UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
For the month of May 2022
Commission File Number: 001-40618
Stevanato Group S.p.A.
(Translation of registrant’s name into English)
Via Molinella 17
35017 Piombino Dese – Padua
Italy
(Address of principal executive office)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40‑F.
Form 20-F ☒ Form 40-F ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
Yes ☐ No ☒
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):
Yes ☐ No ☒
Stevanato Group S.p.A.
Interim condensed consolidated financial statements
for the three months ended March 31, 2022
Table of Contents
CAUTIONARY STATEMENTS REGARDING FORWARD-LOOKING STATEMENTS
This quarterly report on Form 6-K contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that reflect the current views of Stevanato Group S.p.A. (“we”, “our”, “us”, “Stevanato Group” or the “Company”). These forward-looking statements include, or may include, words such as “raising”, “believe”, “potential”, “increased”, “future”, “remain”, “growing”, “expect”, “foreseeable”, “expected”, “to be”, “includes”, “estimated”, “assumes”, “would provide”, “anticipate”, “will”, “plan”, “may”, “forecast”, and other similar terminology. Forward-looking statements contained in this report include, but are not limited to, statements about: our future financial performance, including our revenue, operating expenses and our ability to maintain profitability and operational and commercial capabilities; our expectations regarding the development of our industry and the competitive environment in which we operate; the expansion of our plants and our expectations to increase production capacity; the global supply chain and our committed orders; the global response to COVID-19 and our role in it; our geographical and industrial footprint; and our goals, strategies and investment plans. These statements are neither promise nor guarantee but involve known and unknown risks, uncertainties and other important factors and circumstances that may cause Stevanato Group’s actual results, performance or achievements to be materially different from its expectations expressed or implied by the forward-looking statements, including conditions in the U.S. capital markets, negative global economic conditions, inflation, potential negative developments in the COVID-19 pandemic, the impact of the conflict between Russia and Ukraine, supply chain challenges and other negative developments in Stevanato Group’s business or unfavorable legislative or regulatory developments. The following are some of the factors that could cause our actual results to differ materially from those expressed in or underlying our forward-looking statements: (i) our product offerings are highly complex, and, if our products do not satisfy applicable quality criteria, specifications and performance standards, we could experience lost sales, delayed or reduced market acceptance of our products, increased costs and damage to our reputation; (ii) we must develop new products and enhance existing products, adapt to significant technological and innovative changes and respond to introductions of new products by competitors to remain competitive; (iii) our backlog might not accurately predict our future revenue, and we might not realize all or any part of the anticipated revenue reflected in our backlog; (iv) if we fail to maintain and enhance our brand and reputation, our business, results of operations and prospects may be materially and adversely affected; (v) we are highly dependent on our management and employees. Competition for our employees is intense, and we may not be able to attract and retain the highly skilled employees that we need to support our business and our intended future growth; (vi) our business, financial condition and results of operations depend upon maintaining our relationships with suppliers and service providers; (vii) our business, financial condition and results of operations depend upon the availability and price of high-quality materials and energy supply and our ability to contain production costs; (viii) the current conflict between Russia and Ukraine and the financial and economic sanctions imposed by the European Union, the U.S., the United Kingdom and other countries and organizations against officials, individuals, regions, and industries in Russia and Belarus may negatively impact our ability to source gas at commercially reasonable terms or at all and could have a material adverse effect on our operations; (ix) significant interruptions in our operations could harm our business, financial condition and results of operations; (x) as a consequence of the COVID-19 pandemic, sales of syringes and vials to and for vaccination programs globally increased resulting in a revenue growth acceleration. The demand for such products may shrink, if the need for COVID-19 related solutions declines; (xi) our manufacturing facilities are subject to operating hazards which may lead to production curtailments or shutdowns and have an adverse effect on our business, results of operations, financial condition or cash flows; (xii) we may face significant competition in implementing our strategies for revenue growth in light of actions taken by our competitors; (xiii) our global operations are subject to international market risks that may have a material effect on our liquidity, financial condition, results of operations and cash flows; (xiv) we are required to comply with a wide variety of laws and regulations and are subject to regulation by various federal, state and foreign agencies; (xv) if relations between China and the United States deteriorate, our business in the United States and China could be materially and adversely affected; and (xvi) Cyber security risks and the failure to maintain the confidentiality, integrity and availability of our computer hardware, software and internet applications and related tools and functions, could result in damage to our reputation, data integrity and/or subject us to costs, fines or lawsuits under data privacy or other laws or contractual requirements. This list is not exhaustive. We caution you therefore against relying on these forward-looking statements and we qualify all of our forward-looking statements by these cautionary statements.
