SIF Muntenia : Interim Financial Statements as at 31 March 2024 (unaudited)

SIF Muntenia S.A.

Interim Financial Statements

as at 31 March 2024

prepared according to Norm no. 39/2015 for the approval of Accounting Regulations in accordance with International Financial Reporting Standards, applicable to entities authorised, regulated and supervised by the Financial Supervisory Authority of the Financial Instrument and Investment Sector

UNAUDITED

Table of Contents

Interim Financial Statements
The Statement of Profit or Loss and Other Comprehensive	1
Income
The Statement of Financial Position	2
The Statement of Changes in Equity	3 - 4
The Cash Flow Statement	5 - 6
Notes to the Financial Statements	7 - 56

The Statement of Profit or Loss and Other Comprehensive Income

for the financial period ended 31 March 2024

In RON

Income

Dividend income

Interest income

Other operating income

Net investment gain/(loss)

Net foreign exchange gain/(loss)

Net gain/(Net loss) on financial assets at fair value through profit or loss

Expenses

Management fees

Expenses on the remuneration of the members of the Board of Shareholders' Representatives and salaries (Establishments)/Reversals of impairment of other assets

Other operating expenses

Profit/(Loss) before tax

Profit tax

Net profit/(Net loss) for the period

Other comprehensive income

Items that cannot be reclassified as profit or loss

Revaluation at fair value of financial assets at fair value through other comprehensive income

Deferred tax for the reserve related to financial assets at fair value through other comprehensive income transferred to retained earnings

Other comprehensive income

Total comprehensive income for the period Earnings per share

Basic

Diluted

Note	31 March 2024	31 March 2023
6	5,177,143	-
7	2,107,969	1,288,069
	-	6,100
	520,912	(423,076)
8	9,337,035	27,939,657
22	(9,141,481)	(7,275,840)
22	(112,818)	(112,419)
14	1,048,928	-
9	(1,055,574)	(930,037)
	7,882,114	20,492,454
10	375,178	929,563
	8,257,292	21,422,017
	141,794,524	9,201,264
10,	(19,448,542)	(438,460)
16
	122,345,982	8,762,804
	130,603,274	30,184,821
19
0.011	0.028
19	0.011	0.028

The financial statements were authorised for issue by the Board of Directors on 13 May 2024 and were signed on its behalf by SAI Muntenia Invest S.A., the manager of SIF Muntenia S.A., through:

MANAGER,	DRAFTED BY,
SAI MUNTENIA INVEST S.A.	SAI MUNTENIA INVEST S.A.
Nicușor Marian BUICĂ	Irina MIHALCEA
CEO	Chief Accountant

The notes on pages 7 to 56 are an integral part of the Financial Statements.

1

The Statement of Financial Position

for the financial period ended 31 March 2024

In RON	Note
Assets
Cash and cash equivalents	11
Deposits with banks	12
Financial assets at fair value through profit or loss	13 a)
Financial assets at fair value through other	13 b)
comprehensive income
Other assets	14
Total assets
Liabilities
Dividends payable	15
Deferred income tax liabilities	16
Other liabilities	17
Total liabilities
Equity
Share capital	18 a)
Own shares	18 e)
Retained earnings
Reserves from revaluation of financial assets at	18 b)

fair value through other comprehensive income

Total equity

Total liabilities and equity

31 March 2024 31 December 2023

23,810,51746,871,575

151,709,108159,986,022

1,112,686,682 1,058,064,333

1,190,471,183 1,062,061,318

39,9772,708,399

2,478,717,467 2,329,691,647

567,056567,056

90,104,00871,444,815

23,451,11823,687,765

114,122,18295,699,636

859,471,059859,471,059

(38,175,588)(38,175,588)

1,087,170,699 1,070,950,729

456,129,115341,745,811

2,364,595,285 2,233,992,011

2,478,717,467 2,329,691,647

The financial statements were authorised for issue by the Board of Directors on 13 May 2024 and were signed on its behalf by SAI Muntenia Invest S.A., the manager of SIF Muntenia S.A., through:

MANAGER,	DRAFTED BY,
SAI MUNTENIA INVEST S.A.	SAI MUNTENIA INVEST S.A.
Nicușor Marian BUICĂ	Irina MIHALCEA
CEO	Chief Accountant

The notes on pages 7 to 56 are an integral part of the Financial Statements.

