Joint Stock Company
‘SIGULDAS CILTSLIETU UN
MĀKSLĪGĀS APSĒKLOŠANAS
STACIJA’
Unaudited
INTERIM REPORT
for the First Six Months of 2022
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Index of Contents
2
Page
Information on the Company 3
Management Report 4
Profit or Loss Account 5
Balance sheet 6
Cash flow statement 8
Statement on changes in shareholders’ equity 9
Notes to the Financial Statements 10
Report on Management Liability 24
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Information on the Company
3
Company’s name
SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA
Company’s legal status
Joint stock company
Registration number, place and date
40003013295, Riga, 26 July 1991
Registration in the Commercial Register on 19 June 2004
Legal address
‘Kalnabeites 8’, Sigulda, Sigulda municipality, LV-2150
Shareholders holding more than 5% of the
total number of voting shares
‘Siguldas mākslīgās apsēklošanas stacija’ Ltd. (49.92%),
registration No. 40003311954
SCI AG (5.95%)
Bartholomäus-Arnoldi-Str. 82, DE-61250 Usingen, Germany
Oļegs Radčenko (5.19%)
Members of the Management Board
Nils Ivars Feodorovs, chairman of the Management Board
Sarmīte Arcimoviča, member of the Management Board
Valda Mālniece, member of the Management Board
Members of the Supervisory Board
Inita Bedrīte, chairwoman of the Supervisory Board
Maija Beča, deputy chairwoman of the Supervisory Board
Baiba Mecauce, member of the Supervisory Board
Guntis Mecaucis, member of the Supervisory Board
Jānis Tūtāns, member of the Supervisory Board till 22.04.2022
Reporting period
01.01.2022 – 30.06.2022
Previous reporting period
01.01.2021 – 30.06.2021
Auditors
Olga Kuzmiča
Sworn Auditor
Certificate No. 207
‘Orients Audit & Finance’ Ltd.
Gunāra Astras street 8B
Riga, LV-1082, Latvia
Sworn Auditors’ Commercial Company’s license No. 28
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Management Report
4
JSC ‘Siguldas ciltslietu un mākslīgās apsēklošanas stacija’ (hereinafter referred to as the Company) is one of the largest
high-quality breeding bull semen producers and suppliers in Latvia. The second largest field of the Company’s basic
economic activities is the milk testing services. The Company also provides other breeding related services – consultations
on issues of cattle breeding, feeding and keeping, evaluation of cow exterior, artificial insemination of cows, initial
processing of the supervisory data.
The proportion of the revenue from the Company’s basic economic activities, if compared to the first six months of 2021,
had not changed substantially − the revenue from the sales of the bull semen comprised 58.5 % of the net turnover,
whereas the milk laboratory services and processing of supervisory data services, taken together, accounted for 30.2 %
of the net turnover.
Company's net turnover in the first six months of 2022 was 742.4 thousand euros, which is by 12.2 % higher than in the
first six months of 2021, whereas Company's profit before enterprise income tax was 106.9 thousand euros – by 16.7 %
or 15.3 thousand euros higher compared to the corresponding period in 2021.
In 2022 a number of restrictive measures related to the war in Ukraine have entered into force in the Republic of Latvia
and other countries, which is reducing the country's economic development. It is not to be foreseen how the situation will
develop in the future, and therefore there is uncertainty about economic development. The Company's management
constantly evaluates the situation. At present, the Company's operations have not been affected by the restrictions, nor
has there been any decrease in cash flow. The Company's management believes that the introduced restrictions will not
significantly affect the Company's operations.
The outbreak of COVID-19 will not have a substantial impact on the Company's operations, financial situation and
economic performance.
In the first six months of 2022 there are no another major events that have affected the financial statement, as well as no
significant risks that the company might be confronted with and which could have an impact on its financial position and
financial performance.
By increasing the operational efficiency of its business, the Company will continue to work on the expansion of its marketed
product and service volume.