These forward-looking statements speak only as at their dates. The Company undertakes no obligation to update any forward-looking statement or statements to reflect events or circumstances after the date on which such statement is made or to reflect the occurrence of unanticipated events. New factors emerge from time to time, and it is not possible to predict all of these factors. Further, the Company cannot assess the impact of each such factor on our business or the extent to which any factor, or combination of factors, may cause actual results to be materially different from those contained in any forward-looking statements.
For a description of certain additional factors that could cause the Company’s future results to differ from those expressed in any such forward-looking statements, refer to the risk factors discussed under “Item 1A. Risk Factors” below and “Risk Factors” in our Annual Report on Form 20-F/A for the year ended December 31, 2021 filed with the U.S. Securities and Exchange Commission on April 5, 2022.
PART I–FINANCIAL INFORMATION
Item 1. Financial Statements
Stevanato Group S.p.A.
Interim consolidated income statements
for the three months ended March 31, 2022 and 2021
(Unaudited)
|
|
|
|
For the three months ended |
|
|||||
|
|
|
|
2022 |
|
|
2021 |
|
||
|
|
|
|
(EUR thousand) |
|
|||||
|
|
Notes |
|
|
|
|
|
|
||
Revenues |
|
9 |
|
|
212,074 |
|
|
|
192,849 |
|
Cost of sales |
|
10 |
|
|
144,625 |
|
|
|
127,440 |
|
Gross Profit |
|
|
|
|
67,449 |
|
|
|
65,409 |
|
|
|
|
|
|
|
|
|
|
||
Other operating income |
|
11 |
|
|
1,569 |
|
|
|
3,225 |
|
Selling and Marketing expenses |
|
12 |
|
|
4,921 |
|
|
|
5,868 |
|
Research and Development expenses |
|
12 |
|
|
7,685 |
|
|
|
5,820 |
|
General and Administrative expenses |
|
12 |
|
|
18,495 |
|
|
|
14,007 |
|
Operating Profit |
|
|
|
|
37,917 |
|
|
|
42,939 |
|
|
|
|
|
|
|
|
|
|
||
Finance income |
|
13 |
|
|
2,980 |
|
|
|
2,005 |
|
Finance expense |
|
14 |
|
|
4,612 |
|
|
|
3,239 |
|
Profit Before Tax |
|
|
|
|
36,285 |
|
|
|
41,705 |
|
|
|
|
|
|
|
|
|
|
||
Income taxes |
|
15 |
|
|
8,521 |
|
|
|
5,140 |
|
Net Profit |
|
|
|
|
27,764 |
|
|
|
36,565 |
|
|
|
|
|
|
|
|
|
|
||
Net Profit attributable to: |
|
|
|
|
|
|
|
|
||
Equity holders of the parent |
|
|
|
|
27,723 |
|
|
|
36,551 |
|
Non-controlling interests |
|
|
|
|
41 |
|
|
|
14 |
|
|
|
|
|
|
27,764 |
|
|
|
36,565 |
|
|
|
|
|
|
|
|
|
|
||
Earnings per share |
|
|
|
|
|
|
|
|
||
Basic earnings per common share (in EUR) |
|
16 |
|
|
0.10 |
|
|
|
0.15 |
|
Diluted earnings per common share (in EUR) |
|
16 |
|
|
0.10 |
|
|
|
0.15 |
|
The accompanying notes are an integral part of the Interim Condensed Consolidated Financial Statements
1
Stevanato Group S.p.A.
