BOOSTING FUTURE SAFET YBOOSTING FUTURE SAFET YBOOSTING FUTURE SAFET YBOOSTING FUTURE SAFET YBOOSTING FUTURE SAFET YBOOSTING FUTURE SAFET YBOOSTING FUTURE SAFET YBOOSTING FUTURE SAFET YBOOSTING FUTURE SAFET YBOOSTING FUTURE SAFET YBOOSTING FUTURE SAFET YBOOSTING FUTURE SAFET YBOOSTING FUTURE SAFET YBOOSTING FUTURE SAFET YBOOSTING FUTURE SAFET Y

FINANCIALREPORT
2021

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CONTENTS﻿At a glanceContents

On the road, at work, and at home, millions of people around the world
rely on DEKRA’s expertise. This leading non-listed expert organization is
fulfilling its corporate mission of improving safety with impartiality andindependence. With a workforce of nearly 48,000, DEKRA is synonymouswith innovative services in the safety segment in around 60 countries
across five continents. The vision to be realized by our centenary in 2025
is as follows: DEKRA will be the global partner for a safe, secure, andsustainable world.

02

Fo re wo rd

GROUP MANAGEMENT REPORTDEKRA’s comprehensive range of services is marketed across six regions
worldwide and is summarized in the eight Service Divisions: Vehicle
Inspection, Claims & Expertise, Product Testing, Industrial Inspection,
Consulting, Audits, Training, and Temp Work.

CONSOLIDATED FINANCIAL STATEMENTS

04	
Fu n d a m e nt a l inf o r m a tio no n t h e c o r p o ra t e gro u p27	Co ns o lid a t e d St a t e m e nt ofCo m p re h e nsive In c o m e

04		

G ro u p b usin e s s m o d e l

28

Co ns o lid a t e d B a l a n c e S h e e t

06		

O bje c ti ve s a n d st ra t e gie s

30

07		

Re s e a rc h a n d d e ve l o p m e nt

Co ns o lid a t e d St a t e m e nt
of Ch a n g e s in Eq uit y

0 8		

Int e grit y

32

Co ns o lid a t e d St a t e m e nt of Cash Fl ows

09		

S ust ain a bilit y

34

10		

Pe rs o nn e l re p o r t

 o t e s t o t h e Co ns o lid a t e dN
Fin a n cia l St a t e m e nt s

98

I n d e p e n d e nt a u dit o r ’s re p o r t

11

Ec o n o mic b usin e s s re p o r t

11		
M a c ro e c o n o mic a n ds e c t o r-s p e cif ic e nv iro n m e nt

102	
R e p o r t f ro m t h e Ch air m a n oft h e S u p e r v is o r y B o ard

11		 B usin e s s p e r f o r m a n c e
13		Re sul t s of o p e ra t io ns, f in a n cia l Posit io n,a n d n e t as s e t s

The safety and sustainability portfolio ranges from vehicle inspections
and expertise in claims services, industrial and construction inspections,security consulting, as well as the testing and certification of products
and systems, to training courses and temporary work.

19

Risk, o p p o r t unit ie s, a n d f o re c ast re p o r t

19		

Risk re p o r t

22		

O p p o r t u nitie s re p o r t

24		

Fo re c ast re p o r t

K E Y DATA D E K R A S E
2019

2020

2021

in million EUR

3,409.0

3,188.2

3,534.8

in %

39.4

39.5

39.3

in million EUR

227.1

195.9

226.0

Revenue and income

Total revenue
Share of international revenue
Adjusted EBIT
Adjusted EBIT margin

in %

6.7

6.1

6.4

in million EUR

210.2

183.8

215.5

Total assets

in million EUR

2,755.4

2,739.0

2,811.3

Equityin million EUR

796.3

808.5

942.8

in %

28.9

29.5

33.5

44,64843,99047,770Adjusted EBTStatement of financial position

Equity ratio
Employees

Number as of December 31

D E K R A Financial Report 2021

02

FOREWORD

FOREWORD﻿﻿

03

Foreword from the
Chairman of the Management Board

Dear readers,

S T E FA N K Ö L B L
Chairman of the Management Board
DEKRA e.V. and DEKRA SE

2021 was shaped by a host of restrictions and challenges.
The COVID-19 pandemic disrupted global supply chains andmade it more difficult to maintain contact with our customers.
The unprecedented situation has demanded a lot from ouremployees. That is why it is all the more commendable that
we used the pandemic as an opportunity and exceeded therevenue achieved in 2019, before the coronavirus emerged.
Despite the difficulties posed by the pandemic, DEKRA is ahighly stable company today that holds an excellent competitive position and is more successful than ever before.

One key reason for this success is our agile way of working.
For example, we achieved a leading position in the FFP mask testing market in record
time. We also grasped the opportunities afforded by digital transformation – for instance,
carrying out system tests and audits using new remote methods. In the field of automotive
cyber security, the German Federal Motor Transport Authority (KBA) designated us asa “technical service.” Our focus is on key areas for the future, including cyber security,
artificial intelligence, e-mobility, and functional safety.

DEKRA also positioned itself as an important partner on sustainability matters. We see
significant potential in services aimed at reducing the carbon footprint of businesses
and supply chains. To take one example, DEKRA has validated the world’s largest PC
manufacturer Lenovo’s global CO2 Offset Service for customers.
One of the highlights of fiscal year 2021 was our Strategy 2025. By concentrating onfive high-growth focus areas, we will benefit as our society progressively changes
with the advance of digital transformation. We will continue to work tirelessly not only
to improve existing services but also to develop new digital ones. With these efforts
in mind, I have no doubt that by our 100th anniversary in 2025, we will be the global
partner for a safe, secure, and sustainable world for our customers.
Kind regards,

STE FAN KÖ LBL
Chairman of the Board of Management
DEKRA e.V. and DEKRA SE

We continued our long-standing growth trajectory in 2021. Our leading global position in
vehicle inspections was further consolidated by moving into Chile, Finland, and Mexico,and by expanding in markets such as Denmark, the Czech Republic, and France. Anothergrowth area was product testing, with new and expanded laboratories (such as for electromagnetic compatibility; EMC) enabling us to establish a more closely knit global network.

D E K R A Financial Report 2021

D E K R A Financial Report 2021

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GROUP MANAGEMENT REPORTGROUP MANAGEMENT REPORT

Fundamental information﻿ on the corporate group

Fundamental information﻿ on the corporate group

﻿

﻿

05

GROUP MANAGEMENT REPORT
OF DEKRA SE, STUTTGART
FOR THE FISCAL YEAR 2021
DEKRA provides comprehensive building, facility, machinery,
and infrastructure inspection services, including a wide rangeof materials tests, for customers in industry around the world.

offers first-party (internal audits), second-party (auditing suppliers in accordance with their own standards), and third-party
audits (audits in accordance with internationally recognized
standards, with corresponding authorization).

Consulting

Training

DEKRA advises its customers on the safety-related transformation of procedures and activities in a dynamic digital age, at theworkplace and in operational practice. The Consulting Service
Division’s experts follow a holistic, behavior-based consultancy
approach based on scientific findings relating to the fundamental principles of human behavior.

The Training Service Division offers a broad range of solutions
and services in the fields of training, the coaching and placementof skilled workers from abroad, languages, integration, andlearning, using modern learning management systems (LMS),
and digital technologies. DEKRA has operated as a training
partner for industry and the public sector for almost 50 years.

Vehicle Inspection

Audit

Temp Work

This Service Division comprises periodically recurring vehicle
inspections, as well as non-periodic technical inspections andperiodic emission tests for all kinds of vehicles. With an eye on
the future of mobility, DEKRA provides reliable technicalinspections of increasingly network-connected and automatedvehicles and of electric vehicles in this core area of expertise.

The Audit Service Division’s core expertise lies in independent
evaluations and certifications of management systems inaccordance with national and international standards. DEKRA
holds a range of accreditations for system certifications, andThe employees in the Temp Work Service Division distinguish themselves through their extensive know-how in the fields of HR, solution, event, and logistics management. In terms of revenue, DEKRA
holds ninth place among Germany’s main HR service providers.

REGION PERSPECTIVESERVICE PERSPECTIVE

FU N DA M E NTA L I N FO R M ATI O N
O N TH E CO R P O R ATE G RO U P

Americas. APAC achieved revenue of 221.2 million euros andthe Americas achieved 94.8 million euros.

GROUP BUSINESS MODEL

Systematic expansion of the range of products and services

DEKRA ensures safety

In its eight Service Divisions, DEKRA focuses on the ongoingdevelopment and optimization of its services in order to continue offering customers a comprehensive service portfolio. In
the context of digitalization, increased networking, and cybersecurity requirements, DEKRA’s experts develop the safety
solutions of tomorrow, underscoring the Company’s role as apioneer in the realm of safety. DEKRA’s service portfolio is bundled into the following Service Divisions:

For almost 100 years now, DEKRA has been committed toensuring people’s safety in all of life’s situations. What started
out in 1925 with the technical monitoring of motor vehicles,
today comprises a wide range of services, notably for inspecting,testing, and certifying products, processes, and plants, as wellas initial and further training. DEKRA is the world’s largest
non-listed expert organization in the TIC industry (testing,inspection, certification) in terms of revenue, and benefits fromthe lasting and global trend towards greater safety. The Company’s safety mission pursuant to its articles of incorporation isjust as valid today as when it first started out.
By the end of 2021, DEKRA had around 47,800 people inits employment in some 60 countries on five continents. The
Company carried out around 28 million vehicle inspections
globally. Since 2019, the comprehensive services it offers havebeen bundled into eight Service Divisions. The global businessis managed by DEKRA SE, based in Stuttgart, and is divided
into six regions.
Represented in every region of the world

Claims & Expertise

D E K R A Financial Report 2021

Temp Work

APAC

Training

Americas

Audit

South-West Europe

Consulting

D E K R A Financial Report 2021

North-West Europe

Industrial Inspection

The Product Testing Service Division’s area of expertise includes
the testing and certification of consumer, industrial, automotive, IT, communications products, and medical goods. DEKRA
combines safety checks with connectivity tests, thus working
towards a future in which products function perfectly and communicate smoothly with each other.

Central East Europe & Middle East

Product Testing

Product Testing

Germany

Claims & Expertise

The services offered by the Claims & Expertise Service Division
include claims settlements for any type of claim, vehicle valuation and administration services, and expert reports – bothnationally and internationally.

Vehicle Inspection

Of the six regions, Germany is the major market region withrevenue of 2,145.7 million euros, followed by South-West
Europe (which also includes the Company’s second domestic
market of France) with 551.1 million euros. DEKRA generated
revenue of 355.8 million euros in the North-West Europe
region and 166.2 million euros in Central East Europe & Middle East.
The other markets that DEKRA focusses on besides
Europe include the regions of APAC (Asia-Pacific) and theIndustrial Inspection

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GROUP MANAGEMENT REPORTGROUP MANAGEMENT REPORT

Fundamental information﻿ on the corporate group

Fundamental information﻿ on the corporate group﻿﻿O B J E C T I V E S A N D S T R AT E G I E S
Vision 2025: We will be the global partner
for a safe, secure, and sustainable world

DEKRA’s strategic focus and operational management are
guided by the principle of stable and healthy growth. Professional expertise, innovative power, and proximity to customers
therefore remain our primary tasks. Through its strategic“Vision 2025” program, launched in its 90th anniversary year
in 2015 (with a focus on the three pertinent areas of life – on theroad, at work, and at home) DEKRA has mapped its course forthe coming years. In this context, to mark its centenary year
2025, DEKRA has set itself the goal of being the global partner
for a safe, secure, and sustainable world. In fiscal year 2021,
DEKRA once again demonstrated its full commitment toachieving this long-term objective.
The digital transformation process – accelerated by the
COVID-19 pandemic – plays an important role in this regard.
Even though DEKRA is already a globally acknowledged business partner for the testing, certification, and inspection of
intelligent and network-connected products, we are nevertheless constantly working to further enhance our digital competency on the basis of a comprehensive digital strategy. This
starts internally with modern, global IT and new ways of working, includes digital interaction with customers, and extends
through to new and data-driven services. Consequently,
DEKRA will digitalize its processes as far as possible, further
expand its technical expertise, work on shaping digitalizationin its markets through innovation and technology partnerships
and build up new business lines. The Company’s digital strategy was rolled out Group-wide in 2021 and will be implemented by 2025.
In the year under review, DEKRA added two more elements to its corporate vision: Security and Sustainability. The
digital networking of products and systems is leading to abroadened concept of safety and security, whereby it is still thehuman who takes center stage. However, in addition to thephysical safety aspect, there is now also the aspect of security
in the sense of protecting personal data and networked systems

against external attacks. Moreover, DEKRA has now also
anchored the concept of sustainability in its corporate vision.
DEKRA therefore now pursues the goal of being the global partner for a safe, secure, and sustainable world by 2025.
In association with the broadened corporate vision, theCompany mapped out its strategic course in 2021. Our inspection services will be organized into five focal areas, in which
existing services will be improved and new digital services will
be developed. These focal areas are “Vehicles & Mobility of the
Future,” “Information & Cyber Security Services,” “Remote Services,” “Data Analysis Services,” and “Sustainability Services.”
As a global enterprise, we benefit from the sustainableadvancement of the economy, environment, and society andfrom a more stable and secure market environment as a consequence. We have assessed the impact of climate change on
our organization and on our business model, and taken this
into consideration in our sustainability strategy. The latter
undergoes continual further enhancement in close consultation with the Management Board and the Executive Management. We are addressing the specific challenges related to ourbusiness activities, such as the indirect impact on the climateof business trips, and we are working on limiting these anddeveloping innovative solutions. We also take environmental
and climate issues into consideration in our internal risk management process and in our internal audit system. Throughour internal environmental management system, we assess
our key areas of resource consumption and our key emissions,and thus establish what the relevant risks are and where there
is potential for improvement. Overall, the growing market
demand for independent sustainability expertise holds major
potential for DEKRA.
With effect from January 1, 2021, DEKRA reduced thenumber of regions it has from eight to six. The East & South Asia
and Southern Africa & Oceania regions were combined to form
the new APAC region. Furthermore, the North America andSouth America regions were merged to form the Americas region.
Consequently, DEKRA now manages six instead of eight regions.
This is part of the rigorous implementation of Vision 2025.

D E K R A Financial Report 2021

RESEARCH AND DEVELOPMENT

DEKRA has been an independent expert organization since
1925, so for almost 100 years the Company has been working in
the area of road safety – with periodic vehicle inspections, withthe deployment of accident analysts and accident researchers,with crash tests, public campaigns, and in cooperation withnational and international bodies. DEKRA’s accident investigation department, for example, has been supporting automotive
manufacturers and system suppliers with crash tests and accident analyses for more than 40 years now. The department’s
ongoing mandate is to analyze real accidents on the roads inorder to draw conclusions for road traffic safety. Furthermore,
DEKRA uses its status as an international expert organization
to inform the public in workshops and publications about relevant technical requirements for more road safety.
Road safety – also for the elderly

The 14th edition of the DEKRA Road Safety Report [in German:“Verkehrssicherheitsreport,” abbreviated to “VSR”] was issued
in fiscal year 2021. The DEKRA VSR, published annually since2008, provides up-to-date information and advice on the further enhancement of road safety for the decision-makers in politics, associations, and companies. Under the heading of “OldAge Mobility,” the DEKRA VSR 2021 tackles the issue of howroad safety can be improved for the elderly.
The DEKRA VSR is accompanied by the DEKRA online
portal for road safety: www.dekra-roadsafety.com. Here, there
is additional content available to supplement the printed report,such as videos or interactive graphics. The portal is also concerned with many other topics relating to road safety, including
vehicle technology, infrastructure or the human factor, such as
being distracted by smartphones when driving.
Mobility of the future

DEKRA has been keeping pace with technological developments in the automotive sector for many years. The shift towards
the mobility of the future represents a particular challenge forall players in the automotive industry. For that reason, a team07

at DEKRA has been working on developing services covering
every aspect of connected vehicles. In doing so, DEKRA is able
to pool its whole range of knowledge gained from laboratory
tests and materials testing all the way through to homologationand type approval, across organizational and national borders.
Following the acquisition of the Lausitzring racetrack in
Klettwitz/Germany at the end of 2017, DEKRA merged the racetrack with the adjoining DEKRA Technology Center in 2018.
Here, on 540 hectares of land, a unique manufacturer-independent testing and inspection center for automated and connected driving has been created. In addition to testing components in accordance with the wireless-network-based 5G
standard, a wide range of scenarios can be tested for networked
communication between vehicles and with their surroundings,
using the 5G mobile communications standard.
Together with other DEKRA facilities in Spain and China,
the Lausitzring and the facility in Klettwitz make up part of ahighly effective international testing network.
In Málaga, Spain, the focus is on the secure connectivity
and electromagnetic compatibility of mobile phones, smart
home products, and Industry 4.0 applications, as well as a testarea for connected driving. The focus there is on product testing, the development of early-stage test procedures, and the testing of V2X (vehicle-to-everything) technologies.
DEKRA was approved by OmniAir Consortium® as an
OmniAir Authorized Test Laboratory (OATL) for evaluating
and certifying cellular vehicle-to-everything (C-V2X) technology and as a field test site. This approval means that DEKRA is
the first OmniAir-authorized laboratory worldwide to beaccredited for the testing of C-V2X products.
In the year under review, the organization CharIN approved
DEKRA as a test laboratory for the charging infrastructure forelectric vehicles (EVs). This means that DEKRA is one of the two
first laboratories to be able to carry out conformity tests for the
combined charging system (CCS) and issue CharIN CCS certificates. End-to-end testing of the charging infrastructure is essential for e-mobility, in order to ensure interoperability between thesystems and to significantly enhance the charging experience.

D E K R A Financial Report 2021

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GROUP MANAGEMENT REPORTGROUP MANAGEMENT REPORT

Fundamental information﻿ on the corporate group

Fundamental information﻿ on the corporate group﻿Data plays a crucial role in the context of increasingly
automated driving and network-connected traffic – also withregard to safety. That is why, as part of the “Trust Center” initiative, DEKRA – together with other test organizations – is calling for the unfiltered access to vehicles’ safety and environmental data, without which it is not possible to guarantee the propercondition and safety of vehicles. The “Trust Center” is a trustee-based model for the secure gathering and analysis of data
for the purpose of consumer protection.

for cyber security in vehicles. This gives DEKRA the status ofa type tester for the new internationally applicable regulations
governing cyber security (UN-R 155) and software updates(UN-R 156), according to which manufacturers must provide
proof of the appropriate management systems for the entire
service life of the vehicle and must have this checked every
three years.
INTEGRITY 1
Compliance management system

Intensifying the digitalization drive

The digitalization of services and processes was further
advanced in the financial year, thus paving the way for thedevelopment of future-oriented services, such as artificial intelligence (AI) and cyber security.
In 2020, setup of a Center of Excellence (AI) commenced
in cooperation with DEKRA Digital and continued in the year
under review. The aim is to further improve existing services
and develop new ones based on the possibilities offered by AI.
To do so, DEKRA utilizes AI experiences such as those collected in the Claims & Expertise Service Division throughreading image material and voice analysis, and uses them, forexample, in managing damage claims and in detecting insurance fraud.
DEKRA has set up a “Cyber Security Hub” to protect people worldwide from attacks by hackers and from fraudulent useof data. Here, the wealth of expert knowledge is being leveraged
to develop approaches to solving the challenges posed by digitalization – for example for mobility of the future. In collaboration with its partners, DEKRA is carrying out pioneering
work in the realm of the “Automotive Cyber Security” marketof the future. Together, they are developing security solutions
for over-the-air-updates, for example. These include the testing,inspection, and auditing of services as well as training sessions
on the manifold technologies and regulations.
In the 2021 financial year, on the basis of its expertise,
DEKRA was appointed by Germany’s Federal Motor Vehicle
Office [Kraftfahrtbundesamt] to be a Technical Service Office

DEKRA’s Compliance Management function is based on a senseof responsibility on the part of every employee, combined withbusiness undertakings based on generally accepted ethical principles. The observance and implementation of compliance is ofhigh priority throughout the Group. In 2021, DEKRA’s Compliance Management function was expanded and adapted in
response to changing requirements. DEKRA’s Compliance
Office drew up new, strictly values-based training concepts with
the involvement of the operating units. Moreover, the Compliance function was developed further, with a focus on interaction with the regions. The Compliance Office is working to identify new, international fields of risk and to reinforce theinternational team and its global teamwork.
The Chief Compliance Officer and the Compliance Officeconstitute a confidential and neutral point of contact for employees and externals. DEKRA has an internal system that allows
potential misconduct or violations of the law to be addressed via
the Company’s website. The Compliance Guidelines are communicated via all of the relevant digital platforms, such as theinternal DEKRA Employee Platform and on the internet.
Quality management

Integrity, reliability, and impartiality are values that are crucial
to DEKRA’s success as an independent expert organization.
DEKRA’s reputation and ability to compete on the market andits impartiality when rendering services and public duties areheavily dependent on the conduct of each and every individual.
Authorities, clients, customers, and business contacts can rea-

1

Content not audited by the auditor

D E K R A Financial Report 2021

sonably expect that all DEKRA employees, i.e., staff members,
middle management, executives, and board members, work on
the basis of these standards, and can be relied upon to fulfill
their duties and conduct themselves as fair-minded business
partners. The related internal requirements and obligations aredefined in the quality management system. In the year underreview, amendments and updates of internationally applicablenorms were implemented in DEKRA’s processes worldwide andincorporated into the risk assessment process.
Quality management (QM) not only sets the guidelines,
but also constantly inspects and optimizes the processes andservices at DEKRA. In addition to annual external inspections
conducted by the authorities, all subsidiaries with certified or
accredited QM systems ensure the quality of their products andprocesses by means of regular and planned audits. QM also
controls and safeguards DEKRA’s accreditations and official
permits. For the purpose of extending QM further, DEKRA
relies on a corporate-wide Enterprise Quality Management System (EQMS).
S US TA I N A B I L I T Y 2
Sustainability management

DEKRA continued to expand its sustainability management infiscal year 2021. The Company’s orientation with respect to sustainability is geared towards DEKRA’s corporate values, towards
the requirements of the German and international sustainability codes, and towards the ten principles of the UN Global Compact. Since the end of 2020, DEKRA has held the highest ranking of platinum in EcoVadis sustainability ratings.
Based on DEKRA’s 2025 sustainability strategy, the Company continues to drive forward with ecological matters(expanding internal environment and climate management) andwith social matters (DEKRA social standards, processes ensuring human rights), along with the organizational integration ofsustainability management into the supply chain. Step by step,
the Company is improving in the defined fields of focus: Environment & Climate, Employees & Society, Supply & Value-Added
Chain, and Management & Governance. The Company’s

209

orientation with respect to sustainability is constantly being
assessed and enhanced in dialog with internal and external
stakeholders. On the whole, DEKRA also primarily contributes
to a sustainable trend for the economy, environment, and society
by acting as a disseminator, through its specialist know-how andexpert services with a focus on safety, as well as by specificallysupporting customers in matters of sustainability and corporatesocial responsibility. For example, since 2021 DEKRA has beenpromoting sustainable waste management under the certification stamp “Zero Waste”. Furthermore, DEKRA’s experts check
whether companies calculate their carbon footprint correctly
and validate CO2 compensation processes.
Protecting the environment and climate

On the basis of a global management system and the datadriven management of environmental protection issues, theCompany is further expanding and enhancing its internal environmental management system. The focus here is on the efficient use of energy and resources, as well as protecting the climate. The goals include, for example, switching to 100%
renewable energy for the supply of electricity by 2025. Simultaneously, DEKRA also intends to achieve climate neutrality. In
this case, climate neutrality pertains to direct emissions andindirect emissions from the procurement of energy (Scope 1 and
2) and to business trips (Scope 3). In this endeavour, DEKRA
also makes internal use of the expertise of its employees who
specialize in these fields. The workforce is given training andmade aware of environmental issues. Internal best practices arehighlighted and applied to appropriate areas. Furthermore,
DEKRA also offers expert services in the fields of climate, environment, and energy, thus also contributing to environmental
and climate protection outside the Company. Since November
2021, DEKRA has been part of the Science Based Targets initiative (SBTi) and has joined the worldwide “Business Ambition
for 1.5°C” campaign that is aimed at reducing greenhouse gases
and global warming. The aforementioned corporate initiative
group supports companies in establishing scientifically based
emission-reduction goals.

Content not audited by the auditor
D E K R A Financial Report 2021

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GROUP MANAGEMENT REPORTGROUP MANAGEMENT REPORT

Fundamental information﻿ on the corporate group

Economic business﻿
reportPERSONNEL REPORT
Growth in personnel – strong risein Temp Work division

In DEKRA’s six international regions, the headcount (notincluding Temp Work) rose by 693 to 29,030 at year-end 2021
(prior year: 28,337). The core workforce in the Germany region
grew to 13,149 employees, a rise of 3.0% compared to the prioryear. The number of employees in the Service Divisions alsorose from 222 to 292. The Group’s central units (“Steering &Support”) grew to 680 employees (prior year: 666), also against
the background of the drive for digitalization.
Following the pronounced decline in the Temp Work division in 2020 due to COVID-19, the number of employees rose
again significantly by 3,003 to 17,768 in the year under review.
In Germany, 10,532 members of staff were employed in the
Temp Work division (prior year: 7,577).
As a result, the DEKRA Group’s headcount reached thetotal figure of 47,770 (prior year: 43,990), thus surpassing theprior year’s forecast.
Statement on corporate governanceTargets have been set for the ratio of women in the main corporate bodies and in first-tier and second-tier management. The
target figure for the composition of the Supervisory Board of
DEKRA SE is 16.7% (prior year: 16.7%). This quota has beenreached. The target of 25% set for the Management Board of
DEKRA SE from 2022 onward was already achieved in 2021
when Ulrike Hetzel was appointed on April 1, 2021. Quotas of
15% and 20% have been set for the top management level (Executive Committee/Operational Committee) and second management level (Management Committee) respectively from2022 onward. With an actual ratio of 9.1% (prior year: 8.7%),
the top management level has not yet met its target. With anactual ratio of 18.1% (prior year: 18.1%), the second management level has also not yet met the aforementioned target. Bothtargets remain in place and we are constantly working towards
achieving them.
Global engagement survey

In the course of October, the Company performed its Global
Engagement Survey for the third time. Approximately 28,400
employees in 37 countries / regions were asked to take part
online. Overall, the participation ratio came to 73% which wasslightly higher than for the last survey in 2019 (72%).
Global learning platform

DEKRA Global LMS is the Company’s digital learning platformthat was created and implemented worldwide by Human
Resources and the Training Service Division in close collaboration. The Learning Management System (LMS) allows digitallearning content to be centrally available to various target
groups. The system, which is being continually expanded,already offers around 240 different courses on topics such as
innovation and digitalization in up to nine languages.
Leadership Development goes digital

Even in COVID-19 pandemic times, we continued to push forward with our leadership development activities. Our worldwide“International Advancement Program” for talented people within
the Group was fully conducted remotely. Likewise, we offered ourmanagerial staff online training sessions to support them in their
managerial roles and the changes caused by the pandemic.

D E K R A Financial Report 2021

ECONOMIC BUSINESS REPORTM ACROECONOMIC AND
S EC TO R-S PEC I FI C E N V I RO N M E N T
World economy achieves significant growth

In 2021, the world economy has clearly been on a path to recovery. Although global gross domestic product (GDP) shrank by
3.5% in 2020, it managed to grow back by 5.5% in 2021. The
strongest increases were in China (8.0%), India (8.3%), and theUSA (5.6%). Growth in the euro zone came to 5.2%. In developing and emerging countries, a growth of 6.3% was achieved.
Compared to the prior year, unemployment in the eurozone went down to 7.0% (December 2020: 8.2%). Overall,
11.5 million people were unemployed in the euro zone in
December 2021.
According to EUROSTAT, annual inflation in the eurozone rose year-on-year from –0.3% in the prior year to 5.0% in
December 2021. According to EUROSTAT, Germany had anannual inflation rate of 5.7% in December 2021.
Heterogeneous framework conditions for DEKRA

The automotive industry, which is a key sector for DEKRA,
showed regional differences in how it developed in 2021.
According to figures from the German Association of the Automotive Industry (VDA), the number of newly registered vehicles
rose in the USA (3.1%) and in China (6.6%). In Europe (EU-27,
EFTA, UK), the number of newly registered passenger cars went
down (–1.5%). In Germany, the total fell far short of the prior-year figure (–10.0%). For months now, the car industry has
been suffering from supply problems with new vehicles – dueamong other things to the shortage of chips.
DEKRA’s industrial business is influenced by the German
and international industrial economy. In 2021, the consequences of the COVID-19 pandemic were again the main causeof the challenging economic environment. Particularly the second half of the year was characterized by supply bottlenecks andthe associated production downtimes. According to the Federation of German Industries (BDI), industrial production in Germany rose by 4%. Admittedly, however, here too the figures are
not yet back up to their pre-crisis levels.

11

In the Training and Temp Work Service Divisions, theawarding of contracts in the public sector plays a relevant part,as does – above all – the demand for temporary workers.
According to data from the German Federal Employment
Agency (BfA), the moving average number of temporary workers from July 2020 to June 2021 decreased to 784,000 (–7%).
BUSINESS PERFORMANCEGroup
Back to a growth trend

In year two of the COVID-19 pandemic, DEKRA proved its
resilience and returned to its long-standing growth trend. Compared to the prior year, revenue rose by 10.9% to 3,534.8 million
euros, which was higher than in the pre-COVID-19 year of
2019. Earnings before interest and taxes (EBIT) also increased,bringing the figure to 216.1 million euros (prior year: 162.4 million euros).
Germany region

In Germany, DEKRA’s revenue grew by 11.2% to 2,145.7 million
euros. This success is attributable to the high level of quality of
DEKRA’s services, its widespread presence in Germany, and therapid digitalization of services.
Inspection business holds up well

In 2021, the Vehicle Inspection division succeeded in achieving
another slight rise of 2.1% in the number of general inspections
performed (12.1 million), thus maintaining its market share ata stable 33.5%. In the Claims & Expertise division, the year
under review was shaped by the disastrous floods in Germany
and Belgium in July.
DEKRA’s Product Testing division again made a contribution to people’s safety in the second year of the COVID-19
pandemic. As a so-called “notified body” in Germany, DEKRA
tested protective respiratory masks for compliance with thestandard EN 149 in its special laboratory in Essen. In its Industrial Inspection division, DEKRA was successful in acquiring
major new customers, including companies in the automotive
and building industries among others.

