Company: GIFLF
Filing Date: 2025-04-11
Form Type: 20-F
Source: 0001104659-25-034245
Chunk: 311

Company: Grifols SA
Filing Date: 2025-04-11
Form: 20-F
Item: Item 15
Chunk 311
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Item 15.CONTROLS AND PROCEDURES

A.   Evaluation of Disclosure Controls and Procedures
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Our Chief Executive Officer (“CEO”) and our Chief Financial Officer (“CFO”), after evaluating the effectiveness of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Exchange Act) as of the end of the period covered by this Annual Report on Form 20-F, have concluded that, as of such date, our disclosure controls and procedures were not effective due to the material weakness described below.

B.   Previously Disclosed Material Weaknesses
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In fiscal year 2023, we identified material weaknesses related to information technology general controls (“ITGCs”) and a lack of controls over the review and approval of certain journal entries. During 2024, we implemented certain changes in our internal control over financial reporting to address our material weaknesses identified in 2023. Our CEO and CFO, along with the Audit Committee:
(1)Held training sessions for control owners regarding the importance of ITGCs and policies, with an emphasis on roles and responsibilities, and developing and maintaining documentation.
(2)Developed enhanced risk assessment procedures and controls to improve the identification of financially relevant IT Systems and supporting tools.
(3)Designed and implemented additional controls over access security and change management.
(4)Designed and implemented an automated approval workflow for the review of manual journal entries as well as manual and automated controls supporting the operation of the approval workflow.
As relevant controls have been designed, implemented, and operated effectively for a sufficient period of time, management, including our CEO and CFO, has concluded the two material weaknesses identified in the prior year have been remediated as of December 31, 2024.
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C.   Management’s Report on Internal Control over Financial Reporting
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Our management, under the supervision of our CEO and CFO, is responsible for establishing and maintaining adequate internal control over financial reporting as defined in Rules 13a-15(f) and 15d-15(f) of the Exchange Act. Our system of internal control is designed to provide reasonable assurance as to the reliability of financial reporting and the preparation of the published financial statements under generally accepted accounting principles. For Grifols, S.A., “generally accepted accounting principles” means IFRS as issued by the IASB.
Our internal control over the financial reporting includes those policies and procedures that: (i) pertain to the maintenance of records that