Nils Ivars Feodorovs
Sarmīte Arcimoviča
Valda Mālniece
Chairman of the Management
Board
Member of the Management
Board
Member of the Management
Board, Manager of the
Financial and Accounting
department
24 August 2022
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Profit or loss account
5
Note
30.06.2022
EUR
30.06.2021
EUR
Net sales
3
742 392
661 608
a) from agricultural activities
742 392
661 608
Changes in stock of ready-made goods and unfinished products
4
45 084
21 248
Other operating income
5
28 838
23 181
Costs of materials:
(377 799)
(312 032)
a) raw materials and auxiliary costs of materials
(323 455)
(260 247)
b) other external costs
(54 344)
(51 785)
Personnel costs:
6
(269 321)
(237 389)
a) salaries for work
(209 790)
(185 691)
b) state social insurance compulsory contributions
(49 067)
(41 414)
c) other social insurance costs
(10 464)
(10 284)
Depreciation adjustments:
(23 289)
(29 313)
a) depreciation adjustments of fixed and intangible assets
(23 288)
(29 285)
b) depreciation adjustments of current assets which the
company considers to be above the normal write-off amounts
(1)
(28)
Other operating costs
7
(38 960)
(35 631)
Profit or loss before enterprise income tax
106 945
91 672
Enterprise income tax for the reporting year
(134)
(3)
Profit or loss after enterprise income tax calculation
106 811
91 669
The profit or loss for the year
106 811
91 669
Earnings per 1 share (EPS)
17
0.253
0.217
Notes on pages 10 to 23 form an integral part of these financial statements.
Nils Ivars Feodorovs
Sarmīte Arcimoviča
Valda Mālniece
Chairman of the Management
Board
Member of the Management
Board
Member of the Management
Board, Manager of the
Financial and Accounting
department
24 August 2022
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Balance sheet
6
Assets
Note
30.06.2022
EUR
31.12.2021
EUR
Long-term investments
Intangible assets
Concessions, patents, licenses, trademarks and similar
rights
672
1 478
Intangible assets total
8
672
1 478
Fixed assets (fixed assets, investment properties)
Fixed assets
Immovable properties - land parcels, buildings and
constructions
115 045
123 771
Productive animals
23 277
33 586
Technological equipment and machinery
3 149
1 095
Other fixed assets and inventory
29 508
34 969
Prepayments for fixed assets
-
3 200
Fixed assets total
9
170 979
196 621
Investment properties
10
68 000
68 000
Long-term financial investments
Other securities and investments
11
684
684
Long-term financial investments total
684
684
Long-term investments total
240 335
266 783
Current assets
Stock
Raw materials, basic materials and auxiliary materials
18 187
24 211
Ready-made goods and goods for sale
12
1 003 400
856 983
Stock total
1 021 587
881 194
Receivables
Trade receivables
13
356 976
259 828
Other receivables
14
6 927
5 659
Prepaid expenses
15
4 058
8 895
Accrued income
28 072
29 951
Receivables total
396 033
304 333
Cash
16
279 228
358 805
Current assets total
1 696 848
1 544 332
Assets total
1 937 183
1 811 115
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Balance sheet
7
Shareholders’ equity and liabilities
Note
30.06.2022
EUR
31.12.2021
EUR
Shareholders’ equity
Share capital
17
591 416
591 416
Retained earnings or loss carried forward from previous years
1 031 686
968 685
Profit or loss of the reporting year
106 811
96 796
Shareholders’ equity total
1 729 913
1 656 897
Payables
Short-term payables
Prepayment received from customers
18 118
25 003
Trade payables
102 590
50 334
Taxes and social insurance payments
18
41 196
42 469
Other payables
31 194
19 815
Accrued liabilities
19
14 172
16 597
Short-term payables total
207 270
154 218
Payables total
207 270
154 218
Shareholders’ equity and liabilities total
1 937 183
1 811 115
Notes on pages 10 to 23 form an integral part of these financial statements.
Nils Ivars Feodorovs
Sarmīte Arcimoviča
Valda Mālniece
Chairman of the Management
Board
Member of the Management
Board
Member of the Management
Board, Manager of the
Financial and Accounting
department
24 August 2022
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Cash flow statement
8
Note
30.06.2022
EUR
30.06.2021
EUR
Cash flow from operating activities
Income from sale of goods and provision of services
824 932
719 672
Payments to suppliers, employees, other expenses arising
from basic operations
(873 551)
(773 313)
Gross cash flow from basic operations
(48 619)
(53 641)
Expenses for enterprise income tax payments
(459)
(61)
Net cash flow from operating activities
(49 078)
(53 702)
Cash flow from investing activities
Purchase of fixed assets and intangible investments
(6 252)
(52 107)
Income from dispossession of fixed assets
8 908
2 070
Net cash flow from investing activities
2 656
(50 037)
Cash flow from financing activities
Subsidies received as a state support
2 315
3 509
Dividends paid
( 33 795)
( 46 469)
Net cash flow from financing activities
(31 480)
(42 960)
Result of foreign exchange rate fluctuations
(1 675)
(1 732)
Net increase or decrease of cash and its equivalents
(79 577)
(148 431)
Cash and its equivalents balance at the beginning of the
reporting year
358 805
360 288
Cash and its equivalents balance at the end of the reporting
year
16
279 228
211 857
Notes on pages 10 to 23 form an integral part of these financial statements.
