ENEFI Vagyonkezelo : Asset Management Plc. - Annual Report

ENEFI VAGYONKEZELŐ NYRT.

Annual report for the year ending 31 December 2023

All data in thousand HUF, unless otherwise indicated

Annual report

ENEFI Vagyonkezelő

Nyrt. and its subsidiaries

for the business year ending on 31 December 2023, based on

the International Financial Reporting Standards (IFRS)

adopted by the European Union

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ENEFI VAGYONKEZELŐ NYRT.

Annual report for the year ending 31 December 2023

All data in thousand HUF, unless otherwise indicated

General Information

Board members

Csaba Soós, Chairman of the Board since 30.12.2016

László Bálint, Board member since 30.12.2016

Ferenc Virág, Board member since 30.04.2019

Krisztina Tendli, Board member from 12.09.2022 to 19.03.2023

Supervisory board members

Imre Kerekes, Chairman of the Supervisory Board since 26.09.2017

Dr. Gyula Bakacsi, Member of the Supervisory Board since 30.12.2016

Dr. Miklós László Siska, Member of the Supervisory Board since 30.12.2016

Company contact details

Nánási út 5-7. Budapest H-1031 Building E, 3rd floor door 4.

Phone: [phone]

Fax: [phone]

Web: www.enefi.hu

Auditor

Dr. Csaba Imre Adorján (Auditor's license number: 001089)

UNIKONTO Számvitelkutatási Kft.

Fővám tér 8. 3rd floor, 317/3. Budapest H-1093

Chamber registration number: 001724

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ENEFI VAGYONKEZELŐ NYRT.

Annual report for the year ending 31 December 2023

All data in thousand HUF, unless otherwise indicated

Table of contents
Explanation of abbreviations in the financial statements	....................................................................7
I. An introduction to ENEFI Vagyonkezelő Nyrt	8
Companies included in the consolidation	10

1. Changes in accounting policy and the expected impact of IFRS and IFRIC that had not yet entered into force on the date on which the financial statements were published, as well as

previous applications	13
ADMINISTRATIVE BUSINESS REPORT	14
CONSOLIDATED FINANCIAL STATEMENTS	37
Consolidated comprehensive income statement	38
Consolidated balance sheet	39
Statement of changes in consolidated equity	41
Consolidated cash flow statement	42

1. The determining elements of the accounting policy and the basis for preparing the

financial statements	44
2.	Critical accounting decisions and major sources of estimation uncertainties	70
3.	Additional notes related to the comprehensive income statement	72
3.1	Sales revenue	72
3.2	Material costs	73
3.3	Personnel expenses	75
3.4	Other income/expenses (-)	75
3.5	Revenues and expenditures related to financial operations (-)	76
3.6	Income tax	77
3.7	Other comprehensive income for the period	80
3.8	Earnings per share (EPS) and EBITDA calculation	81
4.	Additional notes on the balance sheet	82
4.1	Intangible assets	82
4.2	Tangible assets	83
4.3 Claims from concession arrangements	83
4.4	Supplies	84
4.5 Customers	85
4.6	Securities valued at fair value through profit or loss	86
4.7	Profit tax claim	86
4.8 Other short-termreceivables	86
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ENEFI VAGYONKEZELŐ NYRT.
Annual report for the year ending 31 December 2023
	All data in thousand HUF, unless otherwise indicated
4.9	Active accruals	88
4.10	Cash and cash equivalents	88
4.11	Registered capital	89
4.12	Capital reserve	90
4.13	Accumulated foreign exchange reserve	90
4.14	Reserve for share-basedbenefits	90
4.15	Own shares	91
4.16	Profit reserve	91
4.17	Non-controllinginterests	91
4.18	Loans	92
4.19	Provisions	92
4.20	Other long-termliabilities	93
4.21	Suppliers	93
4.22	Other short-termobligations	93
4.23	Passive accruals	94
4.24	Expected credit loss	95
4.25	Fair value hierarchy of financial assets	95
5	Other Disclosures for the consolidated report	97
5.1	Transactions with related parties	97
5.2	Segment information	98
5.3	Management of financial and market risks	100
5.4	Lawsuits in progress, contingent claims, contingent liabilities	105
5.5	Significant events after the reporting period	107
5.6	Disclosures due to interests in other entities	107
5.7	Auditor-RelatedDisclosures	108
5.8	Accounting Service Provider Disclosures	108
5.9	Statements	108
5.10	Approval of financial statements	109
Individual financial statements	110
Individual comprehensive income statement	111
Custom scale	112
Individual equity change statement	115
I. The defining elements of accounting policies and the basis for the preparation of financial
statements	116

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ENEFI VAGYONKEZELŐ NYRT.

Annual report for the year ending 31 December 2023

All data in thousand HUF, unless otherwise indicated

1. Changes in accounting policy and the expected impact of IFRS and IFRIC that had not yet entered into force on the date the financial statements were published, as well as previous

