JSC DITTON PIEVADĶĒŽU RŪPNĪCA
FINANCIAL REPORT
FOR 9 MONTHS OF YEAR 2022
(01.01.2022 – 30.09.2022)
(Not subject to audit by the independent sworn auditor)
Prepared in accordance with Financial Instruments Market Law and Law On the Annual
Financial Statements and Consolidated Financial Statements of the Republic of Latvia
Daugavpils
2022
JSC DITTON PIEVADĶĒŽU RŪPNĪCA
FINANCIAL REPORT FOR 9 MONTHS OF 2022
2
Contents
Information about the Company ..…………………………………...........3-5
Statement about management liability ..……………………………............ 6
Balance sheet ……………………………………..……………….............7-8
Income statement.................................................................................................... 9
Cash flow statement ……………………….........…………………............. 10
Statement of changes in equity ………………………….…………............ 11
Appendixes
Explanatory notes ……………………………………………………. 12
Explanations and analyses on separate items of financial reports …................... 13
JSC DITTON PIEVADĶĒŽU RŪPNĪCA
FINANCIAL REPORT FOR 9 MONTHS OF 2022
3
INFORMATION ABOUT THE COMPANY
Company name
Legal status
Registration number
Registration in Register of Enterprises
Registration in Commercial Register Office
Legal address
Mailing address
Ditton pievadķēžu rūpnīca
Joint Stock Company
40003030187
Rīga, 03.10.1991
Rīga, 29.08.2003
Višķu St. 17, Daugavpils,
LV-5410, Latvia
Višķu St. 17, Daugavpils,
LV-5410, Latvia
Fixed capital
Number of public bearer shares
Nominal value of one share
10,360,000 EUR
7 400 000
1.40 EUR
Chief accountant
Jūlija Lavrecka
Reporting period
01.01.2022 – 30.09.2022
Persons in charge for drawing up of the financial report:
Ms. Jūlija Lavrecka, phone +371 65402316, e-mail:
Mr. Boriss Matvejevs, phone +371 65402333, email:
JSC DITTON PIEVADĶĒŽU RŪPNĪCA
FINANCIAL REPORT FOR 9 MONTHS OF 2022
4
INFORMATION ON MANAGEMENT BOARD AND COUNCIL
MEMBERS
THE MANAGEMENT BOARD
Chairman of the Management Board
Rolands Zarāns, re-elected on 14.01.2019 (elected since 15.01.2014).
Information about the shares held by the members of the Management Board
Members of the Management Board
Rolands Zarāns
Owned shares
*
Number%
nonenone
COUNCIL
Chairman of the Council
Boriss Matvejevs, re-elected on 18.06.2020 (elected since 05.05.2005).
Members of the Council
Genādijs Zavadskis, re-elected on 18.06.2020 (elected since 05.02.2017).
Aleksandrs Sokolovs, elected on 18.06.2020.
Information about the shares owned by the members of the Council
Members of the Council
Boriss Matvejevs
Genādijs Zavadskis
Aleksandrs Sokolovs
Owned shares*
Number%
none none
none none
700 0009,46**
Information about the professional experience of the members of the Management Board and
Council of the JSC Ditton pievadķēžu rūpnīca (hereafter – Company) can be found on the
website
____________________
* at 25.08.2022
**beneficiary of the Shareholder DVINSK MNG, Ltd.
JSC DITTON PIEVADĶĒŽU RŪPNĪCA
FINANCIAL REPORT FOR 9 MONTHS OF 2022
5
SHAREHOLDERS OWNING MORE THAN 5% OF THE COMPANY’S TOTAL
SHARE CAPITAL
*
Given name, surname or Name
Vladislavs Drīksne
MAX Invest Holding SIA
Maleks S SIA
DVINSK MNG SIA
Eduards Zavadskis
Marina Zavadska
Karolīna Marija Zavadska
Shareholding,
%
19,92
13,63
13,56
9,46
6,67
6,67
6,67
* Note
: (1) The Company is not keeping a share owner and/or a shareholder register. The above information is provided and
updated on the basis of the shareholders list of AS Ditton pievadķēžu rūpnīca dated 25.08.2022, which was received from Nasdaq CSD
under the Commercial Law of the RoL and the Law on the Financial Instruments Market, taking into consideration the statements of
shareholders on the acquisition or loss of their holdings submitted to the Company under Section 61 of the Law on Financial Instruments
Market.
(2) Information about M. Zavadska’s and K. M. Zavadska’s shares is provided in accordance with the October 24, 2022
"Notice of significant participation" of these persons.
(3) As of September 30, 2022 The company does not have information about the distribution of shares between the heirs of V.
Drīksne (19.92%) and E. Zavadska (6.67%), their entries in their financial instrument accounts in accordance with Article 125 of the
Financial Instruments Market Law.