Interim consolidated statements of comprehensive income
for the three months ended March 31, 2022 and 2021
(Unaudited)
|
|
|
|
For the three months ended |
|
|||||
|
|
|
|
2022 |
|
|
2021 |
|
||
|
|
|
|
(EUR thousand) |
|
|||||
|
|
Notes |
|
|
|
|
|
|
||
Net Profit |
|
|
|
|
27,764 |
|
|
|
36,565 |
|
|
|
|
|
|
|
|
|
|
||
Gains/(losses) from remeasurement of employee defined benefit plans |
|
|
|
|
291 |
|
|
|
140 |
|
Tax effect relating to those components of OCI |
|
|
|
|
(70 |
) |
|
|
(34 |
) |
Other comprehensive income (loss) that will not be classified subsequently to profit or loss |
|
|
|
|
221 |
|
|
|
106 |
|
|
|
|
|
|
|
|
|
|
||
Exchange difference on translation of foreign operations |
|
24 |
|
|
12,167 |
|
|
|
2,585 |
|
Changes in the fair value of cash flow hedging instruments |
|
|
|
|
2,473 |
|
|
|
469 |
|
Tax effect relating to those components of OCI |
|
|
|
|
(593 |
) |
|
|
(113 |
) |
Other comprehensive income (loss) that will be classified subsequently to profit or loss |
|
|
|
|
14,047 |
|
|
|
2,941 |
|
|
|
|
|
|
|
|
|
|
||
Total other comprehensive income (loss), net of tax |
|
|
|
|
14,268 |
|
|
|
3,048 |
|
|
|
|
|
|
|
|
|
|
||
Total Comprehensive Income |
|
|
|
|
42,032 |
|
|
|
39,613 |
|
|
|
|
|
|
|
|
|
|
||
Attributable to: |
|
|
|
|
|
|
|
|
||
Equity holders of the parent |
|
|
|
|
41,976 |
|
|
|
39,588 |
|
Non-controlling interests |
|
|
|
|
56 |
|
|
|
24 |
|
|
|
|
|
|
42,032 |
|
|
|
39,613 |
|
The accompanying notes are an integral part of the Interim Condensed Consolidated Financial Statements
2
Stevanato Group S.p.A.
Interim consolidated statements of financial position
as at March 31, 2022 and at December 31, 2021
(Unaudited)
|
|
|
|
At March 31, |
|
|
At December 31, |
|
||
|
|
|
|
2022 |
|
|
2021 |
|
||
|
|
|
|
(EUR thousand) |
|
|||||
Assets |
|
Notes |
|
|
|
|
|
|
||
Non-current assets |
|
|
|
|
|
|
|
|
||
Goodwill |
|
|
|
|
47,243 |
|
|
|
47,243 |
|
Other intangible assets |
|
17 |
|
|
32,101 |
|
|
|
31,928 |
|
Right of Use assets |
|
19 |
|
|
22,148 |
|
|
|
22,690 |
|
Property, plant and equipment |
|
18 |
|
|
440,161 |
|
|
|
392,717 |
|
Financial assets - investments FVTPL |
|
|
|
|
1,032 |
|
|
|
1,084 |
|
Other non-current financial assets |
|
20 |
|
|
1,340 |
|
|
|
1,334 |
|
Deferred tax assets |
|
|
|
|
57,060 |
|
|
|
55,877 |
|
|
|
|
|
|
601,085 |
|
|
|
552,873 |
|
Current assets |
|
|
|
|
|
|
|
|
||
Inventories |
|
21 |
|
|
166,763 |
|
|
|
148,917 |
|
Contract assets |
|
22 |
|
|
77,425 |
|
|
|
62,133 |
|
Trade receivables |
|
22 |
|
|
174,506 |
|
|
|
165,259 |
|
Other current financial assets |
|
20 |
|
|
28,641 |
|
|
|
27,217 |
|
Tax receivables |
|
23 |
|
|
27,581 |
|
|
|
25,063 |
|
Other receivables |
|
|
|
|
24,826 |
|
|
|
26,341 |
|
Cash and cash equivalents |
|
|
|
|
366,691 |
|
|
|
411,039 |
|
|
|
|
|
|
866,433 |
|
|
|
865,969 |
|
Total assets |
|
|
|
|
1,467,518 |
|
|
|
1,418,842 |
|
Equity and liabilities |
|
|
|
|
|
|
|
|
||
Equity |
|
|
|
|
|
|
|
|
||
Share capital |
|
24 |
|
|
21,698 |
|
|
|
21,698 |
|
Reserves and Retained Earnings |
|
24 |
|
|
835,514 |
|
|
|
686,055 |
|
Net profit attributable to equity holders of the parent |
|
|
|
|
27,723 |
|
|
|
134,321 |
|
Equity attributable to equity holders of the parent |
|
|
|
|
884,935 |
|
|
|
842,074 |
|
Non-controlling interests |
|
|
|
|
(359 |
) |
|
|
(415 |
) |
Total equity |
|
|
|
|
884,576 |
|
|
|