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Economic business﻿
report﻿Economic business﻿
report﻿Virtual learning

The Training division continues to be affected by the current
pandemic situation. The division mitigates the impact of theabsence of face-to-face instruction through rigorous efforts toenhance the range of virtual learning options on offer. In 2021,
the Training division launched a digital learning app on handling high-voltage vehicles and managed to win a German
insurance company with global operations as a new customer.
In 2021, DEKRA Safety Web – the online instruction portal –was able to build on its success from the prior year. As at yearend, Safety Web has registrations from over 3,000 companies
that annually book more than 220,000 digital work protection
instruction sessions on Safety Web for their employees.
After the steep slump experienced in the preceding year,
business in the Temp Work division has picked up again.
Thanks to new concepts such as the Flex Worker program indispatch logistics and rising demand from major customers in
the logistics and automotive industries, the number of temporary workers in Germany increased from 7,577 to 10,532.
Central East Europe & Middle East region

In the reporting year, DEKRA recorded revenue of 166.2 million euros (prior year: 146.9 million euros) in the Central East
Europe & Middle East region. The growth in revenue is primarily attributable to the positive developments in the businessdivisions of Product Testing and Temp Work. In this context,
by taking over the laboratory company Centro Misure Compatibilità (CMC) in Italy, we were able to expand our market position in the fields of electromagnetic compatibility, connectivity,and high-voltage testing.
North-West Europe region

DEKRA managed to increase its revenue in the North-West
Europe region to 355.8 million euros (prior year: 332.6 million
euros). Industrial inspection services are a key sales driver (witha share of 30.3%) in this region. DEKRA was also successful inthe field of vehicle inspections. After only three years on themarket in Denmark, DEKRA now operates 51 inspection stations there. The Company also successfully gained a footholdin Finland by taking over six inspection stations. There wereequally positive developments in the Product Testing segment,
for example with regard to the testing of charging stations forelectric vehicles in the DEKRA laboratory in Arnhem, Netherlands. Moreover, DEKRA also achieved growth in the testing
and certification of medical technology – not least through its
appointment as an official “Medical Notified Body” for the
IVDR and MDR regulations.
South-West Europe region

DEKRA generated revenue of 551.1 million euros in the SouthWest Europe region, which was higher than the prior-year figure (497.9 million euros).
In France, DEKRA further optimized its efficient vehicle
inspection network. The Company set up seven of its own stations and a speedometer inspection service. Furthermore, it
made ongoing structural improvements to its major industrial
testing activities in France.
In France and Spain, the Product Testing division continues to develop favourably. The DEKRA laboratory in Málaga iswell positioned in the test markets for safe network-connectedvehicles and also with regard to consumer goods on the Internetof Things.
The Americas

In the year under review, the Americas region recorded a slight
growth of 1.5% to 94.8 million euros (prior year: 93.4 million
euros). The increase resulted mainly from business in the fields
of Product Testing and Consulting. In the context of digitalizing services, DEKRA consultants have, for example, developed
an expert system relating to the identification of accident risks
with a potentially serious or fatal outcome for use in industrial
enterprises. Moreover, there is a new DEKRA software program to help OEMs ensure that certain spare parts are delivered only to repair garages that fulfill the relevant technicalrequirements. Thanks to the fact that DEKRA is also able toperform audits remotely, the Company was able to win important order contracts during the pandemic. In the Product Testing division, DEKRA received new orders from the healthcare
industry and from the entertainment electronics and auto­
motive electronics sectors.

D E K R A Financial Report 2021

13

APAC region

In the APAC region, DEKRA succeeded in expanding its revenue, which went up to 221.2 million euros (prior year: 187.8 million euros). In recent years, DEKRA has set up a network ofhigh-performance test laboratories in this region which are
driving growth in the Product Testing division. In China, forinstance, the safety of wireless connectivity technologies isbeing tested. In Japan, business centers around tests for mobile
network operators and producers of medical devices and also
for manufacturers specializing in products within a hazardous
environment. The growth in the year under review is also attributable to the positive developments in the Vehicle Inspection
division. For instance, DEKRA offers vehicle inspections in
China, New Zealand, and South Africa.

GROUP REVENUE
worldwide in million euros

3,188

2020

3,535
+10.9%
Revenue increase2021

Overall statement by the Management

In the year under review, DEKRA handled the impact of the
COVID-19 pandemic and the associated economic losses. By
taking rigorous action both internally and towards its customers, the Company has put itself back on a growth trajectory.
After decreasing in the prior year, revenue has risen again andexceeded its pre-COVID-19 level from 2019. DEKRA assumes
that in 2022 too – as presented in the forecast report – the Company will be able to maintain its growth trend, in spite of all theuncertainties in the economic and geopolitical environment.
R E S U LT S O F O P E R AT I O N S,
FINANCIAL POSITION, AND NET ASSETS
Results of operations

At 3,534.8 million euros (prior year: 3,188.2 million euros), therevenue of the DEKRA Group in fiscal year 2021 was
346.6 million euros higher than the prior-year level, which corresponds to a rise in revenue of 10.9% (prior year: decrease inrevenue of 6.5%). Thus, the Company by far surpassed its goal
for fiscal year 2021 of an increase of between 3% and 4% in revenue, thanks to rises in revenue in practically all of its service
divisions. There was also a significant increase achieved in earnings before interest and taxes (EBIT) which went up by 53.7 million euros to 216.1 million euros. The EBIT forecast from theprior year was thus greatly surpassed.

A 10.5% proportion of the recorded growth is derived fromorganic growth (prior year: –6.3%). A 0.2% proportion (prioryear: 0.1%) of the growth was contributed by acquisitions madein the financial year and the full inclusion of the companies
acquired in the previous year. Changes in exchange rates had
the effect of increasing revenue by 0.2% (prior year: –0.3%).
All of the regions recorded an increase in revenue in thefinancial year compared to the prior year. APAC, Central East
Europe & Middle East, Germany, and South-West Europe
were the regions that registered the greatest increases in­percentage terms.
In absolute terms, it was particularly the increased revenue from services in the Temp Work, Vehicle Inspection, Industrial Inspection, and Product Testing divisions that contributed
significantly to the year-on-year growth in revenue.
Other operating income decreased by 14.0 million euros
to 43.2 million euros (prior year: 57.2 million euros). The main
reason for this is that the prior-year figure included government
support received in connection with COVID-19.
The cost of materials rose by a disproportionately low
4.4% compared to the revenue growth. The cost-of-materials
ratio dropped slightly to 9.3% (prior year: 9.9%). Personnel
expenses rose by 10.7% in 2021 to 2,327.3 million euros (prioryear: 2,101.4 million euros) and therefore correlate with the

D E K R A Financial Report 2021

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Economic business﻿
report﻿Economic business﻿
report﻿growth in revenue. The personnel expense ratio decreasedslightly by 0.1 percentage points in the financial year, from
65.9% to 65.8%. Here, a one-off factor due to a conversion relating to a German association for employers’ liability insurance
had the effect of reducing the social security contributions
included under personnel expenses by 14.5 million euros. The
rise in personnel expenses results largely from the increased
volume of business in the Temp Work division.
Other operating expenses went up by a disproportionately
low 6.6% compared to the revenue growth. They increased to505.6 million euros, a rise of 31.2 million euros compared to theprior year. Consequently, the expense ratio went down 0.6 percentage points to 14.3% (prior year: 14.9%). There was a particular rise in IT costs and other personnel expenses compared tothe prior year.
The volume of write-downs dropped slightly by 2.2 million euros to 202.1 million euros in the financial year (prioryear: 204.3 million euros). The depreciation/amortization of
intangible assets, right-of-use, and tangible assets (property,
plant and equipment) rose by 6.9 million euros. By contrast,
expenses from non-scheduled write-downs on IT projects
decreased significantly compared to the prior year.
Earnings before interest and taxes (EBIT) increased by
33.1% to 216.1 million euros (prior year: 162.4 million euros).
This therefore greatly surpassed the goal of achieving a slight
improvement over the prior-year EBIT figure. This is, however,also due to the positive one-off effect of 14.5 million euros on
the personnel expenses. The rise in EBIT compared to the prior-year figure is derived in particular from services in the Vehicle Inspection, Temp Work, and Consulting divisions. Year-onyear, the return on sales as a ratio of EBIT rose by 1.0 percentage
point to 6.1%.

Compared to the prior year, the financial result improvedby 6.1 million euros to –9.4 million euros. This is mainly
because interest and similar expenses are lower than in the prioryear due to the change in liabilities from put and call options inconnection with the subsidiaries acquired in previous years andforeign currency effects.
Consequently, earnings before income taxes (EBT) went
up by 59.8 million euros to 206.7 million euros (prior year:
146.9 million euros). The return on sales as a ratio of earnings
before income taxes went up to 5.8% (prior year: 4.6%).
Compared to the prior year, the Group tax rate dropped
4.5 percentage points to 31.6% (prior year: 36.1%). The prioryear’s relatively high tax rate resulted mainly from the reductionof deferred tax assets on loss carry-forwards. There were no suchfactors affecting the financial year under review.
The consolidated net income for fiscal year 2021 increasedby 47.6 million euros to 141.5 million euros (prior year: 93.9 million euros).
Other comprehensive income rose by 134.0 million euros
to 70.9 million euros (prior year: –63.1 million euros). This development is mainly attributable to the actuarial adjustments madeto pension liabilities, which caused an increase of 54.9 million
euros in other comprehensive income (prior year: –18.7 million
euros). The main reason for this is the rise in the underlying interest rate. Furthermore, the adjustment made to equity instruments
measured at fair value through other comprehensive income also
had a positive effect. Also, the foreign currency translation reservechanged by 15.6 million euros (prior year: –10.0 million euros),
mainly due to subsidiaries in China and the USA. Taking into
account expenses and income recognized through other comprehensive income, this results in a total comprehensive income of
212.4 million euros (prior year: 30.8 million euros).

D E K R A Financial Report 2021

For reasons of comparability, EBIT and EBT for 2021 and 2020
were adjusted for the following non-operating (special) effects.
– Systematic amortization of intangible assets identified aspart of a purchase price allocation (PPA amortization),– Project costs for the significant improvement of the IT
infrastructure, as well as for market entry into new countries or business segments,– Restructuring expenses, M&A costs and integration costs,– Earnings from the sale of companies and individual itemsof tangible assets (property, plant and equipment), as well
as from the subsequent measurement of purchase pricecomponents (earn-out agreements) and from purchaseprice reimbursements,– Proceeds from the one-off effect of a conversion under
personnel expenses in the fiscal year 2021,– Foreign currency effects arising from intercompany loans(effect on the financial result),– Special effects from the measurement of put and call options(effect on the financial result).
Compared to the previous year, the unadjusted EBIT figure wasaffected in particular by the one-off effect of a conversion at a
German association for employers’ liability insurance, amounting to 14.5 million euros. This raised EBIT from 202.6 million
euros to 216.1 million euros. The one-off effect was neutralized
when the figures were adjusted. Adjusted EBIT thus increased
by 15.4% to 226.0 million euros (prior year: 195.9 million euros).
Likewise, the margin for the adjusted EBIT rose by 0.3 percentage points to 6.4%. The adjusted EBT stood at 215.5 million
euros in the financial year (prior year: 183.8 million euros). This
represents a margin of 6.1% (prior year: 5.8%).

D E K R A Financial Report 2021

15

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Economic business﻿
report﻿Economic business﻿
report17

Financial position

Capital investments

R E C O N C I L I AT I O N O F A D J U S T E D E B I T A N D E B T F O R 2 0 2 1

Financial managementin million euros

The Group’s financial management includes, among other things,
cash and liquidity management as well as the management ofmarket price risks (interest, currency) and credit default risks.
Cash management determines the required or surplus
cash for all DEKRA entities. Timely account management
ensures that the necessary funds for payments are available
where they are needed, with the aim of keeping external investment and borrowing to a minimum.
Liquidity management ensures that all payment obligations of the entities in the DEKRA Group are always met. To
this end, the liquidity planning determines cash flows fromoperating activities, secures foreseeable liquidity requirements
at an early stage, and invests surplus liquidity on the money
market.
Market price risk management has the task of limiting theimpact of interest rate and currency fluctuations on the Group’s
earnings. For this purpose, the market price risks are determined and used as a basis for hedging decisions. Such decisions
include the selection of hedging instruments, the volume to behedged, and the period to be covered. DEKRA used derivative
financial instruments to a small extent in the fiscal year to hedge
financing arrangements bearing variable interest rates.
The risk volume involved in the management of credit
default risks includes investments in securities and the investment of liquid funds (cash and cash equivalents) at financial
institutions as part of liquidity management, as well as thecredit risk relating to end customers due to the granting andsystematic monitoring of payment terms from trade.
Short-term investments of liquid funds (cash and cash
equivalents) are only made at top-rated financial institutions
and on the basis of current rankings by rating agencies, also
taking into account current CDS spreads. We use commercial
credit agencies to assess the creditworthiness of our customers
and in cases of doubt, we insist on upfront payment or the provision of bank guarantees.

The net capital investments in tangible assets (property, plantand equipment) and intangible assets amounted to 100.6 million euros (prior year: 89.6 million euros). The Company
mainly invested in land and buildings, technical and otherequipment, furniture and fixtures, as well as in intangible
assets. Investments in subsidiaries and business units
amounted to 43.2 million euros in the fiscal year (prior year:
18.4 million euros).

+8.0

+0.2

+0.5

+10.3
–9.1

226.0

–9.4

216.1

EBIT 2021
unadjusted

PPA
impairment

Project costs

Restructuring
expenses

Integration andtransaction costs

Othereliminations

EBIT 2021
adjusted

Financial result
unadjusted

–1.1

215.5

Eliminations fromfinancial result

EBT 2021
adjusted

R E C O N C I L I AT I O N O F A D J U S T E D E B I T A N D E B T F O R 2 0 2 0
in million euros

+16.0
195.9
+3.4
+4.6

+1.6

+0.2

183.8
–15.5

+11.1

162.4

EBIT 2020
unadjusted

PPA
impairment

Project costs

Restructuring
expenses

Integration andtransaction costs

Othereliminations

D E K R A Financial Report 2021

EBIT 2020
adjusted

Financial result
unadjusted

Eliminations fromfinancial result

Liquidity analysis

The development of liquidity in the DEKRA Group is mainly
shaped by the decrease in net current assets (excluding cash andcash equivalents), higher investments in tangible assets (property, plant and equipment) and intangible assets compared tothe prior year, and lower cash repayments of loans.
The cash flows from operating activities went down by
45.7 million euros to 367.4 million euros (prior year: 413.1 million euros). The consolidated net income increased by 47.6 million euros. This was offset in particular by the change (amounting to 90.3 million euros in total) in net current assets(excluding cash and cash equivalents) and in liabilities and current provisions.
The cash flows from investing activities showed a cash
outflow of 175.0 million euros (prior year: 121.9 million euros).
This increase stems from greater investment in financial assets
and other assets, and also subsidiaries and business units, which
at 93.6 million euros was above the prior-year figure of 35.2 million euros.
The cash flows from financing activities showed a cash
outflow of 134.6 million euros (prior year: 216.6 million euros).
This development is mainly attributable to lower cash outflows
for the repayment of financial loans amounting to 47.8 million
euros (prior year: 181.9 million euros).
As a result, cash (consisting of cheques, cash on hand,bank balances, and cash equivalents) rose by 59.1 million euros
to 226.6 million euros (prior year: 167.5 million euros).

EBT 2020
adjusted

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Economic business﻿
reportRisk, opportunities ﻿and forecast report

Net assets and capital structure

The balance sheet total went up by 72.3 million euros in thefinancial year from 2,739.0 million euros to 2,811.3 million
euros. This is equivalent to a change of 2.6%.
Non-current assets increased by 64.5 million euros to1,839.8 million euros (prior year: 1,775.3 million euros). Current
assets also increased slightly by 7.9 million euros to 971.5 million euros (prior year: 963.7 million euros).
Under the heading of non-current assets, non-current
financial assets increased by 35.0 million euros to 112.7 million
euros, which is mainly due to the increase in non-consolidated
companies measured at fair value in accordance with IFRS 9.
Furthermore, goodwill increased by 20.8 million euros to625.7 million euros (prior year: 604.9 million euros).
The slight rise in current assets is mainly based on theeffect of two opposing factors. Current financial assets went
down to 688.5 million euros, a decrease of 42.8 million euros
compared to the prior year. This is predominantly attributable
to the decrease in receivables from the shareholder, offset by anincrease in securities. On the other hand, cash and cash equivalents increased by 59.1 million euros to 226.6 million euros.
Equity rose by 134.3 million euros to 942.8 million euros(prior year: 808.5 million euros). The factors contributing to thisrise were the consolidated net income for the year of 141.5 million euros (prior year: 93.9 million euros), the remeasurementof the pension liabilities amounting to 54.9 million euros (prioryear: –18.7 million euros), foreign currency translation amounting to 15.6 million euros (prior year: –10.0 million euros), andthe allocation of 10.0 million euros to capital reserves by
DEKRA e.V., Stuttgart (prior year: 25.0 million euros). The

profit transfer to DEKRA e.V., Stuttgart, of 89.5 million euros(prior year: 34.9 million euros) had a counteracting effect. The
equity ratio increased to 33.5% from 29.5% in the prior year.
Non-current liabilities decreased by 148.8 million euros
to 929.1 million euros (prior year: 1,077.9 million euros). This ismainly a result of a total decrease of 103.2 million euros in pension provisions and similar obligations due to the reduction of
the present value of pension entitlements by 59.4 million euros,
combined with an increase of 43.8 million euros in plan assets.
There was also a reduction of 54.5 million in non-current bankliabilities (prior year: –3.3 million euros). In contrast, liabilities
from lease agreements increased by 10.3 million euros (prioryear: –7.3 million euros). The current and non-current liabilities
are mainly denominated in euros.
Current liabilities increased by 10.2% from 852.6 million
euros to 939.4 million euros. This is mainly a result of theincrease in current bank liabilities.
The DEKRA Group requires sufficient liquidity scope for
future capital investments, which is ensured by the promissory
note loans taken out and by longer-term loan commitments. As
of December 31, 2021, there are medium-term lines of credit of440.5 million euros pledged in writing that have not yet beendrawn.
Summary assessment of results of operations,financial position, and net assets

The development in fiscal year 2021 of the DEKRA Group’s
results of operations surpasses expectations for the financial
year in terms of sales and earnings. The net assets and financial
position allow sufficient scope for the Group to pursue its goals.

RISK, OPPORTUNITIES,AND FORECAST REPORTRISK REPORT
Systematic management of risks

The risk management process has proved its worth. A risk
inventory is now carried out for the fiscal year in progress andthe subsequent year, whereby strategic risks that are cumulativein nature are recorded separately. If risks have already beenrecorded in the planning, these are not included in the risk
inventory. The process also considers the DEKRA matrix ofregions and Service Divisions. In this way, the Company is able
to systematically determine the need for action with regard topotential risks. Based on a combination of the probability ofactual occurrence and the damage potential of individual risks,
it is possible to calculate the (net) expected damage figure.

urgent issues via internal ad hoc announcements. DEKRA’s risk
management system is continually being adapted in responseto changes in legal and economic conditions. In the following,
we outline and assess the risks that, from today’s perspective,
could have a significant influence on DEKRA’s net assets, financial position, and results of operations. Taking into account therisks recorded in planning, the overall risk exposure has generally remained stable compared to the prior year.
The Group regularly reviews and analyzes the financial
impact of the reported risks, the countermeasures that havebeen initiated, and the Group’s risk-bearing capacity in termsof their effectiveness. Based on the reported risks and the measures that are in place, the impact is manageable.
With regard to the potential impact of the conflict
between Russia and the Ukraine, we refer to our statements inthe forecast report.
Business environment and sector risks

Q U A N T I F I C AT I O N O F R I S K S

Loss potential in % of sales
critical/severe>0.6very high>0.35–0.60
medium/moderate>0.15–0.35
minor>0.05–0.15
marginal>0–0.05
rare

unlikely

0–<10

10–<25

medium/possible25–<50likelyfrequent

50–<7575–100Likelihood in %Urgent need for action

Need for action

Possible need for action

No need for action

The management levels responsible develop prompt countermeasures on the basis of the risk management process. The
Management Board is regularly informed through defined
reporting channels. DEKRA swiftly communicates particularly

D E K R A Financial Report 2021

19

Disruptive technologies and political, regulatory, and economic
conditions play a very important role in DEKRA’s success as anexpert organization with global operations. Changes in thebusiness environment may give rise to sales and earnings risks.
DEKRA therefore closely and continually monitors markets andsectors – particularly with respect to whether and how thedevelopment of technology could cast doubt on existing business models.
The business with automotive services is fundamentally
exposed to the regulatory risk of changes in the law. These
would potentially affect the following regions above all: Germany, South-West Europe, North-West Europe, and Central
East Europe & Middle East. This risk is currently deemed to below. However, fierce competition and changing technologies inthe Vehicle Inspection Service Division pose a moderate risk as
cost increases can only be passed on to the customers to a limited extent. DEKRA lowers this risk by constantly improving
productivity based on optimized processes and new technologies to ensure more road safety and fewer traffic fatalities.
Expectations with respect to the economy also determine how willing DEKRA’s industrial customers are to invest.
If real or suspected economic uncertainty exists, the risk of adrop in orders increases. This affects the Product Testing andIndustrial Inspection Service Divisions, for example, and theregions of North-West Europe, Germany, APAC, and the

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Risk, opportunities ﻿and forecast report

Risk, opportunities ﻿and forecast report

Americas. DEKRA is mitigating these risks, which it classifies
as low, by expanding its range of services and by further globalizing its business.
The provision of services in the Training and Temp Work
Service Divisions is particularly dependent on the economic
climate. In both of these Service Divisions, sales and earnings
may be affected by fluctuations in orders caused by general economic developments. This particularly affects the Germany andCentral East Europe & Middle East regions. DEKRA is combatting these risks, which it classifies as moderate, by tapping into
new markets, broadening its portfolio of services, and making
customized offers. New statutory regulations may lead to highrisks in the Temp Work Service Division. DEKRA is responding
to regulatory interventions in the employee leasing markets bybuilding up its business with key accounts and by investing in
its position as a quality provider.

On the whole, these risks add up to a total theoretical expected
damage figure of 85.0 million euros in 2021 (2020: 92.6 million
euros). The structure and distribution of risk for the years 2021,
2022, and 2023 are deemed to remain stable.

growth supplemented by targeted acquisitions. By making strategic acquisitions, DEKRA is broadening its base in terms ofboth expertise and geography. However, the integration of
acquired companies can fail or be delayed. It could happen thatbudgets are not met and synergy effects remain unfulfilled.
These risks are judged to be moderate. There are also measurement risks relating to assets recognized. In general, such risks
are considered to be low to moderate in the context of the neworganizational model for the regions. Overall, DEKRA counters
corporate strategy risks through professional project and integration management.
The regulatory frameworks in non-European countries
differ from the conditions in Germany and Europe. As a result,the ongoing globalization of business carries liability risks andrisks to the Group’s reputation, even if such risks are low. That
is why DEKRA is constantly working to enhance its risk andcompliance management activities. This includes the ongoing
adjustment of the liability protection offered by insurance poli­cies in response to changing circumstances.
Those responsible identified 210 corporate strategic risks(prior year: 100) that are cumulative in nature. Because of achange in the method of recording these figures, the current
ones can only be compared with the prior-year figures to alimited extent. The risk situation here is to be regarded asremaining stable. The associated theoretical expected damage
figure is 195.9 million euros (prior year: 116.7 million euros).
These risks can be divided into the categories of digitalization,
new technologies, new competitors, the end of the service/product life cycle or commodification, regulatory changes, andmarkets. DEKRA pays particular attention to the corporate
strategic risks because they are also associated with substantial
opportunities.

Corporate strategy risks

Operating risks

With its organizational model “TOM 2020” (eight Service Divisions, six regions, and corporate functions), DEKRA is able to
make even better use of growth opportunities. The risk that thestronger focus on internal networking and greater proximity to
the customer could fail is currently considered low. This assessment is based on the professional project management surrounding the introduction of the new organization, which has
proved its worth. DEKRA is also continuing its policy of organic

Accreditations and official authorizations are important factors
on which DEKRA’s success depends. Risk management plays a
key role in this regard. With its internal control system for safeguarding service quality and through an insurance policy,
DEKRA reduces risks that may arise in terms of liability for its
testing, expert reports, certifications, and seals. In addition, risks
arising from missing or amended official authorizations are identified by means of ongoing specialist and legal reviews; this allows

The most significant risk exposure still lies in business environment and sector risks and/or market risks and statutory regulations. The following risks are currently considered to be thegreatest risks to earnings:– Disruptive technologies (vehicles’ general inspections, expert
reports),– Amendments especially to European regulations,– Competition and price risks, and general economic risks andrisks caused by the COVID‑19 pandemic.

D E K R A Financial Report 2021

changes to laws and standards to be identified in time and DEKRA
services to be promptly adapted. The frequently time-consuming
training for examiners and inspectors to get the appropriate qualifications, and also the timely planning and provision of the necessary equipment are factors of particular importance in this context. The amendments made by the legislators to national
regulations in Germany relate specifically to the handling of
measuring and testing equipment and the information provided
by car repair garages (e.g., exhaust emissions testing). The packageof directives passed by the German Bundesrat provides for a transition period until June 2022, by which time all of the requirements have to be implemented. In Germany, national requirements governing main inspections of vehicles require testing andmeasuring equipment to be regularly gauged, calibrated, and unittested in accordance with various different standards. There must
be comprehensive evidence of the ISO conformity of the relevant
services, which are to be audited by DAkkS [a German accreditation organization]. This applies equally to calibrations and information provided by car repair garages.
DEKRA has developed all the necessary calibration processes to such an extent that all accreditations by DAkkS havebeen concluded successfully. The measures needed for further
adjustments to the accredited calibration processes and for thefull implementation thereof have been initiated.
DEKRA already successfully completed the certification
procedure in 2020.
On December 1, SWEDAC – the Swedish supervisory
authority – rescinded DEKRA Automotive AB’s accreditation
for technical checks. All of its test stations in the country wereclosed temporarily.
DEKRA views the measures taken by SWEDAC as inappropriate and raised an objection. The legal proceedings were
stopped on the part of DEKRA, in order to be able to speed up
the process of regaining accreditation. We are continuing toconduct constructive dialog with the Swedish authorities. As of
February 28, 2022, the first test stations have regained theiraccreditation and have already reopened. The goal now is for theremaining test stations to reopen as soon as possible, too.
One element in identifying and assessing accreditation
risks, internal process risks, and risks arising from monitoring
the compliance of internal basic processes on a worldwide scaleis the control self-assessment process. This is carried out along

21

with the risk management surveys, resulting in the aforementioned risk inventory that summarizes and evaluates internal
process risks and market risks.
Overall, the risk of authorizations based on accreditations
being revoked is classified as low thanks to extensive precautionary and risk mitigation measures.
Personnel risks

With regard to personnel, there is a moderate risk in the formof dependency on individual employees who, through theirknow-how, play a key role in the success of individual businesssegments. This risk is minimized, among other things, througha globally integrated talent and performance process. Attractive
HR development programs also help to retain know-how and
top performers within the Group. Moderate personnel risks canalso arise if the employees from acquired companies are notsuccessfully integrated into the Group. For that reason, a swift
and rigorous post-merger integration process takes top priority.
For DEKRA’s business success, it is also important to attract
ambitious professionals and qualified young employees. That is
why DEKRA continually invests in its appeal as an employer,
thereby further reducing the low risk of not having the personnel necessary for further expansion.
IT risks

For a company that operates in around 60 countries, IT andcyber security and data protection are of key importance.
DEKRA is mitigating the moderate risks relating to the reliability and security of the information stored in the general systems– and specifically in the IT systems – by investing in a modern
IT infrastructure and by setting up its global information security organization. DEKRA is countering the risk of critical data
being damaged or lost or falling into the hands of unauthorizedthird parties by constantly monitoring and assessing IT/information risks within the framework of its internal control system, risk management, and compliance management. With
regard to information security and cyber security, DEKRA has
taken steps within the framework of its information security
management system to minimize the likelihood of such occurrences actually happening. The risk of penalty payments anddamage to the Company’s reputation, which can arise in thefield of data protection following the entry into force of the

D E K R A Financial Report 2021

22

GROUP MANAGEMENT REPORTGROUP MANAGEMENT REPORT

Risk, opportunities ﻿and forecast report

Risk, opportunities ﻿and forecast report

GDPR (General Data Protection Regulation), is classed as low
thanks to the Company’s adequate data protection processes
which are constantly being revised. In its report on the situation
with IT security in Germany, the Federal Office for Information
Security (BSI) underlines the fraught-to-critical situation andthe need for the route that DEKRA has already taken.
Financial business risks

Although there is a certain risk of bad debts and late payments,
this is deemed to be low. DEKRA protects itself from default bymeans of active customer and contract management, global key
account management, and thorough creditworthiness checks.
By planning ahead, DEKRA is also able to reduce the interest
rate risk. As most of DEKRA’s transactions are conducted ineuros, the exchange rate risk is low. The Group’s borrowings
primarily constitute promissory note loans issued and loan
commitments from banks. Interest derivatives are used forloans bearing variable interest rates in order to minimize theinterest rate risk inherent in the financing of the Group. Thebalance of interest derivatives as of the reporting date amounts
to 4.0 million euros (prior year: 4.0 million euros).
As in the prior year, there are no significant bank guarantees or contingencies. Collateral and guarantees amounting to
925 thousand euros (prior year: 825 thousand euros) have been
granted. The risk of a claim being made on these is currently
deemed to be low. If a claim is made on the guarantees, they fall
due immediately.
The DEKRA Group is not involved in any court proceedings that could have a significant influence on its economic or
financial situation.
The liquidity scope required for the operating business issecured by means of liquid funds (cash and cash equivalents)
and through lines of credit committed to DEKRA SE by banks.
The central cash pool is used to control the liquidity and supplyof the national and increasingly also the international subsidiaries. The resulting transparency prevents possible risks. Shortterm investments of liquid funds (cash and cash equivalents)
are only made at top-rated financial institutions and on thebasis of current rankings by rating agencies, also taking into
account current CDS spreads.
The risk of DEKRA being unable to fulfill its payment
obligations in connection with financial instruments in the
future is also classed as low.