Nils Ivars Feodorovs
Sarmīte Arcimoviča
Valda Mālniece
Chairman of the Management
Board
Member of the Management
Board
Member of the Management
Board, Manager of the
Financial and Accounting
department
24 August 2022
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Statement on changes in shareholders’ equity
9
Share
capital
Retained
earnings
carried forward
from previous
years
Profit of the
reporting year
Shareholders’
equity total
EUR
EUR
EUR
EUR
31.12.2020
591 416
911 086
104 068
1 606 570
Profit of 2020 transferred to retained
earnings of previous years
-
104 068
(104 068)
-
Dividends distributed
-
(46 469)
-
(46 469)
Profit of the reporting year
-
-
91 669
91 669
30.06.2021
591 416
968 685
91 669
1 651 770
31.12.2021
591 416
968 685
96 796
1 656 897
Profit of 2021 transferred to retained
earnings of previous years
-
96 796
(96 796)
-
Dividends distributed
-
(33 795)
-
(33 795)
Profit of the reporting year
-
-
106 811
106 811
30.06.2022
591 416
1 031 686
106 811
1 729 913
Notes on pages 10 to 23 form an integral part of these financial statements.
Nils Ivars Feodorovs
Sarmīte Arcimoviča
Valda Mālniece
Chairman of the Management
Board
Member of the Management
Board
Member of the Management
Board, Manager of the
Financial and Accounting
department
24 August 2022
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Notes to the Financial Statements
10
(1) General information on the Company
JSC ‘Siguldas ciltslietu un mākslīgās apsēklošanas stacija’ (hereinafter - the Company) was registered in the Register of
Enterprises of the Republic of Latvia on 26 July 1991 and was reregistered in the Commercial Register of the Republic of
Latvia on 19 June 2004.
The Company’s basic activities are agriculture and the types of business are as follows:
- production and sale of agricultural products – high-quality breeding animals semen,
- making of milk analyses,
- evaluation of cow exterior,
- artificial insemination of cows,
- milk recording data processing,
- animals breeding organization.
(2) Significant accounting principles
Underlying principles of preparation of the Financial Statements
The Company’s Financial Statements have been prepared according to the Law On Annual Reports and Consolidated
Annual reports of the Republic of Latvia. According to Section 5 of the Law on Annual Reports and Consolidated Annual
reports, the Company is classified as a small company according to the last two years figures. Taking into account the
legal requirements for commercial companies whose transferable securities are listed on a regulated market, the Company
applies requirements that are binding on a large company. The Profit or Loss Account is been prepared based on
classification according to expense types. The Cash Flow Statement was prepared according to the direct method.
Complying the regulation stated in Article 13 Part 5 Chapter 2 of the Law On Annual Reports and Consolidated Annual
reports, the Company acknowledges, assesses, shows in its financial report and provides explicative information on
investment properties in compliance with the international accounting standards.
Accountig principles used
The items of the Financial Statements have been evaluated according to the following accounting principles:
- It is assumed that the Company will be a going concern;
- The same evaluation methods have been used, which were used in the previous year;
- Evaluation was done with sufficient prudence:
The Financial Statements include solely the profit gained until the balance sheet date,
All expected risk amounts and losses have been taken into account, which occurred during the reporting year
or in previous years, also if they were known during a certain period of time between the balance sheets date
and the day of preparing the Financial Statements,
All value decreasing and depreciation amounts have been taken into account irrespective whether the
reporting year was closed with profit or loss;
- reporting year related income and costs were recognized irrespective of the payment date and the date of receipt
or issuance of invoice. Costs have been agreed with the income in the reporting period;
- components of asset and liabilities items have been recognized separately;
- the opening balance of the reporting year agrees with the closing balance of the previous year;
- all items have been recognized, which materially influence assessment or decision-making process of the users
of the annual report, insignificant items are merged and they are detailed in the Appendix;
- operating transactions in the reporting year have been recognized in the Financial Statements by taking into
account their economic substance and contents, rather than legal form.