841,659 |
|
|
|
|
|
|
|
|
|
|
||
Non-current liabilities |
|
|
|
|
|
|
|
|
||
Non-current financial liabilities |
|
25 |
|
|
197,229 |
|
|
|
202,296 |
|
Employees benefits |
|
27 |
|
|
12,265 |
|
|
|
11,853 |
|
Provisions |
|
28 |
|
|
3,573 |
|
|
|
3,499 |
|
Deferred tax liabilities |
|
|
|
|
19,253 |
|
|
|
19,105 |
|
Other non-current liabilities |
|
29 |
|
|
1,815 |
|
|
|
1,808 |
|
|
|
|
|
|
234,135 |
|
|
|
238,561 |
|
Current liabilities |
|
|
|
|
|
|
|
|
||
Current financial liabilities |
|
25 |
|
|
54,815 |
|
|
|
46,195 |
|
Trade payables |
|
30 |
|
|
154,550 |
|
|
|
164,787 |
|
Contract liabilities |
|
31 |
|
|
15,713 |
|
|
|
18,771 |
|
Advances from customers |
|
31 |
|
|
28,713 |
|
|
|
23,616 |
|
Tax payables |
|
23 |
|
|
28,622 |
|
|
|
19,440 |
|
Other liabilities |
|
30 |
|
|
66,394 |
|
|
|
65,813 |
|
|
|
|
|
|
348,807 |
|
|
|
338,622 |
|
Total liabilities |
|
|
|
|
582,942 |
|
|
|
577,183 |
|
Total equity and liabilities |
|
|
|
|
1,467,518 |
|
|
|
1,418,842 |
|
The accompanying notes are an integral part of the Interim Condensed Consolidated Financial Statements
3
Stevanato Group S.p.A.
Interim consolidated statements of changes in equity
for the three months ended March 31, 2022 and 2021
(Unaudited)
|
|
Notes |
|
Share |
|
|
Share |
|
|
Treasury |
|
|
Cash flow |
|
|
Reserve for |
|
|
Foreign |
|
|
Retained |
|
|
Equity |
|
|
Non- |
|
|
Total |
|
||||||||||
|
|
|
|
(EUR thousand) |
|
|||||||||||||||||||||||||||||||||||||
At January 1, 2022 |
|
|
|
|
21,698 |
|
|
|
389,312 |
|
|
|
(27,740 |
) |
|
|
(1,277 |
) |
|
|
(745 |
) |
|
|
(22,680 |
) |
|
|
483,506 |
|
|
|
842,074 |
|
|
|
(415 |
) |
|
|
841,659 |
|
Other comprehensive income |
|
24 |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
1,880 |
|
|
|
221 |
|
|
|
12,152 |
|
|
|
— |
|
|
|
14,253 |
|
|
|
15 |
|
|
|
14,268 |
|
Net profit |
|
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
27,723 |
|
|
|
27,723 |
|
|
|
41 |
|
|
|
27,764 |
|
Total comprehensive income |
|
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
1,880 |
|
|
|
221 |
|
|
|
12,152 |
|
|
|
27,723 |
|
|
|
41,976 |
|
|
|
56 |
|
|
|
42,032 |
|
Other |
|
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
885 |
|
|
|
885 |
|
|
|
— |
|
|
|
885 |
|
Total effects |
|
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
885 |
|
|
|
885 |
|
|
|
— |
|
|
|
885 |
|
At March 31, 2022 |
|
|
|
|
21,698 |
|
|
|
389,312 |
|
|
|
(27,740 |
) |
|
|
603 |
|
|
|
(524 |
) |
|
|
(10,528 |
) |
|
|
512,114 |
|
|
|
884,935 |
|
|
|
(359 |
) |
|
|
884,576 |
|
|
|
Notes |
|
Share |
|
|
Treasury |
|
|
Cash flow |
|
|
Reserve for |
|
|
Foreign |
|
|
Retained |
|
|
Equity |
|
|
Non- |
|
|
Total |
|
|||||||||
|
|
|
|
(EUR thousand) |
|
|||||||||||||||||||||||||||||||||
At January 1, 2021 |
|
|
|
|
20,002 |
|
|
|
(26,189 |
) |
|
|
(3,345 |
) |
|
|
(675 |
) |
|
|
(34,911 |
) |
|
|
355,613 |
|
|
|
310,495 |
|
|
|
(355 |
) |
|
|
310,140 |
|
Other comprehensive income |
|
24 |
|
|
— |
|
|
|
— |
|
|
|
357 |
|
|
|
106 |
|
|
|
2,574 |
|
|
|
— |
|
|
|
3,037 |
|
|
|
11 |
|
|
|
3,048 |
|
Net profit |
|
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
36,551 |
|
|
|
36,551 |
|
|
|
14 |
|
|
|
36,565 |
|
Total comprehensive income |
|
|
|
|
— |
|
|
|
— |
|
|
|
357 |
|
|
|
106 |
|
|
|
2,574 |
|
|
|
36,551 |
|
|
|
39,588 |
|
|
|
25 |
|
|
|
39,613 |
|
Dividends |
|
24 |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(11,200 |