Overall assessment of the Management Board on risks to
the Group’s ability to continue as a going concern

The profile and structure of DEKRA’s risks, the Company’s ability to withstand risk, and the distribution of risk at the level ofthe individual companies are stable and kept in check throughdefined measures. The strategic risks are currently manageable
on the basis of the projects and measures that have been initiated and planned (Business Development). Provided these are
implemented consistently, and with a focus on strategic opportunities and risks, the Management Board considers the risk
profile to be reasonable. Due to the strong equity, the sophisticated business models, the broad portfolio, and the solid financing structure, the sum total of the individual risks does notendanger the ability of DEKRA to continue as a going concern
in any way. There are currently no identifiable risks to the Company’s ability to continue as a going concern.
OPPORTUNITIES REPORTBusiness environment and sector opportunities

Safety remains a basic human need for people across the entire
globe. Notably the megatrends towards digitalization, technological changes, and the global challenges posed by climatechange all harbour risks, but they also present opportunities.
They will lead to greater demand for tests, certifications, andinspections in the industrial and the private sectors. The
demand for corresponding services is growing globally, not only
in western industrial nations, but also in developing and emerging economies. By increasingly focussing on its customers,
alongside an extensive service portfolio in the three areas of life
– on the road, at work, and at home – DEKRA is preparing forthese future growth opportunities.
DEKRA has succeeded in positioning itself in the automotive cyber security market of the future, covering all aspects ofconnected and automated driving, through its appointment asa Technical Service Office by Germany’s Federal Motor Vehicle
Office [Kraftfahrtbundesamt]. The first projects with car manufacturers have already commenced. Through its appointment,
DEKRA has been given the status of a type tester for compliancewith the new internationally applicable regulations governing
cyber security and software updates. According to the UNECE-R
155 and 156 requirements, manufacturers must provide proof of
the appropriate management systems for the entire service lifeof the vehicle and must have this checked every three years.

D E K R A Financial Report 2021

IT opportunities

The technological advances that accompany digitalization willradically change the entire TIC (testing, inspection, certification) sector – and this is already happening now. Above all, the
new technologies will change how services are rendered: i.e.,
more swiftly, remotely, with permanent monitoring and predictive maintenance. Likewise, the upcoming technologies willalter the objects to be tested, inspected, and certified: they
themselves will be more digitalized and network-connected.
Programmed codes and data flows will increasingly replacemechanical functions – software vs. hardware. The cross-sector
technologies and digital megatrends that are of particular relevance to the TIC sector include: big data (cloud), artificial intelligence (automation and machine learning), Internet of Things,
cyber security, remote services, as well as virtual/augmented
reality (VR/AR) and blockchain.
DEKRA anticipated these changes taking place in IT and
seized them as an opportunity – by carrying out its groupwide transformation, pursuing the digitalization route alreadyinitiated, and through activities in the realm of innovation.
In the context of these programs, DEKRA is utilizing the newtechnologies to optimize existing services and build up new
data-driven business. The specific organizational measures
include the group-wide and cross-departmental CompetenceCenters for cyber security, big data, artificial intelligence, andautomated driving.

23

available. One example is that we are increasingly performing
our tasks remotely, which has brought fundamentally changes
to our testing, inspection, and auditing business since thebeginning of the pandemic. DEKRA therefore places clear, strategic focus on the digitalization of the Group and its services.
This process is driven by new technologies, the optimization of
the existing portfolio, the development of new services, and ahigh degree of customer focus. In this context, important strategic topics and services will be coordinated and processed centrally, for example with regard to all aspects of mobility of the
future, information and cyber security, remote applications,data analysis, and sustainability.
One of the lasting effects of the COVID‑19 pandemic isthe change in personal and professional conduct. Risk management is being taken more seriously across industries and also
on a personal level, leading to a demand for more testing andinspection services (e.g., resilience of the supply chain, safety at
the workplace or in hotels). This trend will endure beyond thecrisis. We acknowledge this situation by proceeding as describedabove. Thus, for example, we are continually expanding ourrange of remote services and establishing them on the market
over the long term. We are thus creating a strong framework forbringing DEKRA into the digital age through a technologicaland organizational transformation and for securing the Group’s
long-term success.
Economic performance opportunities

Corporate strategy opportunities

The rapid technological change is leading to massive shifts of afundamental nature. Firstly, customer needs are changing. Secondly, companies have entirely new possibilities for what they
can offer. In the past years, the boundaries between industries
that were once clearly defined are increasingly dissolving andmerging together. This can be seen in the TIC sector, too, where
well-known consultancy firms and start-ups are increasingly
entering the market in order to secure a foothold for the
medium and long term, given the fact that the world is becoming more and more digitalized and networked.
As an independent third-party entity, it is our task topromptly identify changes in the market, helping to design therelevant regulations and adjusting our service portfolio to suitcustomer needs and in accordance with the technologies

The implementation of our corporate strategy opens up new,attractive perspectives for our Company. Moreover, it also offers
additional potential for tapping into new sales markets. By
expanding and digitalizing the existing service portfolio, wewill achieve a greater penetration of the markets alreadyaddressed. Moreover, by developing new services, we will create
new business models in new markets.
This will enable us to supply the markets with digitaltechnologies and, as a result of this, provide state-of-the-art
TIC services.
Furthermore, we intend to cover the needs of the international TIC market which is growing in the APAC and Americas
regions in particular.

D E K R A Financial Report 2021

24

GROUP MANAGEMENT REPORT
Risk, opportunities ﻿and forecast report

FORECAST REPORT
Sustained growth

The world economy is expected to record significant growthagain in 2022, even if the COVID‑19 pandemic continues to bea burden and, among other things, is a hindrance to international supply chains. According to estimates by the World Bank,
global GDP will increase by 4.1%. Developing and emerging
economies are expected to record growth of 4.6% while growthof 3.7% and 4.2% is anticipated in the USA and the euro zone
respectively. For China, growth of 5.1% is expected.
Because our business activities in the Ukraine and in Russia are minimal in terms of revenue, we do not expect the conflict between the two countries to have any major direct impact
on our business. It is presently not possible to estimate the indirect impact it may have. In view of our good position in existingand in future markets, however, we continue to assume that our
growth trend will continue. Revenue is expected to increase by
between 3% and 5% in fiscal year 2022. The growth will primarily be of an organic nature, supplemented by selective takeovers.
Furthermore, we anticipate a slight increase in EBIT for 2022.
The basis for this prognosis is the figure for EBIT from fiscal
year 2021, adjusted by the special effect of 14.5 million euros on
personnel expenses which increased the earnings result. To
achieve this, DEKRA will expand its activities in business sectors with greater return potential, exploit synergies within andbetween its divisions, and continue to optimize the global structures and processes in sales and the Service Divisions. The number of employees will also rise, parallel to revenue. DEKRA
expects its workforce to increase by between 1,000 and 1,500 by
year-end 2022. The financial year 2021 has highlighted our resilience in times of crisis. That reinforces in our “Vision 2025”: by2025, when DEKRA will celebrate its centenary year, we intend
to have digitalized our entire service portfolio and be the global
partner for a safe, secure, and sustainable world.

Stuttgart, March 30, 2022
DEKRA SEThe Management Board  Kölbl, Chairman  Linsenmaier  Hetzel  Zurkiewicz

D E K R A Financial Report 2021

26

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS﻿﻿

Consolidated financial statements

27

DEKRA SE
Consolidated Statement of Comprehensive
Income for the Financial Year 2021
IN THOUSAND EUR

Notes

2021

2020

5.1

3,534,817

3,188,234

CONTENTS

Revenue

2 7 		

Decrease (prior year: increase) inwork in process–9,762

1,327

Own work capitalized

11,155

10,13543,191

57,169CO N S O L I DAT E D S TAT E M E N T O F CO M PR E H E N S I V E I N CO M E

2 8 		

CO N S O L I DAT E D BA L A N C E S H E E T

3 0 		

CO N S O L I DAT E D S TAT E M E N T O F C H A N G ES I N EQ U I T Y

3 2 		

CO N S O L I DAT E D S TAT E M E N T O F C A S H FLOWS

3 4 		N OT ES TO T H E CO N S O L I DAT E D FI N A N C I A L S TAT E M E N T S

Other operating income

5.2

Cost of materials

5.3–328,273–314,480

Personnel expenses

5.4–2,327,346–2,101,363

Other operating expenses

5.5–505,608–474,369

Amortization/depreciation of intangible assets, right-of-use
assets and tangible assets (property, plant and equipment)

5.6–202,085–204,281

Profit/loss from financial assets measured at equity

5.7

–324

840

34

G e n e ra l inf o r m a tio nInterest income

5.7

8,873

6,747

34

Ac c o untin g p r in cip l e s

Interest expense

5.7–17,734–24,37634

R e c o g nitio n a n d m e asure m e nt p r in cip l e s

Other financial result

5.7

–168

1,311

50

B usin e s s c o m bin a tio ns (c o m p a ny a c q uisitio ns)

Financial result

5.7–9,353–15,47855

C o ns o lid a t e d St a t e m e nt of Co m p re h e nsi ve I n c o m e

Earnings before taxes

Co ns o lid a t e d b a l a n c e sh e e t

206,736

146,894

72
74

Co ns o lid a t e d c ash f l ow st a t e m e nt

76

O t h e r dis c l osure s in t h e N o t e s

76

Ca pit a l m a n a g e m e nt

76

A d ditio n a l inf o r m a t io n o n f in a n cia l inst r u m e nt s

82

Fin a n cia l r isk m a n a g e m e nt

85

Re l a t e d-p ar t y t ra ns a c t io ns

87

I nf o r m a tio n o n t h e m e m b e rsof t h e M a n a g e m e nt B o ard a n d S u p e r v is o r y B o a rd88

S u bs e q u e nt e ve nt s

Difference arising from foreign currency translation

88

O t h e r dis c l osure s

Items that may possibly be reclassified subsequently to profit or loss

Taxes on income

5.8–65,283–53,002

Net income for the year

5.9

141,453

93,892

thereof, attributable to owners of DEKRA SE

6.12

140,223

93,261

thereof, attributable to non-controlling interests

6.13

1,230

631

hedging instruments measured at fair value
through other comprehensive income

6.16

39

40

deferred taxes recognized through other comprehensive income

5.8

–12

–12

5.9

15,588–10,042

15,615–10,014

Net gain/loss on reserve for

Net gain/loss on reserve for
9 8 		
1 0 2 		INDEPENDENT AUDITOR’S REPORT

remeasurement of defined-benefit pension plans

6.14

78,460–26,715REPORT FROM THE CHAIR M AN OF THE SUPERVISORY BOARD

equity instruments measured at fair value
through other comprehensive income

6.5

406

–34,418

deferred taxes recognized through other comprehensive income

5.8–23,536

8,036

Items that will not be reclassified subsequently to profit or loss

55,330–53,097

Other comprehensive income

70,945–63,111

Total comprehensive income

212,398

30,781owners of DEKRA SE

211,168

30,150non-controlling interests

1,230

631

thereof attributable to:

D E K R A Financial Report 2021

D E K R A Financial Report 2021

28

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

﻿

﻿

29

DEKRA SE
Consolidated Balance Sheetas of December 31, 2021
A S S E T S IN THOUSAND EUR

Notes

Dec. 31, 2021

Dec. 31, 2020

Non-current assets

E Q U I T Y A N D L I A B I L I T I E S IN THOUSAND EUR

Notes

Dec. 31, 2021

Dec. 31, 2020

Equity6.1/6.2

744,403721,862

Subscribed capital

6.12

25,56525,565Right-of-use assets

Intangible assets

8.1

369,903352,173

Capital reserve

6.12

620,529

610,529

Tangible assets (property, plant and equipment)

6.3

448,943432,045

Revenue reserves

6.12

552,368

504,571

Financial assets measured at equity

6.4

18,23913,119

Accumulated other comprehensive income

6.12–270,929–345,058

Other non-current financial assets

6.5

94,41464,555

Total equity of the owner

927,533

795,607

Other non-current assets

6.6

10,308

9,789

Non-controlling interests

Deferred income tax assets

5.8

153,563

181,750

1,839,773

1,775,293

6.13

15,29012,899942,823

808,506

Liabilities
Current assets

Non-current liabilities

Inventories

6.7

8,903

20,927

Provisions for pensions and similar obligations

6.14

436,951

540,182

Contract assets

6.8

62,64455,677

Other non-current provisions

6.15

26,433

19,814

Trade receivables

6.8

467,412454,497

Non-current financial liabilities

6.16

441,488488,362

Other current financial assets

6.9

158,423

221,136

Other non-current liabilities

6.18

1,651

1,992

Other current assets

6.10

40,88534,164

Deferred income tax liabilities

5.8

22,53927,583929,062

1,077,933

Current income tax receivables

5.8

6,664

9,832

Cash and cash equivalents

6.11

226,626

167,472

Current liabilities

971,557

963,705

Other current provisions

6.15

27,76527,607

Trade payables

6.17

107,772

113,554

Contract liabilities

6.17

56,46654,671

Current financial liabilities

6.16

344,271

279,877

Other current liabilities

6.18

396,461

370,465

Current income tax liabilities

5.8

Total assets

2,811,330

D E K R A Financial Report 2021

2,738,998

6,710

6,385

939,445852,559

Total liabilities

1,868,507

1,930,492

Total equity and liabilities

2,811,330

2,738,998

D E K R A Financial Report 2021

30

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

﻿

﻿

31

DEKRA SE
Consolidated Statementof Changes in Equity 2021
IN THOUSAND EUR

EquityAccumulated other comprehensive income

As of Dec. 31, 2019

Subscribed
capitalCapitalreserve

Revenue
reserves

Translation reserve

Equity instruments
measured at fairvalue throughother comprehensive
incomeHedging instruments
measured at fairvalue throughother comprehensive
incomeRemeasurementof defined-benefit
pension plans

Total equityof owners

Non-controllinginterests

25,565585,529453,048–13,065

53,667–68–322,194782,482

13,834

796,316–34,862–1,226–36,088

Profit/loss transfer agreement/dividend distribution–34,862

Capital increase

25,000

Other changes

25,000–80

Changes to the consolidated group–6,796

Consolidated net income for the year

93,261Other comprehensive income for the period
Total comprehensive income
As of Dec. 31, 2020

–80
–279

2

–8

–7,081–59–7,14093,261631

93,892–10,043–34,41828–18,680–63,113–63,113

93,261–10,043–34,41828–18,680

30,148631

30,77925,565

610,529504,571–23,387

19,251–40–340,882

795,607

12,899808,506–89,488–152–89,640–89,488
10,00010,000

Other changes

0Changes to the consolidated group253

Acquisition – non-controlling interests–2,931

Consolidated net income for the year

140,223

Other comprehensive income for the period

10,000
1,316

253

–7

Disposal of equity instruments measured atfair value through other comprehensive income

–7
2,931

140,223
15,588406

2754,92470,945

1,316
253

–3

0

–10
0

1,230

141,453
70,94500140,223

15,588406

2754,924

211,168

1,230

212,398

25,565620,529552,368–7,546

22,588–13–285,958

927,533

15,290942,823

For further explanations, please refer to note 6.12 in the Notes to the Consolidated Financial Statements.

D E K R A Financial Report 2021

–361

0

Capital increase

As of Dec. 31, 2021

25,000–281

0Profit/loss transfer agreement/dividend distribution

Total comprehensive income

Group equity

D E K R A Financial Report 2021

32

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

﻿

﻿

33

DEKRA SE
Consolidated Statement of Cash FlowsO P E R AT I N G A C T I V I T I E S IN THOUSAND EUR

Notes

F I N A N C I N G A C T I V I T I E S IN THOUSAND EUR

Notes

2021

2020

Cash received from equity contributions from the owners

6.12

10,00025,000Cash paid to owners and non-controlling interestsfrom profit transfers/dividends–89,640–54,231

Cash received/paid relating to loans to owners

60,36922,486

6.16–47,756–181,885

6.16

44,371

77,4232021

2020

141,453

93,891

202,346

203,025

–508

–341

Cash for repayments of loans

4,930

5,482

Cash from loan borrowings

65,28353,034

Cash for repayments of lease liabilities–18,817–14,440

Interest paid

Other non-cash-effective expenses/income

5,997

18,519Cash flow from financing activities

Change in inventories, receivables and other assets–5,65551,97920,03952,657324–942

Consolidated net income for the year
Depreciation/amortization/impairment losses/
reversal of impairments on assets

5.7/6.1/6.3/8.1

Gain/loss from the disposal of financial assets, intangible assets
and tangible assets (property, plant and equipment)Interest income/expenses and dividends
Tax expense

5.8

Change in non-current provisions

Change in liabilities and current provisions
Profit or loss from associates

5.7Interest received

3,478

3,234

Taxes paid

–52,445–53,311

Tax refunds

589

0Dividends received

5.7

370

271

367,384

413,058

Notes

2021

2020

Cash flow from operating activities

I N V E S T I N G A C T I V I T I E S IN THOUSAND EUR

C A S H A N D C A S H E Q U I VA L E N T S IN THOUSAND EUR
Cash-effective changes in cash funds
Changes in cash funds due to changes inexchange rates and the consolidated groupintangible assets and tangible assets (property, plant and equipment)

6.1/6.3–106,553–96,691

6.5/6.6/6.9–50,397–16,8287–43,217–18,397

6.1/6.3

5,915

7,088

6.5/6.6/6.9

16,256

2,697

2,957

191

–175,039–121,940

subsidiaries and other business entities

financial assets and other assets
subsidiaries and other business entities
Cash flow from investing activities

D E K R A Financial Report 2021

–10,249–134,556–216,603

2021

2020

57,78974,515

1,365

648

6.11

167,472

92,309Cash and cash equivalents at the end of the year

6.11

226,626

167,472

Cash received from disposals of:intangible assets and tangible assets (property, plant and equipment)–95,147–8,242

Cash and cash equivalents at the beginning of the year

Cash paid for investments in:financial assets and other assets

Notes–103,658

D E K R A Financial Report 2021

34

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

35

Notes to the Consolidated
Financial Statements of DEKRA SE,
Stuttgart, for Fiscal Year 2021
1 G E N E R A L I N F O R M AT I O N

2 ACCOUNTING PRINCIPLESDEKRA SE has its registered office at Handwerkstrasse 15 in
Stuttgart, Germany, and is entered in the Commercial Register
at Stuttgart District Court under HRB no. 734316.
DEKRA is an international, independent expert organization operating in the areas of Vehicle Inspection, Claims &Expertise, Product Testing, Industrial Inspection, Consulting,
Audit, Training, and Temp Work.
The consolidated financial statements as of December 31,
2021, include DEKRA SE and its consolidated subsidiaries.
The members of the Management Board prepared andapproved the consolidated financial statements of DEKRA SE
for the fiscal year from January 1 to December 31, 2021, on
March 30, 2022, and presented them to the members of theSupervisory Board for review and approval.
These financial statements and management report are
published in the electronic Federal Gazette [Bundesanzeiger].
The prior-year financial statements and management reportwere published in the Federal Gazette in the reporting year.
All shares in DEKRA SE are held by DEKRA e.V., Stuttgart. DEKRA e.V., Stuttgart, is also the direct and ultimate parent of the Company.

The Company’s consolidated financial statements are preparedin accordance with International Financial Reporting Standards(IFRSs) as adopted by the European Union at the end of thereporting period, and the additional requirements of Germancommercial law pursuant to Section 315e (1) HGB [“Handelsgesetzbuch”: German Commercial Code].
The principles of the Frameworks and the IFRS of theInternational Accounting Standards Board (IASB), as well as theinterpretations of the IFRS Interpretations Committee effective
as of the reporting date, were applied.
Information on the adoption of specific IFRS is provided in
the comments on the individual items of the financial statements
later on in these notes.
The consolidated financial statements are presented ineuros, which is DEKRA SE’s functional and presentation currency. Unless otherwise stated, all amounts have been roundedup or down to the nearest thousand euros (k€) in accordance withcustomary commercial practice.
The consolidated financial statements comply with therequirements of Sec. 315e (3) HGB.

3 R E C O G N I T I O N A N D
MEASUREMENT PRINCIPLES

The recognition and measurement principles (accounting andvaluation methods) adopted are fundamentally consistent withthose of the previous reporting period. In addition, the new orrevised standards that were subject to mandatory adoption for
the first time in fiscal year 2021 in accordance with the respective transitional provisions are presented below.

D E K R A Financial Report 2021

S TA N DA R D/I N T ER P R E TAT I O N;
EFFEC T I V E DAT E

I M PAC T O N T H E CO N S O L I DAT E D
FI N A N CI A L S TAT E M E N TS O F D EK R A S E

The following IFRS standards andinterpretations were subject tomandatory application for the
first time in the fiscal year:

IFRS 9, IAS 39, IFRS 7, IFRS 4, and IFRS 16
Interest Rate Benchmark Reform;
January 1, 2021

The changes provide users with simplification options for the impact on financial reportingfrom the replacement of IBOR (interbank offered rates) with alternative, practically risk-freerates (RFR). The changes include the following practical expedients:• a practical expedient that permits contractual changes or changes in contractual cash flows
arising directly from the reform – such as fluctuations in the market interest rate – to betreated as changes in a variable interest rate
• a practical expedient that permits changes in the designation and the documentation of ahedge that are necessary due to the IBOR reform, without this leading to the discontinuationof hedge accounting• a temporary exemption from the stipulation of separate identifiability if an RFR instrument
is used for hedging a risk component
These amendments had no impact on the consolidated financial statements of the Group.

IFRS 16
Practical Expedient for
Rent Concessions beyond
June 30, 2021;
April 1, 2021

On May 28, 2020, the IASB issued COVID-19-Related Rent Concessions – Amendment to
IFRS 16 Leases. The amendments provide relief to lessees from applying IFRS 16 guidance onlease modification accounting for rent concessions arising as a direct consequence of the
COVID-19 pandemic. As a practical expedient, a lessee may elect not to assess whether a
COVID-19-related rent concession from a lessor constitutes a lease modification. A lessee thatmakes this election accounts for any change in lease payments resulting from the COVID-19-related rent concession the same way it would account for the change under IFRS 16 if the change
were not a lease modification. Originally, these amendments were supposed to apply up toJune 30, 2021. However, on March 31, 2021, because the COVID-19 pandemic continues topersist, the IASB extended the period of application of the practical expedient through toJune 30, 2022.
The amendments apply to financial years beginning on or after June 1, 2020. However, earlier adoption is permitted. In the financial year, no material COVID-19-related rent concessions
were granted.

D E K R A Financial Report 2021

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CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

The IASB and the IFRS IC have issued the standards, interpretations, and amendments listed below that were not yet subject tomandatory adoption as of December 31, 2021. There are no plans to early adopt these new pronouncements.

S TA N DA R D/I N T ER P R E TAT I O N;
EFFEC T I V E DAT E

A D O P T E D BY T H E EU
CO M M I S S I O N

A N T I CI PAT E D I M PAC T O N T H E CO N S O L I DAT E D
FI N A N CI A L S TAT E M E N TS O F D EK R A S E

Amendments to IFRS 10 and IAS 28:
Sale or Contribution of Assets
between an Investor and its
Associate or Joint Venture;n/aNo

No material impact

Yes

No impact

37

Amended standards and interpretations:
S TA N DA R D/I N T ER P R E TAT I O N;
EFFEC T I V E DAT E

A D O P T E D BY T H E EU
CO M M I S S I O N

A N T I CI PAT E D I M PAC T O N T H E CO N S O L I DAT E D
FI N A N CI A L S TAT E M E N TS O F D EK R A S E

IFRS 17
Insurance Contracts;
January 1, 2023

Yes

Currently being assessed

Amendments to IAS 1:
Classification of Liabilities as
Current or Non-current;
Change from “significant” to “material”;
January 1, 2023

No

Currently being assessed

Amendment to IFRS 16:
Amendment of illustrative
Example 13 accompanying IFRS 16;
January 1, 2022

Amendment to IAS 8:
Definition of Accounting Estimates;
January 1, 2023

No

Currently being assessed

3 .1 P R I N C I P L E S O F C O N S O L I D A T I O NAmendment to IAS 12:
Mandatory recognition of deferredtaxes for transactions that give riseto temporary differences of the sameamount upon first-time recognition thatare to be taxed and are deductible;
January 1, 2023

No

No material impact

Amendment to IAS 16:
Proceeds before Intended Use;
January 1, 2022

Yes

No material impact

Amendment to IAS 37:
Onerous Contracts –Cost of Fulfilling a Contract;
January 1, 2022

Yes

No material impact

Amendment to IAS 41:
Taxation in Fair Value Measurements;
January 1, 2022

Yes

No impact

Amendment to IFRS 1:
Subsidiary as a First-time Adopter;
January 1, 2022

Yes

No material impact

Amendment to IFRS 3:
Reference to the Conceptual Framework;
January 1, 2022

Yes

No material impact

Amendment to IFRS 9:
Fees in the ‘10 per cent’ Test for
Derecognition of Financial Liabilities;
January 1, 2022

Yes

No material impact

Amended standards and interpretations:

D E K R A Financial Report 2021

All companies over which the Group’s ultimate parent exercises direct or indirect control are included in full in the consolidated financial statements. Control is assumed as soon as
the parent company has decision-making power over the subsidiary due to voting or other rights, is exposed to, or has
rights to, variable returns from the subsidiary, and has theability to affect those returns through its power over the investee company. A subsidiary is consolidated for the first timewith effect from the date on which DEKRA SE takes over control of it. The subsidiary is removed from the consolidated
group as soon as control ends.
During the reporting period and as of the reporting date,there were no joint operations which would have had to be
included with their pro rata assets and liabilities, and with theirincome and expenses.
Joint ventures and associates are accounted for using theequity method. An associate is an entity over which the owner
exercises significant influence, but that is neither a subsidiarynor a joint venture or joint operation. In the consolidated financial statements of DEKRA SE in the financial year, a total of two
German (prior year: two) companies and two foreign (prioryear: one) companies were consolidated using the equity
method. These companies were capitalized initially at acquisition cost. Subsequently, the carrying amounts of theinvestments are increased or reduced each year by the proportionate share of their net income, dividends distributed, or otherchanges in equity. The principles of purchase price allocation
for full consolidation apply in the same way to the initial measurement of joint ventures and associates. Goodwill relating to
the associate is included in the carrying amount of the investment and is not amortized systematically. As of each reporting
date, DEKRA tests whether the carrying amount is impaired
pursuant to IAS 36.
Subsidiaries, joint ventures, joint operations, and associates that are individually and jointly immaterial for the Groupand for the presentation of a true and fair view of the results ofoperations, financial position, and net assets have generally been
included in the consolidated financial statements at fair value.
Furthermore, the investment shares of individual companies are recognized at acquisition cost, taking into consideration any impairment losses and reversals of impairment
losses. These companies are individually and jointly of immaterial significance.

D E K R A Financial Report 2021

38

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

Non-controlling interests in the total comprehensive
income and equity of subsidiaries are presented separately inthe statement of comprehensive income and in equity. On
acquisition of control, non-controlling interests are generally
recognized at their proportionate share of the identifiable net
assets measured at fair value.
As of December 31, 2021, the consolidated group includes
DEKRA SE and the other entities listed in “Other Disclosures.”
The financial statements of the individual subsidiaries areincluded in the consolidated financial statements as of December 31, 2021, using the uniform accounting and valuation methods (recognition and measurement principles) stipulated by
DEKRA SE. In addition to DEKRA SE, Stuttgart, a total of 22
German (prior year: 23) and 127 foreign (prior year: 133) entities
are included.
Effects of first-time inclusion of previously immaterial
subsidiaries and associates are recognized in the statement ofchanges in equity under changes to the consolidated group.
Capital consolidation is performed using the purchasemethod of accounting on the basis of carrying amounts as ofthe date of transfer of control (IFRS 3). Where there are
non-controlling interests, a proportionate share of goodwill has
always been recorded to date in accordance with IFRS 3 (purchased goodwill method).
In the course of business acquisitions, sometimes
arrangements are made concerning the payment of contingent
consideration, and call and put options are sometimes agreed
with non-controlling shareholders. These obligations areincluded in the purchase price calculation at their estimatedfair value. On the equity and liabilities side, a financial liability
is recognized pursuant to IAS 32. Changes in fair value in subsequent periods are recognized through profit or loss. In thecase of call and put options, the acquired entity is included in

the consolidated financial statements in full and no non-controlling interests are presented.
Transactions between the consolidated entities are netted.
Profits from intercompany transactions are eliminated. The
income tax effects are taken into consideration and deferredtaxes are recognized.
Foreign currency translation

The consolidated financial statements of DEKRA SE are presented in euros. The concept of a functional currency is applied
when translating financial statements of consolidated entities
prepared in foreign currencies. The functional currency is generally the local currency of the respective subsidiary. Assets andliabilities are translated at the closing rate, expenses and income
at the annual average rate. The remaining items within equity
are carried at historical rates. The resulting difference is recognized directly in equity and presented separately in the statement of comprehensive income.
In the separate financial statements of the subsidiaries, business transactions in foreign currencies are translated using theexchange rate on the date of the transaction. Pursuant to IFRIC
22, assets as well as expenses and income arising from the payment
or receipt of advance consideration, and which are not measured
at fair value upon initial recognition, are translated at the exchange
rate at which the payment or receipt of advance consideration wasrecognized for the first time. In subsequent periods, monetary
assets and liabilities in foreign currencies are translated at theexchange rate as of the reporting date. Translation differences are
generally recorded under “Other operating income” or “Other
operating expenses” in the statement of comprehensive income.
Foreign currency gains and losses arising from taking out loans
are recognized in the financial result. Non-monetary assets andliabilities are not generally remeasured in subsequent periods.

D E K R A Financial Report 2021

39

The following table shows the exchange rates of material entities denominated in foreign currencies.
R AT E AS O F
BA L A N CE S H EE T DAT E

1 EURO =A N N UA L AVER AG E
E XCH A N G E R AT E

Dec. 31, 2021

Dec. 31, 2020

2021

2020

Brazilian real (BRL)

6.3101

6.37356.38145.8894

Czech koruna (CZK)

24.8580

26.2420

25.6468

26.4555

Chinese renminbi (CNY)7.19478.0225

7.63407.8708Danish krone (DKK)

7.43647.44097.43717.4544

Pound sterling (GBP)

0.84020.89900.86000.8892

Croatian kuna (HRK)

7.5156

7.55197.5291

7.5384

Hungarian forint (HUF)

369.1900

363.8900

358.4625

351.2050

Moroccan dirham (MAD)10.5352

10.9034

10.5437

10.7230

New Zealand dollar (NZD)

1.65791.6984

1.67251.7565Hong Kong dollar (HKD)

8.83339.5142

9.19888.8517

Polish zloty (PLN)

4.59694.55974.56404.4432

Swedish krona (SEK)

10.2503

10.0343

10.1449

10.4881

US dollar (USD)

1.13261.2271

1.18351.1413

South African rand (ZAR)

18.0625

18.021917.4795

18.7685

Taiwan dollar (TWD)

31.4777

34.3707

33.0382

33.5752

Swiss franc (CHF)

1.03311.0802

1.08141.0703

Japanese yen (JPY)130.3800

126.4900

129.8575

121.7758

3 . 2 S I G N I F I C A N T R E C O G N I T I O N A N D
MEASUREMENT PRINCIPLES

Differentiation between current and non-current

The financial statements have in principle been prepared on a
cost basis, except for financial instruments classified as “at fairvalue through profit and loss or other comprehensive income”
pursuant to IFRS 9 as well as derivative financial instruments
designated as part of an effective hedge. In the DEKRA Group,
this primarily includes investments in non-consolidated subsidiaries, securities, obligations from options and contingent
purchase price components, as well as interest derivatives. Furthermore, pensions and similar obligations are excluded frommeasurement at fair value.