Financial instruments
Fair value of financial assets and liabilities
Fair value of financial assets and liabilities reflect the amount, for which it is possible to exchange assets or perform
liabilities in a deal between well informed, interested and financially independent persons. If in the Company’s management
opinion, fair value of financial assets and liabilities materially differs from the value recognized in the balance sheet, then
the fair value of these assets and liabilities is recognized in the Notes to the Financial Statements.
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Notes to the Financial Statements
11
Financial risks management
Credit risk
The Company’s management has developed credit policy, which is constantly controlled. Client evaluation is done for all
customers above a fixed amount. The Company cooperates with clients who have proper credit assessment.
Currency risk
Based on the current structure of Company’s financial assets and liabilities held in foreign currencies, the currency risk is
not material.
Reporting period
The reporting period is six months from 1 January to 30 June 2022.
Revaluation of foreign currencies
The Company’s functional currency and the currency used in the Financial Statements is euro (EUR). All transactions in
foreign currencies are converted into euro according to the euro foreign exchange reference rate published by the
European Central Bank on the day of particular transaction being performed.
Monetary assets and liabilities, which are shown in foreign currencies, are converted into euro according to the fixed euro
foreign exchange reference rate published by the European Central Bank on the last day of the reporting period.
30.06.2022
30.06.2021
USD
1.03870
1.18840
Currency exchange rate differences arising from settlements in currencies or when recognizing assets and liabilities by
using currency exchange rates, which differ from the initial currency exchange rates used for accounting of transactions,
are recognized in the profit or loss account in net value.
Recognition of income
Income is recognized according to the conviction about the Company’s possibility to gain economic benefit and in the
amount, in which it is possible to state it, less value added tax and sales-related discounts. When recognizing income, also
the following provisions are taken into account.
Sale of goods
Income is recognized when the Company has transferred to the purchaser major risks and indemnities related to the title
of goods.
Provision of services
Income from services is recognized in the period when the services are provided.
Penalty and delay charges
Income from penalty and delay charges is recognized at the moment of their receipt.
Interest
Income is recognized according to the respective period of time.
Long-term and short-term items
Long-term items include amounts whose receipt, payments or write-off terms are due later after the end of the respective
reporting year. Amounts, which are receivable, payable or written off during the year, are recognized in short-term items.
Leasing transactions
Financial leasing
In cases when fixed assets are purchased on the conditions of financial leasing and the related risks and return are taken
over, these fixed assets are recognized in the value, for which they could be purchased with immediate payment. Leasing
interest payments and similar payments are included in the profit or loss account of that period when they occurred.
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Notes to the Financial Statements
12
Intangible assets and fixed assets
In the balance sheet, all intangible assets and fixed assets are reflected at their purchase prices, less depreciation.
Depreciation is calculated from the first date of the next month after their commissioning and finished on the first date of
the subsequent month after it is excluded from fixed assets. Depreciation is calculated according to the straight line method
and is written off during the useful life time of respective fixed assets by choosing the following annual depreciation rates
as fixed by the management:
Intangible assets:
Licenses
5 years
Fixed assets:
Buildings and constructions
10, 20, 25, 40 and 59 years
Productive animals
4 years
Equipment and machinery
5, 6 and 7 years
Computer hardware and communication
equipment
5 years
Inventory and tools
3 and 5 years
Other fixed assets
2 and 3 years
Balances of fixed assets have been counted in the annual count of fixed assets.
The Company capitalizes its fixed assets valued over 70 euro with useful life exceeding one year. Depreciation for
improvements and other low costs items with the value less than 70 euro is recognized by 100 % after commissioning.
If sufficient evidence is acquired that the future economic benefit associated with subsequent repair or reconstruction costs
will flow to the Company, which exceeds the return set previously, costs are capitalized as additional costs to the fixed
asset.
Net gains or losses from disposal of fixed assets is calculated as the difference between the carrying amount of the fixed
asset and proceeds from sale, and recognized in the income statements during the period when disposal are incurred.
If it is possible to conclude due to any kind of occurrence or circumstances that residual value of fixed or intangible assets
could not reach its recoverable value, appropriate value of fixed or intangible asset is to be decreased until recoverable
value. Recoverable value is calculated as the highest of fair value less costs to sell or value in use.
Productive animals meet the value criteria of fixed assets and are included in fixed assets.