) |
|
|
(11,200 |
) |
|
|
— |
|
|
|
(11,200 |
) |
Other |
|
|
|
|
— |
|
|
|
(261 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
445 |
|
|
|
184 |
|
|
|
— |
|
|
|
184 |
|
Total effects |
|
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(10,755 |
) |
|
|
(11,016 |
) |
|
|
— |
|
|
|
(11,016 |
) |
At March 31, 2021 |
|
|
|
|
20,002 |
|
|
|
(26,450 |
) |
|
|
(2,988 |
) |
|
|
(569 |
) |
|
|
(32,337 |
) |
|
|
381,409 |
|
|
|
339,067 |
|
|
|
(330 |
) |
|
|
338,737 |
|
The accompanying notes are an integral part of the Interim Condensed Consolidated Financial Statements
4
Stevanato Group S.p.A.
Interim consolidated statements of cash flows
for the three months ended March 31, 2022 and 2021
(Unaudited)
|
|
|
|
For the three months ended |
|
|||||
|
|
|
|
2022 |
|
|
2021 |
|
||
|
|
|
|
(EUR thousand) |
|
|||||
|
|
Notes |
|
|
|
|
|
|
||
Operating activities |
|
|
|
|
|
|
|
|
||
Profit before tax |
|
|
|
|
36,285 |
|
|
|
41,705 |
|
Adjustments: |
|
|
|
|
|
|
|
|
||
Depreciation and impairment of property, plant and equipment |
|
|
|
|
11,739 |
|
|
|
9,583 |
|
Amortization of intangible assets and Right of Use |
|
|
|
|
3,472 |
|
|
|
3,366 |
|
Allowance for doubtful accounts |
|
|
|
|
(55 |
) |
|
|
982 |
|
Net finance expense/ (income) |
|
|
|
|
2,640 |
|
|
|
1,057 |
|
(Gain)/Loss from the disposal of non-current assets |
|
|
|
|
(12 |
) |
|
|
— |
|
Change in other provisions and in employee benefits |
|
|
|
|
(453 |
) |
|
|
2,907 |
|
Other non-cash expenses, net |
|
|
|
|
(1,518 |
) |
|
|
(332 |
) |
Working capital changes: |
|
|
|
|
|
|
|
|
||
- inventories and contract assets |
|
|
|
|
(31,298 |
) |
|
|
(13,894 |
) |
- trade receivables and other assets |
|
|
|
|
(7,533 |
) |
|
|
(23,867 |
) |
- trade payables, contract liabilities, advances and other liabilities |
|
|
|
|
(5,739 |
) |
|
|
(9,716 |
) |
Interest paid |
|
|
|
|
(805 |
) |
|
|
(1,147 |
) |
Interest received |
|
|
|
|
162 |
|
|
|
162 |
|
Income tax paid |
|
|
|
|
(1,735 |
) |
|
|
(4,919 |
) |
Cash Flow from operating activities |
|
|
|
|
5,150 |
|
|
|
5,887 |
|
Cash Flow from investing activities |
|
|
|
|
|
|
|
|
||
Purchase of property, plant and equipment |
|
|
|
|
(52,741 |
) |
|
|
(21,729 |
) |
Proceeds from sale of property plant and equipment |
|
|
|
|
13 |
|
|
|
— |
|
Purchase of intangible assets |
|
|
|
|
(1,938 |
) |
|
|
(662 |
) |
Investment in financial assets |
|
|
|
|
8 |
|
|
|
(32 |
) |
Net cash flows used in investing activities |
|
|
|
|
(54,658 |
) |
|
|
(22,423 |
) |
Cash Flow from financing activities |
|
|
|
|
|
|
|
|
||
Acquisition of non-controlling interests |
|
|
|
|
— |
|
|
|
(118 |
) |
Dividends paid |
|
|
|
|
— |
|
|
|
(11,200 |
) |
Payment of principal portion of lease liabilities |
|
|
|
|
(1,554 |
) |
|
|
(1,607 |
) |
Proceed from loans |
|
|
|
|
5,564 |
|
|
|
4,053 |
|
Repayments of loans |
|
|
|
|
(909 |
) |
|
|
(11,426 |
) |
Decrease in other current financial activities |
|
|
|
|
— |
|
|
|
484 |
|
Net cash flows from/(used in) financing activities |
|
|
|
|
3,101 |
|
|
|
(19,814 |
) |
|
|
|
|
|
|
|
|
|
||
Net change in cash and cash equivalents |
|
|
|
|
(46,407 |
) |
|
|
(36,350 |
) |
Net foreign exchange difference |
|
|
|
|
2,059 |
|
|
|
937 |
|
Cash and cash equivalents at January 1 |
|
|
|
|
411,039 |
|
|
|
115,599 |
|
Cash and cash equivalents at March 31 |
|
|
|
|
366,691 |
|
|
|
80,186 |