2

The Statement of Changes in Equity

for the financial period ended 31 March 2024
					Reserves from
					the revaluation
	Share				of financial assets		Retained
In RON		Own shares		at fair value			Total
capital				earnings
				through other
					comprehensive
					income
Balance as at 31 December 2023	859,471,059	(38,175,588)	341,745,811	1,070,950, ,729	2,233,992,011
Comprehensive income
Profit for the period	-	-	-	8,257,292	8,257,292
Other comprehensive income

Revaluation at fair value of financial assets at fair value through other comprehensive income, net of deferred tax*)

Reserve relating to financial assets at fair value through other comprehensive income transferred to retained earnings

-	-		-
122,345,982		122,345,982
		(7,962,678)	7,962,678	-
-	-

Total comprehensive income for the period-- 114,383,30416,219,970 130,603,274

Transactions with shareholders, recognised directly in equity

Forfeited dividends

Share capital decrease

Own shares redeemed

Total transactions with shareholders, recognised directly in equity

Balance as at 31 March 2024

-	-	-	-	-
-	-	-	-	-
-		-		-		-		-
-	-	-	-	-
859,471,059	(38,175,588)	456,129,115	1,087,170,699	2,364,595,285

*) Reserves from the revaluation at fair value of financial assets at fair value through other comprehensive income shall not be re-classified as profit or loss.

MANAGER,	DRAFTED BY,
SAI MUNTENIA INVEST S.A.	SAI MUNTENIA INVEST S.A.
Nicușor Marian BUICĂ	Irina MIHALCEA
CEO	Chief Accountant

The notes on pages 7 to 56 are an integral part of the Financial Statements.

3

The Statement of Changes in Equity (continued)

for the financial period ended 31 March 2024

In RON

Share capital

Own shares

Balance as at 31 December 2022	859,471,059		(38,175,588)
Comprehensive income
Loss for the financial period	-	-
Other comprehensive income
Revaluation at fair value of financial assets at fair value	-
through other comprehensive income, net of deferred tax*)		-
Reserve relating to financial assets at fair value through	-
other comprehensive income transferred to retained earnings			-
Total comprehensive income for the period	-	-
Transactions with shareholders, recognised directly in
equity
Forfeited dividends	-	-
Share capital decrease	-	-
Own shares redeemed	-		-
Total transactions with shareholders, recognised directly	-	-
in equity
Balance as at 31 March 2023
859,471,059	(38,175,588)

Reserves from the		Retained		Total
revaluation of		earnings
financial assets at
fair value through
other
comprehensive
income
213,107,162	824,016,476	1,858,419,109
-	21,422,017	21,422,017
			-
8,762,804	-	8,762,804
(412,301)	412,301	-
8,350,503	21,834,318	30,184,821
-	-	-
-	-	-
-		-		-
-	-	-
221,457,665	845,850,794	1,888,603,930

*) Reserves from the revaluation at fair value of financial assets at fair value through other comprehensive income shall not be re-classified as profit or loss.

MANAGER,	DRAFTED BY,
SAI MUNTENIA INVEST S.A.	SAI MUNTENIA INVEST S.A.
Nicușor Marian BUICĂ	Irina MIHALCEA
CEO	Chief Accountant

The notes on pages 7 to 56 are an integral part of the Financial Statements.