Investment properties
Investment property is property (land plots, building or part of building) held by the owner or by lessee under a finance
lease to earn rentals or for capital appreciation rather than use in the production or supply of goods or services or for
administrative purposes or sale in the ordinary course of business. For the land with uncertain future use (if the Company
has not determined that it will use the land as owner occupied or short term sale in the ordinary course of business, it is
assumed that land is held for capital appreciation), it is classified as investment property.
Investment property of the company– land in possession of the stock company, which market value is expected to grow.
Investment properties have been filed according to their purchase value. No later than at the end of the year of account
the investments properties are being revalued according to their real market value considering any other activities related
to particular property. The revaluation is performed by a certified evaluator. Any changes in the market value of the
investments properties are being shown in the profit and loss account.
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Notes to the Financial Statements
13
Evaluation using a comparable transaction method was carried out by a certified evaluator:
2021 – LTD ‘Eiroeksperts’
2020 – LTD ‘Eiroeksperts’
Stock
Stock is recognized in the lowest cost or net sales value. All stock is assessed by using the average weighted method.
Net sales value is the sales price of stock fixed during normal Company’s operations, less the stock completion and selling
costs. In cases when the stock net selling value is lower than their cost price, provisions are made for these stocks for
decrease of their value down to the net sales value.
All direct costs, which are related to production of breeding animals - bull semen, during the year are booked in the profit
or loss account and are adjusted at the end of the year when evaluating stocks according to the lowest sales value or cost
price and including them in stocks as “Ready-made goods and goods for sale”.
Trade receivables and other receivables
In the balance sheet receivables are recognized in the recoverable value, provisions for doubtful receivables having been
deducted. Provisions for doubtful debts are made in cases when there is objective evidence to the fact that the Company
will not be able to receive the debts in full value according to the initially fixed repayment dates. Provisions for doubtful
debts are the difference between the amortized purchase value of receivables and the recoverable value. The recoverable
value of receivables is the current value of planned cash flow.
Cash
For the purposes of the cash flow statement, cash and cash equivalents comprise cash, the balances of the current bank
account and other current liquid financial assets with maturities up to 90 days.
Provisions
Provisions are liabilities related to current or previous years events and at the preparation of financial statements it is
probable that an outflow of resources will be required to settle the obligation and its amount can be reliably estimated.
Provisions are measured at the present value of the expenditures expected to be required to settle the obligation.
Subsidies
Amounts, which are received as a state support for agricultural, i.e., for covering of expenses for maintaining high-quality
breed bulls, are included in the income of that reporting period when they are received and all material conditions for the
grant are fulfilled.
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Notes to the Financial Statements
14
Taxes
Corporate income tax for the financial year
Corporate income tax is payable on the distribution of profits and the conditional distribution of profits. Distributed and
notionally distributed profits are taxed at the rate of 20 percent of the gross amount, or 20/80 of net costs. Corporate income
tax on the payment of dividends is recognized in the profit and loss account as an expense in the period in which the
dividends are declared and, in the case of other retained earnings, as incurred.
Use of assumptions
When preparing the financial statements, the Company’s management has to make calculations and assumptions, which
impact recognition of assets and liabilities included in the financial statements as at the day of preparing the financial
statements, as well as the income and expenses recognized in the specific reporting period. Management has made profit
or loss assessment and considers that the financial statements reflect the true financial condition based on all currently
available information.
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Notes to the Financial Statements
15
(3) Net sales
Sales include income gained during the year from the Company’s basic activities – sales of products and provision of
services without value added tax and less discounts.
