Budapesti Ingatlan Hasznosítási es Fejlesztesi : BIF Annual Report 2022

Budapesti Ingatlan Hasznosítási és Fejlesztési Nyrt.

Annual Report 2022

Annual Financial Report 2022 of the Parent Company

Annual Financial Report 2022 of the Parent Company

Table of Contents

• Audited Annual Financial Statements of the Parent Company prepared in accordance with the International Financial Reporting Standards (IFRS) for 2022
• Business (Management) Report to the Audited Annual Financial Statements of the Parent Company prepared in accordance with the International Financial Reporting Standards (IFRS) for 2022

This is the English translation of the official Hungarian version

Budapesti Ingatlan Hasznosítási és Fejlesztési Nyrt.

Audited Annual Financial Statements of the Parent Company

Prepared in Accordance with the International Financial

Reporting Standards (IFRS)

31 December, 2022

2022 IFRS Audited Annual Financial Statements of the Parent Company

Table of contents

Annual Statement of Financial Position	4
Annual Statement of Comprehensive Income	5
Annual Statement of Changes in Equity	6
Annual Cash Flow Statement	7
Notes to the statements - general company information, key elements of the accounting
policy, additional explanations and other information	8
I.	General company information	8
1.	Company profile	8
2. Executives and Ownership structure	9
	2.1.	Executives in the year 2022	9
	2.2.	Change in senior executives, employees in strategic positions in 2022	10
	2.3.	Remuneration of senior executives in 2022	10
	2.4.	Persons authorized to sign the Financial Statements	11
	2.5.	Ownership structure	11
II.	Key elements of the accounting policy	12
1. Key elements of the accounting policy	12
	1.1.	Reporting currency and foreign exchange balances	12
	1.2.	Sales revenue	12
	1.3.	Valuation and impairment of assets over one year	13
	1.4.	Intangible assets	15
	1.5.	Goodwill	15
	1.6.	Inventories	15
	1.7.	Accounts receivable	15
	1.8.	Financial assets	15
	1.9.	Financial liabilities	16
	1.10.	Provisions	16
	1.11.	Corporate tax	17
	1.12.	Leasing	17
	1.13.	Earnings per share (EPS)	18
	1.14.	Off-balance sheet items	18
	1.15.	Repurchased treasury shares	18
	1.16.	Dividend	18
	1.17.	P/L on financial operations	19
	1.18.	State aid	19
	1.19.	Items of exceptional amounts and occurrence	19
	1.20.	Events after the balance sheet date	20
2. Changes in the accounting policy	20
3.	Uncertainty factors	21
	3.1.	Impairment on irrecoverable and doubtful receivables	21
	3.2.	Fair value determination	21
4. Basis for the compilation of the financial statements	22

4.1. Approval and statement on compliance with the International Financial Reporting

	Standards	22
	4.2.	Basis of preparing the report	22
	4.3.	Valuation basis	22
III.	Additional explanations	23
1.	Investment property	23
2.	Intangible and tangible assets	25
3.	Investments in related companies	25
4.	Deferred tax assets	26
5.	Inventories	26
6.	Trade receivables	27
7.	Other short-term receivables and prepaid expenses and accrued income	27
			2

2022 IFRS Audited Annual Financial Statements of the Parent Company

8.	Cash and cash equivalents	28
9.	Subscribed capital and capital reserve	28
10.	Revaluation reserve	28
11.	Repurchased treasury shares	29
12.	Profit reserve and profit for the year	29
13.	Equity correlation table	30
14.	Non-current financial liabilities	32
15.	Provisions	33
16.	Deferred tax liabilities	33
17.	Other long-term liabilities	33
18.	Short-term financial liabilities	33
19.	Liabilities to creditors	33
20.	Other short-term liabilities, accrued expenses and deferred income	34
21.	Sales revenue	34
22.	Other operating income	35
23.	Own performance capitalized	35
24.	Raw materials, consumables and other external charges	36
25.	Staff costs	36
26.	Depreciation and impairment	37
27.	Other operating expenditure	38
28.	Income from and expenses of financial operations	38
29.	Actual tax expenditure	39
30.	Deferred tax expense	39
31.	Other comprehensive income	40
32.	Earnings per share	40
33.	Assets and liabilities, financial position and profitability	41
33.1.	Wealth indicators	41
33.2. Indicators of the financial position	41
33.3.	Profitability indicators	41
34.	Information on business lines	42
35.	Risk Management	43
35.1.	Capital management	43
35.2.	Credit risk	44
35.3.	Liquidity risk	44
35.4.	Market risk	45
36.	Sensitivity analysis	45
37.	Financial instruments	45
38.	Remuneration of the Board of Directors and the Supervisory Board	46
39.	Remuneration of senior and middle managers in key positions	46
40.	Items of exceptional amounts and occurrence	46
41.	Presentation of related parties	46
41.1.	Subsidiary	46
41.2.	Other related party	47
IV. Other additional information	48
1.	Off-balance sheet items, litigation and other legal proceedings	48
1.1.	Off-balance sheet items that may affect the Company's future liabilities	48
1.2.	Litigation and other legal proceedings	50
2.	Significant events after the balance sheet date	50

3. Extraordinary and other regulated disclosures in 2022 and until the date of signing of this

Financial Statements of the Parent Company	50
4. Authorization to publish financial statements	51
Declaration of liability	51

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