4

The Cash Flow Statement

for the financial period ended 31 March 2024

In RON	Note	31 March 2024		31 March 2023
Operating activities
Profit/(Loss) before tax		7,882,114	20,492,454
Adjustments:
Establishments/(Reversals) of impairment of other	14	(1,048,928)	-
assets
(Net gain)/Net loss on financial assets at fair value	8	(9,337,035)	(27,939,657)
through profit or loss
Gross dividend income	6	(5,177,143)	-
Interest income	7	(2,107,969)	(1,288,069)
Net foreign exchange gain/(loss)		(520,912)	423,076
Interest expenses related to the lease contract liability	14i)	251	377
Adjustments for suppliers - invoiced to be received		3,153,556	2,439,754
Other adjustments		2,108	2,288
Changes in assets and liabilities related to operating
activities
(Net payments)/Net receipts of financial assets at fair		(45,286,288)	46,809,650
value through profit or loss
Net receipts/(Net payments) of financial assets at fair		13,384,659	(1,512,401)
value through other comprehensive income
Net Receipts/(Net Payments) of other assets		1,413,371	3,115,691
(Net payments)/Net receipts of other liabilities		(3,388,218)	(47,364,971)
Net investment in deposits with a maturity of more than	12	8,108,996	15,613,520
3 months and less than a year
Dividends received		6,910,523	-
Interest received		2,430,208	1,581,909
Net cash resulting from operating activities		(23,580,707)	12,373,621
Investment activities
Payments for purchases of tangible and intangible assets		-		(417)
Net cash used in investment activities		-	(417)
Financing activities
Payments related to the lease contract liability, including	14i)	(2,597)	(2,565)
interest
Net cash used in financing activities		(2,597)	(2,565)
Net increase in cash and cash equivalents		(23,583,304)	12,370,639
Effect of exchange rate changes on cash and cash		522,246	(423,702)
equivalents
Cash and cash equivalents as at 1 January		46,871,575	31,267,786
Cash and cash equivalents as at 31 March		23,810,517	43,214,723

5

The Cash Flow Statement (continued)

for the financial period ended 31 March 2024

The cash and cash equivalents as at 31 March include:
In RON	Note	31 March 2024		31 March 2023
Petty cash		1,309	1,336
Cash at bank		13,512,112	3,125,981
Bank deposits with the original maturity shorter than		10,238,120	40,087,406
three months
Related receivables		58,976		-
Cash and cash equivalents	11	23,810,517	43,214,723

MANAGER,	DRAFTED BY,
SAI MUNTENIA INVEST S.A.	SAI MUNTENIA INVEST S.A.
Nicușor Marian BUICĂ	Irina MIHALCEA
CEO	Chief Accountant

The notes on pages 7 to 56 are an integral part of the Financial Statements.

6

Notes to the Financial Statements

for the financial year ended 31 March 2024

1. The reporting entity

SIF Muntenia S.A. ("the Company") is a collective investment undertaking established in 1996 through the reorganisation and transformation of Fondul Proprietății Private IV Muntenia, pursuant to Law no. 133/1996 for the transformation of Private Property Funds into financial investment companies, and is classified as a type of other collective investment undertakings (OCIU) according to Law no. 297/2004 on the capital market. SIF Muntenia SA operates in Romania in accordance with the provisions of the Companies Law no. 31/1990, Law no. 297/2004 on the capital market and Law no. 24/2017 on issuers of financial instruments and market operations. Under Authorisation no. 151/09.07.2021, the Financial Supervisory Authority authorised the Company as an Alternative Investment Fund intended for Retail Investors (AIFRI). The Company registered office is in 46-48 Serghei Vasilievici Rahmaninov St., the ground floor, room 2, 2nd District, Bucharest, Romania.

The sole activity of the Company covers the OCIU nature of the fund, as the Company carries out activities such as:

• Performing financial investment, in order to maximise the value of its own shares, according to the regulations in force;
• Managing the investment portfolio and exercising all rights associated with the instruments in which it invests;
• Managing risks;
• Carrying out other ancillary and adjacent activities, according to regulations in force.