Type of operations
30.06.2022
EUR
30.06.2021
EUR
Sale of Livestock sperm and embryos
434 025
379 638
Milk laboratory services
179 310
167 548
Treatment of supervisory data
44 962
46 018
Artificial insemination of livestock
20 466
15 086
Other income
63 629
53 318
742 392
661 608
Distribution of net sales according to the geographical markets:
30.06.2022
EUR
30.06.2021
EUR
Latvia
742 392
661 608
742 392
661 608
(4) Changes in stock of ready-made goods and unfinished products
30.06.2022
EUR
30.06.2021
EUR
Changes in the value of semen stocks produced
45 084
21 248
45 084
21 248
(5) Other operating income
30.06.2022
EUR
30.06.2021
EUR
State support for agricultural
2 315
3 509
Recovered doubtful and bad debts
26 520
19 650
Other income
3
22
28 838
23 181
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Notes to the Financial Statements
16
(6) Personnel costs
30.06.2022
EUR
30.06.2021
EUR
Salaries for work
209 790
177 198
Life insurance with cash value accrual
-
8 493
State social insurance contributions
49 067
41 414
Health insurance
8 541
8 587
Other costs
1 923
1 697
269 321
237 389
(7) Other operating expenses
30.06.2022
EUR
30.06.2021
EUR
Insurance payments
2 851
4 295
Selling expenses
3 678
1 093
The costs of accreditation and employee training
2 605
2 227
Labour protection expenditure
1 979
1 859
Company’s management and administrative expenses
3 079
3 479
Regulated securities market expenses
8 413
6 866
Loss from foreign currency exchange rate fluctuations
3 644
2 534
Net loss from dispossession of fixed assets
505
3 520
Employees’ leisure and similar costs
3 003
1 858
Real estate tax
1 862
1 862
Other costs
7 341
6 038
38 960
35 631
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Notes to the Financial Statements
17
(8) Intangible assets
Concessions,
patents, licenses,
trademarks and
similar rights
EUR
Initial value
31.12.2021
10 785
Purchased
-
Disposed
-
30.06.2022
10 785
Accrued depreciation adjustments
31.12.2021
9 307
Annual write-off of the value
806
Adjustments to accrued depreciation of excluded intangible assets
-
30.06.2022
10 113
Book value as at 31.12.2021
1 478
Book value as at 30.06.2022
672
Concessions,
patents, licenses,
trademarks and
similar rights
EUR
Initial value
31.12.2020
10 785
Purchased
-
Disposed
-
30.06.2021
10 785
Accrued depreciation adjustments
31.12.2020
7 695
Annual write-off of the value
806
Adjustments to accrued depreciation of excluded intangible assets
-
30.06.2021
8 501
Book value as at 31.12.2020
3 090
Book value as at 30.06.2021
2 284
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Notes to the Financial Statements
18
(9) Report on movement of fixed assets
Land,
buildings
and
construc-
tions
Productive
animals
Technological
equipment
and machinery
Other
fixed assets
and
inventory
Prepayments
for fixed
assets
Total
EUR
EUR
EUR
EUR
EUR
EUR
Initial value
31.12.2021
467 494
50 469
306 399
293 338
3 200
1 120 900
Purchased
-
5 237
2 784
1 431
-
9 452
Dispossessed or
liquidated
-
(19 241)
-
(162)
(3 200)
(22 603)
30.06.2022
467 494
36 465
309 183
294 607
-
1 107 749
Accrued depreciation
adjustments
31.12.2021
343 723
16 883
305 304
258 369
-
924 279
Calculated
depreciation
8 726
6 134
730
6 892
-
22 482
Depreciation of
dispossessed or
liquidated fixed assets
-
(9 829)
-
(162)
-
(9 991)
30.06.2022
352 449
13 188
306 034
265 099
-
936 770
Book value as on
31.12.2021
123 771
33 586
1 095
34 969
3 200
196 621
Book value as on
30.06.2022
115 045
23 277
3 149
29 508
-
170 979
As on 30 June 2022, the cadastral value of real estate – land and constructions – was EUR 158 539.
Land,
buildings and
constructions
Productive
animals and
perennial
plantings
Technological
equipment and
machinery
Other
fixed assets
and inventory
Total
EUR
EUR
EUR
EUR
EUR
Initial value
31.12.2020
467 494
71 529
306 399
288 265
1 133 687
Purchased
-
18 570
-
33 537
52 107
Dispossessed or liquidated
-
(8 593)
-
(3 938)
(12 531)
30.06.2021
467 494
81 506
306 399
317 864
1 173 263
Accrued depreciation
adjustments
31.12.2020
324 263
26 436
303 844
267 661
922 204
Calculated depreciation
9 730
7 463
730
10 556
28 479
Depreciation of dispossessed or
liquidated fixed assets
-
(2 506)
-
(3 938)
(6 444)
30.06.2021
333 993
31 393
304 574
274 279
944 239
Book value as on 31.12.2020
143 231
45 093
2 555
20 604
211 483
Book value as on 30.06.2021
133 501
50 113
1 825
43 585
229 024
As on 30 June 2021, the cadastral value of real estate – land and constructions – was EUR 158 539.
