporting year, but referring to the next reporting periods.

	2024 EUR	2023 EUR
Insurance	7 394	8 435
Press and legislation updates' subscription	777	644
Server maintenance and similar costs	877	778
Other prepaid expenses	1 222	696
	10 270	10 553

(16) Cash

Break-down of cash according to currencies:		2024		2023
		Currency	EUR	Currency	EUR
Cash in hand	EUR	-	785	-	1 808
Cash in bank	EUR	-	81 600	-	152 427
			82 385		154 235

(17) Share capital

Since 21 May 2007 Company's shares are quoted on the Second List of Nasdaq Riga Stock Exchange (ISIN code: LV0000100600). The Company's share capital has been formed of shareholders' investments.

The total number of shares as per 31.12.2024 is 422 440, the nominal value of one share is 1.40 euro.

The total number of shares as per 31.12.2023 was 422 440, the nominal value of one share – 1.40 euro.

	2024 EUR	2023 EUR
Dematerialized shares with voting rights	591 416	-
Bearer shares with voting rights	-	590 016
Shares owned by the Board without voting rights	-	1 400
	591 416	591 416

422 440 shares or 100 % of the share capital are dematerialized shares, which give equal rights to receive dividends, receipt of liquidation quota and voting rights in the Shareholders' Meeting.

Owners of voting shares of the Company

	31.12.2024 %	31.12.2023 %
'Siguldas mākslīgās apsēklošanas stacija' Ltd	49.80	49.92
Inita Bedrīte, chairwoman of the Supervisory Board	0.26	0.26
Guntis Mecaucis, deputy chairman of the Supervisory Board	1.29	1.29
Baiba Mecauce, member of the Supervisory Board	2.44	2.44
Nils Ivars Feodorovs, chairman of the Management Board	0.09	-
Sarmīte Arcimoviča, member of the Management Board	0.98	0.91
Valda Mālniece, member of the Management Board	3.38	3.31
Other shareholders	41.76	41.87
	100.00	100.00

Owners of the Company's personnel registered shares according to the Company's carried shareholders registry

	2024 number	2023 number
Nils Ivars Feodorovs, chairman of the Management Board	-	400
Sarmīte Arcimoviča, member of the Management Board	-	300
Valda Mālniece, member of the Management Board	-	300
	-	1 000

There are no share alienation restrictions, nor the necessity to receive the Company's or other shareholders' consent for alienation of shares.

There are no restrictions on voting rights, nor any other similar restrictions.

Earnings per share

Earnings per one share is calculated by dividing the profit of the reporting period with the average weighted number of shares during the year.

	2024 EUR	2023 EUR
Profit or loss of the reporting period	80 788	65 435
Average weighted number of shares during the year	422 440	422 440
	0.191	0.155

(18) Long-terms payables

	2024 EUR	2023 EUR
Financial lease agreement of Swedbank Līzings SIA (expiration date – 15.01.2028)	44 919	64 415
Financial lease agreement of Swedbank Līzings SIA (expiration date – 15.05.2029)	20 598	-
Financial lease agreement of Swedbank Līzings SIA (expiration date – 15.11.2029)	22 448	-
	87 965	64 415

(19) Short-term payables

	2024 EUR	2023 EUR
Financial lease agreement of Swedbank Līzings SIA (expiration date – 15.01.2028)	19 496	18 271
Financial lease agreement of Swedbank Līzings SIA (expiration date – 15.05.2029)	5 265	-
Financial lease agreement of Swedbank Līzings SIA (expiration date – 15.11.2029)	5 035	-
	29 796	18 271

(20) Taxes and social insurance payments

Tax type	2024 EUR	2023 EUR
Value added tax	16 105	22 901
Personal income tax	8 211	5 910
Social insurance payments	17 274	13 351
Nature resource tax	128	113
Corporate income tax	2 836	2 543
Business risk state fee	11	10
	44 565	44 828

Tax overpaid declared in position 'Other receivables'

(21) Accrued liabilities

	2024 EUR	2023 EUR
Calculated liabilities to personnel for unused vacation	17 586	15 845
Accrued accounts payable	3 829	4 203
	21 415	20 048

(22) Information on the number of management members and remuneration

	2024 EUR	2023 EUR
Remuneration to five Supervisory Board members for execution of functions Social insurance payments from remuneration to five Supervisory Board	10 560	9 605
members for execution of functions Remuneration to three Management Board members for execution of	4 510	4 013
functions Social insurance payments from remuneration to three Management Board	46 990	41 707
members for execution of functions	9 973	8 866
Total remuneration to the management members	72 033	64 191

There are no special regulations put in place to regulate the election of the Management Board members, the change of the composition of the Management Board and amendments to the Articles of Association.

All Management Board members have equal Company's representation rights. The chairman of the Management Board represents the Company separately, but other Management Board members may represent the Company only collectively. There is no agreement signed between the Company and the Management Board members ensuring any kind of compensation.

(23) Average number of employees

2024 number	2023 number
Supervisory Board members (all employees perform the functions of the
Supervisory Board member as an extra work in addition to principal work
duties) 2	2
Management Board members (two employees perform the functions of the
Management Board member as an extra work in addition to principal work
duties) 3	3
Other employees 23	23
28 Total average number of employees	28

(24) Post-Balance-Sheet Events

In the period from the last day of the reporting year to the day of signing the financial report, there were no events that significantly affect the Company's financial position as of 31 December 2024.

The war between Russia and Ukraine has no significant impact on the Company's economic activity, financial situation and economic indicators.

Nils Ivars Feodorovs Sarmīte Arcimoviča Valda Mālniece

Chairman of the Management Board

Member of the Management Board, Manager of the Production and Marketing

department

Member of the Management Board, Manager of the Financial and Accounting department

21 March 2025

Report on Management Liability

The Management of JSC 'Siguldas ciltslietu un mākslīgās apsēklošanas stacija' (hereinafter - the Company) is responsible for the preparation of the financial statements of the Company. The financial statements are prepared in accordance with the source documents and present fairly the financial position of the Company as of 31 December 2024 and the results of their operations and cash flows for the year then ended.

The Management Board confirms that the financial statements and notes to the financial statements contained on pp. 3-23 have been prepared on the basis of source documents and the decisions adopted and the assessments made were conservative and prudent. The accounting policy compared to the preceding year has not changed. The Management Board confirms that the financial statements have been prepared on a going-concern basis

Management is responsible for ensuring an appropriate accounting system, preserving the Company's assets, as well as detecting and preventing fraud and other violations committed at the Company. The Management is also responsible for fulfilling the legislative requirements of the Republic of Latvia, as well as the requirements of the European Union regulations that are applicable to the Company.

Nils Ivars Feodorovs Sarmīte Arcimoviča Valda Mālniece

Chairman of the Management Board

21 March 2025

Member of the Management Board, Manager of the Production and Marketing department

Member of the Management Board, Manager of the Financial and Accounting department