- Balance sheet figures according to the exchange rate valid at year end.
- Income statement figures according to the average annual exchange rate.
- Cash flow statement figures according to average and year end rates respectively.
Financial Report – Vetropack Group
Basis for the Consolidated Financial Statement
The consolidation of the Group’s financial statements provides an actual picture of the Group’s assets, financial and income situation, and regards therefore the Vetropack Group as a single business entity.
Consolidated Group statements are based on financial statements for the year and are prepared in accordance with applicable national laws of each of the companies concerned. They are then restated in accordance with internal Group valuation and formatting principles. Financial statements conform to the principles of Swiss GAAP FER in addition to accounting prescriptions set out in regulations for companies listed on the Swiss Stock Exchange.
Consolidated Group statements include Vetropack Holding Ltd, as well as all domestic and foreign subsidiaries in which Vetropack Holding Ltd has a direct or indirect interest of more than 50%. In such cases, “Full Consolidation Method” is applied, i.e. assets, liabilities, expenses and incomes of consolidated companies are consolidated 100%, whereby all intra-Group transactions are eliminated (accounts receivables and payables, incomes and expenses).
Minority interests are posted separately in the balance sheet and income statement.
Holdings between 20% and 50% are included in Group accounts, and are carried out according to the “Equity Method”. The Group’s percentage share of net assets is reported in the balance sheet under Financial Assets. Percentage share of net income is stated in the Consolidated Income Statement.
Holdings below 20% are posted in the consolidated balance sheet at acquisition cost less any necessary value adjustments.
An overview of companies within Vetropack Group and methods used to consolidate them into Group financial statements is found here.
Capital consolidation is carried out according to the “Purchase Method”, whereby acquisition cost of an acquired company is charged against its net assets according to Group principles at the time of purchase. Any goodwill paid at the time of acquisition is charged directly to Group’s retained earnings in acquisition year.
Foreign Exchange (FX) Differentials
Financial statements produced by foreign companies within the Group in their respective currencies are converted into Swiss francs as follows:
Exchange rate differentials resulting from such foreign currency conversions are charged to profit reserves. Exchange rate differentials caused by converting transactions and balance sheet items in foreign currencies are recorded in the books of the respective Group company. Foreign exchange rate effects on long-term intra-Group loans with the nature of shareholders’ equity are recorded in the consolidated shareholders’ equity, not affecting net income.
Average Exchange Rate
Year End Exchange Rate
* 2020: Average Exchange Rate: December