Stevanato Group S.p.A. Annual and transition report of foreign private issuers pursuant to Section 13 or 15(d)

Cost of Sales

Cost of Sales

12 Months Ended

Dec. 31, 2023

7. Cost of sales

Cost of sales is detailed as follows:


	For the year ended December 31,
	2023		2022		2021
	(EUR thousand)
Cost of materials		381,141		325,995		305,298
Direct industrial labor		150,036		130,637		114,807
Indirect industrial labor		72,229		61,194		50,339
Industrial depreciation and amortization		64,700		53,550		46,258
Other costs of sales		77,355		92,503		61,813
Total Cost of sales		745,461		663,879		578,515

Cost of sales consists mainly in the cost of materials, components and labor expense related to the production and distribution of our goods and services. Cost of sales also include depreciation and amortization of EUR 64,700 thousand (respectively EUR 53,550 thousand in 2022 and EUR 46,258 thousand in 2021) as well as industrial capitalized costs for the machinery and equipment built within the Group, subcontracting work and industrial overheads.

For the year ended December 31, 2023, cost of sales benefited from EUR 2,886 thousand granted by the Italian government to help offset the significant rise in utilities costs and mitigate the impact to businesses. The grants, subsidies on the increased price of electricity and natural gas consumed during the period, were in effect through the second quarter of 2023.

For the year ended December 31, 2022, grants received from European governments to mitigate the rise in utility cost positively affected the cost of sales by EUR 6,465 thousand.