Medacta : 2020 Financial Report

FINANCIAL REPORT

Medacta's Annual Report 2020

INDEX

1.	CONSOLIDATED STATEMENT OF PROFIT OR LOSS FOR THE YEARS ENDED DECEMBER 31, 2020 AND 2019	102
2.	CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME FOR THE YEARS ENDED DECEMBER 31, 2020 AND 2019	103
3.	CONSOLIDATED STATEMENT OF FINANCIAL POSITION FOR THE YEARS ENDED DECEMBER 31, 2020 AND 2019	104
4.	CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE YEARS ENDED DECEMBER 31, 2020 AND 2019	105
5.	CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31, 2020 AND 2019	106
6.	NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2020 AND 2019	107
7.	AUDIT REPORT - CONSOLIDATED FINANCIAL STATEMENTS	154
8.	STATUTORY FINANCIAL STATEMENTS MEDACTA GROUP SA, CASTEL SAN PIETRO	160
9.	PROPOSAL OF THE BOARD OF DIRECTORS WITH REGARD TO THE APPROPRIATION OF THE AVAILABLE RETAINED EARNINGS	165
10.	AUDIT REPORT - MEDACTA GROUP SA FINANCIAL STATEMENTS	166

100 Medacta's Annual Report 2020 l Financial Report

Next-generation Augmented Reality surgical platform based on proprietary single use technology, improving efficiency and accuracy in computer-assisted surgery with a low upfront capital investment and low cost per procedure.

NextAR is the latest addition to Medacta's MySolutions platform, providing personalized solutions that will support the surgeon to take care of patients as individuals. Together with our comprehensive implant portfolio and surgical techniques, MySolutions empowers Medacta's holistic approach to personalized medicine.

S M A R T D E L I V E R Y T O O L S

COMPACT AND INTEGRATED SYSTEM

NextAR TS innovative single-use tracking system adds intelligence to surgery and enhances O.R. logistics with its compact and integrated design replacing bulky external detection systems.

101

1. CONSOLIDATED STATEMENT OF PROFIT OR LOSS FOR THE YEARS ENDED DECEMBER 31, 2020 AND 2019

(Thousand Euro)	Notes	31.12.2020	31.12.2019
Revenues	6.23.1	302'492	310'623
Cost of Sales		(88'236)	(86'926)
GROSS PROFIT		214'256	223'697
Research and Development expenses	6.23.2	(6'829)	(7'641)
Sales and Marketing expenses		(110'069)	(127'087)
General and Administrative expenses	6.23.2	(47'472)	(63'940)
Other income	6.23.3	1'809	1'592
Other expenses	6.23.3	(2'252)	(7'008)
OPERATING PROFIT(EBIT)		49'443	19'613
Financial income	6.23.4	4'957	2'059
Financial costs	6.23.4	(14'468)	(8'040)
PROFIT BEFORE TAXES		39'932	13'632
Income taxes	6.10	(2'841)	(1'773)
PROFIT FOR THE YEAR		37'091	11'859
ATTRIBUTABLE TO
Equity holders of the parent	6.26	37'091	11'859
Non-controlling interests		-	-
Basic earnings per share *	6.26	1.85	0.59

* In the years ended December 31, 2020 and 2019, there is no effect of dilution, and diluted earnings per share equals basic earnings per share.

The Notes are an integral part of the Consolidated Financial Statements

102 Medacta's Annual Report 2020 l Financial Report

2. CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME FOR THE YEARS ENDED DECEMBER 31, 2020 AND 2019

(Thousand Euro)	Notes	31.12.2020	31.12.2019
PROFIT FOR THE YEAR		37'091	11'859
OTHER COMPREHENSIVE INCOME
Remeasurements of defined benefit obligations	6.19	(686)	(2'466)
Tax effect on remeasurements of defined benefit obligations		119	459
TOTAL ITEMS NOT TO BE RECLASSIFIED TO PROFIT OR LOSS		(567)	(2'007)
IN SUBSEQUENT PERIODS
Currency translation differences		4'959	3'085
TOTAL ITEMS TO BE RECLASSIFIED TO PROFIT OR LOSS		4'959	3'085
IN SUBSEQUENT PERIODS
OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX		4'392	1'078
TOTAL COMPREHENSIVE INCOME FOR THE YEAR		41'483	12'937
ATTRIBUTABLE TO
Equity holders of the parent		41'483	12'937
Non-controlling interests		-	-

The Notes are an integral part of the Consolidated Financial Statements

Financial Report l Medacta's Annual Report 2020

103