SHARE PRICE DEVELOPMENT
JSC DITTON PIEVADĶĒŽU RŪPNĪCA
FINANCIAL REPORT FOR 9 MONTHS OF 2022
6
STATEMENT ABOUT MANAGEMENT LIABILITY
The Management board declares that the interim report for 9 months of the year 2022 has been
prepared in compliance with the existing legislative requirements of the Republic of Latvia and of the
European Union, incl. internal procedures and regulations.
The Management board declares that according to the information at its disposal, financial report
gives a true and fair view of the assets, liabilities, financial standing and profits of the Company, incl.
changes in equity.
The Management board assures that this financial report for 9 months of 2022 contains truthful
information and that revenue recognition principle and assessment methods applied by its
preparation are consistent with those applied in the last Annual Report.
The Board of the Company declares that the information presented in the Management Report of the
I half-year report of 2022 has not changed significantly and is relevant for the Company in the period
until September 30, 2022.
At the same time, the Company’s Board draws attention to the fact that, due to reasons beyond the
control of the Company, the Company suspended its production activity from October 3, 2022
and partially resumed it from November 14, 2022.
It is clear that the aforementioned will directly affect the Company’s final annual performance
results and financial position. It will be analysed and reflected concretely and reasoned in the
report of the Board prepared for the 2022 annual report of the Company.
Chairman of the Management boardRolands Zarāns
of JSC Ditton pievadķēžu rūpnīca
JSC DITTON PIEVADĶĒŽU RŪPNĪCA
FINANCIAL REPORT FOR 9 MONTHS OF 2022
7
BALANCE SHEET
ASSETS
30.09.2022.
EUR
30.09.2021
EUR
Long-term investments
Intangible investments
Concessions, patents, licenses, trademarks and similar rights
Total intangible investments
-
-
-
-
2 061 350
1 720 761
-
-
1 856 597
8 032
2 061 350
1 863 203
-
-
2 130 623
17 277
-
-
Fixed assets
Immovable property:
Land
Buildings and structures and permanent crop
Investment properties - land
Investment properties - buildings
Technological equipment and devices
Other fixed assets and inventory
Costs of the establishment of fixed assets and unfinished
building objects
Total fixed assets
5 646 740
6 072 453
Long-term financial investments
Other securities and investments
Total long-term financial investments
-
-
-
-
Total long-term investments
5 646 740
6 072 453
Current assets
Inventories
Raw materials, consumables and supplies
Work in progress
Finished products and goods for sale
Advance payments for inventories
Total inventories
375 494
206 839
262 353
67 979
912 665
590 126
175 508
338 007
110 302
1 213 943
Debtors
Trade receivables
Other debtors
Next period costs
Total debtors
Cash
601 533
21 954
593
624 080
283 605
632 125
30 753
634
663 512
4 359
Total current assets
1 820 350
1 881 814
TOTAL ASSETS
7 467 090
7 954 267
JSC DITTON PIEVADĶĒŽU RŪPNĪCA
FINANCIAL REPORT FOR 9 MONTHS OF 2022
8
BALANCE SHEET
LIABILITIES
30.09.2022
EUR
30.09.2021
EUR
Equity
10 360 000
10 360 000
Stock capital
Reserves:
Other reserves
169 251
169 251
(9 240 236)
(9 370 970)
Uncovered losses brought forward from the previous years
Loss / profit for the fiscal period
Total equity
199 843
1 488 858
294 837
1 453 118
Creditors
Long-term creditors:
3 811 577
4 135 577
-
100 000
Loans from credit institutions
Other loans
Next period income
1 050 031
1 133 515
Total long-term creditors
4 861 608
5 369 092
Short-term creditors:
104 384
90 384
Loans from credit institutions
Other loans
Prepayments received from purchasers
Accounts payable to suppliers and contractors
Taxes and State mandatory social insurance payments
Other creditors
Deferred income
Accrued liabilities
Total short-term creditors
Total creditors
100 000
59 641
450 348
222 759
71 115
20 871
87 506
1 116 624
5 978 232
-
6 121
479 822
365 284
78 787
20 871
90 788
1 132 057
6 501 149
TOTAL LIABILITIES
7 467 090
7 954 267
JSC DITTON PIEVADĶĒŽU RŪPNĪCA
FINANCIAL REPORT FOR 9 MONTHS OF 2022
9
INCOME STATEMENT
30.09.2022.