applications

119

1. Significant estimates used in the preparation of financial statements and other sources of

uncertainty	138
III.	Additional notes related to the comprehensive income statement	140
1.	Sales revenue	140
2.	Direct costs	141
3.	Material costs	141
4.	Personnel expenses	142
5.	Other income and expenses	142
6.	Expenditure (income) of financial operations	144
7.	Income tax expenses	146
IV.	Additional notes related to the balance sheet	147
8.	Intangible assets	147
9.	Fixed assets	147
10.	Shareholdings in subsidiaries, affiliated companies and joint ventures	149
11.	Concession assets	151
12.	Deferred tax assets and liabilities	151
13.	Trade receivables	154
14.	Purchased shares	155
15.	Other claims	155
16.	Income tax claims	157
17.	Active accruals	157
18.	Cash and cash equivalents	158
19.	Registered capital	159
20.	Capital reserves (Asia)	160
21.	Own shares	161
22.	Reserve for share-basedpayments	161
23.	Calculation of earnings per share (EPS)	161
24.	Provisions	162
25.	Long-termlease liability	162
26.	Long-termliability to subsidiaries	162
27.	Long-termloans	163
28.	Short-termlease liabilities	163
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ENEFI VAGYONKEZELŐ NYRT.
Annual report for the year ending 31 December 2023
	All data in thousand HUF, unless otherwise indicated
29.	Passive accruals	164
30.	Contractual obligations	165
31.	Other short-termobligations	165
V.	Other disclosures	166
32.	Related party disclosures	166
33.	Liquidity risks	168
34.	Equity reconciliation table	170
35.	Contingent liabilities and contingent claims	172
36.	Events after the balance sheet date: general disclosures	172
37.	Litigation matters	173
38.	Dividends to be paid to the owners of the Company	174
39.	Authorization of financial statements for publication	174

This Annual Report has 178 pages

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ENEFI VAGYONKEZELŐ NYRT.

Annual report for the year ending 31 December 2023

All data in thousand HUF, unless otherwise indicated

Explanation of abbreviations in the financial statements

IAS	International Accounting Standards
IFRS	International Financial Reporting Standards
IFRIC/SIC	International Financial Reporting Interpretation Committee/Standing
	Interpretations Committee
FVTOCI	Fair value through other comprehensive income
FVTPL	Fair value through profit or loss
CDO	Chief decision officer
EPS	Earnings per share
AC	Audit Committee
ECL Expected credit loss
EBITDA	Earnings before interest, taxation, depreciation and amortisation

The numbers in parentheses indicate a negative value in the financial statements.

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ENEFI VAGYONKEZELŐ NYRT.

Annual report for the year ending 31 December 2023

All data in thousand HUF, unless otherwise indicated

1. An introduction to ENEFI Vagyonkezelő Nyrt

ENEFI Vagyonkezelő Nyrt. (previously known as: E-Star Alternatív Nyrt., RFV Nyrt. and ENEFI Energy Efficiency Nyrt.) ("ENEFI" or "Company"), which is the parent company of the company group ("Group"), is a company registered in Hungary. The registered office of the Company is currently Nánási út 5-7. Budapest H-1031 Building E, 3rd floor No. 4

The legal predecessor of the Company is RFV Nyrt. It was established on 29 June 2000 with the aim of using its savings to make primarily energy related investments for its prospective customers that, in addition to long-term operation, help effectively supply energy to its customers. As a result of the strategy formulated in 2019, the Company started working in new segments, with asset management and tourism activities being increasingly important in addition to the core business.

The Company's ownership structure as of 31 December 2023:

Series of shares (BSE)	ISIN	Nominal value	Number of shares	Total value
		(HUF per share)	issued	(HUF)
COMMON SHARES	HU0000089198	10	11,150,000	111,500,000
Convertible preferred	HU0000173737	10	5,456,109	54,561,090
shares
Share capital	-	-	16,606,109	166,061,090

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ENEFI VAGYONKEZELŐ NYRT.

Annual report for the year ending 31 December 2023

All data in thousand HUF, unless otherwise indicated

The number of voting rights associated with the shares as of 31 December 2023:

Series of shares	Issued	Shares with	Voting right per	All voting	Number of own
(BSE)	Quantity	voting rights	share	rights	and affiliated
					shares
COMMON	11,150,000	11,150,000	1	11,150,000	Own stock
SHARES					1,613,000
					Linked shares:
					1,031,041
					In total
					2,644,041
Convertible	5,456,109	0	0	0	Linked shares
preferred shares					1,795,000
In total:	16,606,109	11,150,000	1	11,150,000	4,439,041

RS2. The change in the number of own shares for the introduced series (common shares) asof 31 December 2023

				Shareholding
				Number	%
				(to two decimal places)
		At company level*	1,613,000	14.46
		Subsidiaries1	1,031,041	9.25

In total

2,644,041

23.71

1 Companies included in the consolidation. EETEK Ltd: 500,000 ordinary shares, ENEFI Projekttársaság

Kft. 531,041 ordinary shares

RS3. List of and introduction to owners with a more than 5% holding in ENEFI common shares (at the end of the period) for the introduced series (ordinary shares) asof 31 December 2023

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ENEFI VAGYONKEZELŐ NYRT.

Annual report for the year ending 31 December 2023

All data in thousand HUF, unless otherwise indicated

	Name		Depository			Quantity			Shareholding
		(Yes / No)			(Number)			(%)
	Csaba Soós	No	1,747,200		15.67
	In total:

RS2. The change in the number of own shares for the introduced series (SERIES H)as of 31 December 2023

		Shareholding
		Number	%
		(to two decimal places)
At company level*	0	0
Subsidiaries1	1,795,000	32.9
In total	1,795,000	32.9

1 Companies included in the consolidation: EETEK Ltd.

RS3. List of and introduction to owners with a more than 5% holding in ENEFI preferred stock (at the end of the period) for the introduced series (ENEFI convertible preferred shares) asof 31 December 2023

	Name		Depository			Quantity			Shareholding
		(Yes / No)			(Number)			(%)
	EETEK Ltd.	No	1,795,000		32.90
	Csaba SOÓS	No	3,349,966		61.40
	Ferenc Virág	No	311,143		5.70
	In total:						100

Companies included in the consolidation

ENEFI Vagyonkezelő Nyrt. qualifies as a direct parent company, and it prepares the consolidated financial statements based on IFRS. The following companies will be included in the consolidation:

31.12.202331.12.2022

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