|
The accompanying notes are an integral part of the Interim Condensed Consolidated Financial Statements
5
Stevanato Group S.p.A.
Notes to the interim condensed consolidated financial statements
Stevanato Group S.p.A. (herein referred to as the “Company” and together with its subsidiaries the “Group”) is headquartered in Italy and its registered office is located at via Molinella 17, Piombino Dese (Padova, Italy). The Group is active in the design, production and distribution of products and technology to provide integrated solutions primarily for the bio-pharma, pharmaceutical and healthcare industries. The Group's continuous investments, advancement of technology in primary packaging, strong reputation and complementary acquisitions, has helped it become a global player in the bio-pharma industry. Principal products are drug containment and primary packaging solutions, drug delivery systems, medical devices, in-vitro diagnostics, analytical services, visual inspection machines, assembling and packaging machines and glass forming machines.
The Group has nine production plants for manufacturing and assembly of bio-pharma, pharmaceutical and healthcare products (in Italy, Germany, Slovakia, Brazil, Mexico, China, and the United States), five plants for the production of machinery and equipment (in Italy and Denmark), two sites for analytical services (in Italy and the United States) and two commercial offices (in Japan and the United States). Further, on October 4, 2021, the Group announced the start of construction of a new facility in Fishers, Indiana, United States. On March 10, 2022, the Group announced the acquisition of a new facility in Zhangjiagang, China which will undergo renovations and serve as its Asia Pacific regional hub. The Group is also investing in the expansion of production facilities in Piombino Dese, Italy, where construction of a new building is underway. The expansion of the Group's global footprint will diversify production, improve proximity to customers and allow the Group to provide services in more than 70 countries worldwide.
Stevanato Group S.p.A. is controlled by Stevanato Holding S.r.l. which holds 78.03% of its share capital.
On July 16, 2021 Stevanato Group began trading on the New York Stock Exchange under the symbol STVN.
These Interim Condensed Consolidated Financial Statements of Stevanato Group S.p.A. were authorized for issuance on May 6, 2022 and have been prepared in accordance with IAS 34 - Interim Financial Reporting. The Interim Condensed Consolidated Financial Statements should be read in conjunction with the Group’s consolidated financial statements at and for the year ended December 31, 2021 (the “Consolidated Financial Statements”), which have been prepared in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board (IFRS).
The preparation of the Interim Condensed Consolidated Financial Statements requires management to make estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities as well as disclosures of contingent liabilities. If in the future such estimates and assumptions, which are based on management’s best judgment at the date of these Interim Condensed Consolidated Financial Statements, deviate from the actual circumstances, the original estimates and assumptions will be modified as appropriate in the period in which the circumstances change.