EUR
30.09.2021
EUR
Net turnover
3 756 318
3 907 229
3 003 350
2 969 437
Production costs of goods sold, purchase costs of goods sold
or services rendered
Gross profit
752 967
937 793
Sales costs
Administrative expenses
Other income from operating activities
Other costs of operating activities
Other interest receivable and similar income
Interest payments and similar expenses
582
(473 501)
204 334
(127 996)
204 334
(127 996)
561
(487 651)
89 763
(98 196)
1 521
(147 831)
·
from other persons
(127 996)(147 831)
Loss / profit before corporate income tax
199 843294 837
Corporate income tax
--
Loss / profit for the fiscal period
199 843
294 837
Loss / profit per share
0.0270.040
JSC DITTON PIEVADĶĒŽU RŪPNĪCA
FINANCIAL REPORT FOR 9 MONTHS OF 2022
10
CASH FLOW STATEMENT
30.09.2022
EUR
30.09.2021
EUR
I. Cash flows from operating activities
1. Profit or loss before enterprise income tax
199 843
294 837
Adjustments to:
Depreciation of fixed assets
Deprecation of intangible assets
Next period income recognition
Interest payments and similar income
303 619
-
(62 613)
156 571
303 292
1 611
(62 613)
147 831
2. Profit or loss before adjustments to fixed assets and
short-term creditors
597 420
684 958
(39 454)
118 391
(227 971)
(273 195)
Adjustments to:
Increase or decrease in accounts receivables
Increase or decrease in inventories
Increase or decrease in accounts payable to suppliers,
contractors and other creditors
(148 672)
(148 558)
3. Gross cash flows from operating activities
527 685
35 234
Net cash used in operating activities
527 685
35 234
II. Cash flows from investing activities
Purchases of fixed and intangible investments
Proceeds from sale of fixed assets and intangible
investments
Net cash flows used in investing activities
-
-
-
-
-
-
III. Cash flows from financing activities
Net change in borrowings
Interest payments and similar expenses
Purchase of fixed assets
Expenses from liquidation of fixed assets
Net cash used in financing activities
(243 000)
(156 571)
-
22 522
(377 049)
16 300
(147 831)
(7 094)
-
(138 625)
Net cash flow of the fiscal period
150 636
(103 391)
132 969
107 750
Cash and cash equivalents at the beginning of the
fiscal period
Cash and cash equivalents at the end of the fiscal
period
283 605
4 359
JSC DITTON PIEVADĶĒŽU RŪPNĪCA
FINANCIAL REPORT FOR 9 MONTHS OF 2022
11
STATEMENT OF CHANGES IN EQUITY
for the period from 01.01.2022 till 30.09.2022
-
-
-
294 837
294 837
-
-
-
199 843
199 843
Equity
capital
Reserves
Uncovered
losses
Total
EUR
10 360 000
-
EUR
169 251
-
EUR
(9 370 970)
-
Profit or
loss of
fiscal
period
EUR
--
EUR
1 158 281
-
10 360 000
10 360 000
169 251
169 251
(9 370 970)
(9 240 236)
294 837
-
1 453 118
1 289 015
As at 1 January 2021
Reserves
Profit of 9 months period
2021
At 30 September 2021
At 1 January 2022
Profit of 9 months period
2022
At 30 September 2022
10 360 000
169 251
(9 240 236)
199 843
1 488 858
JSC DITTON PIEVADĶĒŽU RŪPNĪCA
FINANCIAL REPORT FOR 9 MONTHS OF 2022
12
Appendix
Explanatory notes
Accounting policies and methods applied in present interim financial statements are
consistent with those applied in the last Annual Report.
These financial statements of the JSC DITTON pievadķēžu rūpnīca prepared on the
basis of source documents present fairly the financial position of the JSC as at 30
September 2022, its` operating results and cash flows for 9 months ended 30
September 2022.
This financial report has been prepared in compliance with statutory regulations of
the Republic of Latvia on a going concern basis. Appropriate accounting policies
have been applied consistently to each category.
The interim financial report for 9 months of 2022 has not been audited by sworn
auditor.
The interim report has been prepared in euros.
The significant events of the Company’s economic activity, market trends and the
development of society, as well as the risks of society, which were valid until
September 30, 2022 and which were indicated in the Board’s report included in the
Company’s Financial Report for the 6 months of 2022, are current and valid.
At the same time, the Company’s Board draws attention to the fact that, due to
reasons beyond the control of the Company, the Company suspended its
production activity from October 3, 2022 and partially resumed it from November 14,
2022. It is clear that the aforementioned will directly affect the Company’s final annual
performance results and financial position. It will be analysed and reflected concretely
and reasoned in the report of the Board prepared for the 2022 annual report of the
Company.
JSC DITTON PIEVADĶĒŽU RŪPNĪCA
FINANCIAL REPORT FOR 9 MONTHS OF 2022
13
Explanations and analyses on separate items of financial reports
Production of driving chains in 9 months of 2022 (thousand euros)
The value of the produced driving chains in these 9 months reached € 2 504
thousand, what is by € 630 thousand smaller than the index of the same period of the
previous year.
Production of driving chains in 9 months of 2022 (thousand meters)
The index of the produced driving chains is by 254 thousand meters smaller than in
9 months of 2021.
Sales (net-turnover) in 9 months of 2022 (thousand euros)
The net-turnover of the fiscal period is fulfilled by € 3 756 thousand, being by € 151
thousand or 4 per cent smaller than the index in the same period of the previous
year.
Core product sales in 9 months of 2022 (thousand euros)
Core product sales amounting to € 2 977 thousand in the reporting period are by €
195 thousand or 6 per cent smaller than the result of the same period in the previous
year.
