2138003TO2MTRHWVP6862022-12-312138003TO2MTRHWVP6862021-12-312138003TO2MTRHWVP6862022-01-012022-12-312138003TO2MTRHWVP6862021-01-012021-12-312138003TO2MTRHWVP6862021-12-31ifrs-full:IssuedCapitalMember2138003TO2MTRHWVP6862021-12-31ifrs-full:SharePremiumMember2138003TO2MTRHWVP6862021-12-31gekterna:ReservesMember2138003TO2MTRHWVP6862021-12-31ifrs-full:RetainedEarningsMember2138003TO2MTRHWVP6862021-12-31ifrs-full:EquityAttributableToOwnersOfParentMember2138003TO2MTRHWVP6862021-12-31ifrs-full:NoncontrollingInterestsMember2138003TO2MTRHWVP6862020-12-31ifrs-full:IssuedCapitalMember2138003TO2MTRHWVP6862020-12-31ifrs-full:SharePremiumMember2138003TO2MTRHWVP6862020-12-31gekterna:ReservesMember2138003TO2MTRHWVP6862020-12-31ifrs-full:RetainedEarningsMember2138003TO2MTRHWVP6862020-12-31ifrs-full:EquityAttributableToOwnersOfParentMember2138003TO2MTRHWVP6862020-12-31ifrs-full:NoncontrollingInterestsMember2138003TO2MTRHWVP6862020-12-312138003TO2MTRHWVP6862022-12-31ifrs-full:IssuedCapitalMember2138003TO2MTRHWVP6862022-12-31ifrs-full:SharePremiumMember2138003TO2MTRHWVP6862022-12-31gekterna:ReservesMember2138003TO2MTRHWVP6862022-12-31ifrs-full:RetainedEarningsMember2138003TO2MTRHWVP6862022-12-31ifrs-full:EquityAttributableToOwnersOfParentMember2138003TO2MTRHWVP6862022-12-31ifrs-full:NoncontrollingInterestsMember2138003TO2MTRHWVP6862022-01-012022-12-31ifrs-full:IssuedCapitalMember2138003TO2MTRHWVP6862022-01-012022-12-31ifrs-full:SharePremiumMember2138003TO2MTRHWVP6862022-01-012022-12-31gekterna:ReservesMember2138003TO2MTRHWVP6862022-01-012022-12-31ifrs-full:RetainedEarningsMember2138003TO2MTRHWVP6862022-01-012022-12-31ifrs-full:EquityAttributableToOwnersOfParentMember2138003TO2MTRHWVP6862022-01-012022-12-31ifrs-full:NoncontrollingInterestsMember2138003TO2MTRHWVP6862021-01-012021-12-31ifrs-full:IssuedCapitalMember2138003TO2MTRHWVP6862021-01-012021-12-31ifrs-full:SharePremiumMember2138003TO2MTRHWVP6862021-01-012021-12-31gekterna:ReservesMember2138003TO2MTRHWVP6862021-01-012021-12-31ifrs-full:RetainedEarningsMember2138003TO2MTRHWVP6862021-01-012021-12-31ifrs-full:EquityAttributableToOwnersOfParentMember2138003TO2MTRHWVP6862021-01-012021-12-31ifrs-full:NoncontrollingInterestsMemberiso4217:EURiso4217:EURxbrli:shares
GEK TERNA SOCIETE ANONYME
HOLDINGS REAL ESTATE CONSTRUCTIONS
85 Mesogeion Ave., 115 26 Athens, Greece
General Commercial Registry No. 253001000
(former S.A. Reg. No. 6044/06/ Β /86/142)
ANNUAL FINANCIAL REPORT
for the period
1 January to 31 December 2022
In accordance with article 4 of L. 3556/2007 and the relevant executive Decisions
by the Board of Directors of the Hellenic Capital Market Commission
[IMAGE]
[The current page has been deliberately left blank]
3
CONTENTS
4
5
I. STATEMENTS BY MEMBERS OF THE BOARD OF DIRECTORS
(according to article 4 par. 2 of L. 3556/2007)
We
1. George Peristeris, Chairman of the Board of Directors and Chief Executive Officer, Executive Member of the Board of Directors
2. Apostolos Tamvakakis, Vice Chairman, non-Executive Member of the Board of Directors
3. Penelope Lazaridou, Executive Director, Executive Member of the Board of Directors
STATE THAT
To the best of our knowledge:
a. The attached separate and consolidated Financial Statements of GEK TERNA SOCIETE ANONYME HOLDINGS REAL ESTATE CONSTRUCTIONS for the period from January 1 st 2022 to December 31 st 2022, prepared in accordance with the effective accounting standards reflect in true manner the Assets and Liabilities, the Shareholders’ Equity and the Total Comprehensive Income of the Company, as well as of the companies included in the consolidation in aggregate, and
b. The Board of Directors’ Report presents in true manner the developments, the performance and the position of the Company, as well as of the companies included in the consolidation in aggregate, including the description of main risks and uncertainties they are facing.