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Notes to the Financial Statements
19
(10) Investment properties
Land
EUR
Book value as on 31.12.2020
68 000
Increase/decrease of value due to revaluation
-
Book value as on 30.06.2021
68 000
Book value as on 31.12.2021
68 000
Increase/decrease of value due to revaluation
-
Book value as on 30.06.2022
68 000
(11) Other securities and investments
EUR
Purchase value as on 31.12.2021
684
Book value as on 31.12.2021
684
Purchase value as on 30.06.2022
684
Book value as on 30.06.2022
684
(12) Ready-made products and goods for sale
30.06.2022
EUR
31.12.2021
EUR
Bull semen
990 633
839 983
Other goods for sale
12 767
17 000
1 003 400
856 983
(13) Trade receivables
30.06.2022
EUR
31.12.2021
EUR
Accounting value of trade receivables
399 088
328 460
Provisions for doubtful trade receivables
(42 112)
(68 632)
356 976
259 828
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Notes to the Financial Statements
20
(14) Other receivables
30.06.2022
EUR
31.12.2021
EUR
VAT for received goods and services
-
672
VAT on advance payments received
3 056
4 210
Corporate income tax overpayment
246
-
Other receivables
3 625
777
6 927
5 659
(15) Prepaid expenses
The item recognizes the costs made during the reporting year, but referring to the next reporting periods.
30.06.2022
EUR
31.12.2021
EUR
Advertising costs
44
120
Insurance
3 694
6 112
Press and legislation updates’ subscription
21
1 274
Server maintenance and similar costs
-
273
Other prepaid expenses
299
1 116
4 058
8 895
(16) Cash
Break-down of cash according to currencies:
30.06.2022
31.12.2021
Currency
EUR
Currency
EUR
Cash in hand
EUR
-
3 530
-
1 182
Cash in bank
EUR
-
275 698
-
357 623
279 228
358 805
(17) Share capital
Since 21 May 2007 Company’s shares are quoted on the Second List of Nasdaq Riga Stock Exchange (ISIN code:
LV0000100600). The Company’s share capital has been formed of shareholders’ investments.
The total number of shares as per 30.06.2022 is 422 440, the nominal value of one share is 1.40 euro.
The total number of shares as per 31.12.2021 was 422 440, the nominal value of one share – 1.40 euro.
30.06.2022
EUR
31.12.2021
EUR
Bearer shares with voting rights
590 016
590 016
Shares owned by the Board without voting rights
1 400
1 400
591 416
591 416
421 440 shares or 99.8% of the share capital are bearer shares, which give equal rights to receive dividends, receipt of
liquidation quota and voting rights in the Shareholders’ Meeting.
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Notes to the Financial Statements
21
Owners of 421 440 bearer shares
30.06.2022
%
31.12.2021
%
‘Siguldas mākslīgās apsēklošanas stacija’ Ltd
49.92
49.92
Inita Bedrīte, chairwoman of the Supervisory Board
0.26
0.26
Maija Beča, deputy chairwoman of the Supervisory Board
0.73
0.73
Baiba Mecauce, member of the Supervisory Board
2.44
2.44
Guntis Mecaucis, member of the Supervisory Board
1.29
1.29
Jānis Tūtāns, member of the Supervisory Board till 22.04.2022
-
0.25
Sarmīte Arcimoviča, member of the Management Board
0.91
0.91
Valda Mālniece, member of the Management Board
3.31
3.31
Other shareholders
41.14
40.89
100.00
100.00
1 000 shares or 0.24% of the share capital, which are not included in the regulated market, are personnel registered shares,
which may be obtained only by Members of the Board, and they give equal rights only to receipt of dividend and liquidation
quota.
Owners of the Company’s personnel registered shares according to the Company’s carried shareholders registry.
30.06.2022
number
31.12.2021
number
Nils Ivars Feodorovs, chairman of the Management Board
400
400
Sarmīte Arcimoviča, member of the Management Board
300
300
Valda Mālniece, member of the Management Board
300
300
1 000
1 000
There are no share alienation restrictions, nor the necessity to receive the Company’s or other shareholders’ consent for
alienation of shares.
There are no restrictions on voting rights, nor any other similar restrictions.
Earnings per share
Earnings per one share is calculated by dividing the profit of the reporting period with the average weighted number of
shares during the year.