Assets and liabilities which are expected to be realized or settled
within the next twelve months are in principle classified as current. All other assets and liabilities are generally classified as
non-current. Current assets also include assets (e.g., inventories
and trade receivables) that are sold, utilized, or realized within
the normal business cycle, even if they are not expected to berealized within twelve months subsequent to the balance sheet
date. Current liabilities, such as trade payables and provisions
for personnel-related expenses, and other operating expenses
make up part of the current working capital that is needed in
the normal business cycle of the company. Such operating items
are classified as current liabilities even if they fall due later thantwelve months subsequent to the balance sheet date.

D E K R A Financial Report 2021

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CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

Business combinations and goodwill

The acquisition method is used when accounting for businesscombinations. The purchase cost of a company acquisition is
calculated as the sum of the consideration transferred measured
at fair value on the date of purchase. In all cases of businesscombinations, the Group decides whether to measure thenon-controlling interests in the acquired entity at fair value orat the corresponding proportionate share of the identifiable net
assets of the acquired entity. Acquisition-related costs incurredin the context of a business combination are recognized under
the heading of other operating expenses.
If the Group acquires a company, it assesses the appropriate classification and designation of the financial assets and liabilities taken over in accordance with the contractual terms, thebusiness circumstances, and the conditions prevailing on thedate of purchase.
The agreed contingent consideration is recorded at fairvalue on the date of purchase. A contingent consideration thatis classified as equity is not remeasured and the settlement at alater date is recorded under equity. A contingent considerationthat is classified as an asset or liability in the form of a financial
instrument falling within the scope of application of IFRS 9
Financial Instruments is measured at fair value through profit
or loss, pursuant to IFRS 9. All remaining contingent considerations that do not fall within the scope of application of IFRS 9
are measured at fair value through profit or loss on each balance
sheet date.
The amount by which the purchase price of a company
acquisition exceeds the fair value of the individually identifiableacquired net assets is recognized as goodwill. Acquisition-­
related costs are recognized through profit or loss.
According to IAS 38, goodwill arising from capitalconsolidation is not amortized systematically, but is subject
to impairment testing once a year or more frequently if eventsor changes indicate that the value could be impaired. Where
necessary, impairment losses are recognized in accordancewith IAS 36 (impairment-only approach). For further explanations on the topic of impairment losses, please refer to thesection headed “Impairment losses and reversals of impairment losses.”
Intangible assets

Purchased intangible assets that have a finite useful life are recognized at cost, less accumulated amortization and accumulated impairment losses. Purchased intangible assets that havean indefinite useful life are recognized at cost, less accumulated
impairment losses.
Internally generated intangible assets, such as software,
are recorded at cost if they meet the recognition criteria under
IAS 38. Cost includes directly and indirectly allocable costs.
Research costs are treated as current expenses and were immaterial in the past fiscal year.
The useful lives of all intangible assets are classified as
finite and they average between four and seven years for concessions, industrial property rights, and similar rights andassets, between five and ten years for internally generated intangible assets, and between four and fourteen years for otherintangible assets. For purchase price allocations, the useful livesof trademarks or customer bases amounting to between ten andfifteen years were utilized. Systematic amortization is performed using the straight-line method. Where necessary,
impairment losses are recognized, and then reversed if the reasons for the impairment cease to apply at a later date. Impairment losses are recognized under amortization and depreciation. For further explanations on the topic of impairment losses,
please refer to the section headed “Impairment losses and reversals of impairment losses.”

Manufacturing costs include the direct cost of materials
and production, as well as production overheads. Subsequentcosts are capitalized when it is probable that future economic
benefits, in excess of the originally assessed earning power of
the asset, will flow to the Company. All other subsequent
expenditure is recognized directly as an expense. Maintenanceexpenses are recognized through profit or loss.
Tangible assets (property, plant and equipment) are depreciated systematically on a straight-line basis over the economic
useful lives of the individual assets. The useful lives of buildings
and their individual components are between ten and 50 years,
technical equipment and machines between ten and 25 years,
and other equipment, furniture and fixtures between three and20 years. There were no significant residual values within themeaning of IAS 16.53 to be taken into account in the calculationof the depreciation charge. The useful lives of assets are subject
to regular checks.
Gains and losses from the disposal of assets are determined as the difference between the net disposal proceeds andthe carrying amount of the asset and recognized in the statement of comprehensive income under other operating income
or other operating expenses.
Pursuant to the revised IAS 23, borrowing costs are capitalized only if they are incurred for the financing of the acquisition, construction or production of a qualifying asset. A qualifying asset is an asset that necessarily takes a substantial periodof time to get ready for its intended use or sale.
Leasing

Tangible assets (property, plant and equipment)

Leasing as a lessee

Pursuant to IAS 16, tangible assets (property, plant and equipment) are recognized at cost, less accumulated systematic depreciation. If there are indications of impairment and the recoverable amount is below the amortized cost, then an impairment
loss is recognized. For further explanations on the topic ofimpairment losses, please refer to the section headed “Impairment losses and reversals of impairment losses.”

As a lessee, the Group leases real-estate property, technical equipment, IT, and other equipment, furniture and fixtures. In accordance with IFRS 16, the Group recognizes rights of use and leaseliabilities for the majority of these lease agreements. In doing so,
non-lease components are separated from lease components.
At the commencement date of the lease, the Group recognizes lease liabilities measured at the present value of lease

D E K R A Financial Report 2021

41

payments expected to be made over the lease term. Thesecomprise fixed payments, variable lease payments that dependon an index or a rate, as well as the cost of exercising a reasonably certain purchase option, any penalty payments froma reasonably certain termination option, and payments
expected by the Group arising from residual value guarantees.
The measurement of the lease liability also takes into accountlease payments based on a reasonably certain extension
option. Variable lease payments that are not linked to anindex or an (interest) rate are recognized as expenses in the
period in which the event or condition that triggers the payment occurs. For calculating the present value of lease payments, the Group uses its incremental borrowing rate at thelease commencement date because the interest rate implicitin the lease is not readily determinable. After the commencement date, the amount of the lease liabilities is increased tofactor in the higher interest expenses and decreased to factor
in the lease payments made. Moreover, the carrying amountof the lease liabilities is remeasured if there are changes in thelease agreement, in the duration of the lease agreement, in thelease payments (e.g., changes in future lease payments becauseof a change in the index or interest rate applied to the payment), or if there are changes in the assessment of a purchase
option for the underlying asset.
The Group recognizes right-of-use assets at the commencement date of the lease (i.e., the date the underlying asset
is available for use). Right-of-use assets are measured at cost,less accumulated amortization and accumulated impairment
losses, and adjusted for any remeasurement of the lease liabilities. The cost of right-of-use assets includes the amount of leaseliabilities recognized, the initial direct costs incurred, and thelease payments made upon or before the commencement date,less any lease incentives received. Right-of-use assets are amortized on a straight-line basis over the useful life or the term,
whichever is shorter, of the underlying lease agreement. The
associated amortization of right-of-use assets is recognizedunder depreciation/amortization of intangible assets, right-ofuse assets, and tangible assets.

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CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

For lease agreements for assets with a term of 12 months
or less and for leases of low-value assets, the Group exercises thepractical expedients that apply to short-term leases and to leases
for which the underlying asset is of low value. The expense forsuch lease agreements is recognized under the heading of otheroperating expenses.
Leasing as a lessor

For some leases, the Group assumes the role of lessor. These
leases have been classified as operating leases. The Groupapplied IFRS 15 “Revenue from Contracts with Customers” inorder to allocate the contractually agreed consideration to theindividual lease and non-lease components. The income fromoperating lease agreements is recognized under the heading ofother operating income. Leases arising from sub-letting contracts only exist to a very small extent.

receivables, securities, and shares in subsidiaries, which are notincluded in the consolidated financial statements for reasons ofmateriality. Moreover, loans to non-consolidated subsidiaries
and investee companies are included.
Financial liabilities comprise contractual obligations todeliver cash or other financial assets to another entity, or toexchange financial assets or liabilities with another entity underpotentially unfavourable terms and conditions. These primarily
include liabilities to banks and trade payables as well as otherfinancial liabilities.
Financial instruments are recognized as soon as DEKRA
becomes a party to a contract.
Financial assets and liabilities are only netted and statedas a net amount in the balance sheet if, at the present time, there
is a legal claim to setting the amounts off against each other and
if it is intended either to settle on a net basis or to realize theasset and settle the liability simultaneously.

Inventories

Inventories are generally measured at the lower of cost or net
realizable value pursuant to IAS 2. Cost is calculated according
to the weighted average cost method. Net realizable value is theestimated selling price in the ordinary course of business, lessthe estimated costs of completion and the estimated costs necessary to make the sale that have yet to be incurred.

Financial assets

Financial instruments

Financial assets at amortized cost

A financial instrument is a contract that simultaneously gives
rise to a financial asset of one entity and a financial liability or
equity instrument of another entity.
Financial assets are contractual rights to receive cash orother financial assets from another entity, or to exchange financial assets or liabilities with another entity under potentiallyfavourable terms and conditions. They primarily consist of tradeThis category includes debt instruments with contractual cash
flows that are solely payments of principal and interest on theprincipal amount outstanding. Furthermore, the debt instruments in this category are held within a business model whose
objective is to hold financial assets in order to collect contractual cash flows.

Financial assets are accounted for pursuant to IFRS 9. Under
IFRS 9, financial assets are divided into three categories: financial assets measured at amortized cost, financial assets measured at fair value through other comprehensive income, andfinancial assets measured at fair value through profit or loss.

D E K R A Financial Report 2021

They are initially recognized at fair value, which generally
matches the value of the consideration paid, plus any directly
attributable transaction costs. Subsequent measurement is atamortized cost using the effective interest rate method. Interest
income and interest expense as well as impairment losses arerecognized through profit or loss.
In the DEKRA Group, this category includes loans to subsidiaries that are not fully consolidated and other loans, tradereceivables, cash and cash equivalents, receivables from affiliates, and other financial assets.
Financial assets at fair value throughother comprehensive income

Debt instruments that, despite satisfying the cash flow criterion,
are held in a business model for collecting contractual cash
flows and selling financial assets are classified as “at fair value
through other comprehensive income.”
Furthermore, there is an irrevocable option to allocate
equity instruments not held for trading to this category whenbeing classified for the first time. The cumulative changes in fairvalue are not reclassified to profit or loss even when these equity
instruments are derecognized.
Both the initial recognition and subsequent measurementof the assets is at fair value. Changes in value are generally recognized in the statement of comprehensive income. By contrast,
information on the collection of contractual cash flows in thecase of debt instruments, such as interest income, and dividends
in the case of equity instruments are recognized through profit
or loss.
The DEKRA Group uses this category to account forshares in affiliated companies and investee companies. Theseshares are held as long-term, strategic shareholding investmentsthat are not expected to be sold in the short to medium term.

43

Financial assets at fair value through profit or loss

This category includes debt instruments that do not satisfy the
cash flow and/or business model conditions. There is also theoption for debt instruments to be allocated to this category
upon initial recognition in order to overcome or significantly
reduce an accounting mismatch.
This category also includes equity instruments forwhich the option for measurement at fair value through othercomprehensive income is not exercised, as well as derivatives
that are not recognized as part of an effective hedge.
The assets are initially recognized at fair value. Transaction costs are recognized through profit or loss. Their subsequent measurement is also at fair value. Changes in fair value
in this category are recognized through profit or loss.
The DEKRA Group allocates the securities held to thiscategory.
A financial asset is derecognized if it is assumed after
thorough analysis that it can no longer be realized, for example
after the end of insolvency proceedings or after court rulings.
Financial liabilities

Pursuant to IFRS 9, financial liabilities are divided into two categories: financial liabilities measured at amortized cost andfinancial liabilities measured at fair value through profit or loss.
Financial liabilities at amortized cost

Financial liabilities are allocated to this category with the
exception of derivatives, liabilities held for trading, and when
exercising the fair value option.
They are initially measured at fair value plus any directly
attributable transaction costs. Subsequent remeasurement is atamortized cost using the effective interest rate method.

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CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

The DEKRA Group uses this category for most of its
financial liabilities. The participation rights capital was measured at amortized cost.

duration term of less than one year, the related disclosures are
given in a shortened form.
Trade receivables, contract assets, and other financial assets

Financial liabilities at fair value through profit or loss

Derivatives with negative market values must be assigned to thiscategory, unless they are recognized as part of an effective
hedge. This category also includes all liabilities held for speculative purposes and all contingent liabilities recognized by apurchaser in the context of a business combination pursuant to
IFRS 3. Other liabilities can optionally be assigned to this category, in the same way as “financial assets measured at fair value
through profit or loss.”
The measurement is the same as for “financial assets
measured at fair value through profit or loss.”
In the DEKRA Group, liabilities from company acquisitions are allocated to this category.
Financial liabilities are derecognized if these are repaid,i.e., the obligations stated in the contract are fulfilled or
annulled, or have lapsed.
Derivative financial instruments and hedge accounting

The DEKRA Group uses derivative financial instruments in theform of cash flow hedges for economic hedging purposes. These
serve to hedge against interest risks. Derivative financial instruments are recognized at fair value in the balance sheet andreported under financial assets or under financial liabilities. The
fair values are calculated on the basis of corresponding market
prices or using appropriate valuation techniques.
The effective portion of the change in the fair value is recognized in other comprehensive income, taking into accountthe related tax effect. The ineffective part is recognized throughprofit or loss. When the hedged transaction occurs, the cumulative “other income” is reclassified through profit or loss. For
further information, we refer to the comments on financial
management in “Financial instruments and hedging activities.”
Because the DEKRA Group only uses an immaterial
amount of derivative financial instruments with a remaining

Trade receivables and other financial assets are measured atamortized cost or fair value, depending on their category as
described in the section above. Non-current non-interest-bearing receivables are stated at present value using an interest rate
matching their maturity.
Contract assets contain receivables from unbilled service contracts. Their recognition is governed by IFRS 15 “Revenue from Contracts with Customers.”
Trade receivables, contract assets, and other financial
assets, as well as receivables from lease agreements are subject
to the impairment model of IFRS 9. This is explained in moredetail in the section “Impairment losses and reversals of
impairment losses pursuant to IFRS 9.”
Cash and cash equivalents

Cash and cash equivalents comprise cash on hand, bank balances, and short-term deposits and are recognized at nominal
value, less any expected credit losses. Cash equivalents have aremaining duration term of up to 3 months, calculated fromthe date of acquisition. The expected credit losses are also
determined using the impairment model pursuant to IFRS 9.
This is explained in more detail in the section “Impairment
losses and reversals of impairment losses pursuant to IFRS 9.”
Deferred taxes and income taxes

Income taxes include expenses and income from current anddeferred taxes as well as tax allocations to the parent
DEKRA e.V., Stuttgart, with which the Company forms a tax
group for income tax purposes.
Current income tax liabilities/income tax assets are measured at the amount expected to be paid to/recovered from thetax authorities. The calculation is based on the tax rates enacted
or substantively enacted as of the reporting date. IFRIC 23 wasconsidered when determining income tax liabilities. The

D E K R A Financial Report 2021

subsidiaries included are asked whether they have any uncertain
tax items. If such exist, they are duly taken into account.
Deferred taxes are recognized in accordance with the liability method pursuant to IAS 12 for temporary differences
between the tax accounts and the consolidated financial statements – with the exception of goodwill resulting from capitalconsolidation that cannot be recognized for tax purposes – andfor tax loss carry-forwards. Deferred tax assets are only considered to the extent that it is sufficiently probable that they will be
realized. Probable usability is based on a multi-year plan for therespective entity. Deferred taxes are calculated using the respective local tax rates on the basis of the tax rates that are expected
to apply for the period of reversal of the difference. Changes totax rates adopted by the reporting date are taken into accountwhen calculating deferred taxes.
Deferred taxes are recorded as tax income or expense
through profit or loss unless they relate to items recorded
directly in other comprehensive income; in this case, thedeferred taxes are likewise recorded in other comprehensive
income.
Deferred tax assets for tax loss carry-forwards are only
recognized to the extent that it is probable that future taxable
profit will be available against which they can be set off.
Deferred tax assets and liabilities are disclosed as a net
amount in the consolidated balance sheet as long as there is alegally enforceable right to offset current tax liabilities and thedeferred taxes relate to the same taxable entity and the same tax
authority. Accordingly, offsetting is carried out at entity level
and tax group level.
Impairment losses and reversals of impairment losses
Impairment losses and reversals of
impairment losses pursuant to IAS 36

The carrying amounts of the assets that fall under the scope of
IAS 36 are tested annually at year-end and whenever necessary
for indications that an asset may be impaired. If such indications are found to exist, the recoverable amount of the asset
concerned is estimated. The recoverable amount is the higher

45

of an asset’s net realizable value and its value in use (present
value of expected future cash flows). If the recoverable amountis lower than its carrying amount, an impairment loss must berecognized to reduce the carrying amount to the recoverable
amount. Impairment losses recognized in prior years must be
reversed when there is a change in estimate and the recoverable
amount is higher than the carrying amount. Impairment losses
are recognized under amortization and depreciation.
In addition, annual impairment tests must be carried out
for goodwill, intangible assets with indefinite useful lives, andintangible assets that are not yet available for use. As goodwill
and other intangible assets generally cannot be sold independently and cannot generate cash flows independently of otherassets, impairment tests can only be carried out in connection
with a cash-generating unit (CGU).
The cash-generating units (CGUs) relevant for the goodwill
impairment test are defined at the regional cluster level and at
the level of the globally operating Temp Work unit. This is largely
due to the joint management and monitoring of the individual
regional clusters and the globally operating “Temp Work” unit.
In the course of the impairment test of a cash-generating
unit, the carrying amount of the CGU is compared to the recoverable amount. The cash-generating unit includes those assetsthat can be allocated directly or indirectly on a reasonable andconsistent basis to the cash-generating unit and will generate thefuture cash inflows. If the net sales proceeds and the present
value of the expected future cash flows of a cash-generating unit
are lower than its carrying amount, the impairment expense recognized through profit or loss is allocated to the individual assetsof the CGU. This allocation is made in proportion to the individual assets’ share in the CGU’s carrying amount. If goodwill is
assigned to the cash-generating unit, any identified impairment
expense is first assigned to goodwill and then allocated proportionately to the other assets of the CGU.
Impairment losses and reversals of
impairment losses pursuant to IFRS 9

The impairment model introduced by IFRS 9 is based on future
expected credit losses and is applicable for all financial assets

D E K R A Financial Report 2021

46

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

(debt instruments) that are not measured at fair value throughprofit or loss and for all financial guarantees and loan commitments. The impairment approach provides a three-stage modelfor determining the amount of the impairment, except for tradereceivables and contract assets.
Stage 1: credit losses expected
within the next 12 months

Stage 1 comprises all instruments upon their initial recognition and all instruments for which there has not beena significant increase in credit risk since initial recognition. A default expected within the next 12 months is considered as an impairment loss.
Stage 2: credit losses expected over the entire
duration term – no impairment to credit standing

Stage 2 comprises all instruments for which there has
been a significant increase in credit risk as of the reporting
date compared to the date of initial recognition, but noobjective indication of impairment. All expected losses
are recognized over the residual term of the instrument
as impairment. A significant increase in credit risk isassumed if the past-due-date status is longer than 30 days.
Stage 3: credit losses expected over the entire
duration term – impairment to credit standing

If there is also objective evidence of impairment in addition to a significant increase in the risk of default as of thereporting date, all expected losses of the instrument arerecognized as impairment over its entire duration term.
A past-due-date status of more than 90 days and also further indications of financial difficulties on the part of the
debtor are taken to be objective evidence of impairment.
The assessment as to whether the credit risk of a financial asset
has increased significantly is performed at regular intervals, atleast once a year, based on internally or externally available
information on the counterparty (e.g., rating information) anddata on macroeconomic developments. This information also
serves to ascertain the probability of default and the default
ratio, and therefore also to calculate the expected credit losses.
For receivables from credit balances at banks, loans, andother financial assets, the expected credit losses pursuant to
IFRS 9 are determined annually on the basis of probabilities ofdefault derived from the respective rating of the contractual
partners and from the loss given default and the exposure atdefault. The expected credit losses on bank balances are only
adjusted if the change is of a material nature.
For trade receivables and contract assets, DEKRA uses a
simplified approach to determine the expected credit losses. For
these instruments, the focus is on the credit losses expected overthe entire duration terms. A review as to whether there has beena significant increase in the credit risk is therefore not necessary. Portfolio allowances for the expected credit losses are calculated on the basis of historical data adjusted for supportable,
forward-looking macroeconomic factors. For example, thisinvolves analyzing and weighting GDP growth rates publishedby the OECD for the regions in which DEKRA operates.
As the forward-looking macroeconomic factors that wereused already contain expectations concerning the developmentof the economic situation due to the COVID‑19 pandemic, nofurther adjustments were made. In addition, the volume ofreceivables is regularly analyzed for any new findings that could
have an impact on the expected loss. In fiscal year 2021, thisanalysis also included potential risks in respect of economic
development due to the COVID‑19 pandemic. The findings aretaken into account through adequate allowances for specific bad
debts. For further information, we refer to the comments on
valuation allowances in section 6.8.
A financial asset is derecognized if it is assumed after
thorough analysis that it can no longer be realized, for example
after the end of insolvency proceedings or after court rulings.

D E K R A Financial Report 2021

Pensions and other post-employment benefits

Provisions for pensions and similar obligations are calculated
according to the projected unit credit method prescribed by
IAS 19. In addition to biometric bases of calculation pursuant
to acknowledged guidance tables, this method primarily takes
into account current assumptions regarding future increases insalaries and pensions as well as the relevant long-term capital
market interest rate, which is determined on the basis of themarket yields achieved by fixed-interest high-quality corporate
bonds as of the reporting date. The provisions are recognized at
an amount equivalent to the defined benefit obligation.
Plan assets that are invested in order to cover defined-benefit pension plans and other similar benefits are measured at fairvalue and offset against the corresponding obligations.
Pursuant to IAS 19.123, net interest on net debt or on the
net asset value arises as interest from the reporting period on
the net debt or on the net asset value. It is determined at thestart of the fiscal year and presented as the amount by which
the provision or asset recognized in the past has increased dueto the interest during the period.
Actuarial gains and losses, which primarily result fromdeviations from the assumptions made, are recorded in othercomprehensive income in the period in which they occur. The
service cost and past service cost from plan amendments are
immediately recognized in personnel expenses in the fiscal year
in which the amendments are made. Interest expenses are recognized in the financial result.
Actuarial reports are obtained for the calculation of thepension provisions.
Other provisions

Provisions are recognized corresponding to the amountrequired, based on a best estimate, to cover all present obligations as of the reporting date. Future events which may have aneffect on the amount needed to satisfy the obligation are considered in the provisions, provided that they can be forecast

47

with an adequately objective degree of certainty and that the
obligation results from past events. In addition, provisions forpotential losses from onerous contracts are set up in accordancewith IAS 37.
The provision is measured at the most probable amountand at the expected amount if there is a range of different figures. Where possible, it is determined and measured using contractual agreements; otherwise calculations are based on pastexperience and estimates by management.
Non-current provisions are discounted using interest rates
that match the risk and the time period through to realization.
Contract liabilities

If a customer pays a consideration before the Group has transferred the goods or services, a contract liability is recognizedwhen the payment is made or is due. Contract liabilities arerecognized as revenue as soon as the Group has satisfied its contractual obligations.
Revenue recognition

DEKRA provides services in the Vehicle Inspection, Claims &Expertise, Product Testing, Industrial Inspection, Consulting,
Audit, Training, and Temp Work business areas and recognizes
the associated income pursuant to IFRS 15 “Revenue from Contracts with Customers.” IFRS 15 provides for a uniform principles-based five-step model for calculating revenue that must be
applied to all contracts with customers.
DEKRA recognizes revenue over time if there is either acontinuous flow of benefits to customers or if an asset with noalternative use is created. In both cases, an ordinary right oftermination by the customer gives rise to a reimbursement claim
for the respective proportionate selling price. DEKRA therefore
recognizes revenue based on the respective degree of completionof the underlying performance obligation. The percentage ofcompletion per contract to be recognized is calculated as theratio of the actual costs incurred to overall anticipated costs of

D E K R A Financial Report 2021

48

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

the project (cost-to-cost method). This is the most suitable
method for DEKRA to measure progress. If the outcome of aservice obligation to be rendered over a time period is not reasonably certain but DEKRA expects nevertheless that it will at
least have its costs reimbursed by the customer, then the revenue
is only recognized at an amount corresponding to the contract
costs incurred.
The transaction prices are essentially fixed prices. As arule, the contracts with customers only contain one performance commitment. Contract costs are recognized as an
expense in the period in which they are incurred. If it is foreseeable that total contract costs will exceed total contract revenue, the expected loss is recognized as an expense immediately.
Contracts are generally processed within one year. The revenue
recognition, settlement, and cash inflows result in invoiced
trade receivables, contract assets, and contract liabilities.
Because DEKRA renders services, there are no returns of goods.
The granting of credit to customers does not play a significant
role either.
DEKRA performs “revenue recognition at a point in time”
in all of its Service Divisions. In the case of this type of revenue
recognition, revenue is recognized when DEKRA has rendered
the service. “Revenue recognition over time” is notably performed in the Product Testing, Industrial Inspection, andTraining Service Divisions.
Dividends are recognized when the right to receive payment arises.
Government grants

In accordance with IAS 20, government grants are only recognized where there is reasonable assurance that all associatedconditions will be complied with and the grant will be received.
They are recognized through profit or loss as of the date when
the subsidized expenses are incurred, unless they relate to subsidies for an asset. Government grants are generally disclosed
without offsetting under other operating income. Grants for
assets are deducted from the carrying amount of the relevant

asset and recognized in profit or loss applying a reduced amortization charge over the asset’s economic useful life.
Valuation policy decisions and estimates

In applying the recognition and measurement principles, themembers of the Management Board made the following valuation policy decisions which have a material impact on theamounts stated in the financial statements.
The consolidated financial statements include assumptions and estimates which have an effect on the carrying
amounts and recognition of assets and liabilities as well as
income and expenses. Actual amounts may differ from theamounts based on these estimates and assumptions.
In particular, assumptions and estimates were made concerning the useful lives of non-current assets, the recoverabilityof goodwill and other intangible assets, the recoverability ofreceivables and the adequate valuation of securities, the parameters for measuring pension and other provisions, and therecoverability of deferred tax assets. In addition, we refer to theabove explanations and to the comments in note 6 on the individual balance sheet items. The Group determines the term of
the lease based on the non-cancellable period of the lease,including reasonably certain extension options and the periods
covered by an option to terminate the lease if it is reasonably
certain that the Group will not make use of this option.
Several lease agreements containing extension and termination options were concluded. Valuation policy decisions are
made in assessing whether it is reasonably certain that the optionof extending or terminating the lease will or will not be exercised.
That means taking into account all relevant factors constituting
an economic incentive to exercise the option of extending or terminating the lease. After the commencement date, the lease termis reassessed if there is a significant event or change in circumstances that is under the Group’s control and affects the ability
to exercise or not to exercise the option to extend or to terminate
the lease (e.g., performance of significant leasehold improvements or significant customization of the leased asset).

D E K R A Financial Report 2021

The duration term of lease agreements generally corresponds to the contractual term. Because open-ended contracts
do not have a contractually fixed duration term, the cluster
duration term is used in this case. The cluster duration term isthe term that contracts in the same cluster generally have. A
cluster is a group of lease agreements for similar underlying
assets. DEKRA categorizes lease agreements into the following
clusters: IT, buildings, vehicles, technical equipment, otherequipment, furniture and fixtures. The cluster term was determined for the fiscal year and is based on past experience. Also
for termination and extension options, the cluster term is determined as the term of the lease, provided that the cluster term isgreater than the contractual term. Should a contract with a termination or extension option have a longer contractually agreed
term than the cluster term, the contractual term is then used.
We refer to note 8.1 for details of potential lease payments
relating to periods following the exercise date of extension andtermination options that are not included in the lease term.
Goodwill is tested for impairment at least once a year. The
impairment tests carried out are mainly based on estimates.
Various scenarios were therefore worked out for the individual
cash-generating units (CGUs). The main estimates were thefuture expected net cash flow surpluses, based on market developments and on assumptions about economic development, theincreases in personnel costs, the growth rates and the weighted
average cost of capital. Even if the parameters should change,
the recoverable amount is currently expected to exceed the carrying amount of goodwill. Especially with regard to the assumptions concerning goodwill impairment or expected future
cash flows and weighted average of cost of capital, we refer tonote 6.2. The fair values utilized for the impairment test are also
used for the valuation of equity instruments measured at fairvalue. Because estimates have to be performed (as described inthis paragraph) for the calculation of the fair value, and noactive market exists, these are measured at fair value throughother comprehensive income.
Loss allowances on trade receivables relate to assumptions
regarding the risk of default and the loss given default (LGD).

49

DEKRA makes these assumptions based on past experience,existing market conditions and estimates about the future as ofthe end of the reporting period.
Selecting the method to determine the degree of completion of customer contracts requires judgement and depends on
the type of service concerned. To determine the stage of completion for the respective contract, the cost-to-cost method is
generally used as the ratio of costs incurred to the total costs
calculated.
The defined-benefit pension obligations and the pension
benefit payments of the subsequent year are determined basedon actuarial parameters such as interest rate, future salary andpension trends, and age. Changes in parameters can have a significant effect on the pension benefit obligation. For further
explanations, we refer to note 6.14.
In the case of business combinations, sometimes contingent purchase price components exist or call or put options for
non-controlling interests have been agreed with the seller. The
resulting purchase price liabilities are subject to estimates concerning whether future targets can be achieved and in terms ofassumptions regarding the present value of future purchaseprice payments. For further explanations, we refer to note 3.1.
Deferred tax assets are recognized to the extent that they
are likely to be used. The probability of their being used in the
future is assessed taking into account various factors such as
future taxable earnings in the planning periods. DEKRA uses
a planning horizon of five years. The actual amounts may differ
from the estimates. These are then adjusted in other comprehensive income or through profit or loss, depending on how
they were initially recognized.
The development of the COVID-19 pandemic remains
dynamic. Ongoing restrictions stemming from the pandemic
could have a negative impact on the net assets, financial position, and result of operations in fiscal year 2022. We will continue to monitor the effects of the pandemic closely and takeappropriate action if required.