Reference should be made to the section “Use of estimates” in the Consolidated Financial Statements for a detailed description of the more significant valuation procedures used by the Group.
Moreover, in accordance with IAS 34, certain valuation procedures, in particular those of a more complex nature regarding matters such as any impairment of non-current assets, are only carried out in full during the preparation of the annual consolidated financial statements, when all the related information necessary is available, other than in the event that there are indications of impairment, in which case an immediate assessment is required. Similarly, the actuarial valuations that are required for the determination of employee benefit provisions are also usually carried out during the preparation of the annual consolidated financial statements, except in the event of significant market fluctuations or significant plan amendments, curtailments or settlements. IAS 34 also requires the disclosure of the nature and amount of items affecting net income that are unusual due to their nature, size or significance.
6
These interim condensed consolidated financial statements consider that the Group publishes quarterly interim financial statements. As the Group is not including the full set of disclosures, as required in a complete set of financial statements, the interim financial statements of the Group are regarded as ‘condensed’, as per IAS 34.
New standards, amendments and interpretations
The accounting policies adopted in the preparation of the interim condensed consolidated financial statements are consistent with those followed in the preparation of the Group’s annual consolidated financial statements for the year ended December 31, 2021, except for the adoption of new standards effective as of January 1, 2022. The Group has not early adopted any standard, interpretation or amendment that has been issued but is not yet effective.
The following amendments and interpretations were adopted for the first time in 2022 and did not have a material impact on the interim condensed consolidated financial statements of the Group:
Amendments to IFRS 3 - Reference to the Conceptual Framework
In May 2020, the IASB issued Amendments to IFRS 3 - Business Combinations - Reference to the Conceptual Framework. The amendments are intended to replace a reference to the Framework for the Preparation and Presentation of Financial Statements, issued in 1989, with a reference to the Conceptual Framework for Financial Reporting issued in March 2018 without significantly changing its requirements. The Board also added an exception to the recognition principle of IFRS 3 to avoid the issue of potential ‘day 2’ gains or losses arising for liabilities and contingent liabilities that would be within the scope of IAS 37 or IFRIC 21 - Levies, if incurred separately. At the same time, the Board decided to clarify existing guidance in IFRS 3 for contingent assets that would not be affected by replacing the reference to the Framework for the Preparation and Presentation of Financial Statements. The amendments are effective for annual reporting periods beginning on or after January 1, 2022 and apply prospectively. The amendments did not have a material impact on the Group.
Amendments to IAS 16 - Property, Plant and Equipment: Proceeds before Intended Use
In May 2020, the IASB issued Amendments to IAS 16 - Property, Plant and Equipment - Proceeds before Intended Use, which prohibits entities deducting from the cost of an item of property, plant and equipment, any proceeds from selling items produced while bringing that asset to the location and condition necessary for it to be capable of operating in the manner intended by management. Instead, an entity recognizes the proceeds from selling such items, and the costs of producing those items, in profit or loss. The amendment is effective for annual reporting periods beginning on or after January 1, 2022 and must be applied retrospectively to items of property, plant and equipment made available for use on or after the beginning of the earliest period presented when the entity first applies the amendment. The amendments did not have a material impact on the Group.
Amendments to IAS 37 - Onerous Contracts - Costs of Fulfilling a Contract
In May 2020, the IASB issued Amendments to IAS 37 - Onerous Contracts to specify which costs an entity needs to include when assessing whether a contract is onerous or loss-making. The amendments apply a “directly related cost approach”. The costs that relate directly to a contract to provide goods or services include both incremental costs and an allocation of costs directly related to contract activities. General and Administrative costs do not relate directly to a contract and are excluded unless they are explicitly chargeable to the counterparty under the contract. The amendments are effective for annual reporting periods beginning on or after January 1, 2022. The Group will apply these amendments to contracts for which it has not yet fulfilled all its obligations at the beginning of the annual reporting period in which it first applies the amendments. The amendments did not have a material impact on the Group.
