Trends: Equity and Liabilities
|
|
|
|
|
€ million |
|
2022 |
|
2021 |
|---|---|---|---|---|
|
|
|
|
|
Equity |
|
5,030.7 |
|
3,100.4 |
Noncurrent provisions |
|
981.5 |
|
2,061.1 |
Financing liabilities |
|
1,085.6 |
|
1,064.0 |
Other noncurrent liabilities |
|
376.3 |
|
196.9 |
Of which noncurrent advance payments |
|
224.4 |
|
56.3 |
Noncurrent liabilities |
|
2,443.4 |
|
3,322.0 |
Financing liabilities |
|
461.4 |
|
372.8 |
Trade payables |
|
885.6 |
|
761.9 |
Other current provisions and liabilities |
|
580.3 |
|
577.2 |
Current liabilities |
|
1,927.3 |
|
1,711.9 |
Liabilities |
|
4,370.7 |
|
5,033.9 |
Total equity and liabilities |
|
9,401.4 |
|
8,134.3 |
Capital employed |
|
4,526.6 |
|
3,782.2 |
Equity Ratio at 53.5 Percent
Group equity increased substantially year over year and amounted to €5.03 billion as of December 31, 2022 (Dec. 31, 2021: €3.10 billion). The corresponding equity ratio was 53.5 percent (Dec. 31, 2021: 38.1 percent). The net profit for the year increased retained earnings by €1.28 billion (Dec. 31, 2021: €827.8 million). The dividend payment of Wacker Chemie AG reduced retained earnings by €397.4 million. The adjustment of pension provisions recognized directly in equity resulted in an increase in other comprehensive income of €902.1 million and increased equity. Currency translation had a positive impact on equity of €61.1 million. The share of equity attributable to non-controlling interests amounted to €166.9 million as of the reporting date (Dec. 31, 2021: €81.9 million). Owing to the acquisition of a 40-percent stake in SICO Performance Material (Shandong) Co., Ltd., China, non-controlling interests increased by €72.1 million.
Liabilities Lower Due to Decline in Provisions for Pensions
WACKER’s liabilities declined by €663.2 million compared with the previous year, down 13.2 percent to €4.37 billion. Provisions for pensions decreased by €1,044.5 million year over year and totaled €768.9 million. This was due to the application of significantly higher discount rates to Wacker Chemie AG’s pension obligations. The discount rates were 3.71 percent in Germany (Dec. 31, 2021: 1.24 percent) and 4.98 percent in the USA (Dec. 31, 2021: 2.66 percent). Other noncurrent provisions mainly comprised anniversary provisions, and provisions for environmental protection and phased early retirement.
Other noncurrent liabilities came to €376.3 million (Dec. 31, 2021: €196.9 million). They mainly comprised contract liabilities in the shape of advance payments received and noncurrent income tax liabilities. Trade payables rose markedly, to €885.6 million (Dec. 31, 2021: €761.9 million). The main causes of this growth were higher raw-material and energy costs and extended payment terms. Other current provisions and liabilities climbed 0.5 percent to €580.3 million (Dec. 31, 2021: €577.2 million), with various factors playing a role. Performance-based compensation for 2022 was higher year over year, increasing liabilities. Current advance payments received amounted to €80.8 million as of the reporting date (Dec. 31, 2021: €155.5 million).
Financing Liabilities Rise
Current and noncurrent financing liabilities rose by €110.2 million to €1.55 billion as of the reporting date (Dec. 31, 2021: €1.44 billion). Financing liabilities of some €400 million falling due in 2023 were reclassified as current. Exchange-rate effects led to a slight increase in financing liabilities. Financing liabilities are mostly denominated in euros and US dollars. Fixed interest is payable on the majority of the financing liabilities.
As of December 31, 2022, WACKER recognized lease liabilities of €261.1 million (Dec. 31, 2021: €153.7 million).
For further information on our financing liabilities, please refer to Note 15 in the Notes to the Consolidated Financial Statements. For further information on financial management and its goals, please refer to Note 20 in the Notes to the Consolidated Financial Statements.
