Annual and transition report of foreign private issuers pursuant to Section 13 or 15(d)

Property, Plant and Equipment

v3.22.1
Property, Plant and Equipment
12 Months Ended
Dec. 31, 2021
Disclosure Of Property Plant And Equipment [Abstract]  
Property, Plant and Equipment

18. Property, plant and equipment

Changes in items of property, plant and equipment in 2021 are as follows:

 

(EUR thousand)

 

Land and
buildings

 

 

Plant and
machinery

 

 

Industrial
and
commercial
equipment

 

 

Other
tangible
assets

 

 

Assets under
construction
and
advances

 

 

Total

 

Cost

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

At January 1, 2020

 

 

147,872

 

 

 

353,971

 

 

 

33,503

 

 

 

11,112

 

 

 

25,184

 

 

 

571,642

 

Additions

 

 

5,441

 

 

 

24,958

 

 

 

6,539

 

 

 

925

 

 

 

51,265

 

 

 

89,128

 

Disposals

 

 

 

 

 

(1,724

)

 

 

(40

)

 

 

(36

)

 

 

(3

)

 

 

(1,803

)

Reclassifications

 

 

811

 

 

 

12,266

 

 

 

1,727

 

 

 

43

 

 

 

(14,847

)

 

 

 

Exchange differences

 

 

(5,793

)

 

 

(13,569

)

 

 

(540

)

 

 

(728

)

 

 

(306

)

 

 

(20,936

)

At December 31, 2020

 

 

148,331

 

 

 

375,902

 

 

 

41,189

 

 

 

11,316

 

 

 

61,293

 

 

 

638,031

 

Additions

 

 

2,060

 

 

 

26,826

 

 

 

3,862

 

 

 

913

 

 

 

82,970

 

 

 

116,631

 

Disposals

 

 

(141

)

 

 

(7,759

)

 

 

(1,188

)

 

 

(421

)

 

 

(35

)

 

 

(9,544

)

Reclassifications

 

 

7,719

 

 

 

44,412

 

 

 

2,027

 

 

 

856

 

 

 

(55,014

)

 

 

 

Exchange differences

 

 

1,946

 

 

 

6,358

 

 

 

379

 

 

 

227

 

 

 

732

 

 

 

9,642

 

At December 31, 2021

 

 

159,915

 

 

 

445,739

 

 

 

46,269

 

 

 

12,891

 

 

 

89,946

 

 

 

754,760

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation and impairment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

At January 1, 2020

 

 

59,139

 

 

 

198,878

 

 

 

25,481

 

 

 

7,558

 

 

 

 

 

 

291,056

 

Depreciation charge for the year

 

 

5,384

 

 

 

30,121

 

 

 

4,610

 

 

 

1,037

 

 

 

 

 

 

41,152

 

Impairment

 

 

210

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

210

 

Disposals

 

 

 

 

 

(1,741

)

 

 

(12

)

 

 

(38

)

 

 

 

 

 

(1,791

)

Exchange differences

 

 

(1,170

)

 

 

(4,454

)

 

 

(179

)

 

 

(450

)

 

 

 

 

 

(6,253

)

At December 31, 2020

 

 

63,563

 

 

 

222,804

 

 

 

29,900

 

 

 

8,107

 

 

 

 

 

 

324,374

 

Depreciation charge for the year

 

 

5,319

 

 

 

29,549

 

 

 

5,660

 

 

 

1,206

 

 

 

 

 

 

41,734

 

Impairment

 

 

 

 

 

547

 

 

 

396

 

 

 

 

 

 

 

 

 

943

 

Disposals

 

 

(140

)

 

 

(7,330

)

 

 

(1,053

)

 

 

(410

)

 

 

 

 

 

(8,933

)

Exchange differences

 

 

689

 

 

 

2,912

 

 

 

154

 

 

 

170

 

 

 

 

 

 

3,925

 

At December 31, 2021

 

 

69,431

 

 

 

248,482

 

 

 

35,057

 

 

 

9,073

 

 

 

 

 

 

362,043

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net book value

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

At December 31, 2021

 

 

90,484

 

 

 

197,257

 

 

 

11,212

 

 

 

3,818

 

 

 

89,946

 

 

 

392,717

 

At December 31, 2020

 

 

84,768

 

 

 

153,098

 

 

 

11,289

 

 

 

3,209

 

 

 

61,293

 

 

 

313,658

 

 

The Group’s property, plant and equipment mainly include:

-
Land and buildings in the amount of EUR 90,484 thousand as at December 31, 2021 and EUR 84,768 thousand as at December 31, 2020, mainly consisting of industrial properties;
-
Plant and machinery in the amount of EUR 197,257 thousand as at December 31, 2021 and EUR 153,098 thousand as at December 31, 2020 including machine and equipment for producing glass and plastic containers for pharmaceutical use.

The yearly increase in property, plant and equipment amounts to EUR 116,631 thousand, of which 80.9% to support the Group growth strategy.

Increase in Land and buildings principally concerns the construction of new industrial facilities mainly in the Mexican production plant and the renovation of the new Spami plant near the Headquarter premises in Piombino Dese, Italy. With reference to the Mexican plant, the overall increase amounting to about EUR 4.5 million (considering both the yearly additions and the reclassification from assets under construction) is related to the expansion of the production facility.

The overall increases in Plant and machinery, considering both the yearly additions and the reclassification from assets under construction, amount to EUR 71,238 thousand and mainly refer to the purchase of new production equipment necessary to guarantee a high product quality standard and a high production capacity, characteristics necessary to consolidate the company's position in the biopharmaceutical market.

Assets under construction, amounting to EUR 89,946 thousand as at December 31, 2021 and EUR 61,293 thousand as at December 31, 2020, includes investments in production lines and machines for syringes, vials and cartridges production which have not yet been completed but are expected to enter into use in the coming year. This category also includes investments for the construction of new clean rooms in Balda C. Brewer plant, the investment for the new EZ-fill® hub in China, a new building in Piombino Dese that will host both corporate offices and production areas and the investments for the construction of the new U.S. facility in Fishers, Indiana. This latter is expected to be operational in 2023 and will enable Stevanato Group to be in closer proximity to its North America pharmaceutical customers and to provide an additional supply source for its mission critical products to serve customers better. The plant, which was initially expected to be up to 370,000 square feet in size, will support the expansion and production of Stevanato Group’s EZ-Fill® solutions, pre-sterilized drug containment systems for bio-pharmaceutical use. The decision to follow a modular approach allows the Group to be flexible in modifying or changing the capacity to meet market demand. The facility is expected to house state-of-the-art production lines equipped with advanced process technologies to produce EZ-Fill® syringes and vials. Stevanato Group’s EZ-Fill® solutions offer significant benefits to bio-pharmaceutical companies by reducing time to market, lowering the overall total cost of ownership and reducing supply chain risk. In addition, Stevanato Group plans to use the new facility as a center for after-sales support dedicated to serving its North America Engineering customers, offering technical support as well as maintenance for visual inspection, assembly and packaging equipment.

At the year end, no impairment indicators have been identified and furthermore no need to reassess useful life of property, plants and equipment.