21. (j) Offsetting
The following table presents the gross and net amounts as of December 31, 2023, and 2022, of financial instruments that have been offset or that are subject to an enforceable global netting arrangement or similar agreement but have not been netted:
Offsetting of financial instruments | T130 | ||||
|---|---|---|---|---|---|
in EUR thousands | Gross amounts of financial assets / financial liabilities | Gross amounts of financial assets / financial liabilities offset in the Statement of Financial Position | Net amounts recognized in the Statement of Financial Position | Amounts that are not offset in the Statement of Financial Position | Net amount |
Financial instruments | |||||
Dec 31, 2023 | |||||
Financial assets | |||||
Derivative financial instruments (b) | 4,973 | 4,973 | 43 | 4,930 | |
Trade and other receivables (a) | 188,956 | 4,449 | 184,507 | 184,507 | |
Other financial assets | 3,223 | 3,223 | 3,223 | ||
Cash and cash equivalents | 165,207 | 165,207 | 165,207 | ||
Total | 362,359 | 4,449 | 357,910 | 43 | 357,867 |
Financial liabilities | |||||
Borrowings | 458,744 | 458,744 | 458,744 | ||
Derivative financial instruments (b) | 544 | 544 | 43 | 501 | |
Trade and other payables (a) | 178,108 | 4,449 | 173,659 | 173,659 | |
Other financial liabilities | 8,724 | 8,724 | 8,724 | ||
Total | 646,120 | 4,449 | 641,671 | 43 | 641,628 |
Dec 31, 2022 | |||||
Financial assets | |||||
Derivative financial instruments (b) | 6,875 | 6,875 | 6,875 | ||
Trade and other receivables (a) | 191,215 | 4,906 | 186,309 | 186,309 | |
Other financial assets | 3,764 | 3,764 | 3,764 | ||
Cash and cash equivalents | 168,670 | 168,670 | 168,670 | ||
Total | 370,524 | 4,906 | 365,618 | 0 | 365,618 |
Financial liabilities | |||||
Borrowings | 465,578 | 465,578 | 465,578 | ||
Derivative financial instruments (b) | 1,578 | 1,578 | 1,578 | ||
Trade and other payables (a) | 211,629 | 4,906 | 206,723 | 206,723 | |
Other financial liabilities | 10,537 | 10,537 | 10,537 | ||
Total | 689,322 | 4,906 | 684,416 | 0 | 684,416 |
(a) Offsetting arrangements
NORMA Group grants volume-based discounts to its customers. According to the terms of the supply agreements and the applicable GTC, these amounts are offset against the trade receivables payable to NORMA Group from these customers and only the respective net amounts are settled. The respective amounts are thus shown as net amounts in NORMA Group’s Consolidated Statement of Financial Position.
(b) Master netting arrangements – not currently enforceable
NORMA Group enters into derivative transactions in accordance with the global netting agreements (master agreement) of the International Swaps and Derivatives Association (ISDA) and other corresponding national master agreements (“German Master Agreement,” for example). These agreements do not meet the criteria for offsetting as they only grant the right to offset in the event of future events, such as the default or insolvency of the Group or counterparties. The TABLE OFFSETTING OF FINANCIAL INSTRUMENTS shows the possible financial effects of offsetting in accordance with the existing global netting agreements.
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These contents are part of the Non-financial Group Report and were subject to a separate limited assurance examination.