The Company operates on the basis of a management contract concluded with Societatea de Administrare a Investiţiilor Muntenia Invest S.A., certified as an Alternative Investment Fund Manager (AIFM) under number PJR07 1AFIAI/400005. According to the provisions of art. 3(2) of Law no. 74/2015, as subsequently amended and supplemented, AIFM means any legal person whose main activity is the management of one or more alternative investment funds.

The Company shares have been listed on the Bucharest Stock Exchange regulated market, in the premium category, under code SIF4, since 1 November 1999.

The records of the shares and shareholders are kept according to the law by Depozitarul Central S.A. of Bucharest. The asset depositing services are provided by BRD - Groupe Société Générale S.A. - a company authorised by the Financial Supervisory Authority (FSA).

2. The bases for the preparation

(a) The declaration of conformity

The financial statements have been prepared according to the provisions of FSA Norm no. 39/28 December 2015 for the approval of Accounting Regulations compliant with International Financial Reporting Standards, applicable to entities authorised, regulated and supervised by the Financial Supervisory Authority in the Financial Instrument and Investment Sector, with the subsequent amendments and additions ("FSA Norm no. 39/2015"). Within the meaning of the FSA Norm no. 39/2015, the International Financial Reporting Standards are those adopted according to the procedure provided for by Regulation (EC) no. 1606/2002 ("IFRS adopted by the European Union").

The financial statements have been prepared in accordance with requirements laid down by IFRS adopted by the EU.

The Company financial statements have been drawn up, approved and will be made available to the public in electronic format on the Company website: www.sifmuntenia.ro

7

Notes to the Financial Statements

for the financial year ended 31 March 2024

2. The bases for the preparation (continued)

(a) The declaration of conformity (continued)

These financial statements have been prepared on a going concern basis, which implies that the Company will also continue its activity, without any significant reduction thereof, in the foreseeable future.

The Company meets the criteria for classification as an investment entity in accordance with the provisions of IFRS 10 "Consolidated Financial Statements".

The criteria for classification as an investment entity were analysed in 2023 based on the following aspects:

• The communication of Company business objectives to investors;
• Exit (divestiture) strategies for investment held by the Company;
• Activities carried out by the Company with its subsidiaries;
• The valuation of Company investment based on fair value.

The application of this exception from consolidation means that an investment entity does not have to consolidate its subsidiaries or to apply IFRS 3 "Business Combinations" when it gains control of another entity. On the other hand, it must evaluate an investment in a subsidiary at fair value through profit or loss according to IFRS 9 "Financial Instruments".

(b) The presentation of the financial statements

The financial statements are presented according to the requirements of IAS 1 "Presentation of Financial Statements", and IFRS 12 "Disclosure of Interests in Other Entities". The Company has adopted a presentation based on liquidity in the statement of its financial position and a presentation of revenues and expenses according to the nature thereof in the statement of profit or loss and other comprehensive income, considering that these presentation methods provide information that is credible and more relevant than the information that would have been presented based on other methods allowed by IAS 1.

(c) Bases of measurement

The financial statements are prepared on the basis of the fair value convention for financial assets and liabilities at fair value through profit or loss and financial assets at fair value through other comprehensive income.

Other financial assets and liabilities, as well as non-financial assets and liabilities are presented at amortised cost, revalued amount or historical cost.

The methods used to measure fair value are presented in Note 3(e)(iv) and Note 5.

(d) The functional and presentation currency

The Company management deems the functional currency, as defined by IAS 21 "The Effects of Changes in Foreign Exchange Rates", to be the Romanian Leu (RON). The financial statements are prepared and presented in RON, rounded to the nearest RON, a currency which the Company management has chosen as the presentation currency. The Company has adopted the Romanian Leu as its functional currency because this is the currency of the economic environment in which it operates, i.e. on the territory of Romania. Financial assets and liabilities held by the Company are mostly denominated in this currency; sale and purchase prices of goods and services are denominated and settled in RON; funds generated by/used in operating, financing and investment activities are in RON.

8