New standards, amendments and interpretations not yet effective
Amendments to IAS 1 - Classification of Liabilities as Current or Non-current
7
In January 2020, the IASB issued amendments to paragraphs 69 to 76 of IAS 1 to specify the requirements for classifying liabilities as current or non-current. The amendments clarify:
The amendments are effective for annual reporting periods beginning on or after January 1, 2023 and must be applied retrospectively. The Group is currently assessing the impact the amendments will have on current practice, monitoring the IFRS Interpretations Committee’s discussions, and whether existing loan agreements may require renegotiation.
Amendments to IAS 8 - Accounting Policies, Changes to Accounting Estimates and Errors
On 12 February 2021, the IASB issued amendments to IAS 8 Accounting Policies, Changes to Accounting Estimates and Errors, in which it introduces a new definition of “accounting estimates”. The amendments are designed to clarify the distinction between changes in accounting estimates and changes in accounting policies and the correction of errors. The amendments become effective for annual reporting periods beginning on or after January 1, 2023 and apply to changes in accounting policies and changes in accounting estimates that occur on or after the start of that period. The amendments are not expected to have a material impact on the Group.
Amendments to IAS 1 - Presentation of Financial Statements
In February 2021, the IASB issued amendments to IAS 1 Presentation of Financial Statements in which it provides guidance and examples to help entities apply materiality judgements to accounting policy disclosures. The IASB also issued amendments to IFRS Practice Statement 2 Making Materiality Judgements (the PS) to support the amendments in IAS 1 by explaining and demonstrating the application of the ‘four-step materiality process’ to accounting policy disclosures. The amendments aim to help entities provide accounting policy disclosures that are more useful by replacing the requirement for entities to disclose their ‘significant’ accounting policies with a requirement to disclose their ‘material’ accounting policies and adding guidance on how entities apply the concept of materiality in making decisions about accounting policy disclosures. The amendments to IAS 1 are applicable for annual periods beginning on or after January 1, 2023. The amendments are not expected to have a material impact on the Group.
Amendments to IAS 12 - Deferred Tax related to Assets and Liabilities arising from a Single Transaction
In May 2021, the IASB issued amendments to IAS 12 Deferred Tax related to Assets and Liabilities arising from a Single Transaction, that clarify the accounting of deferred tax on transactions such as leases and decommissioning obligations. The main change in Deferred Tax related to Assets and Liabilities arising from a Single Transaction (Amendments to IAS 12) is an exemption from the initial recognition exemption provided in IAS 12.15(b) and IAS 12.24. Accordingly, the initial recognition exemption does not apply to transactions in which equal amounts of deductible and taxable temporary differences arise on initial recognition (this is also explained in the newly inserted paragraph IAS 12.22A). The amendments to IAS 12 are applicable for annual periods beginning on or after January 1, 2023. The amendments are not expected to have a material impact on the Group.
Stevanato Group S.p.A. is the parent company of the Group and it holds, directly and indirectly, interests in the Group’s main operating companies. There are no changes in the scope of consolidation for the periods presented in this Interim Report and the Group’s scope of consolidation is as follows:
Subsidiaries
The interim condensed consolidated financial statements of the Group include the following companies directly or indirectly controlled:
8
|
|
|
|
|
|
|
|
|
|
% equity interest |
||
Name |
|
Segment |
|
Description |
|
Country of incorporation |
|
Type of control |
|
Mar. 31, |
|
Dec. 31, |
Nuova Ompi S.r.l. |
|
Biopharmaceutical |
|
Production of drug containment systems and development of integrated solutions for the pharmaceutical industry |
|
Italy |
|
Direct |
|
100% |
|
100% |
Spami S.r.l. |
|
Engineering |
|
Production plant and machinery |
|
Italy |
|
Direct |
|
100% |
|
100% |
Stevanato Group International a.s. |
|
Holding |
|
Service/Subholding company |
|
Slovakia |
|
Direct |
|
100% |
|
100% |
Medical Glass a.s. |
|
Biopharmaceutical |
|
Production of drug containment systems |
|
Slovakia |
|
Indirect |
|
99.74% |
|
99.74% |
Stevanato Group N.A. S. de RL de CV |
|
Biopharmaceutical |
|
Service company |
|
Mexico |
|
Indirect |
|
100% |
|
100% |
Ompi N.A. S. de RL de CV |
|
Biopharmaceutical |
|
Production of drug |
|
Mexico |
|
Direct |
|
30.76% |
|
30.76% |
|
|