D E K R A Financial Report 2021

50

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

4 B U S I N E S S C O M B I N A T I O N S

The statement of comprehensive income has been preparedusing the nature of expense method. Income and expenses
attributable to the fiscal year are recognized through profit orloss. Non-owner-based transactions reported as other comprehensive income are presented straight after the income statement (one statement approach).

Gross revenue also includes revenue (over time) from service
contracts not yet billed at year-end amounting to 59,392 thousand euros (prior year: 39,825 thousand euros), recognized proportionately over the period in which the service is rendered.
Out of that amount, a sum of 36,208 thousand euros (prior year:
21,554 thousand euros) was generated in the Product Testing
Service Division.
In fiscal year 2021, revenue that was included in contract
liabilities as of January 1, 2021, was recognized as follows:

5 .1 S A L E S R E V E N U E

IN THOUSAND EUR

Revenue is broken down by region and Service Division. The
revenue results from ordinary business activities.

Revenue recorded in the fiscal year:

5 C O N S O L I D A T E D S T A T E M E N T
OF COMPREHENSIVE INCOME

Presentation of significant company
acquisitions in the fiscal year

With effect from April 30, 2021, the Group purchased a 100%
stake in Centro Misure Compatibilità S.r.l. The purchase priceamounted to 11.5 million euros. Further information on the
cash flow from investing activities is given in the section headed“Statement of Cash Flows.”
The acquired net assets amounted to 4.0 million euros. Asof the date of acquisition, the carrying amounts of the acquired
assets and liabilities amounted to a total 4.6 million euros and
0.6 million euros respectively.
The assets consist of tangible assets (property, plant andequipment) of 2.2 million euros, liquid funds (cash and cash
equivalents) of 1.5 million euros, and trade receivables of
0.9 million euros. The carrying amount of the receivables corresponds to their fair value. The liabilities consist of 0.4 million
euros in non-current liabilities and 0.2 million euros in current
liabilities.
In the course of the final purchase price allocation, intangible assets (customer base and volume of orders on hand) of a
total of 3.7 million euros were capitalized and deferred taxes of
0.9 million euros were recognized. The resulting goodwill on
the acquisition date amounted to 4.9 million euros. In addition
to synergy effects, the goodwill arising also includes intangible
assets that cannot be measured separately from goodwill, suchas the core workforce and know-how.
Revenue subsequent to the date of acquisition amounted
to 2.3 million euros. The net income for the year subsequent to
the date of acquisition stood at 0.2 million euros.
The company was allocated to the Product Testing Service
Division and the Central East Europe & Middle East region.
Apart from the acquisition of the shares in Centro MisureCompatibilità S.r.l., there were no significant company acquisitions of single or of collective significance.

Revenue by region
2021

2020

2,145,742

1,929,566

South-West Europe

551,077

497,920

North-West Europe

355,830

332,633

IN THOUSAND EUR

Germany

APAC

221,179

187,803

Central East Europe & Middle East

166,231

146,937

Americas94,75893,3753,534,817

3,188,234

Revenue by Service Division
IN THOUSAND EUR

2021

2020

Vehicle Inspection

1,217,736

1,131,479

Industrial Inspection

555,022507,185

Claims & Expertise483,406

484,489

Temp Work

438,471

306,152

Product Testing

296,254259,324

Training

208,868

180,574

Consulting

194,329

201,147

Audit

99,89181,007

Other

40,84036,8773,534,817

3,188,234

D E K R A Financial Report 2021

2021

2020

Amounts recorded undercontract liabilities at the
beginning of the period

41,55734,353

Performance obligations
fulfilled in earlier periods

6,354

2,151

47,91136,504

DEKRA’s performance obligations are generally satisfied when
the service has been rendered (e.g., training, consulting) orcompleted (e.g., vehicle inspection, product testing).
At DEKRA, the terms of payment differ according toregion and service. Across the Group, the terms of payment
generally range between 10 and 60 days and do not contain any
significant financing components.
For customer contracts that have an original expected
duration of more than one year or for revenue not recognizedin accordance with IFRS 15.B16, the transaction price for theremaining unfulfilled or partially unfulfilled service performance obligations can be broken down as of December 31, 2021,
as follows:
2021

2020

Within one year

6,557

9,582

More than one year

1,884

3,134

8,441

12,716

IN THOUSAND EUR

51

5.2 OT H E R O P E R AT I N G I N CO M E

Other operating income amounts to 43.2 million euros in thefinancial year (prior year: 57.2 million euros). This includes government grants totalling 7.2 million euros (prior year: 12.9 million euros) that were largely received in the form of integration
aid and payroll subsidies. It also includes income from the disposal of tangible assets amounting to 2.7 million euros (prioryear: 2.2 million euros) and exchange rate gains of 2.4 million
euros (prior year: 3.1 million euros). Furthermore, there was also
off-period income of 2.2 million euros (prior year: 11.1 million
euros) and income from the reversal of provisions amounting to
2.1 million euros (prior year: 0.8 million euros). Moreover, otheroperating income also includes income from damage compensation of 2.0 million euros (prior year: 2.2 million euros)
5.3 COS T O F M AT E R I A L S

The cost of materials breaks down as follows:
2021

2020

Cost of purchased services

290,871

278,223

Cost of purchased merchandise

37,40236,257328,273

314,480

IN THOUSAND EUR

2021

2020

Wages and salaries

IN THOUSAND EUR

5.4 PERSONNEL EXPENSES

1,921,032

1,731,098

Social security costs(excl. pension insurance premiums)

253,585

232,408

Pension costs

152,729

137,857

2,327,346

2,101,363

Pension costs also include employer contributions to the statutory pension insurance fund amounting to 109.7 million euros(prior year: 98.7 million euros). The majority of the Group’s
workforce are salaried employees.

D E K R A Financial Report 2021

52

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

The Group’s employees are distributed as follows (annual average):
2021

2020

Germany

22,936

20,116South-West Europe

8,037

7,481

Central East Europe & Middle East

4,105

4,099

APAC

3,526

3,499

North-West Europe

3,186

3,128

Americas790

822

Central units

671

Service Divisions

5. 7 FI N A N C I A L R E S U LT

The financial result breaks down as follows:
IN THOUSAND EUR

2021

2020

Investment result fromcompanies accounted forusing the equity method

–324

840

Dividends from equity instruments
measured at fair value through othercomprehensive income

370

272

658

Other investment results

28

1,376

282

219

43,53340,022

Expenses from investments
and shares in affiliates

–261

–237

33

0

Result from loans

–338

–100

Other financial result

–168

1,311

Interest and similar income

8,873

6,747

Interest and similar expenses

5. 5 OT H E R O P E R AT I N G E X P E N S E SOther operating expenses amount to 505.6 million euros (prioryear: 474.4 million euros) and mainly include IT and telephonecosts of 99.8 million euros (prior year: 89.9 million euros),
administrative expenses of 89.3 million euros (prior year:
86.2 million euros), travel expenses of 86.0 million euros (prioryear: 79.2 million euros), rent and building costs of 63.5 million
euros (prior year: 66.6 million euros), as well as advertisingexpenses of 38.8 million euros (prior year: 35.7 million euros).
There were impairment losses of 5.4 million euros included
under the heading of “other operating expenses.” These constitute a netted item, whereby income of 6.4 million euros is nettedwith expenses of 11.8 million euros. Other operating expenses
also contain exchange rate losses of 2.7 million euros (prioryear: 4.7 million euros).
5 . 6 A M O R T I Z A T I O N A N D D E P R E C I A T I O N O F
I N TA N G I B L E A S S E T S, R I G H T- O F - US E A S S E T S,
A N D P R O P E R T Y, P L A N T A N D E Q U I P M E N T

The composition of depreciation, amortization, and impairment
losses is presented in the statements of changes in intangible
assets, right-of-use assets, and tangible assets (property, plantand equipment). See notes 6.1, 6.3 and 8.1.

Result from securities–17,734–24,376

thereof, interest expenses
from financial instruments
measured at amortized cost

–6,082–5,934

thereof, interest expensefrom unwinding discounton lease liabilities–5,209–5,988

thereof, expense fromchanges in market value–22–2,900

thereof, interest expensefrom provisions for thephased retirement scheme

–17

–11

thereof, net funding balancefrom obligations for thephased retirement scheme

149

–49

–3,833–5,008

thereof, other interestand similar expenses–2,720–4,486–8,861–17,629

Financial result

D E K R A Financial Report 2021

–9,353–15,478

Current tax expenses contain off-period tax of –688 thousand
euros (prior year: 1,022 thousand euros).
As of the reporting date, the DEKRA Group stated a total
28,777 thousand euros (prior year: 24,278 thousand euros) ofunused tax loss carry-forwards, which resulted in deferred tax
assets of 7,646 thousand euros (prior year: 6,563 thousand
euros). The Group considers it reasonably certain that futuretaxable income will be available against which these can be utilized. The respective local tax rate was used in each case. The
current tax expense is reduced by 1,313 thousand euros (prioryear: 719 thousand euros) due to the utilization of hitherto
unused tax losses.
Deferred taxes from temporary measurement differenceswere determined using future anticipated local tax rates, e.g.,
30.5% (prior year: 30.5%) for Germany, 25.0% (prior year: 25.0%)
for France, and 25.0% (prior year: 25.0%) for the Netherlands.
No deferred taxes were recognized on retained earnings
from subsidiaries, since the profits are to remain invested in thesubsidiaries for the time being.

5.8 I N CO M E TA X E S

Income taxes include taxes paid or owed on income as well asdeferred taxes.
Tax allocations to DEKRA e.V., Stuttgart, of 40.5 million
euros (prior year: 29.4 million euros) are also recognized underincome taxes. The tax allocation corresponds to the actual tax
incurred through to the level of DEKRA SE. The resulting
receivables and liabilities are included under receivables from/liabilities to affiliated companies.
2021

2020

67,196

52,616

Temporary differences–1,335–3,682

Tax loss carry-forwards

–578

4,068

65,28353,002

IN THOUSAND EUR

thereof, net funding balancefrom pension provisions

Interest result

The investment result from companies accounted for using theequity method, which amounts to –324 thousand euros (prioryear: +840 thousand euros), largely relates to the recognition of
proportionate shares in the profits/losses at FSD Fahrzeug­
systemdaten GmbH, Dresden/Germany and Spearhead AG,
Dietlikon/Switzerland.
The heading of “interest and similar income” mainly
includes measurements in foreign currencies amounting to3,373 thousand euros (prior year: 2,174 thousand euros). Furthermore, it also includes interest income of 2,624 thousand
euros (prior year: 4,133 thousand) from loans issued and fromreceivables. Income from the reduction in liabilities arisingfrom put and call options in connection with the subsidiaries
acquired in prior years had an impact of 2,022 thousand euros(prior year: expense of 2,651 thousand euros) on interest andsimilar income.
The net funding balance from pension provisions isderived from interest expenses of 8,280 thousand euros (prioryear: 10,778 thousand euros) arising from pension obligations,less the return on plan assets of 4,447 thousand euros (prioryear: 5,770 thousand euros).

Current taxes

53

Deferred taxes

D E K R A Financial Report 2021

54

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

The deferred taxes as of December 31, 2021, break down as follows:

Deferred income tax assets andcurrent income tax receivables
DEFERRED TAX ASSETSIN THOUSAND EUR

Dec. 31, 2021

Dec. 31, 2020

Non-current assets
Right-of-use assets – leasing*

DEFERRED TAX LIABILITIES
Dec. 31, 2021

98,263)066,727
71,131

Plan assets/employers’ pension liability insurance

96,3270

Other non-current assets

5,788

26,315Current assets

4,913

Dec. 31, 2020

6,627

4,583

5,129

Non-current liabilities
Lease liabilities*)
Pension provisions/plan assets**

55,688)233,584

254,275

191,581

183,662

1,901

35,921

1,274

9,585

Other non-current liabilities
Current liabilities
Deferred taxes on temporary measurement differences0

20,303

18,299242

678

418,504

413,385

295,126

265,781Deferred taxes on tax loss carry-forwards

7,646

6,563

0

0

Total deferred taxes

426,150

419,948

295,126

265,781

Offsetting at tax group level–272,587–238,198–272,587–238,198

Balance sheet disclosure

153,563

181,750

22,53927,583*)
Deferred taxes on non-current right-of-use assets and lease liabilities are listed separately from the current fiscal year onward.
**)	When calculating deferred taxes on pension provisions/plan assets, from the current fiscal year onward the independent
pension fund’s assets recognized are not shown netted. The prior-year figures were duly adjusted in this table.

The following tax reconciliation clarifies the difference between
the effective tax expense according to the statement of comprehensive income and the tax expense that would theoreticallyarise if the tax rate of DEKRA SE were to be applied to consolidated earnings before taxes. As in the prior year, the DEKRA
Group’s tax rate is 30.525%.

2021

2020

Consolidated earnings before tax

206,736

146,894

Expected tax expense (30.525%)

63,10644,839Losses for which no deferred taxes
were recognized

1,753

2,249

Differences from foreign tax rates

IN THOUSAND EUR–2,021

544

Tax-free income–715–3,277

Non-deductible expenses

6,592

6,401

Off-period tax items–3,553

2,098

121

148

65,28353,002Other tax effects
Effective tax expense

D E K R A Financial Report 2021

55

5 .9 O T H E R C O M P R E H E N S I V E I N C O M E

The Group has unused tax losses that can be carried forward
indefinitely of 43,822 thousand euros (prior year: 44,005 thousand euros), for which no deferred taxes were recognized, since
it is not yet sufficiently certain that they will be usable for tax
purposes.
Deferred tax assets and liabilities were offset at tax grouplevel, provided the requirements for offsetting pursuant to
IAS 12.74 were met.
Of the change in deferred taxes arising from the remeasurement of defined-benefit plans, an amount of –23,548 thousand euros (prior year: 8,023 thousand euros) was reported
through other comprehensive income. There were also changes
in the deferred taxes from first-time consolidations as well asfrom currency translation effects.
The decrease in current income tax receivables is primarily due to a legislative change in France to abolish tax credits onsocial security contributions (“crédit d’impôt pour la compétitivité et l’emploi”).
Deferred income tax liabilities andcurrent income tax liabilities

Besides those from effective tax obligations, tax liabilities arise
mainly from deferred tax liabilities. The table above shows therecognition and measurement differences derived from adjusting the consolidated companies’ commercial balance sheets to
be in conformity with IFRS and the consolidation entries recognized through profit or loss, which resulted in deferred tax
assets or liabilities. Deferred taxes of 0.9 million euros (prioryear: 1.0 million euros) were recognized in the first-time consolidations.
Current tax liabilities mainly relate to income tax liabilities of foreign entities. Of the liabilities from tax allocations to
DEKRA e.V., Stuttgart, an amount of 40.5 million euros has
been offset against receivables from affiliates.

The consolidated net income for the year pursuant to IFRS
stands at 141.5 million euros (prior year: 93.9 million euros).
This serves as a basis for developing the income statement into
the statement of comprehensive income. Items affecting othercomprehensive income, which will not be reclassified to theincome statement in the future, include the remeasurement ofdefined-benefit pension plans amounting to 78.5 million euros(prior year: –26.7 million euros), less associated deferred taxesof –23.5 million euros (prior year: 8.0 million euros), and also
include the change in the fair value of equity instruments measured at fair value through other comprehensive income amounting to 0.4 million euros (prior year: –34.4 million euros).
Furthermore, there is also an amount of 15.6 million inincome from the foreign currency translation of subsidiaries’
financial statements that are denominated in foreign currencies
which is recognized through other comprehensive income(prior year: expense of 10.0 million euros). The effects of foreign
currency translation primarily relate to the conversion of theChinese renminbi, the US dollar, and the Taiwan dollar. Undercertain circumstances, these items will also be reclassified tothe income statement in the future.

6 C O N S O L I DAT E D B A L A N C E S H E E T
Non-current assets
6 .1 I N T A N G I B L E A S S E T S

In addition to goodwill, this heading includes customer bases
acquired for a consideration that are recorded under “otherintangible assets.” Items also include franchises, industrial
property rights and similar rights and assets, as well as internally generated intangible assets (IT developments).
Internally generated intangible assets of 1,269 thousand
euros (prior year: 1,903 thousand euros) were recognized forsoftware developments in the reporting year.
In the fiscal year, impairment losses of 5,669 thousand
euros (prior year: 13,065 thousand euros) were recognized for IT
projects on account of the changed general framework conditions. This applies in particular to customer-related IT projects.

D E K R A Financial Report 2021

56

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

Purchase/manufacturing cost
As of Jan. 1, 2020
Exchange difference on opening balance

6.2 GOODWILLI N TA N G I B L E AS S E TS

IN THOUSAND EUR

Goodwill

Franchises,industrial property rights, andsimilar rights
and assets

Other
intangible
assetsInternallygeneratedintangible
assetsPayments on
account andintangible
assets underdevelopment

Total

599,003

183,496

225,315

44,61023,552

1,075,976–8,553–205–4,048–215–67–13,088

Exchange difference in current year

–7

23

–64

–203

36

–215

Additions

0

6,523

1,396

1,903

12,81822,640Additions to the consolidated group
Disposals
Reclassifications
As of Dec. 31, 2020/Jan. 1, 2021
Exchange difference on opening balance

15,076

292

4,609

0

6

19,983–221–5,750–1,555–590–2,505–10,6210

9,527–1,195

1,750–10,772–690

605,298

193,906

224,458

47,25523,0681,093,985

10,648

249

2,495

362

12

13,766

Exchange difference in current year

25

217

188

93

22

545

Additions

0

7,066

2,914

1,269

21,36432,613

Additions to the consolidated group
Disposals
Reclassifications
As of Dec. 31, 2021

10,050

0

3,695

0

0

13,745–143–2,372–8,797–9,722–860–21,894

0

3,761

4

12,114–16,348–469

625,878

202,827

224,957

51,371

27,2581,132,291

Amortization and impairment losses
As of Jan. 1, 2020

–133

–142,789–172,075–24,4140–339,411

Exchange difference on opening balance

–228

141

2,893

320

0

3,126

Exchange difference in current year

0

–28

117

76

0

165

Additions0–21,770–13,138–10,168–2,111–47,187

Disposals

0

5,576

1,977

564

2,111

10,228

Reclassifications

0

325

631

0

0

956

As of Dec. 31, 2020/Jan. 1, 2021

–361

–158,545–179,595–33,6220–372,123

Exchange difference on opening balance

206

–165

–1,686–271

0–1,916

Exchange difference in current year

0

–217

–272

–71

0

–560

Additions0–14,204–12,240–7,154–774–34,372

Disposals

0

2,257

8,690

9,451

685

21,083

Reclassifications

0

0

0

0

0

0

–155

–170,874–185,103–31,667–89–387,888

Carrying amount as of Dec. 31, 2021

625,723

31,95339,854

19,704

27,169744,403

Carrying amount as of Dec. 31, 2020

604,937

35,361

44,863

13,63323,068721,862

Carrying amount as of Jan. 1, 2020

598,870

40,70753,24020,19623,552736,565

As of Dec. 31, 2021

D E K R A Financial Report 2021

With effect from January 1, 2021, the East & South Asia and theSouthern Africa & Oceania cash-generating units (CGUs) werecombined to form the new cash-generating unit called APAC.
Furthermore, the North America and South America CGUs
were merged to form the Americas CGU.
Goodwill in the financial year contains 215.9 million
euros (prior year: 215.9 million euros) relating to the Germany
CGU, 113.5 million euros (prior year: 112.0 million euros) to
the South-West Europe CGU, 95.3 million euros (prior year:
92.7 million euros) to the North-West Europe CGU, 84.3 million euros (prior year: 78.4 million euros) to the APAC CGU,
and 61.0 million euros (prior year: 56.5 million euros) to theAmericas CGU. Moreover, 32.5 million euros (prior year:
26.2 million euros) relates to the Central East Europe & Middle
East CGU and 23.2 million euros (prior year: 23.2 million
euros) to the Temp Work CGU. The prior-year figures for the
APAC and Americas cost-generating units reflect the sum ofwhat was then the East & South Asia and Southern Africa &Oceania CGUs and what was then the North America andSouth America CGUs respectively.
Additions of 10.1 million euros to goodwill are the result ofcompany acquisitions and asset deals that took place in 2021. Furthermore, goodwill increased by 10.9 million euros (prior year:
decrease of 8.8 million euros) due to currency translation differences.

57

The recoverable amount of each cash-generating unit
was determined using the value in use of the relevant unit.
The cash flow forecast is based on the long-term planning
adopted by the management that is applicable as of the time
when the impairment test is performed, which covers a planning horizon of five years. Alongside expectations for future
market and company development, past experience is also
taken into account in management’s planning. Cash flows
after the five-year planning period were generally extrapolated taking into account estimated growth rates of 0.5%
(prior year: 0.5%). The estimated growth rates come fromforecasts by the Company. For the six regional clusters, cash
flows were discounted using a risk-adjusted interest rate after
tax of 6.0% (prior year: 6.1%). For the globally operating Temp
Work unit, a risk-adjusted interest rate after tax of 9.5% (prioryear: 9.0%) was used.
A 10% decrease in the expected cash flows or a 1% increasein the discount rate underlying the calculation of the value in
use of the cash-generating unit would individually not result in
any impairment losses. If both scenarios (10% decrease in the
expected cash flows and 1% increase in the discount rate) wereto occur simultaneously, this would likewise not result in any
need to recognize an impairment.
For more information, please refer to the explanations inthe section of these notes describing impairment losses.

D E K R A Financial Report 2021

58

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

6 . 3 T A N G I B L E A S S E T S( P R O P E R T Y, P L A N T A N D E Q U I P M E N T )IN THOUSAND EUR

Land andbuildings

Purchase/manufacturing cost
As of Jan. 1, 2020

Technical
equipment
and machines

Other
equipment,
furniture andfixtures

Payments on
account andassets underconstruction

Total

247,293

253,859

276,980

39,540817,672–1,158–2,560–1,780–214–5,712

–81

–172

483

–57

173

Additions

8,329

23,65333,155

9,152

74,289Additions to the consolidated group

2,372

4,271

633

74

7,350

Disposals–5,908–8,134–17,113–2,501–33,656

Reclassifications

20,209

6,235

6,610

–28,399

4,655

271,056

277,152

298,968

17,595

864,771

2,095

6,407

3,369

1,066

12,937

–4

657

688

–158

1,183

Additions

6,550

27,86530,704

9,634

74,753

Additions to the consolidated group

1,050

891

68

0

2,009

Disposals–3,503–7,397–24,297–983–36,180

Reclassifications

1,347

1,846

5,900

–8,766327

As of Dec. 31, 2021

278,591

307,421315,400

18,388919,800

Depreciation and impairment losses
As of Jan. 1, 2020

–75,206–141,695–176,303–5,445–398,649

301

1,195

1,067

79

2,642

6

94

–473

0

–373

Additions–7,953–23,851–29,781–7–61,593

Disposals

4,357

7,857

15,619027,833

Reclassifications–1,354

–811

–421

0

–2,586–79,849–157,212–190,292–5,373–432,726–770–3,029–1,965–319–6,083

Exchange difference on opening balance
Exchange difference in current year

As of Dec. 31, 2020/Jan. 1, 2021
Exchange difference on opening balance
Exchange difference in current year

Exchange difference on opening balance
Exchange difference in current year

As of Dec. 31, 2020/Jan. 1, 2021
Exchange difference on opening balance
Exchange difference in current year

–48

–392

–226

5

–661

Additions–8,083–25,283–29,154–2–62,522

Disposals

2,421

6,270

22,767031,458

37

255

–446

–169

–323

As of Dec. 31, 2021

–86,292–179,391–199,316–5,858–470,857

Carrying amount as of Dec. 31, 2021

192,299

128,030

116,084

12,530448,943

Carrying amount as of Dec. 31, 2020

191,207

119,940

108,676

12,222432,045

Carrying amount as of Jan. 1, 2020

172,089

112,167

100,677

34,094

419,023

Reclassifications

D E K R A Financial Report 2021

59

6. 4 FI N A N C I A L A S S E T S M E A S U R E D AT E Q U I T Y

6.5 OTHER NON-CURRENT FINANCIAL ASSETS

The separate financial statements of the major entities that are measured at equity provide the following financial information, which
has not been adjusted to the investment share held by the Group:

IN THOUSAND EUR

Dec. 31, 2021

Dec. 31, 2020

Shares in affiliates

56,17633,001Other shareholding investments

1,291

1,614

Dec. 31, 2021

Dec. 31, 2020

Loans to affiliates

14,263

14,531Aggregated non-current assets

47,134

41,488Loans to associates

3,397

500

Aggregated current assets

22,222

19,789Other loans

65

94

Aggregated non-current liabilities

3,781

907

Securities

16,492

11,473Aggregated current liabilities

23,784

22,326

Goodwill

3,250

0Sundry other non-current
financial assets

2,730

3,342

94,41464,5552021

2020

Aggregated revenue

32,32230,074Aggregated net income for the year

–1,081

2,366

IN THOUSAND EUR

IN THOUSAND EUR

The composition of the major companies changed in the fiscal
year. The prior-year disclosures were adjusted correspondingly,
in order to make comparisons easier.

DEKRA measures the shares held in affiliates that are notincluded in the consolidated financial statements at their fairvalue through other comprehensive income. The cumulative
amounts recognized in other comprehensive income from theremeasurement of shares come to 22.6 million euros. Of this,
0.4 million euros had a positive effect on other comprehensive
income in the fiscal year. As of December 31, 2021, the fair valueof the shares in affiliates not included in the consolidated financial statements breaks down by region as follows:

D E K R A Financial Report 2021

60

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

Current assets
Dec. 31, 2021
Fair value
in million EUR

Dec. 31, 2020

Number ofentities

Fair value spreadin million EUR

Fair value
in million EUR

Number ofentities

Fair value spreadin million EUR

6.7 INVENTORIES
Dec. 31, 2021

Dec. 31, 2020

Raw materials and supplies

1,514

1,388

Work in process

3,298

12,721

Merchandise

4,091

6,818

8,903

20,927

IN THOUSAND EUR

RegionCentral East Europe & Middle East

36.2

37

0.0 – 5.5

29.1

35

0.0 – 2.7

North-West Europe

14.3

8

0.0 – 6.9

9.0

5

0.0 – 6.6

Americas9.2

50.0 – 5.6

1.9

5

0.0 – 1.1

South-West Europe

8.7

7

0.0 – 2.3

4.0

7

0.0 – 1.7

Germany

4.6

3

0.1 – 2.6

2.8

2

0.0 – 2.7

APAC

0.0

2

0.0

0.8

3

0.0 – 0.8

6 . 8 C O N T R A C T A S S E T S A N D T R A D E R E C E I VA B L E S

Out of the fair value of 73.0 million euros (prior year: 47.5 million euros), 56.2 million euros (prior year: 33.0 million euros)
relate to shares in affiliates, 14.3 million euros (prior year:
14.5 million euros) to non-current loans, and 2.5 million euros(prior year: 0 million euros) to current loans to affiliates.
Under the heading of securities, changes of 722 thousand
euros (net) were made to fair values (prior year: –324 thousand
euros). The accumulated reversals of impairments relating to
the securities amount to 1,194 thousand euros (prior year:
472 thousand euros).
Risk provisioning for the loans to affiliates and other loans
developed in the reporting period as follows:

In the prior year, the risk provision for loans to affiliates andother loans developed as follows:
IN THOUSAND EUR

Level 1

Level 2

Level 3

Valuation allowances as of Jan. 1–3,148

0

0

–401

0

0

–3,54900Additions
Valuation allowances as of Dec. 31

The risk provisioning for the other non-current financial assets
amounts to –52 thousand euros (prior year: –184 thousand euros).

In accordance with IAS 21.21, receivables in a foreign currency
are translated into the subsidiaries’ functional currencies using
the rate on the date of transaction and are then measured using
the closing rate, pursuant to IAS 21.23. The difference is netted
and recognized through profit or loss under other operating
income/expenses.
An amount of 20,329 thousand euros out of the Group’s
gross trade receivables is denominated in USD, 14,748 thousand
euros in SEK, 12,579 thousand euros in RMB, and 10,777 thousand euros in TWD. From the point of view of the reporting
subsidiaries concerned here, these are largely receivables
denominated in their functional currency.

61

Contract assets are recognized for unbilled services as of thereporting date. These services mainly relate to the Product Testing, Industrial Inspection, and Training Service Divisions.
Amounts recognized under contract assets are reclassified to
trade receivables after defined invoicing dates or after the service has been concluded and accepted by the customer. Anyremaining service performance obligations from contracts
included under contract assets are usually fulfilled and invoiced
within the following fiscal year.
The tables below show gross carrying amounts according
to default risk ratings, whereby the rating categories for tradereceivables and contract assets are shown in a simplified form
according to their past-due-date status.
Dec. 31, 2021

Dec. 31, 2020

Not overdue – 180 days overdue

456,951457,250

Overdue between 181 – 240 days

5,231

2,290

Overdue between 241 – 360 days

5,980

3,140

More than 360 days overdue

23,354

17,321

491,516

480,001

Dec. 31, 2021

Dec. 31, 2020

Not overdue – 180 days overdue–4,849–6,482

Overdue between 181 – 240 days

–662

–694

IN THOUSAND EUR

Trade receivables – gross

IN THOUSAND EUR

6.6 OTHER NON-CURRENT ASSETSIN THOUSAND EUR

Level 1

Level 2

Level 3

Valuation allowances as of Jan. 1–3,54900Additions

–120

0

0

Utilization

89

0

0

1,418

0

0

–2,16200

Reclassifications
Valuation allowances as of Dec.31

Other non-current assets break down as follows:
IN THOUSAND EUR

Dec. 31, 2021

Dec. 31, 2020

Reimbursement claims from
employers’ pension liability insurance

2,268

1,869

Other non-current assets

8,040

7,920

10,308

9,789

The other non-current assets mainly consist of security deposits.

