
Financial report > Consolidated financial statements Geberit Group
Notes to the Consolidated Financial Statements
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1. Basis of preparation
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2. Changes in Group organization
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3. Summary of significant accounting policies
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4. Risk assessment and management
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5. Management of capital
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6. Marketable securities
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7. Trade accounts receivable
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8. Other current assets and current financial assets
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9. Inventories
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10. Property, plant and equipment
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11. Other non-current assets and non-current financial assets
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12. Goodwill and intangible assets
Total Goodwill Patents and technology Trademarks and other intangible assets MCHF MCHF MCHF MCHF 2012 Cost at beginning of year 1,013.0 715.6 127.3 170.1 Additions 2.6 2.6 Disposals -2.9 -2.9 Translation differences -5.8 -5.6 -0.2 Cost at end of year 1,006.9 710.0 127.3 169.6 Accumulated amortization at beginning of year 367.8 169.4 121.2 77.2 Amortization expense 5.8 3.2 2.6 Disposals -2.9 -2.9 Translation differences -1.9 -1.8 -0.1 Accumulated amortization at end of year 368.8 167.6 124.4 76.8 Net carrying amounts at end of year 638.1 542.4 2.9 92.8 2011 Cost at beginning of year 1,028.0 733.5 127.3 167.2 Additions 5.0 5.0 Disposals -1.3 -1.3 Translation differences -18.7 -17.9 -0.8 Cost at end of year 1,013.0 715.6 127.3 170.1 Accumulated amortization at beginning of year 369.2 174.8 118.0 76.4 Amortization expense 5.9 3.2 2.7 Disposals -1.3 -1.3 Translation differences -6.0 -5.4 -0.6 Accumulated amortization at end of year 367.8 169.4 121.2 77.2 Net carrying amounts at end of year 645.2 546.2 6.1 92.9 Goodwill and intangible assets with an indefinite useful life resulting from acquisitions are analyzed for impairment on an annual basis. As of December 31, 2012, there was no need for an impairment of these assets. The following table shows the carrying amount of positions which are material for the Group. The table shows also the parameters used in the impairment analysis.
Carrying Carrying Calculation of recoverable amount (PY numbers in brackets) amount 31.12.2012 amount 31.12.2011 Value in use (U) or fair value less cost to sell (F) Growth rate
beyond
planning
periodDiscount
pretax rateDiscount
posttax rateMCHF MCHF % % % Goodwill from LBO Geberit 238.6 240.0 U 2.60 (3.63) 10.10 (10.17) 8.90 (8.98) Goodwill from Mapress acquisition 285.9 287.9 U 2.90 (3.76) 12.30 (11.69) 9.50 (9.38) Geberit trademarks 84.6 84.6 U 2.60 (3.63) 10.60 (10.40) 8.90 (8.98) Total 609.1 612.5 The growth rates beyond the planning period are based on Euroconstruct estimations and on history-based internal assumptions about price and market share development. From today’s perspective, management believes that a possible and reasonable change of one of the crucial parameters (see → Note 3) used to calculate the recoverable amount would not lead to an impairment. The scenarios used to support this assumption are based specifically on decreases both in operating margins and the growth rate beyond the planning periods.
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13. Short-term debt
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14. Other current provisions and liabilities
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15. Long-term debt
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16. Derivative financial instruments
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17. Retirement benefit plans
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18. Participation plans
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19. Deferred tax assets and liabilities
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20. Other non-current provisions and liabilities
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21. Contingencies
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22. Capital stock and treasury shares
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23. Earnings per share
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24. Cash discounts and customer bonuses
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25. Other operating expenses, net
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26. Financial result, net
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27. Income tax expenses
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28. Cashflow figures
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29. Segment reporting
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30. Related party transactions
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31. Foreign exchange rates
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32. Subsequent events
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33. Additional disclosures on financial instruments
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34. Group companies as of December 31, 2012