Athens, 26th April 2023
Chairman of the BoD and
Chief Executive Officer
Georgios Peristeris
Vice Chairman of the BoD, Executive Director,
non-Executive Member Executive Member of the BoD
Apostolos Tamvakakis Penelope Lazaridou
6
[This page has been intentionally left blank]
GEK TERNA GROUP
Annual Financial Report of the fiscal year 1 January 2022 - 31 December 2022
(Amounts in thousands Euro, unless otherwise stated)
7
II. ANNUAL MANAGEMENT REPORT OF THE BOARD OF DIRECTORS FOR THE FINANCIAL YEAR 2022 ON THE CONSOLIDATED AND SEPARATE FINANCIAL STATEMENTS
Dear Shareholders,
Pursuant to the provisions of Law 4548/2018 as well as Law 3556/2007 article 4 paragraph 2c, 6, 7 and 8 of the decisions issued thereon 8/754/14.04.2016 of the Board of Directors of the Hellenic Capital Market Commission and the Company’s Articles of Association, we are hereby submitting to you the Annual Report of the Board of Directors for the closing year from 01.01. 2022 to 31.12. 2022.
This report contains financial and non‐financial information regarding GEK TERNA Group, for the financial year 2022 and describes the most significant events that took place during as well as after the reporting period of the financial statements. Moreover, the report outlines the key risks and uncertainties the Group may face in 2023 and records significant transactions between the Company and its related parties.
Α. Financial Developments and Performance for the Year 2022
Despite the prolonged war in Ukraine as well as the substantially surging energy costs, according to ELSTAT's provisional data, the Greek economy following the high GDP growth of 2021 (8.4%) expanded by 5.9%, in 2022 with total GDP accounting for 192 bn euros versus 181 bn euros in 2021, confirming the economy’s ability to further grow.
A significant contribution towards the achievement of the 5.9% annual growth rate came from the absorption of funds amounting to 11.4 bn euros (approximately 6.4% of GDP) in the context of the Recovery and Resilience Mechanism. Those funds were injected into the Greek economy from 2021 until the end of 2022. Other contribution factors included the Greek State’s investment program which reached 11.0 bn euros, foreign direct investments of 6.24 bn euros, as well as the great increase in tourism and shipping revenues as well as the increase in private consumption. It should be noted that at the end of the year 2022, corporate and household deposits exceeded 188 bn euros, i.e. the highest level since 2021, creating significantly improved liquidity conditions in the domestic market and economy.
On the contrary, the rising inflation created unfavorable conditions in the market due to the upward trend in prices of energy products and food items. According to ELSTAT's latest data for the entire period of 2022, the annual increase in Consumer Price Index stood at 9.6%, despite the deceleration seen in the last quarter of the year due to the declining energy prices.
From a fiscal perspective, according to the latest available figures, the Greek economy has achieved better performance in relation to the existing targets. The primary deficit according to the estimates of the Minister of Finance was expected to be zero for 2022 against the target of 1.6% of GDP. The above was made feasible due to the increased tax revenues and the higher growth realized in the economy, and despite the household support measures taken by the authorities to offset the impact from inflationary pressures. At the same time a primary surplus of 0.7% is estimated for 2023. It should
GEK TERNA GROUP
Annual Financial Report of the fiscal year 1 January 2022 - 31 December 2022
(Amounts in thousands Euro, unless otherwise stated)
8
be noted that according to data from the Ministry of Finance, the Greek government supported households and businesses against the energy crisis with 10.7 bn euros in 2022.
The yield to maturity of the Greek 10-year government bond followed the broader economic developments and evolved in line with the respective course of interest rates in the rest of the Eurozone countries, surpassing the levels of 4%. In total, during the year 2022 the Greek government borrowed from the international markets 8.3 bn euros via bond issues, while the country's credit rating was improved by one notch by all 3