30.06.2022
EUR
30.06.2021
EUR
Profit or loss of the reporting period
106 811
91 669
Average weighted number of shares during the year
422 440
422 440
0.253
0.217
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Notes to the Financial Statements
22
(18) Taxes and social insurance payments
Tax type
30.06.2022
EUR
31.12.2021
EUR
Value added tax
15 235
20 003
Personal income tax
8 766
7 486
Social insurance payments
17 092
14 788
Nature resource tax
92
103
Corporate income tax
-
79
Business risk state fee
11
10
41 196
42 469
Tax overpaid declared in position ‘Other receivables’
(19) Accrued liabilities
30.06.2022
EUR
31.12.2021
EUR
Calculated liabilities to personnel for unused vacation
12 997
12 997
Accrued accounts payable
1 175
3 600
14 172
16 597
(20) Information on the number of management members and remuneration
30.06.2022
EUR
30.06.2021
EUR
Remuneration to five Supervisory Board members for execution of functions
4 284
4 620
Social insurance payments from remuneration to five Supervisory Board
members for execution of functions
1 114
1 065
Remuneration to three Management Board members for execution of
functions
20 791
18 213
Social insurance payments from remuneration to three Management Board
members for execution of functions
4 420
4 296
Total remuneration to the management members
30 609
28 194
There are no special regulations put in place to regulate the election of the Management Board members, the change of
the composition of the Management Board and amendments to the Articles of Association.
All Management Board members have equal Company’s representation rights. The chairman of the Management Board
represents the Company separately, but other Management Board members may represent the Company only collectively.
There is no agreement signed between the Company and the Management Board members ensuring any kind of
compensation.
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Notes to the Financial Statements
23
(21) Average number of employees
30.06.2022
number
30.06.2021
number
Supervisory Board members (all employees perform the functions of the
Supervisory Board member as an extra work in addition to principal work
duties)
2
3
Management Board members (two employees perform the functions of the
Management Board member as an extra work in addition to principal work
duties)
3
3
Other employees
23
26
Total average number of employees
28
32
(22) Post-Balance-Sheet Events
In 2022 a number of restrictive measures related to the war in Ukraine have entered into force in the Republic of Latvia
and other countries, which is reducing the country's economic development. It is not to be foreseen how the situation will
develop in the future, and therefore there is uncertainty about economic development. The Company's management
constantly evaluates the situation. At present, the Company's operations have not been affected by the restrictions, nor
has there been any decrease in cash flow. The Company's management believes that the introduced restrictions will not
significantly affect the Company's operations.
The outbreak of Covid-19 will not have a substantial impact on the Company's operations, financial situation and
economic performance.
During the period of time in between the closing of the balance sheet and the day the report is being signed by the Board,
there have been no significant events or extraordinary circumstances taking place that may influence the results of the
reporting year and the Company’s financial condition.
Nils Ivars Feodorovs
Sarmīte Arcimoviča
Valda Mālniece
Chairman of the Management
Board
Member of the Management
Board, Manager of the
Production and Marketing
department
Member of the Management
Board, Manager of the
Financial and Accounting
department
24 August 2022
JSC ‘SIGULDAS CILTSLIETU UN MĀKSLĪGĀS APSĒKLOŠANAS STACIJA’
Interim Report for the First Six Months of 2022
Report on Management Liability
24
The management of JSC ‘Siguldas ciltslietu un mākslīgās apsēklošanas stacija’ (hereinafter - the Company) is responsible
for the preparation of the financial statements of the Company. The financial statements are prepared in accordance with
the source documents and present fairly the financial position of the Company as of 30 June 2022 and the results of their
operations and cash flows for the year then ended.
The Management Board confirms that the financial statements and notes to the financial statements contained on
pp. 3-23 have been prepared on the basis of source documents and the decisions adopted and the assessments made
were conservative and prudent. The accounting policy compared to the preceding year has not changed. The Management
Board confirms that the financial statements have been prepared on a going-concern basis
The Management is responsible for keeping a proper accounting system, preservation of Company’s assets, and for
detection and prevention of fraud and other irregularities in the Company. The Management is also responsible for
compliance with the requirements of Latvian laws as well as European Union regulations applicable to the Company.
Interim report for the first six months of the year 2022 has not been audited by a sworn auditor.
Nils Ivars Feodorovs
Sarmīte Arcimoviča
Valda Mālniece
Chairman of the Management
Board
Member of the Management
Board, Manager of the
Production and Marketing
department
Member of the Management
Board, Manager of the
Financial and Accounting
department
24 August 2022