D E K R A Financial Report 2021

Dec. 31, 2021

Dec. 31, 2020

Contract assets – gross

64,88656,711

Valuation allowances on contract asset–2,242–1,034Contract assets

62,64455,677

Trade receivables – gross491,516

480,001

Valuation allowances on
trade receivables–24,104–25,504

Trade receivables

467,412454,497

530,056

510,174

IN THOUSAND EUR

Valuation allowances

Overdue between 241 – 360 days

–1,618–1,945More than 360 days overdue–16,975–16,383–24,104–25,504

D E K R A Financial Report 2021

62

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

The write-downs on trade receivables that – due to applying thesimplified approach – are generally to be allocated to Level 2 of
the impairment model developed as follows:
IN THOUSAND EUR

Valuation allowances as of Jan. 1

2021

2020

–25,504–21,201–68

0

Allocations–6,235–12,170

Utilization

2,088

1,770

Reversals

5,615

6,097

–24,104–25,504

Additions to the consolidated group

Valuation allowances as of Dec. 31

None of the contract assets are past their due date. The writedowns on contract assets that – due to applying the simplified
approach – are generally to be allocated to Stage 2 of the impairment model developed as follows:
2021

2020

Valuation allowances as of Jan. 1–1,034–1,136

Allocations–1,327–48

Utilization30

9Reversals

89

141–2,242–1,034

IN THOUSAND EUR

Valuation allowances as of Dec. 31

The expense for the increase in impairment losses and the income
from the reversal of impairments are netted and included underother operating expenses.

6 .9 O T H E R C U R R E N T F I N A N C I A L A S S E T S
IN THOUSAND EUR

Securities

6 .1 0 O T H E R C U R R E N T A S S E T S

Dec. 31, 2021

Dec. 31, 2020

35,498764

Receivables from affiliated companies
and companies with which ashareholding relationship exists

41,588120,645

Sundry other financial assets

81,337

99,727

158,423

221,136

This item principally contains prepaid expenses and other current tax receivables.
6 .11 C A S H A N D C A S H E Q U I VA L E N T S

The development of cash and cash equivalents which – pursuant
to IAS 7 constitute cash funds – is presented in the statement ofcash flows.
Cash and cash equivalents break down as follows:
Dec. 31, 2021

Dec. 31, 2020

Cash at banks

224,538

165,282

Cash on hand

1,503

1,185

585

1,005

226,626

167,472

IN THOUSAND EUR

The increase of 34,734 thousand euros in securities is largely
due to the purchase of new securities in the financial year.
Receivables from affiliates and companies with which ashareholding relationship exists contain a total of 126,926 thousand euros (prior year: 61,420 thousand euros) relating to liabilities from income tax and sales tax, profit transfers from
DEKRA SE and other allocations to the owner, which are offset
against 164,511 thousand euros (prior year: 174,371 thousand
euros) relating to receivables from the cash pool and other allocations. The decrease is mainly due to the increase in liabilities
from the profit/loss transfer and the liabilities from tax allocations. Other financial assets largely include reimbursement
claims from damage claim settlements of 50,644 thousand
euros (prior year: 57,998 thousand euros).
The impairment losses on the other current financial
assets that – due to applying the simplified approach – are generally to be allocated to Level 1 of the impairment model developed as follows:
IN THOUSAND EUR

2021–5,415–4,402

Allocations–4,149–1,784

Utilization

130

84

Reversals

560

1,537

Reclassifications

–298

–850

–9,172–5,415D E K R A Financial Report 2021

Bank balances include short-term deposits with an originalterm of up to three months.
6 .12 E Q U I T Y

For information on the development of equity, please refer tothe statement of changes in equity.
The capital stock of DEKRA SE remains unchanged fromthe previous year at 25,565 thousand euros. As in the previous
year, it is divided into 10,000,000 authorized par-value bearer
shares. Of these, as in the previous year, 10,000,000 shares areissued and fully paid in. The par value per share amounts to2.556459406 euros.

The capital reserve of 620,529 thousand euros (prior year:
610,529 thousand euros) mainly includes contributions from
DEKRA e.V., Stuttgart. A contribution of 10,000 thousand euros(prior year: 25,000 thousand euros) was made to the capitalreserve in the reporting year.
Revenue reserves contain the Group net income for theperiod and the profits of consolidated companies generated inprior years to the extent these have not been distributed ortransferred. There is a profit and loss transfer agreement in place
between DEKRA SE and the parent. The profit transfer isreported through other comprehensive income as a transaction
with the equity investor. The difference between the profit transfer in accordance with German commercial law and the IFRS
result is recorded in the revenue reserves. The accumulated
other comprehensive income comprises changes in actuarial
gains and losses from defined-benefit plans, the changes in fairvalue arising from the measurement of hedging instruments
and equity instruments, the recognition of deferred taxes, andthe recognition of differences arising from currency translation.
The changes in fair value arising from the measurement ofequity instruments through other comprehensive income arereclassified to revenue reserves when the equity instrument isderecognized.
6 .13 N O N - C O N T R O L L I N G I N T E R E S T S

For the changes in non-controlling interests, please refer to thestatement of changes in equity.
There are non-controlling interests in those entities thatare shown in the list of shareholdings (note 15) with an investment stake of less than 100%, unless options for the2020

Valuation allowances as of Jan. 1

Valuation allowances as of Dec. 31

Cash equivalents – less than 3 months

63

D E K R A Financial Report 2021

64

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

non-controlling interests were arranged within the frameworkof the company acquisition. A purchase price liability is recognized for these interests in accordance with IAS 32 andnon-controlling interests are therefore not presented.
The information below presents the required pro-rata
financial information on the most significant entity with
non-controlling interests (DEKRA iST Reliability Services Inc.,
Hsinchu, Taiwan). The figures are the pre-intragroup elimination amounts.
Dec. 31, 2021

Dec. 31, 2020

Aggregated non-current assets

13,015

11,434Aggregated current assets

4,969

4,000

Aggregated non-current liabilities

1,950

2,058

Aggregated current liabilities

4,770

3,524

IN THOUSAND EUR

2021

2020

Aggregated revenue

6,981

5,715

736

580

IN THOUSAND EUR

Aggregated net income for the year

For reasons of materiality, the above presentation only shows
the financial information for DEKRA iST Reliability Services
Inc., Hsinchu, Taiwan. The prior-year disclosures were adjusted
correspondingly, to make comparisons easier.

6 .14 P R O V I S I O N S F O R P E N S I O N S
A N D S I M I L A R O B L I GAT I O N S
Dec. 31, 2021

Dec. 31, 2020

Pension provisions in Germany

412,858

520,249

Pension provisions in other countries

24,093

19,933436,951

540,182

IN THOUSAND EUR

The Group has both defined-benefit and defined-contributionplans for retirement, invalidity, and surviving dependants’ pension commitments based on works agreements and individual
contractual agreements.
These pension plans grant pension benefits, the level ofwhich depends on the length of service and eligible income. The
age limit is the respective legal retirement age for the statutory
pension insurance. The pension is paid in part directly by thecompanies that make the pension commitments and in part bya legally independent pension support fund (DEKRA Unterstützungskasse e.V., Stuttgart).
The obligations relating to the consolidated member companies are included in full in these consolidated financial statements. The benefits are partly financed internally through thesystematic accumulation of provisions and partly through contributions paid into employers’ pension liability insurance. The
direct and indirect commitments are defined-benefit obligations for which assets (among other things through the

D E K R A Financial Report 2021

conclusion of employers’ pension liability insurance policies)
have been set aside within DEKRA Unterstützungskasse e.V.,
Stuttgart. In addition, DEKRA implemented the establishmentof a Contractual Trust Arrangement (CTA) effective October24, 2017, to safeguard the pension obligations from these pension plans. A trust agreement to safeguard pension entitlements
was entered into with Allianz Treuhand GmbH, Stuttgart,
which acts as the trustee in a two-tier trust arrangement(administrative trust and collateral trust). The funds transferred
to finance the pension obligations are managed in trust by Allianz Treuhand GmbH, Stuttgart, and are earmarked for use
solely for the settlement of pension obligations.
The company pension scheme was reorganized with effectfrom January 1, 2012 (DEKRA company pension). Claims
vested prior to this date were not affected. Within the scope ofthe reorganization, direct commitments made as defined-contribution plans were given in accordance with the rules of separately concluded works agreements. The pension plan is
described as a defined-contribution plan, as the amount of thebenefit is derived from and determined by previously defined
pension contributions. In addition to the pension contribution
paid by the employer, employees can increase this amount by
converting salary components (deferred compensation).
The employers’ pension liability insurance and assets of
DEKRA Unterstützungskasse e.V., Stuttgart, and the legally separate funds of the CTA are treated as plan assets in accordancewith IAS 19.113. DEKRA Unterstützungskasse e.V., Stuttgart,

65

has an advisory board which is regularly informed about thesituation of the assets in the fund.
The pension provisions in other countries mainly relate toretirement pension plans and one-off termination benefits whenemployees leave the company to go into retirement.
The defined-benefit obligations are calculated annually byindependent actuaries using the projected unit credit method.
The 2018G mortality tables of Prof. Klaus Heubeck are used for
the German pension obligations while generally accepted mortality tables are used for the foreign obligations.
At some foreign entities, there are joint multi-employer
plans for defined-benefit pension plans. The volume of theseplans is immaterial for the DEKRA Group.
Apart from the general interest, inflation, longevity, andjurisdiction risks, there are no particular company-specific risks
for the existing plans. The longevity risk is taken into consideration by using generation life tables when calculating the obligation. In particular, the generation life tables take into accountthe expected continued increase in life expectancy by means ofappropriate assumptions. When calculating the obligation, theinflation risk is adequately taken into account at 1.75% p.a.
(prior year: 1.75%) using a long-term approach and according
to information currently available. It also primarily has an effecton the review of current pensions. There is currently no knowledge of any employment-law-related risks based on Supreme
Court rulings that could affect the plans.

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66

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

67

Defined-benefit plans

The carrying amount of provisions for pensions and similar obligations recorded in the balance sheet can be shown as follows:
IN THOUSAND EUR

Pensionobligation

Plan assets (-)

Total

IN THOUSAND EUR

Pensionobligation

Plan assets (-)

Total

As of Jan. 1, 2020

1,120,203–589,232

530,971

As of Jan. 1, 2021

1,154,044–613,862

540,182

Current service cost

22,415022,415Current service cost

24,6390

24,639

891

0

891

Past service cost

3,463

0

3,463

Net interest cost (standard interest)

10,778–5,7705,008

Net interest cost (standard interest)

8,280–4,447

3,833

Net pension cost according to the income statement

34,084–5,77028,314

Net pension cost according to the income statement

36,382–4,44731,935

Actual return on plan assets, less “net interest cost”

Past service cost

Actual return on plan assets, less “net interest cost”

0

1,948

1,948

356

0

356

Actuarial gain/loss from changes in assumptions based on experience–10,894

95–10,799

Actuarial gain/loss from changes in financial assumptions

35,329035,329

–119

0

–119

Remeasurement of defined-benefit pension plans

24,672

2,043

26,715

Payments of current pensions–32,712

18,345–14,367

24

–24

0

Employer contributions to the pension plan0–32,444–32,444

Employee contributions to the pension plan

7,606

–6,772834–25,082–20,895–45,977

167

–8

159

As of Dec. 31, 2020

1,154,044–613,862

540,182

thereof, funded

1,092,500

Actuarial gain/loss from changes in demographic assumptions

Change arising from asset ceiling unless contained in net interest expense

Plan settlement payments

Total payments
Changes in the consolidated group

thereof, unfunded

61,544

D E K R A Financial Report 2021

0–9,929–9,929

–521

0

–521

Actuarial gain/loss from changes in assumptions based on experience–1,593–153–1,746

Actuarial gain/loss from changes in financial assumptions–66,1190–66,119

–72

–73

–145

Remeasurement of defined-benefit pension plans–68,305–10,155–78,460

Payments of current pensions–35,20918,717–16,492

0

396

396

Employer contributions to the pension plan0–40,957–40,957

Employee contributions to the pension plan

7,328

–7,3262–27,881–29,170–57,051

394

–50

344

As of Dec. 31, 2021

1,094,634–657,683

436,951

thereof, funded

1,036,345

Actuarial gain/loss from changes in demographic assumptions

Change arising from asset ceiling unless contained in net interest expense

Plan settlement payments

Total payments
Changes in the consolidated group

thereof, unfunded

58,289D E K R A Financial Report 2021

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CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

Plan settlements are the result of the settlement of obligations
due to the termination of employment contracts.
The weighted average duration of the major share of thepension obligations is 14.37 years (prior year: 14.43 years).
The expected future pension payments for the coming fivefiscal years are as follows:
IN THOUSAND EUR

Expected
pensionbenefitpayments

2022

37,6232023

39,1072024

40,7402025

41,2742026

41,636

The ratio of the benefit obligation in relation to plan assets
reflects the funded status of the pension plan concerned, withany excess of the benefit obligation over plan assets constituting
a plan deficit. Both the benefit obligation and the plan assets canvary over time, leading to an increase/decrease in the plan deficit. Reasons for such fluctuation can include changes in market
interest rates and thus in the discount rate, or adjustments toactuarial assumptions.
The DEKRA Group’s plan assets mostly comprise employers’ pension liability insurance policies and are subject to only
limited fluctuations on account of the existing minimum
returns. The contractual trust agreement (CTA) is primarily
funded by the contribution of specialized funds and liquid
funds (cash and cash equivalents). In principle, the separate
trust assets of the CTA are subject to the same risks as direct
capital investments. We refer in this regard to our explanations
in note 10. The recognized plan deficit is mostly covered by cash
flows from operating activities.
It is the long-term goal of the DEKRA Group to gradually
increase plan assets in order to cover the deficit.

69

Key parameters

Sensitivity analysis

Plan assets

When calculating the pension obligation according to the projected unit credit method, the following key parameters apply
for the DEKRA Group:

The table below shows the effects on the pension obligation as aresult of any change in the parameters. The analysis relates toparameters where a change was considered possible as of thereporting date. The calculation did not take into account any
correlation between the parameters.

The fair value of plan assets breaks down into the following
asset categories:

Dec. 31, 2021

Dec. 31, 2020

Interest rate

1.24

0.75

Salary trend

1.99

2.00

Pension trend

1.75

1.75

IN %

Sensitivities are determined on the basis of the same volume
and the same measurement process as for the measurement ofpension obligations as of the reporting date. In determining
sensitivities, every assumption was modified separately in eachindividual case. The figures given are averages weighted withthe present value of the pension obligation concerned. The obligations in other countries, which are determined taking into
account country-specific measurement principles and parameters, are immaterial.
German pension commitments are partly financed
through DEKRA Unterstützungskasse e.V., Stuttgart. The assetsof DEKRA Unterstützungskasse e.V., Stuttgart, meet the criteria
necessary to qualify as plan assets in accordance with IAS 19.
For individual entities, pension commitments are financed
through payments to an insurance company. The resulting plan
assets include qualifying insurance policies only.

D E K R A Financial Report 2021

IN THOUSAND
EUR

Dec. 31,2021

Impact on the benefit obligation as of Dec. 31, 2021
Change inassumptions

Increase inassumption

Decrease inassumption

Interest rate

0.5%

Decrease of
6.8%

Increase of
4.6%

Salary trend

0.5%

Increase of
0.2%

Decrease of
1.6%

Pension trend

0.5%

Increase of
3.8%

Decrease of
6.2%

1 yearIncrease of
3.4%

Decrease of
6.2%

Age

thereof,market pricequoted onan active
marketDec. 31,2020

thereof,market pricequoted onan active
marketEmployers’
pensionliability
insurance*)

430,2010412,3280

Securities*)

216,640

216,640

191,932

191,932

Other

10,843

0

9,602

0

657,6840613,8620*) The categorization of plan assets was changed in the current financial year. For reasonsof comparability, the previous year’s figures in this table were adjusted accordingly.

Change inassumptions

Increase inassumption

Decrease inassumption

Interest rate

0.5%

Decrease of
5.8%

Increase of
6.7%

The securities are largely specialized funds containing a mixture of pensions and shares. The funds in this case mostly consist of pensions.
The employer contributions to plan assets are expected toamount to 15.1 million euros in the next fiscal year (prior year:
28.0 million euros). The plan assets do not contain any of theGroup’s own financial instruments, nor its own real-estate
property, nor other assets that DEKRA uses itself.

Salary trend

0.5%

Increase of
0.4%

Decrease of
0.4%

Defined-contribution plans

Pension trend

0.5%

Increase of
5.7%

Decrease of
5.2%

Age

1 yearIncrease of
5.2%

Decrease of
5.2%

Impact on the benefit obligation as of Dec. 31, 2020

One part of the pension benefits for the majority of employees,
especially in Germany, is the statutory pension insurance. For
several German and foreign entities, there are voluntary
defined-contribution plans for post-employment benefits.
Expenses related to defined-contribution plans, including pension insurance contributions, amounted to 122.7 million euros
in the reporting year (prior year: 111.0 million euros). The
future amount of these expenses essentially depends on thedevelopment of the underlying pension insurance systems.

D E K R A Financial Report 2021

70

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

6 .15 N O N - C U R R E N T A N D C U R R E N T P R O V I S I O N S
IN THOUSAND EUR

As ofJan. 1, 2021

Allocation

Utilization

Reversal

Reclas­sifications

As ofDec. 31, 2021

Non-current provisions
Other personnel provisions

3,778

403

–386

–83

119

3,831

Phased retirement

144

–3

–125

0

119

135

thereof from phased retirement obligation

1,481

62

–416

0

0

1,127

thereof from phased retirement plan assets–1,337

–65

291

0

119

–992

Provisions for employees’ long-service awards

3,143

376

–257

0

0

3,262

491

30

–4

–83

0

434

16,036

10,057–2,189–1,299–3

22,602Sundry other personnel provisions
Other non-personnel provisions
Warranty provisions

4,114

4

–30

0

0

4,088

Litigation, damages, and similar obligations

8,539

2,138

–1,109–675–1,100

7,793

Other provisions

3,383

7,915

–1,050

–624

1,097

10,721

19,814

10,460–2,575–1,382

116

26,433In the case of the provisions for the phased early retirement
scheme, these are – on the one hand – provisions for phased early
retirement models that have already entered into the passive(non-working) phase. Such provisions are therefore continuously
decreasing. In several companies, the employees are granted ananniversary bonus paid after 10 years’ and 25 years’ service to thecompany. Allocations already begin to be made to the provisions
for anniversary bonuses upon the employee’s entry to the company. The anniversary bonus provisions are therefore subject tocontinuous changes (allocations, utilization, and reversals).

As ofJan. 1, 2021

Allocation

Utilization

Reversal

Reclas­sifications

As ofDec. 31, 2021

Other personnel provisions

6,651

2,322

–1,878

–742

0

6,353

Other non-personnel provisions

20,956

11,246–6,462–4,331

3

21,412

Restructuring – other

1,430

100

–1,4300

0100

Impending losses

2,256

542

–1,232

–255

0

1,311

Litigation, damages, and similar obligations

8,314

6,379

–175

–639

0

13,879Other provisions

8,956

4,225

–3,625–3,4373

6,122

27,607

13,568–8,340–5,073

3

27,765

IN THOUSAND EUR

Current provisions

D E K R A Financial Report 2021

In France, there are non-current obligations of 9,914 thousand
euros (prior year: 9,969 thousand euros) relating to warranties
and similar obligations, the inherent risks of which exceed theinsurance cover. There are also non-current obligations basedon country-specific levies. As in the prior year, non-current
provisions do not include any significant impact from unwinding discount.
The provisions cover all identifiable obligations to third
parties in accordance with IAS 37. They are recognized at theamount that will probably be required.
6 .16 N O N - C U R R E N T A N D C U R R E N T
FINANCIAL LIABILITIESCurrent financial liabilities
IN THOUSAND EUR

Dec. 31, 2021

Liabilities to banks

132,789

75,534

Profit participation rights

11,733

12,652Financial liabilities toaffiliated companies

34,096

43,578Financial liabilities toassociated companies

962

976

0

131

Financial liabilities tocompanies with which ashareholding relationship exists
Derivative financial instruments
Lease liabilities

Non-current financial liabilities
IN THOUSAND EUR

Dec. 31, 2021

Dec. 31, 2020

Liabilities to banks

146,602

201,117

Trade payables

034

Derivative financial instruments

059

Lease liabilities

276,772

266,498

Liabilities from company acquisitions

18,114

20,654441,488488,362

The increase of 10,274 thousand euros in non-current lease liabilities is mainly due to new lease agreements and the extensionof existing agreements. Lease liabilities that had previously beenrecognized as non-current were reclassified as current lease liabilities on account of their maturity. These are also the reasons
why current lease liabilities have increased by 7,727 thousand
euros. The liabilities arising from company acquisitions arelargely contingent purchase price components.

71

Dec. 31, 2020

20

0104,396

96,669Liabilities from company acquisitions

1,135

4,149

Liabilities to employees

37,282

27,460

Other financial liabilities

21,85818,728344,271

279,877

The increase of 57,255 thousand euros in current liabilities tobanks is mainly due to taking out new loans. At the same time,loans and promissory note loans previously recognized as
non-current financial liabilities were reclassified as current
financial liabilities on account of their maturity.
DEKRA SE granted its managers and employees theoption of subscribing to profit participation rights capital of up
to 10,737 thousand euros (4.2 million profit participation rights
at 2.55645 euros each). Of this total, 2,223,186 (prior year:
2,400,799) profit participation rights were subscribed. The subscribed participation rights capital grants a share in the adjusted
consolidated net income of DEKRA SE with a minimum returnof 4% p.a. and a maximum return of 30% p.a. Subscribed profit
participation rights can be terminated unilaterally by the recipient at short notice at any time.

D E K R A Financial Report 2021

72

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

The current financial liabilities to affiliates include liabilities from the cash pool, from income tax and sales tax, as wellas other allocations, some of which were netted with receivablesfrom affiliates. The decrease of 9,482 thousand euros is primarily attributable to the lower liabilities from tax allocations.
The increase of 9,822 thousand euros in current liabilities
to employees is mainly due to the larger workforce in the financial year.

6 .18 O T H E R N O N - C U R R E N T A N D
CURRENT LIABILITIESOther non-current non-financial liabilities primarily include
liabilities to the pension guarantee association.
Other current liabilities break down as follows:
Dec. 31, 2021

Dec. 31, 2020

Personnel-related liabilities

266,198

234,941

6 .17 T R A D E PAYA B L E S A N D C O N T R A C T L I A B I L I T I E SOther liabilities for taxes

61,61958,798In the fiscal year, trade payables and contract liabilities come tothe following amounts:

Social security

25,18135,040IN THOUSAND EUR

Dec. 31, 2021

Dec. 31, 2020

Trade payables

107,772

113,554

Contract liabilities

56,46654,671

164,238

168,225

Contract liabilities include prepayments received from customers for services not yet rendered. Prepayments are generally ofa current nature.
DEKRA receives payments from customers based on asettlement schedule that is an integral part of the contracts.
Contract assets relate to the conditional right to consideration for the full satisfaction of the contractual obligations.
Receivables are recognized as soon as DEKRA fulfils its contractual obligations. Contract liabilities relate to paymentsthat are received prematurely, i.e., before the contractual
obligations have been satisfied. Contract liabilities are recognized as revenue as soon as the contractual service has
been rendered.

IN THOUSAND EUR

Dec. 31, 2021

Dec. 31, 2020

–12,707–11,001

thereof settled/received in cash

–12,707–7,418

thereof not yet settled/received

0-3,583

1,590

14

Non‑current assets

2,229

420

Current assets

IN THOUSAND EUR

Total purchase/sale pricePrepayments received fromdamage claim settlements

15,42517,705

Sundry other items

28,03823,981

396,461

370,465

Personnel-related liabilities chiefly relate to outstanding variable salary components.
Liabilities from taxes principally relate to sales tax andwage tax.

7 C O N S O L I DAT E D C A S H F L O W S TAT E M E N T

The statement of cash flows shows how the cash and cash equivalents changed in the course of the reporting year as a result ofcash inflows and outflows. In accordance with IAS 7, a distinction is made between cash flows from operating, investing, andfinancing activities. Cash flows from operating activities are
determined indirectly while cash flows from investing andfinancing activities are determined directly.

D E K R A Financial Report 2021

The composition of cash and cash equivalents matches thenet balance of cash and cash equivalents disclosed in the balance sheet as of the reporting date prior to the consideration of
credit losses pursuant to IFRS 9. There are no cash and cash
equivalents that are subject to restricted availability.
The cash flow from investing activities includes the following payments from the acquisition and disposal of fully consolidated subsidiaries:

Amount of cash and cash
equivalents acquired/disposed ofAmount of assets and liabilities
acquired/disposed of

2,638

743

Non-current liabilities

377

–54

Current liabilities

358

792

In addition, the cash flow from investing activities comprises
purchase price payments for further subsidiaries, other business
units, and cash paid for capital increases at non-consolidated
subsidiaries, amounting to 32,100 thousand euros (prior year:
10,914 thousand euros). As in the previous year, these purchases
do not give rise to liabilities based on variable purchase pricecomponents.
The carrying amount of the receivables acquired corresponds to the fair value.

D E K R A Financial Report 2021

73

74

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

The development of liabilities stemming from financing
activities is as follows.

The following table shows the carrying amounts of rightof-use assets recognized and the movements during the reporting period:

Carrying
amountDec. 31,2020

CashchangesNon-current loans

201,117–15,508

1,722

Current loans

75,534

12,918

3,608

59

0

0

276,710–2,5905,330

IN THOUSAND EUR

Derivative financial instruments
Total liabilities from financing activities *)Non-cash changes
Exchange
rate effects

Business
combinations

Carrying
amountDec. 31,2021

IN THOUSAND EUR

Buildings

VehiclesOther equipment,
furniture andfixtures

IT

Technical
equipment

Total

303,61238,587

2,370

1,717

502

346,788

Changes infair value

Otherchanges00–40,729

146,602

As of Jan. 1, 2020

0040,729132,789

Depreciation expense–73,685–20,377–859–1,023–77–96,021

0

–39

–20

0

Additions

101,309

14,025

419

984

3

116,740

0

–39

–20

279,391

Disposals–10,517–1,732

–18

–10

0

–12,277

Exchange rate differences–2,861

–74

–44

–77

–1

–3,057

As of Dec. 31, 2020

317,858

30,429

1,868

1,591

427

352,173

Depreciation expense–81,308–20,303

–626

–953

–2,000–105,191

Additions100,144

22,505

295

1,005

9,552

133,501

Disposals–12,060–1,791

–175

–1

0

–14,027

3,438

–15

17

6

0

3,446

328,072

30,825

1,379

1,648

7,979

369,903*) Not including lease liabilities. These are presented separately in note 8.1.

In the prior year, liabilities resulting from financing activities
developed as follows:

Exchange rate differences
Carrying
amountDec. 31,2019

CashchangesNon-current loans

204,399

Current loans

Exchange
rate effects

Business
combinations

Changes infair value

Otherchanges

Carrying
amountDec. 31,2020–22,854–1,22237

020,757201,117

180,222–81,117–2,80700–20,764

75,534

99

0

0

0

–40

0

59

384,720–103,971–4,029

37

–40

–7

276,710

IN THOUSAND EUR

Derivative financial instruments
Total liabilities from financing activities *)Non-cash changes*) Not including lease liabilities. These are presented separately in note 8.1.

As of Dec. 31, 2021

The following table shows the carrying amounts of the leaseliabilities and the movements during the reporting period:
2020

As of Jan. 1

363,167

358,352

Interest expenses on lease liabilities

Additions

133,765

115,659

5,206

6,036

–124,670–114,435

Income from the sub-lettingof right-of-use assets, presented
in other revenue

224

97

3,700

–2,443

Expenses from short-term leases–23,433–20,096

Expenses from low-value leases–11,909–16,854

381,168

363,167

thereof current

Total–40,327–42,841

104,396

96,669thereof non-current

276,772

266,498

Interest growth

8 OTHER DISCLOSURES IN THE NOTES

Exchange rate differences
As of Dec. 31

8 .1 L E A S I N G

The companies of the Group have concluded lease agreements forIT, buildings, vehicles, technical equipment, and for other equipment, furniture and fixtures. Lease agreements for IT generally
have terms between one and five years, for buildings between one
and 30 years. For vehicles, the term is generally between one andsix years, for technical equipment between three and seven years.

Lease agreements for furniture and fixtures generally have terms
between one and ten years. The obligations under the lease agreements are secured by the lessor’s title to the leased assets. Several
lease agreements contain extension and termination options.
The Group also concluded lease agreements for assets witha term of twelve months or less as well as for low-value assets.
The Group applied the “short-term lease” and “lease of lowvalue assets” recognition exemptions for these leases.

D E K R A Financial Report 2021

The following amounts were recognized through profit or loss
in the reporting period:

2021

IN THOUSAND EUR

Payments and disposals

Leasing as a lessee

75

The maturity analysis of lease liabilities is presented in note 10.

IN THOUSAND EUR

2021

2020

–5,209–5,988The total cash outflows for leases amounted to 108,888 thousand
euros in 2021 (prior year: 102,197 thousand euros). In addition,
non-cash-effective additions to right-of-use assets of
133,501 thousand euros (prior year: 116,740 thousand euros)and lease liabilities of 133,765 thousand euros (prior year:
115,659 thousand euros) were recognized.
Several lease agreements containing extension and termination options were concluded. These options are negotiated by

D E K R A Financial Report 2021

76

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

management to provide flexibility in managing the leased-asset
portfolio in alignment with the relevant business needs. Determining whether these extension and termination options arereasonably certain to be exercised requires management to perform significant valuation policy decisions (see note 3.2).
8.2 OT H E R FI N A N C I A L O B L I GAT I O N S

Other financial obligations including purchase commitments
amount to 4,567 thousand euros (prior year: 6,429 thousand
euros). These are mainly attributable to agreements concluded
on commissioned construction projects and also to long-term
framework agreements.
8 . 3 C O N T I N G E N T L I A B I L I T I E S ,OTHER CONTINGENCIES,A N D CO L L AT E R A L P ROV I D E D

As in the prior year, there are no significant bank guarantees orcontingencies. Collateral and guarantees amounting to
925 thousand euros (prior year: 825 thousand euros) have been
granted. The risk of a claim being made on these is currently
deemed to be low. If a claim is made on the guarantees, they fall
due immediately.
The DEKRA Group is not involved in any court proceedings that could have a significant influence on its economic or
financial situation.

8.4 GOVERNMENT GR ANTS

Government grants of 6,574 thousand euros (prior year:
26,017 thousand euros) were received in the past fiscal year. The
above mainly relate to payroll subsidies and integration aid.
8 . 5 C O L L A T E R A L A N D A S S E T S S U B J E C T T O
R E S T R I C T E D AVA I L A B I L I T Y

As in the previous year, there were no ownership or availability
restrictions on tangible assets owned by the Group in a legal andeconomic sense, except for assets capitalized in the context offinance leases. Other assets contain a total of 2.3 million euros(prior year: 1.9 million euros) in plan assets from employers’
pension liability insurance policies that serve to safeguard pension obligations, but which are not pledged to the entitledemployees.
No financial assets were pledged as collateral for liabilities
or contingent liabilities.

9 C A P I TA L M A N AG E M E N T

DEKRA pursues the goal of sustainably increasing equity. The
aim is to maintain an appropriate debt-to-equity ratio while
improving the EBIT margin. Equity was strengthened in thefiscal year by a contribution to the capital reserve of 10.0 million
euros as well as an increase in the revenue reserves of 48.0 million euros. Differences from the currency translation of thefinancial statements prepared in foreign currencies by consolidated subsidiaries had a positive effect of 15.6 million euros onequity. The DEKRA Group’s equity ratio stands at 33.5% as ofthe end of the reporting period (prior year: 29.5%).

10 A D D I T I O N A L I N F O R M A T I O N
ON FINANCIAL INSTRUMENTS

Pursuant to IFRS 9, financial assets and liabilities are allocatedto one of the following categories:a)Financial assets at amortized costb) Financial assets at fair value through other comprehensive
incomec) Financial assets at fair value through profit or lossd) Financial liabilities at amortized coste) Financial liabilities at fair value through profit or loss

D E K R A Financial Report 2021

The following table shows the net gains/losses for eachcategory:
Dec. 31, 2021

Dec. 31, 2020

–4,120–4,806370

271

Financial assets at fairvalue through profit or loss

2,909

440

Financial liabilities at amortized cost

–6,082–5,93486–851–6,837–10,880

IN THOUSAND EUR

Financial assets at amortized cost
Financial assets at fair value throughother comprehensive income

Financial liabilities at fairvalue through profit or loss

The decrease in net losses for financial assets measured at amortized cost primarily results from lower expenses for the allocation of valuation allowances.
The net gains from assets measured at fair value throughother comprehensive income mainly result from dividend-type
distributions.
The income from assets measured at fair value throughprofit or loss is attributable to income from distributions.
The expense from financial liabilities measured at fairvalue through profit or loss stems from the increase in liabilities
from put options.
The remeasurement reserve for equity instruments measured at fair value through other comprehensive income rose by
3.3 million euros in fiscal year 2021 (prior year: decrease of
34.4 million euros). This amount was recognized in other comprehensive income.

77

The levels of the fair value hierarchy and their application
to our assets and liabilities are described below:
Level 1:	Market prices quoted on active markets for identicalassets or liabilities
Level 2: 	Information other than quoted market prices that canbe observed directly (e.g., prices) or indirectly (e.g.,derived from prices)
Level 3: 	Information relating to assets and liabilities that is notbased on observable market data.
Please refer to the explanations in note 11 on the calculation of the fair value of derivative financial instruments.
The following tables show a breakdown of balance sheet
items into categories and classes and the allocation of the financial assets and liabilities measured at fair value to the three levels of the fair value hierarchy. The fair values of the assets andliabilities measured at amortized cost correspond to the carrying amounts.

D E K R A Financial Report 2021

78

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

IN THOUSAND EUR

IN THOUSAND EUR

Carrying
amountDec. 31,2021

Financialassets at
amortized
cost

Financialassets atfair value
throughother comprehensive
incomeFinancialassets atfair value
through
profit or loss

Fair value

thereof,fair valuelevel 1

thereof,fair valuelevel 2

thereof,fair valuelevel 3

AssetsEquity and liabilities

Non-current assets

Non-current liabilities

Shares in affiliates and investee companies

79

57,467

057,467

057,4670

Carrying
amountDec. 31,2021

Financialliabilities atamortized
cost

Financialliabilities atfair value
throughother comprehensive
incomeFinancialliabilities atfair value
through
profit or loss

Fair value

thereof,fair valuelevel 1

thereof,fair valuelevel 2

thereof,fair valuelevel 3

18,1140

0

18,114057,467

Liabilities from company acquisitions

18,1140

0

18,114

Securities

16,49200

16,492

16,4920

19

16,473Financial liabilities

146,602

146,602

0

0

n/a

n/a

n/a

n/a

Loans

17,725

17,725

0

0

n/a

n/a

n/a

n/a

Lease liabilities

276,772

0

0

0

n/a*)

n/a

n/a

n/a

Other non-current liabilities

Other financial assets

2,730

2,730

0

0

n/a

n/a

n/a

n/a

94,414

20,45557,467

16,49273,9600

1973,940

0

0

0

0

n/a

n/a

n/a

n/a

441,488

146,6020

18,114

18,1140

0

18,114

107,772

107,772

0

0

n/a

n/a

n/a

n/a

20

0

0

0

20

n/a

20

n/a

11,733

11,733

0

0

n/a

n/a

n/a

n/a

Current liabilities
Current assets

Trade payables

Trade receivables

467,412467,412

0

0

n/a

n/a

n/a

n/a

Derivatives in hedge accounting

Cash and cash equivalents

226,626

226,626

0

0

n/a

n/a

n/a

n/a

Profit participation rights

Securities

35,4980035,49835,498783

34,7150Receivables from affiliates
and investee companies

41,58841,588

0

0

n/a

n/a

n/a

n/a

Other financial assets

81,337

81,337

0

0

n/a

n/a

n/a

n/a

852,461

816,963035,49835,498783

34,715

0946,875

837,418

57,46751,990109,458783

34,73473,940Liabilities from company acquisitions

1,135

0

0

1,135

1,135

0

0

1,135

Liabilities to banks

132,789

132,789

0

0

n/a

n/a

n/a

n/a

Liabilities to affiliated companies

34,09634,096

0

0

n/a

n/a

n/a

n/a

Liabilities to associated companies

962

962

0

0

n/a

n/a

n/a

n/a

Other current liabilities

59,14059,140

0

0

n/a

n/a

n/a

n/a

Lease liabilities)

104,396

0

0

0

n/a*

n/a

n/a

n/a

452,043

346,492

0

1,135

1,155

0

20

1,135

893,531493,094

0

19,24919,2690

20

19,249*) Pursuant to IFRS 7.29 (d) no fair values were stated for the lease liabilities.

Other current liabilities include liabilities to employees of
37,282 thousand euros pursuant to IAS 19. These liabilities to
employees pursuant to IAS 19 and the non-current and current
lease liabilities of 276,772 thousand euros and 104,396 thousand
euros respectively pursuant to IFRS 16 do not fall into the scope

D E K R A Financial Report 2021

of application of IFRS 7. Reclassifications between the different
levels of the valuation hierarchy are performed at the end of thefinancial year. In the financial year, non-current securities weretransferred from Level 2 to Level 3 of the fair value categories.

D E K R A Financial Report 2021

80

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

IN THOUSAND EUR

IN THOUSAND EUR

Carrying
amountDec. 31,2020

Financialassets at
amortized
cost

Financialassets atfair value
throughother comprehensive
incomeFinancialassets atfair value
through
profit or loss

Fair value

thereof,fair valuelevel 1

thereof,fair valuelevel 2

thereof,fair valuelevel 3Carrying
amountDec. 31,2020

Financialliabilities atamortized
cost

Financialliabilities atfair value
throughother comprehensive
incomeFinancialliabilities atfair value
through
profit or loss

Fair value

thereof,fair valuelevel 1

thereof,fair valuelevel 2

thereof,fair valuelevel 3

59

0

0

0

59

n/a

59

n/a

Equity and liabilities

AssetsNon-current liabilities

Non-current assets

Derivatives in hedge accounting

Shares in affiliates and investee companies

34,615034,615034,6150034,615

Securities

11,4730011,473

11,473

0

11,4730Loans

15,125

15,125

0

0

n/a

n/a

n/a

n/a

Other financial assets

3,342

3,342

0

0

n/a

n/a

n/a

n/a

64,555

18,46834,615

11,47346,0880

11,473

34,615

Liabilities from company acquisitions

20,6540020,654

20,6540020,654

Financial liabilities

201,117201,117

0

0

n/a

n/a

n/a

n/a

Lease liabilities

266,498

0

0

34

34

0

488,362

467,6490Trade payables

113,554

113,554

0

0

n/a

n/a

n/a

n/a

Profit participation rights

12,652

12,652

0

0

n/a

n/a

n/a

n/a

Other non-current liabilities

0

n/a*

)

n/a

n/a

n/a

0

n/a

n/a

n/a

n/a

20,654

20,6540020,654Current liabilities

Current assets
Trade receivables

454,497454,497

Cash and cash equivalents

167,472

167,472

0

0

n/a

764

0

0

764

764

Receivables from affiliates
and investee companies

120,645

120,64500n/aOther financial assets

99,727

99,72700843,105

842,3410764

Securities

81

907,660

860,8090

34,6150

12,237

n/a

n/a

n/a

n/a

n/a

n/a

528

236

0

n/a

n/a

n/a

n/a

n/a

n/a

n/a

764

528

236

0

46,852n/a

528

11,70934,615

Liabilities from company acquisitions

4,149

0

0

4,149

4,149

0

0

4,149

Liabilities to banks

75,53475,534

0

0

n/a

n/a

n/a

n/a

Liabilities to affiliated companies

43,57843,578

0

0

n/a

n/a

n/a

n/a

976

976

0

0

n/a

n/a

n/a

n/a

Liabilities to associated companies
Liabilities to companies with whicha shareholding relationship exists

131

131

0

0

n/a

n/a

n/a

n/a

Other current liabilities

46,18846,188

0

0

n/a

n/a

n/a

n/a

Lease liabilities)

96,669

0

0

0

n/a*

n/a

n/a

n/a

393,431389,282

0

4,149

4,149

0

0

4,149

881,793856,931024,80324,862059

24,803*) Pursuant to IFRS 7.29 (d) no fair values were stated for the lease liabilities.

Other current liabilities include liabilities to employees of
27,460 thousand euros pursuant to IAS 19. These liabilities to
employees pursuant to IAS 19 and the non-current and current
lease liabilities of 266,498 thousand euros and 96,669 thousand

D E K R A Financial Report 2021

euros respectively pursuant to IFRS 16 do not fall into the scopeof application of IFRS 7. There were no reclassifications performed between the different levels of the valuation hierarchy
as of the end of the fiscal year 2020.

D E K R A Financial Report 2021

82

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

Development of Level 3 of the fair value hierarchy:
2021

2020

As of Jan. 1

34,61570,095Additions

35,582

3,917

Disposals

1,493–6,207

Fair value changes

2,250–33,190

0

1,376

2,250

–34,566

73,94034,6152021

2020

24,80321,042

IN THOUSAND EUR

AssetsRecognized through profit or loss
Recognized through other comprehensive income
As of Dec. 31

IN THOUSAND EUR

Equity and liabilities
As of Jan. 1
Additions

184

4,332

Disposals–5,652–1,423

–86

852

–86

852

0

0

19,24924,803

Fair value changes
Recognized through profit or loss
Recognized through othercomprehensive income
As of Dec. 31

The contingent purchase price liabilities were recognized atpresent value. This is mainly worked out on the basis of an EBIT
multiple of the company concerned. As of the balance sheet
date, there are purchase price liabilities that are noteworthy for
DEKRA New Zealand Ltd., Wellington, New Zealand.
The non-observable input parameters of liabilities fromcompany acquisitions primarily include factors such as theoperating result, earnings before depreciation and amortization, financial result and income tax or the development of theworking capital of the acquired business.

Assuming a change of +10%/–10% in the underlying
parameters regarding non-observable input factors as of thenext possible exercise date, the amount of the purchase priceliabilities, including put options and earn-outs, for the major
obligations from company acquisitions would be 4%
higher/4% lower.
Any future changes in value in the purchase price liabilities
will be recognized through profit or loss in subsequent periods.
Shares in affiliates and investee companies are measured
using the discounted cash flow method. If the discounting rateused changes by +1%/–1% and at the same time the cash flowschange by –10%/+10%, the amount of the shares in affiliates andinvestee companies changes by –22.2%/+24.9% (prior year:–25.9%/+38.4%).
The majority of contractually agreed maturity dates forexisting current financial instruments measured at amortizedcost are within twelve months of the reporting date. As such,their carrying amounts as of the reporting date approximately
equate to their fair values.
For all items of non-current financial assets and liabilities
not recognized at fair value, the carrying amount is largely
equal to the fair value.

11 F I N A N C I A L R I S K M A N A G E M E N T
Principles of financial management

The Group’s financial management includes cash and liquidity
management, as well as the management, of market price risks(interest, currency) and credit default risks.
Cash management determines the required or surplus
cash for all DEKRA entities. Timely account management
ensures that the necessary funds for payments are available
where they are needed, with the aim of keeping external investment and borrowing to a minimum.
Liquidity management ensures that all payment obligations of the entities in the DEKRA Group are always met. To
this end, the liquidity planning determines cash flows fromoperating activities, secures foreseeable liquidity requirements

D E K R A Financial Report 2021

at an early stage, and invests surplus liquidity on the money
market or deposits it in bank accounts.
Market price risk management has the task of limiting theimpact of interest rate and currency fluctuations on the Group’s
earnings. For this purpose, the market price risks are determined and used as a basis for hedging decisions. Such decisions
include the selection of hedging instruments, the volume to behedged, and the period to be covered. DEKRA used derivative
financial instruments in the fiscal year to hedge variable-rate
financing arrangements.
The risk volume involved in the management of credit
default risks includes investments in securities and the investment of liquid funds (cash and cash equivalents) at financial
institutions as part of liquidity management, as well as thecredit risk relating to end customers due to the granting andsystematic monitoring of payment terms from trade.
Short-term investments of liquid funds (cash and cash
equivalents) are only made at top-rated financial institutions
and on the basis of current rankings by rating agencies, also
taking into account current CDS spreads. We use commercial
credit agencies to assess the creditworthiness of our customers
and in cases of doubt, we insist on upfront payment or the provision of bank guarantees.
The main goals of the DEKRA Group’s financial management are to ensure solvency at all times and to limit financial risks.
Financial derivatives are only used for hedging purposes
for existing or foreseeable hedged items. This does not give riseto any additional risks for the Group. The transactions are only
carried out with marketable instruments.

83

and for the increasing number of international subsidiaries
from the euro zone. Cash pools have also been established forthe subsidiaries in the USA (USD), in China (CNY), in the UK(GBP), and in Sweden (SEK).
As a rule, the entities in euros are financed centrally
through DEKRA SE.
As of December 31, 2021, the DEKRA Group was exposed
to only a very small risk of being unable in the future to meetits payment obligations arising from financial instruments. The
DEKRA Group requires sufficient liquidity scope for futureacquisitions, which is ensured by the liquid funds available, thepromissory note loans taken out, and by longer-term loan commitments. As of December 31, 2021, there are medium-term
credit lines of 440.5 million euros (prior year: 450.2 million
euros) granted in writing that have not yet been drawn.
In order to visualize liquidity risks, the DEKRA Groupprepares an overview of maturities for its undiscounted payment obligations arising from financial instruments. As of thereporting date, the contractually agreed undiscounted financial
liabilities including interest break down as follows:
D E C . 3 1, 2 0 2 1
IN THOUSAND EUR< 1 year

1 to 5 years> 5 years

Trade payables

107,77200Liabilities to banks

140,505

139,542

507

Other financial liabilities

105,930

0

0

20

0

0

104,396

214,989

85,673458,623354,531

86,180Derivative financial
instruments (negative)
Lease liabilities*

Liquidity risk

The liquidity required for operations and for implementing strategic measures is ensured through the liquid funds (cash andcash equivalents) held and bank loans committed in writing(working capital credit and acquisition lines). Liquid funds(cash and cash equivalents) are held in bank accounts or are
invested in the form of overnight money and time deposits aswell as short-term money market papers. A central euro cash
pool has been set up at DEKRA SE for the German subsidiaries

D E K R A Financial Report 2021)

84

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

D E C . 3 1, 2 0 2 0
IN THOUSAND EUR< 1 year

Trade payables

113,55400Liabilities to banks

76,590183,696

21,495

Other financial liabilities

103,525

33

0

39

20

0

7,489

151,919

223,626

301,197335,668

245,122

Derivative financial
instruments (negative)
Lease liabilities*)

1 to 5 years> 5 years*) A s of Dec. 31, 2020, the lease liabilities were categorized according to the contracts’remaining lease period. As of Dec. 31, 2021, they were categorized according to thedue date of the lease payments.			

In addition to liabilities from (promissory note) loans, the liabilities to banks mostly include short and medium-term utilization of credit lines by foreign subsidiaries.
Default risk

In the course of its operations, DEKRA is exposed to the risk ofdefault on outstanding trade receivables. The DEKRA Groupcounters this risk through timely receivables management,
which entails the regular monitoring of outstanding items, aswell as the timely dunning and collection of receivables. There
were no significant risk concentrations as of the reporting date.
DEKRA is also exposed to default risk in relation to cash
investments. In order to minimize these risks as far as possible,
we restrict our cash deposits to counterparties with first-classcredit ratings within the framework of defined limits. In addition, there is a limit on the proportion of the entire investment
volume that may be deposited with any one counterparty.
Investments in securities are only made with investment-grade
institutions.
No collateral is pledged by the counterparties for thefinancial instruments held. As of December 31, 2021, with the
exception of trade receivables and loans, no material financial
assets were overdue or affected by amendments to contracts.
The carrying amounts of financial assets correspond to the
maximum risk of default.

Market risk

Market risk is the risk that the fair value or the future cash flows
from a financial instrument may fluctuate due to changes in themarket prices. Within the DEKRA Group, the market risk
encompasses three types of risk: Interest fluctuation risk, currency risk, and other price risks such as changes in share prices
or indices. The financial instruments exposed to market risk
include, among others, loans, deposits, debt instruments orequity instruments, and also derivative financial instruments.
Market risk – interest fluctuation risk

We are exposed to interest fluctuation risks in the context of ourinvesting and financing activities. With regard to investing
activities, interest fluctuations lead to changes in the fair valueof fixed-interest securities. With regard to financing activities,
we pursue the goal of using largely fixed-interest financing
arrangements.
The DEKRA Group performs a sensitivity analysis toassess the risk exposure for the statement of comprehensive
income. The analysis tests the impact of a parallel shift of 100
basis points in the interest structure curve on interest income
and interest expenses.
A parallel upward shift of 100 basis points in the interest
structure curve would result in an increase of 5,163 thousand
euros in the interest result (prior year: 4,169 thousand euros). A
parallel downward shift of 100 basis points would lead to adecrease of 3,524 thousand euros in the interest result (prioryear: 2,098 thousand euros).
In order to hedge the interest risk inherent in promissory
note loans, the Group concluded interest derivatives (interest
swaps) in prior financial years. Thus, for the most part, the burden of interest on the loans is fixed.
The cash flow hedge accounting rules were applied forderivatives with a nominal volume of 4.0 million euros for thehedging of underlying transactions with a nominal volume of
20.5 million euros. This results in a hedging ratio of 20%. The
carrying amount of the financial instrument stands at 20 thousand euros (prior year: 59 thousand euros); the remaining duration term is less than one year.

D E K R A Financial Report 2021

The fair value of the derivative financial instruments that
constitute interest hedges is calculated using the standardized“mark to market” method, based on a discounted cash flow
model using customary market interest rates.
Interest swaps are recognized at fair value. The effective
portion of the changes in the fair value of the interest swap earmarked as a cash flow hedge is recognized in equity; the ineffective portion of the changes in the fair value is recognizedthrough profit or loss. The cash flow hedges for the variableinterest portions of the loans did not lead to any ineffective
hedges in the fiscal year to be recognized in profit or loss.
Market risk – currency risks

Currency risks from operating activities are of immaterial significance because the local entities invoice the services that they
render locally almost exclusively in the currency of their own
country. Occasionally liabilities in foreign currencies arise inconnection with investments and/or intracompany transactions,for which a hedging decision is made on a case-by-case basis.
A shift of +/–10% in the value of the euro compared to theGroup’s main foreign currencies would have an effect on thefinancial result arising from the currency translation of shortterm and long-term loans to affiliated companies equivalent toapprox. +/–5.4 million euros (prior year: +/–9.0 million euros)
without taking the effect of deferred tax into account. Decisions
about any required hedging measures in this context are madeon a case-by-case basis. Changes in exchanges rates are notexpected to have a material impact on the other financial assets
or other financial liabilities.
Market risk – other price risks

With regard to the presentation of market risks, IFRS 7 also
requires disclosures to be made on the effect of hypotheticalchanges in risk variables on the price of financial instruments.
Notably, stock market prices or indices come into question asrisk variables. As of December 31, 2021, the Group had a totalof 52.0 million euros in financial assets measured at fair value
through profit or loss (prior year: 12.2 million euros) that are
subject to fluctuations in fair value. These risks largely relate to85

interest, creditworthiness, and exchange rate risks. They aretaken into account within the general risk management framework. On average, the changes in fair value amounted to 2.2%
in 2021 and 2.6% in 2020.

12 R E L A T E D - P A R T Y T R A N S A C T I O N S

Pursuant to IAS 24 “Related Party Disclosures,” transactions
with related parties must be disclosed. The members of theManagement Board and of the Supervisory Board and also theshareholders are to be viewed as related parties within themeaning of IAS 24.9.
Remuneration of the members of the Management Board

The remuneration of the members of the Management Board(payments due in the short term) consists of fixed annual remuneration and a performance-based variable management bonus.
The total remuneration granted to the members of the Management Board of DEKRA SE, including expense allowances,amount to 2,706 thousand euros (prior year: 2,799 thousand
euros).
Additionally, there were further expenses (amongst otherthings, for pensions at DEKRA SE) of 838 thousand euros (prioryear: 990 thousand euros) and obligations of 815 thousand
euros (prior year: 15,996 thousand euros) vis-à-vis the Board
members.
This results in a total remuneration amount of 3,544 thousand euros (prior year: 3,789 thousand euros).
The total remuneration to former members of the Management Board amounts to 399 thousand euros (prior year:
399 thousand euros). In addition, there are also pension obligations of 19,768 thousand euros (prior year: 5,329 thousand
euros).
Remuneration of the members of the Supervisory Board

The current remuneration to the members of the Supervisory
Board for the fiscal year amounts to 286 thousand euros (prioryear: 298 thousand euros), of which a total of 286 thousand

D E K R A Financial Report 2021

86

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

euros (prior year: 298 thousand euros) is recognized as a liability as of the balance sheet date.
Additionally, there were further expenses of 719 thousand
euros (prior year: 710 thousand euros) and pension obligationsof 710 thousand euros (prior year: 751 thousand euros) vis-à-vis
the members of this Board.

There is a profit and loss transfer agreement and a control/
subordination agreement in place between DEKRA SE andDEKRA e.V., Stuttgart, as well as a tax group for income tax andsales tax purposes.
Transactions with non-consolidated subsidiaries, associates,
and investee companies

13 I N F O R M A T I O N O N T H E M E M B E R S
OF THE M ANAGEMENT BOARD AND
SU PE RV ISO RY BOAR D

The members of the Management Board during the fiscal year
2021 up to the date of the preparation of the statement of financial position:

Transactions with DEKRA e.V., Stuttgart

There are liabilities to DEKRA e.V., Stuttgart, as of December
31, 2021, amounting to 32.2 million euros (prior year: 42.5 million euros), mainly resulting from sales tax liabilities. There arestill receivables of 35.6 million euros (prior year: 110.0 million
euros) mainly arising from the cash pooling system, less profit/
loss transfer.
Rent agreements exist between DEKRA e.V., Stuttgart, as
the landlord and various companies of the DEKRA Group as thetenant. In the financial year 2021, rent for business premises
amounted to 20.8 million euros (prior year: 20.5 million euros).
Receivables from and liabilities to DEKRA e.V., Stuttgart, gave
rise to interest income of 1.5 million euros (prior year: 1.5 million euros) and interest expenses of 0.3 million euros (prior year:
0.5 million euros). Tax allocations for income taxes amounted
to 40.5 million euros (prior year: 29.4 million euros). In addition,
services totaling 1.7 million euros (prior year: 2.4 million euros)
were purchased from DEKRA e.V., Stuttgart.
Under a corporate lease agreement, activities are primarily performed in the field of German automotive testing andexpert reports by an operating company of the DEKRA Groupfor DEKRA e.V., Stuttgart. Business is generally conducted in
the name of and for the account of DEKRA Automobil GmbH,
Stuttgart. All transactions and business processes are handled
at DEKRA Automobil GmbH.
As remuneration for the activities, a flat-rate percentageof the profit generated before income taxes or of the sales revenue is invoiced. In fiscal year 2021, a total volume of 6.9 million
euros (prior year: 6.1 million euros) was charged to the DEKRA
Group. DEKRA e.V., Stuttgart, recorded revenue of the sameamount from this source.
In addition, the DEKRA Group rendered services of
8.1 million euros (prior year: 15.1 million euros) for DEKRA e.V.,
Stuttgart, in the fiscal year. These services were mainly incurredfor PR work and in the context of shared services.

Dec. 31, 2021

Dec. 31, 2020

Services rendered

7.6

5.3

Services purchased

7.6

4.3

Financial income

0.2

0.6

Receivables and loans

20.1

25.1

Liabilities*)

1.9

1.1

Dec. 31, 2021

Dec. 31, 2020

Services rendered

0.4

0.3

Services purchased

13.0

8.8

Financial income

0.4

0.0

Receivables and loans

3.4

0.5

Liabilities

1.0

1.0

SU BSI D I A RIES TH AT A RE
N O T F U L LY C O N S O L I D AT E D
I N M I O. EU R

A S S O C I AT E D CO M PA N I ES
AND JOINT VENTURESI N M I O. EU R

Dec. 31, 2021

Dec. 31, 2020

Services rendered

0.1

0.4

Services purchased

0.8

0.9

Financial income

0.0

0.3

Receivables and loans

0.1

0.1

Liabilities*)

0.0

0.1

I N V ES T E E CO M PA N I ES
I N M I O. EU R*) Liabilities are partially netted with the receivables in the balance sheet

D E K R A Financial Report 2021

• Stefan Kölbl, CEO
Chairman of the Management Board
Leinfelden-Echterdingen• Wolfgang Linsenmaier, CFO
Member of the Management Board
Freiberg am Neckar• Ulrike Hetzel, CTO (since Apr. 1, 2021)
Member of the Management Board
Renningen• Stanislaw Zurkiewicz, COO
Member of the Management Board
Stuttgart• Ivo Rauh, CTO (until Mar. 31, 2021)
Member of the Management Board
Stuttgart
The members of the Supervisory Board in the fiscal year 2021
were:
• Thomas Pleines(Chairman)
President of the Presidential Board of DEKRA e.V.,
Stuttgart
Formerly: Chairman of the Management Board of
Allianz Versicherungs-AG• Monika Roth-Lehnen 1)(Deputy Chairwoman)Chairwoman of the Works Council of DEKRA SE,
Chairwoman of the Central Works Council of
DEKRA Akademie GmbH, Stuttgart,
Wuppertal Service Center of DEKRA Akademie GmbH,
Stuttgart• Ulrich Beiderwieden 1)
Formerly at Federal Administrative Office of ver.di
Head of specialist division“Special Services” specialist division no. 13

87• Frank Beimborn 1)
Deputy Chairman of the Central Works Council of
DEKRA Automobil GmbH, Stuttgart
Dortmund branch of DEKRA Automobil GmbH, Stuttgart• Prof. Dr. Sabine Fließ
Douglas: Endowed Chair for
Service Management
Distance-learning University of Hagen, Hagen• Klaus-Jürgen Heitmann
Spokesman of the Boards of Directors of HUK-Coburg
Versicherungsgruppe [insurance group], Coburg• Jean-Luc Inderbitzin 1)
Deputy Chairman of the Works Council of DEKRA SE,
representative of the French CFDT trade union of DEKRA
Industrial S.A.S., Limoges, France• Dipl.-Ing. (FH) Wilfried Kettner 1)
Deputy Chairman of the Works Council of DEKRA SE,
Chairman of the Central Works Council of DEKRA
Automobil GmbH,
Suhl branch of DEKRA Automobil GmbH,
Stuttgart• Dipl.-Wirtsch.-Ing. Arndt G. Kirchhoff
Managing Partner ofKirchhoff Group, Iserlohn• Dipl.-Ing. (FH) Stephan Kramer
Branch Manager – Hamburg North,
Regional Spokesman for Schleswig-Holstein and
Hamburg at DEKRA Automobil GmbH, Stuttgart• Laurent Masquet 1)
Deputy Production Manager IT,
DEKRA Automotive Solutions, Bordeaux,France• Dipl.-Wirtsch.-Ing. Peter Tyroller
Formerly: Managing Director
Robert Bosch GmbH, Stuttgart

1)elected by the employees

D E K R A Financial Report 2021

88

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

89

14 S U B S E Q U E N T E V E N T S
Capital share in %No significant events occurred subsequent to the balance sheet
date.

I. Affiliated companies (fully consolidated)
1. Domestic (Germany)

15 O T H E R D I S C L O S U R E S

Audit of the annual financial statements

The Annual General Meeting on April 14, 2021, appointed
PricewaterhouseCoopers GmbH Wirtschaftsprüfungsgesellschaft, Stuttgart, for the first time as auditors of the separate and consolidated financial statements for fiscal year 2021.
The auditors’ fees recognized in the fiscal year are shownin the following table.
IN THOUSAND EUR

Audit services

2021

2020

709

717

0

142

709

859

Tax advisory services

List of shareholdings and consolidated group

The Group’s entire shareholdings pursuant to Sec. 313 (2) HGB
as well as all of the entities included in the consolidated financial statements in addition to DEKRA SE are presented in thefollowing list.

DEKRA Akademie GmbH

Stuttgart3)

100.00DEKRA Arbeit GmbH

Stuttgart3)

100.00DEKRA Assurance Services GmbH

Stuttgart3)

100.00DEKRA Automobil GmbH

Stuttgart3)

100.00100.00Frankfurt am Main

3)

DEKRA AUTOMOTIVE SOLUTIONS Germany GmbH
DEKRA Certification GmbH

Stuttgart3)

100.00DEKRA Claims Services GmbH

Stuttgart3)

100.00DEKRA Event & Logistic Services GmbH

Stuttgart3)

100.00DEKRA Immobilien GmbH

Stuttgart3)

100.00DEKRA INCOS GmbH

Ingolstadt

3)

100.00DEKRA Inspection Services GmbH

Stuttgart

DEKRA Personal GmbH

100.00

Stuttgart3)

100.00DEKRA Personaldienste GmbH

Stuttgart3)

100.00DEKRA Qualification GmbH

Stuttgart3)

100.00DEKRA Testing and Certification GmbH

Stuttgart3)

100.00DEKRA Visatec GmbH

Sulzberg/See

GKK Gutachten GmbH

Düsseldorf

100.003)

100.00PRO-LOG Beteiligungs GmbH

Stuttgart

100.00PRO-LOG IV GmbH

Stuttgart

100.00PRO-LOG Personal GmbH

Stuttgart

100.00PRO-LOG Ruhr GmbH

Bochum100.00UPDOWN Ingenieurteam für Fördertechnik GmbH

Hamburg

100.00I. Affiliated companies (fully consolidated)
2. Foreign
Auto Bilan France S.A.S.U.

Le Plessis Robinson, France

100.00

BST Consultants Pte. Ltd.

Singapore, Singapore

100.00Centro Misure Compatibilità S.r.l.

Thiene – Vicenza, Italy

100.00

Atibaia, SP, Brazil

100.00Jonage, France

100.00

Verona, Italy

100.00DEKRA (India) Pvt. Ltd.

New Delhi, India

100.00DEKRA (Shanghai) Co., Ltd.

Shanghai, China

100.00

Checkauto Consultatoria Técnica e Informções Veiculares Ltda.
Chilworth France S.A.S.
D.AKADEMIE S.r.l.

D E K R A Financial Report 2021

D E K R A Financial Report 2021

90

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

91

Capital share in %DEKRA (Shanghai) Investment Co., Ltd.

Capital share in %Shanghai, China

100.00DEKRA Claims Services Netherlands B.V.

Thônex, Switzerland

100.00DEKRA Claims Services UK Ltd.

DEKRA Akademie A/S

Brøndby, Denmark100.00DEKRA Croatia d.o.o. (previously: DEKRA Automotiv d.o.o.)

DEKRA Akademie Kft.

Budapest, Hungary

100.00DEKRA CZ a.s.

Tirana, Albania

100.00DEKRA d.o.o. Beograd (previously: DEKRA Automotive d.o.o.)

St. Gallen, Switzerland

100.00Dekra (Suisse) SA (previously: Dekra Claims & Expert Services (Suisse) SA)DEKRA Akademie Sh.p.k.
DEKRA Arbeit AG St. Gallen
DEKRA Arbeit (Schweiz) Holding AG

Capelle aan den IJssel, Netherlands

100.00

Stokenchurch, Bucks, UK

100.00

Zagreb, Republic of Croatia

100.00Prague 4, Czech Republic

100.00Zvezdara, Belgrade, Serbia

100.00DEKRA Empleo ETT S.L.

Barcelona, Spain

100.00Brøndby, Denmark100.00Málaga, Spain

100.00Cormelles le Royal, France

100.00Vantaa, Finland

100.00Sargans, Switzerland

100.00DEKRA Equipment & Services A/SDEKRA Arbeit AG Basel

Basel, Switzerland

100.00DEKRA España S.L.

DEKRA Arbeit AG Buchs

Buchs, Switzerland

95.00

DEKRA Expertise S.A.S.

DEKRA Arbeit AG Chur

Chur, Switzerland

90.00

DEKRA Finland Oy

Sargans, Switzerland

98.00

DEKRA Foncier S.N.C.

Le Plessis Robinson, France

100.00

Budapest, Hungary

100.00DEKRA France S.A.S.

Le Plessis Robinson, France

100.00Praha 4 – Chodov, Czech Republic

100.00DEKRA Fyn ApS

Odense, Denmark100.00

Leopoldsdorf, Austria

100.00DEKRA Hovedstaden A/S

Brøndby, Denmark100.00Klerksoord, Rosslyn, South Africa

100.00DEKRA Industrial (Guangzhou) Co., Ltd.

Guangzhou, China

100.00

Solna, Sweden

100.00DEKRA Industrial A/S (previously: DEKRA Uddannelser A/S)

Brabrand, Denmark100.00Saint Denis, France

100.00DEKRA Industrial AB SwedenGöteborg, Sweden

100.00

Stokenchurch, Bucks, UK

100.00DEKRA Industrial Holding S.A.S.

Limoges, France

100.00DEKRA Arbeit AG Sargans
DEKRA Arbeit Magyaroszag Szolgáltató Kft.
DEKRA Audit CZ s.r.o.
DEKRA Austria GmbH (previously: DEKRA Austria Automotive GmbH)
DEKRA Automotive Pty. Ltd.
DEKRA Automotive AB
DEKRA Automotive La Réunion S.A.S.
DEKRA Automotive Ltd.
DEKRA Automotive Maroc S.A.

Casablanca, Morocco

80.00

DEKRA Industrial Oy

DEKRA Automotive S.à r.l.

Munsbach, Luxembourg

100.00DEKRA Industrial RSA (Pty) Ltd.

Vantaa, Finland

100.00Klerksoord, Rosslyn, South Africa (previously: Gauteng, South Africa)

100.00DEKRA Automotive S.A.S.

Le Plessis Robinson, France

100.00DEKRA Industrial S.A.R.L.

Algiers, Algeria

99.50

Bordeaux, France

100.00DEKRA Industrial S.A.

Barcelona, Spain

100.00DEKRA Belgium SA
DEKRA Bilsyn ApSZaventem, Belgium

100.00DEKRA Industrial Safety B.V.

Capelle aan den IJssel, Netherlands

100.00Silkeborg, Denmark100.00DEKRA Industrial SAS

Limoges, France

100.00DEKRA Caribbean B.V.

Willemstad, Curaçao

100.00DEKRA Inspeções Portugal, S.A.

Lisbon, Portugal

100.00Rosslyn, South Africa (previously: Centurion, South Africa)

100.00DEKRA Inspection Oy

Vantaa, Finland

100.00Casablanca, Morocco

100.00Harrisburg, NC, United States of America

100.00DEKRA Automotive Solutions France S.A.S.U.

DEKRA Certification (Proprietary) Ltd.
DEKRA Certification B.V.

Arnhem, Netherlands

100.00DEKRA Inspection S.A.

Hong Kong, China (Hong Kong) (previously: Fanling, China (Hong Kong))

100.00DEKRA Certification Japan K.K.

Tokyo, Japan

100.00DEKRA Inspections, Inc.
(previously: Core Visual Inspection Services, Inc.)

DEKRA Certification Ltd.

Tel Aviv, Israel

100.00Le Plessis Robinson, France

100.00

Wrocław, Poland

100.00

Budapest, Hungary

100.00

North Wales, PA, United States of America

100.00

Alkmaar, Netherlands

100.00DEKRA Certification Hong Kong Limited 

DEKRA Certification S.A.S.
DEKRA Certification Sp. z o.o.
DEKRA Certification Tanúsító és Szolgáltató Kft.
DEKRA Certification, Inc.
DEKRA Claims and Expertise B.V.

D E K R A Financial Report 2021

DEKRA iST Reliability Services Inc.

Hsinchu City, Taiwan

51.00

DEKRA iST Reliability Services Limited

Hong Kong, China (Hong Kong)

51.00

DEKRA iST Reliability Services Limited

Kunshan, China

51.00

Cinisello Balsamo, Milan, Italy

100.00

Alcobendas (Madrid), Spain

100.00Brøndby, Denmark100.00DEKRA Italia S.r.l.
DEKRA ITV España S.L.
DEKRA Job ApSD E K R A Financial Report 2021

92

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

93

Capital share in %DEKRA kvalifikácia a poradenstvo s.r.o.
DEKRA Midtjylland ApSDEKRA Netherlands Holding B.V.

Capital share in %Bratislava, Slovakia

100.00DEKRA UK Ltd.

Southampton, Hampshire, UK

100.00

Skjern, Denmark100.00DEKRA UK Management Ltd.

Southampton, Hampshire, UK

100.00Arnhem, Netherlands

100.00DEKRA Vistorias e Serviços Ltda.

DEKRA New Zealand Ltd.

Wellington, New Zealand

60.00

DEKRA za privremeno zaposljavanje d.o.o.

DEKRA Nordjylland A/SSæby, Denmark100.00DEKRA Zaposljavanje d.o.o.

Atlanta, GA, United States of America

100.00DEKRA North America, Inc.
DEKRA People B.V.

Atibia, SP, Brazil

100.00

Zagreb, Republic of Croatia

100.00

Podgorica, Montenegro

100.00DEKRA zaposljavanje i zastupanje d.o.o.

Zagreb, Republic of Croatia

100.00Le Plessis Robinson, France

100.00

Stokenchurch, Bucks, UK

100.00Hangzhou, China

100.00

Alkmaar, Netherlands

100.00France Etudes et Solutions SASUDEKRA POLSKA Sp. z o.o.

Warsaw, Poland

100.00Gain Solutions Ltd.

DEKRA Portugal S.A.

Lisbon, Portugal

100.00Hangzhou DEKRA Certification Co., Ltd.

DEKRA Prélèvements & Analyses SAS

Limoges, France

99.99

MOVON Test Lab Co. Ltd.

Gyeonggi-do, Republic of Korea (South Korea)

100.00

Podgorica, Montenegro

100.00QTK Asia Electronics Ltd.

Road Town (Tortola), British Virgin Islands

100.00

Solna, Sweden

100.00STK Janov s.r.o.

Prague 4, Czech Republic

100.00DEKRA Rail B.V.

Utrecht, Netherlands

100.00UAB DEKRA Industrial

Visaginas, Lithuania

100.00DEKRA Service Maroc S.A.

Casablanca, Morocco

80.00

Vehicle Testing New Zealand Ltd.

Wellington, New Zealand

60.00

DEKRA Services (PTY) Ltd.

Klerksoord, Rosslyn, South Africa

100.00VEIKI-VNL Villamos Nagylaboratóriumok Korlátolt Felelősségű TársaságBudapest, Hungary

100.00Brøndby, Denmark100.00DEKRA Services France SASLe Plessis Robinson, France

100.00

II. Affiliated companies (not included in the consolidated financial statements)

DEKRA Services S.A.

Alcobendas (Madrid), Spain

100.001. Domestic (Germany)

DEKRA Services, Inc.

Atlanta, GA, United States of America

100.00DEKRA Cargo & Security Services GmbH

Barcelona, Spain

100.00DEKRA Media GmbH

DEKRA Sjælland A/SNæstved, Denmark100.00Ingenieurbüro Witte GmbH

DEKRA Slovensko s.r.o.

Bratislava, Slovakia

100.00DEKRA Privremeno Zaposljavanje Podgorica d.o.o.
DEKRA Quality Management AB

DEKRA Services ApSDEKRA Servicios Recursos Humanos S.L.

DEKRA Solutions B.V.
DEKRA South Africa Pty. Ltd.
DEKRA Southern Africa Oceania Limited
DEKRA Sweden AB
DEKRA Sydjylland A/S

Stuttgart

100.00Mönchengladbach

100.00

Versmold

100.00Arnhem, Netherlands

100.00

II. Affiliated companies (not included in the consolidated financial statements)

Klerksoord, Rosslyn, South Africa

100.002. Foreign

Wellington, New Zealand

100.00

Aktiebolaget Grundstenen 169887

Göteborg, Sweden

100.00Göteborg, Sweden

100.00Arbeit De Agency for Temporary Employment

Skopje, Macedonia

100.00Beijing, China

95.39

Milan, Italy

99.00

Cinisello Balsamo (MI), Italy

100.00100.00

Vejen, Denmark100.00Beijing DEKRA Vehicle Inspection Co., Ltd.

Montredon-des-Corbières, France

100.00Consorzio DEKRA Revisioni S.r.l. i.L.

DEKRA Testing & Certification (Suzhou) Co., Ltd.

Suzhou, China

100.00D. Invest s.r.l.

DEKRA Testing and Certification (Shanghai) Ltd.

Shanghai, China

100.00DEKRA Akademie EPE

Thessaloniki, Greece

DEKRA Testing and Certification Co., Ltd.

New Taipei City, Taiwan

100.00DEKRA Arbeit Anstalt

Eschen, Principality of Liechtenstein

95.00

DEKRA Testing and Certification Ltda.

Santiago de Chile, Chile

99.90

DEKRA Arbeit Austria GmbH

Vienna, Austria

100.00DEKRA Testing and Certification S.A.

Málaga, Spain

100.00DEKRA Arbeit BH d.o.o. (previously: DEKRA agencija d.o.o.)

Sarajevo, Bosnia-Herzegovina

100.00DEKRA Testing and Certification S.r.l.

Cinisello Balsamo, Milan, Italy

100.00DEKRA Arbeit Bulgaria EOOD

Sofia, Bulgaria

100.00DEKRA Testing Services (Zhejiang) Ltd.

Wenzhou, Zhejiang, China

51.00

DEKRA Arbeit L.L.C.

Priština, Kosovo

100.00DEKRA TEST CENTER S.A.

D E K R A Financial Report 2021

D E K R A Financial Report 2021

94

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

95

Capital share in %Capital share in %DEKRA Arbeit SHPK

Tirana, Albania

100.00DEKRA Services Spolka z.o.o

DEKRA Automotive EOOD

Sofia, Bulgaria

100.00DEKRA TW s.r.o.

Moncton, New Brunswick, Canada

100.00DEKRA usluge d.o.o.

Barcelona, Spain

100.00Cluj-Napoca, Romania

100.00

Stokenchurch, UK

100.00DEKRA Vizsgaközpont Nonprofit Korlátolt Felelősségű
Társaság (previously: Alapítványi Iskolák Dél-Dunántúli
Regionális Szakképzés Szervezési Társulása Nonprofit
Korlátolt Felelősségű Társaság)

Kyiv, Ukraine

70.00

DEKRA Vrabotuvanje dooel.

Vienna, Austria

100.00DEKRA zaposlitev d.o.o.

DEKRA Claims Services France S.A.

Levallois-Perret, France

100.00DEKRA zaposljavanje d.o.o.

DEKRA Claims Services Luxembourg S.A.

Munsbach, Luxembourg

100.00DEKRA Zaposljavanje d.o.o.

Casablanca, Morocco

100.00DEKRAMERICAS, S. de R.L. de C.V.
European Road Stars Academy SPRLBrussels, Belgium

50.10

Vaduz, Principality of Liechtenstein

100.00Vršovice, Prague 10, Czech Republic

100.00

Budapest, Hungary

100.00Master Test Chile SpA.

Santiago de Chile, Chile

100.00PRO-LOG CG d.o.o.

Podgorica, Montenegro

100.00PRO-LOG SR DOOBelgrade, Serbia

100.00Göteborg, Sweden (previously: Kungälv, Sweden)

100.00STK Přeštice, s.r.o.Přeštice, Czech Republic

100.00TATRA TRUCK s.r.o.

Krásny Brod, Slovakia

100.00Euro Transport Media Verlags- und Veranstaltungsgesellschaft mbHStuttgart

40.00

FSD Fahrzeugsystemdaten GmbH

Dresden

33.71

DEKRA Canada Inc.
DEKRA Certification S.L.
DEKRA Certification S.R.L.
DEKRA Certification UK Ltd.
DEKRA Claims Services
DEKRA Claims Services Austria GmbH

DEKRA Claims Services Maroc S.A.R.L.
DEKRA Claims Services Trust reg. i.L.
(previously: DEKRA Claims Services Trust reg.)
DEKRA Claims-Services-Magyarország Szolgáltató Kft.
(previously: DEKRA Claims Services Hungary Service Kft.)
DEKRA Development s.r.o.

Bratislava, Slovakia

100.00DEKRA Egypt for Services and Consulting

Cairo, Egypt

51.00

DEKRA Expert OOOKyiv, Ukraine

80.00

Atibaia, SP, Brazil

100.00DEKRA Expertises Ltda.

Kraków, Poland

100.00Bratislava, Slovakia

100.00

Zagreb, Republic of Croatia

100.00

Budapest, Hungary (previously: Pécs, Hungary)

100.00

Skopje, Macedonia

100.00

Ljubljana, Slovenia

100.00

Sarajevo, Bosnia-Herzegovina

100.00Belgrade, Serbia

100.00

Alcaldía Cuauhtémoc, Mexico City, Mexico

100.00

Gudmund s.r.o.

SLP Hiss & Lyftbesiktning AB

DEKRA Hasar Servisi Ltd. Sti.

Istanbul, Turkey

100.00DEKRA Hellas EPE

Athens, Greece

100.00DEKRA Industrial AS

Oslo, Norway

100.00

Maputo Cidade, Republic of Mozambique

100.00Kangasniemi, Finland

100.00DEKRA kvalifikace a poradenství s.r.o.

Prague 4, Czech Republic

100.00DEKRA Loss Adjusters and Surveyors Ltd.
(previously: DEKRA Certification Ltd.)

Stokenchurch, Bucks, UK

100.00III. Associated companies and joint ventures

Dubai, United Arab Emirates

100.002. Foreign

DEKRA Motores Vistoria Veicular Ltda.

Atibaia, SP, Brazil

100.00DEKRA – EXPERT Müszaki Szakértöi Kft.

Budapest, Hungary

DEKRA Outsourcing d.o.o.

Belgrade, Serbia

100.00DEKRA Advanced Mobility Testing (Huzhou) Co. Ltd.

Huzhou City, China

Paris, France

100.00NDT Training Center AB

Kraków, Poland

100.00Spearhead AG

Santiago de Chile, Chile

100.00TRANSDEKRA AG

Moscow, Russian Federation

99.99

DEKRA Industrial Inspection Lda.
DEKRA Katsastus OY (previously: Tähti Katsastus OY)DEKRA Middle East FZEDEKRA Personnel France SASDEKRA Praca Sp. z o.o.
DEKRA Revisión Técnica SpADEKRA Russ O.O.O.

D E K R A Financial Report 2021

III. Associated companies and joint ventures
1. Domestic (Germany)

Västerås, Sweden

1)

51.00
1)

Dietlikon, Switzerland
Moscow, Russian Federation

D E K R A Financial Report 2021

50.00

33.00
33.35

1)

50.00

96

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Notes

Notes

Stuttgart, March 30, 2022
Capital share in %DEKRA SEThe members of the Management Board

IV. Shareholding investments
1. Domestic (Germany)
ARGE „Technische Prüfstelle für den Kraftfahrzeugverkehr 21“ GbRDresden2), 4)

25.00

Villefontaine, France2), 4)

19.93

IV. Shareholding investments
2. Foreign
Eiffage Energie Systemes – DYNAE SA (previously: DYNAE S.A.)
Société Coopérative de Promotion S.A.

Trappes, France< 5.00Credit Agricole S.A.

Paris, France< 1.00Credit Mutuel

Paris, France< 1.00

ITT Technology Transfer s.r.l.

Ferrara, Italy

1.00

Not measured according to the equity method due to the immaterial significance for the net assets, financial position, and results of operations
N o disclosures as per Sec. 313 (2) no. 4 HGB are made because these are of immaterial significance for the presentation of a true and fairview of the net assets, financial position, and results of operations of the Group
3)
Exercising the exemption defined in Sec. 264 (3) HGB
4)
No significant influence exercised  Kölbl, Chairman  Linsenmaier

1)2)  Hetzel  Zurkiewicz

D E K R A Financial Report 2021

D E K R A Financial Report 2021

97

98

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Independent auditor’s report

Independent auditor’s report

99

DEKRA SE
Independent auditor’s report

the legal compliance of the consolidated financial statements
and of the group management report.

TO DEKR A SE, STUT TGART
Audit Opinions

We have audited the consolidated financial statements of
DEKRA SE, Stuttgart, and its subsidiaries (the Group), which
comprise the consolidated statement of financial position as at
31 December 2021, and the consolidated statement of comprehensive income, consolidated statement of changes in equity
and consolidated statement of cash flows for the financial year
from 1 January to 31 December 2021, and notes to the consolidated financial statements, including a summary of significant
accounting policies. In accordance with the German legal
requirements, we have not audited the content of the parts ofthe group management report specified in the “Other Information” section of our auditor’s report.
In our opinion, on the basis of the knowledge obtained in the audit,– t he accompanying consolidated financial statements comply,
in all material respects, with the IFRSs as adopted by the EU,
and the additional requirements of German commercial law
pursuant to § [Article] 315e Abs. [paragraph] 1 HGB [Handelsgesetzbuch: German Commercial Code] and, in compliance with these requirements, give a true and fair view of theassets, liabilities, and financial position of the Group as at
December 31, 2021, and of its financial performance for thefinancial year from January 1 to December 31, 2021, and– t he accompanying group management report as a whole provides an appropriate view of the Group’s position. In all material respects, this group management report is consistent withthe consolidated financial statements, complies with German
legal requirements and appropriately presents the opportunities and risks of future development. Our audit opinion on thegroup management report does not cover the content of theparts of the group management report listed in the “Other
Information” section.
Pursuant to § [Article] 322 Abs. [paragraph] 3 Satz [sentence] 1
HGB [Handelsgesetzbuch: German Commercial Code], we
declare that our audit has not led to any reservations relating toBasis for the Audit Opinions

We conducted our audit of the consolidated financial statements
and of the group management report in accordance with § 317
HGB and in compliance with German Generally AcceptedStandards for Financial Statement Audits promulgated by theInstitut der Wirtschaftsprüfer [Institute of Public Auditors inGermany] (IDW). Our responsibilities under those requirements and principles are further described in the “Auditor’s
Responsibilities for the Audit of the Consolidated Financial
Statements and of the group management report” section of
our auditor’s report. We are independent of the group entities
in accordance with the requirements of German commercial
and professional law, and we have fulfilled our other German
professional responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained issufficient and appropriate to provide a basis for our audit opinions on the consolidated financial statements and on the groupmanagement report.
Other Information

The executive directors are responsible for the other information. The other information includes the following non-auditedparts of the group management report:– t he corporate governance statement contained in the “Personnel Report” section of the group management report inaccordance with § 289f Abs. 4 HGB (information on the proportion of women)– the “Integrity” and “Sustainability” sections.
The other information also includes all other parts of thefinancial report – excluding cross-references to external information – with the exception of the audited consolidated financial statements, the audited group management report and our
auditor’s report.

D E K R A Financial Report 2021

Our audit opinions on the consolidated financial statements and on the group management report do not cover theother information, and consequently we do not express an audit
opinion or any other form of assurance conclusion thereon.
In connection with our audit, our responsibility is to readthe other information mentioned above and, in so doing, toconsider whether the other information– is materially inconsistent with the consolidated financial
statements, with the group management report disclosuresaudited in terms of content or with our knowledge obtainedin the audit, or– otherwise appears to be materially misstated.

whole, provides an appropriate view of the Group’s position andis, in all material respects, consistent with the consolidated
financial statements, complies with German legal requirements,
and appropriately presents the opportunities and risks of future
development. In addition, the executive directors are responsible for such arrangements and measures (systems) as they haveconsidered necessary to enable the preparation of a group management report that is in accordance with the applicable German legal requirements, and to be able to provide sufficientappropriate evidence for the assertions in the group management report.
The supervisory board is responsible for overseeing theGroup’s financial reporting process for the preparation of the consolidated financial statements and of the group management report.

Responsibilities of the Executive Directors andthe Supervisory Board for the Consolidated
Financial Statements and the Group Management Report

Auditor’s Responsibilities for the Audit of the Consolidated
Financial Statements and of the Group Management Report

The executive directors are responsible for the preparation of theconsolidated financial statements that comply, in all material
respects, with IFRSs as adopted by the EU and the additional
requirements of German commercial law pursuant to § 315e Abs.
[paragraph] 1 HGB and that the consolidated financial statements,
in compliance with these requirements, give a true and fair view of
the assets, liabilities, financial position, and financial performanceof the Group. In addition, the executive directors are responsible
for such internal control as they have determined necessary to enable the preparation of consolidated financial statements that are
free from material misstatement, whether due to fraud or error.
In preparing the consolidated financial statements, theexecutive directors are responsible for assessing the Group’s
ability to continue as a going concern. They also have theresponsibility for disclosing, as applicable, matters related togoing concern. In addition, they are responsible for financial
reporting based on the going concern basis of accounting unlessthere is an intention to liquidate the Group or to cease operations, or there is no realistic alternative but to do so.
Furthermore, the executive directors are responsible forthe preparation of the group management report that, as a

Our objectives are to obtain reasonable assurance about whether
the consolidated financial statements as a whole are free frommaterial misstatement, whether due to fraud or error, andwhether the group management report as a whole provides anappropriate view of the Group’s position and, in all material
respects, is consistent with the consolidated financial statements
and the knowledge obtained in the audit, complies with the German legal requirements and appropriately presents the opportunities and risks of future development, as well as to issue an auditor’s report that includes our audit opinions on the consolidated
financial statements and on the group management report.
Reasonable assurance is a high level of assurance but is
not a guarantee that an audit conducted in accordance with §317 HGB and in compliance with German Generally AcceptedStandards for Financial Statement Audits promulgated by theInstitut der Wirtschaftsprüfer (IDW) will always detect a material misstatement. Misstatements can arise from fraud or error
and are considered material if, individually or in the aggregate,
they could reasonably be expected to influence the economic
decisions of users taken on the basis of these consolidated financial statements and this group management report.

D E K R A Financial Report 2021

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CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Independent auditor’s report

Independent auditor’s report

We exercise professional judgment and maintain professional skepticism throughout the audit. We also:– Identify and assess the risks of material misstatement of theconsolidated financial statements and of the group management report, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain
audit evidence that is sufficient and appropriate to provide abasis for our audit opinions. The risk of not detecting a material misstatement resulting from fraud is higher than for one
resulting from error, as fraud may involve collusion, forgery,
intentional omissions, misrepresentations, or the override ofinternal controls.
– Obtain an understanding of internal control relevant to theaudit of the consolidated financial statements and of arrangements and measures (systems) relevant to the audit of thegroup management report in order to design audit proceduresthat are appropriate in the circumstances, but not for the purpose of expressing an audit opinion on the effectiveness ofthese systems.
– Evaluate the appropriateness of accounting policies used by
the executive directors and the reasonableness of estimates
made by the executive directors and related disclosures.
– Conclude on the appropriateness of the executive directors’
use of the going concern basis of accounting and, based on
the audit evidence obtained, whether a material uncertainty
exists related to events or conditions that may cast significant
doubt on the Group’s ability to continue as a going concern.
If we conclude that a material uncertainty exists, we are
required to draw attention in the auditor’s report to therelated disclosures in the consolidated financial statements
and in the group management report or, if such disclosures
are inadequate, to modify our respective audit opinions. Our
conclusions are based on the audit evidence obtained up to

the date of our auditor’s report. However, future events orconditions may cause the Group to cease to be able to continue as a going concern.
– Evaluate the overall presentation, structure and content of theconsolidated financial statements, including the disclosures,and whether the consolidated financial statements present theunderlying transactions and events in a manner that the consolidated financial statements give a true and fair view of theassets, liabilities, financial position and financial performanceof the Group in compliance with IFRSs as adopted by the EU
and the additional requirements of German commercial law
pursuant to § 315e Abs. 1 HGB.
– Obtain sufficient appropriate audit evidence regarding thefinancial information of the entities or business activities
within the Group to express audit opinions on the consolidated financial statements and on the group management
report. We are responsible for the direction, supervision andperformance of the group audit. We remain solely responsible
for our audit opinions.
– Evaluate the consistency of the group management report withthe consolidated financial statements, its conformity withGerman law, and the view of the Group’s position it provides.
– Perform audit procedures on the prospective information presented by the executive directors in the group management
report. On the basis of sufficient appropriate audit evidence,
we evaluate, in particular, the significant assumptions usedby the executive directors as a basis for the prospective information and evaluate the proper derivation of the prospective
information from these assumptions. We do not express aseparate audit opinion on the prospective information and on
the assumptions used as a basis. There is a substantial unavoidable risk that future events will differ materially from theprospective information.

D E K R A Financial Report 2021

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of theaudit and significant audit findings, including any significant
deficiencies in internal control that we identify during our audit.
Stuttgart, March 30, 2022
PricewaterhouseCoopers GmbH
Wirtschaftsprüfungsgesellschaft

Marcus Nickel
Wirtschaftsprüfer(German Public Auditor)

Jürgen Berghaus
Wirtschaftsprüfer(German Public Auditor)

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CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED FINANCIAL STATEMENTS

Report from the Chairman of the Supervisory Board

Report from the Chairman of the Supervisory Board

Report from the
Chairman of the Supervisory Board

Dear readers,

THOMAS PLEINES
President of the Presidential Boardof DEKRA e.V. and Chairman of theSupervisory Board of DEKRA SE

In 2021, the work of DEKRA SE’s Management Board was
dominated by tackling economic and socio-political challenges,
particularly those caused by the COVID-19 pandemic.
Against this backdrop, the Supervisory Board comprehensively
exercised and fulfilled its full range of monitoring and leadership duties. The Supervisory Board regularly received both
written and oral reports on key business activities. As part ofthe ongoing dialog with the Management Board, operational
activities and the future strategic development of the company
played a key role.

DEKRA successfully managed to contain and overcome theimpact of the pandemic, not least by taking action in responseat an early stage, usually in the form of new digital services.
For example, DEKRA has positioned itself across various industries in the field ofcyber security (a key area for the future), expanded its online monitoring services forindustrial inspections, and extended its portfolio of remote solutions for auditing.
2021 saw DEKRA return to growth, along with further improvements to its existingstrong market positions in segments such as vehicle inspections and claims settlement.
The Management Board and Supervisory Board discussed the future strategic development of the company in detail at two Supervisory Board meetings and pressed
ahead with this work together with the Strategy 2025. The focus here is on five key
growth markets experiencing change in the context of digital transformation andclimate change.

D E K R A Financial Report 2021

The Supervisory Board appointed auditing firm PwC as the external auditor andcommissioned it to examine DEKRA SE’s annual accounts, management report,
consolidated financial statement, and Group management report, together with theaccounting for the 2021 fiscal year. The Supervisory Board acknowledged andapproved the unqualified audit opinion of the external auditor.
The Supervisory Board’s own examination of the annual accounts, management
report, consolidated financial statement, and Group management report did not
result in any objections. The annual accounts drawn up by the Management Board
are approved by the Supervisory Board and thereby adopted. The Supervisory
Board thanks the Management Board and all DEKRA employees for their successful
endeavors in the past reporting year.

Stuttgart, April 2022
The Supervisory Board

THOMAS PLEINES,

Chairman of the Supervisory Board

D E K R A Financial Report 2021

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D E K R A E .V.

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