Document and Entity Information
Document and Entity Information | 12 Months Ended |
Dec. 31, 2021shares | |
Document Information [Line Items] | |
Entity Registrant Name | Centogene N.V. |
Entity File Number | 001-39124 |
Entity Incorporation, State or Country Code | P7 |
Entity Central Index Key | 0001757097 |
Document Type | 20-F |
Document Period End Date | Dec. 31, 2021 |
Amendment Flag | false |
Current Fiscal Year End Date | --12-31 |
Entity Well-known Seasoned Issuer | No |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Filer Category | Accelerated Filer |
Entity Address, Address Line One | Am Strande 7 |
Entity Address, City or Town | Rostock |
Entity Address, Country | DE |
Entity Address, Postal Zip Code | 18055 |
Title of 12(b) Security | Common shares, par value €0.12 per share |
Trading Symbol | CNTG |
Security Exchange Name | NASDAQ |
Entity Common Units, Units Outstanding | 22,567,971 |
Entity Emerging Growth Company | true |
Document Accounting Standard | International Financial Reporting Standards |
Entity Shell Company | false |
Document Fiscal Year Focus | 2021 |
Document Fiscal Period Focus | FY |
Entity Interactive Data Current | Yes |
Document Registration Statement | false |
Document Annual Report | true |
Document Transition Report | false |
Document Shell Company Report | false |
Entity Ex Transition Period | false |
ICFR Auditor Attestation Flag | true |
Auditor Name | Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft |
Auditor Firm ID | 1251 |
Auditor Location | Berlin, Germany |
Business Contact [Member] | |
Document Information [Line Items] | |
Contact Personnel Name | Kim Stratton |
Entity Address, Address Line One | Am Strande 7 |
Entity Address, City or Town | Rostock |
Entity Address, Postal Zip Code | 18055 |
City Area Code | +49 |
Local Phone Number | 381 80113 500 |
Contact Personnel Email Address | kim.stratton@centogene.com |
Consolidated statements of comp
Consolidated statements of comprehensive loss - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Consolidated statements of comprehensive loss | |||
Revenue | € 189,923 | € 128,381 | € 48,780 |
Cost of sales | 161,765 | 83,437 | 26,005 |
Gross profit | 28,158 | 44,944 | 22,775 |
Research and development expenses | 19,297 | 14,935 | 9,590 |
General administrative expenses | 46,739 | 40,160 | 23,160 |
Selling expenses | 9,860 | 8,026 | 9,254 |
Impairment of financial assets | 1,140 | 3,738 | 752 |
Other operating income | 2,936 | 2,394 | 3,781 |
Other operating expenses | 86 | 182 | 1,284 |
Real estate transfer tax expenses | 1,200 | ||
Operating loss | (46,028) | (19,703) | (18,684) |
Interest and similar income | 3 | 6 | 16 |
Interest and similar expenses | 851 | 1,400 | 2,029 |
Financial costs, net | (848) | (1,394) | (2,013) |
Loss before taxes | (46,876) | (21,097) | (20,697) |
Income taxes expenses | (24) | 281 | 158 |
Loss for the year | (46,852) | (21,378) | (20,855) |
Other comprehensive income/(loss), all attributable to equity holders of the parent | 543 | (48) | 16 |
Total comprehensive loss | (46,309) | (21,426) | (20,839) |
Attributable to: | |||
Equity holders of the parent | (46,407) | (21,486) | (20,658) |
Noncontrolling interests | 98 | 60 | (181) |
Total comprehensive loss | € (46,309) | € (21,426) | € (20,839) |
Loss per share - Basic (in EUR) | € (2.06) | € (1.02) | € (1.27) |
Loss per share - Diluted (in EUR) | € (2.06) | € (1.02) | € (1.27) |
Consolidated statements of fina
Consolidated statements of financial position - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Non-current assets | ||
Intangible assets | € 9,194 | € 12,407 |
Property, plant and equipment | 8,147 | 16,590 |
Right-of-use assets | 18,904 | 22,120 |
Other assets | 2,972 | 1,967 |
Non-current assets | 39,217 | 53,084 |
Current assets | ||
Inventories | 3,869 | 11,405 |
Trade receivables and contract assets | 24,337 | 29,199 |
Other assets | 5,453 | 8,286 |
Cash and cash equivalents | 17,818 | 48,156 |
Current assets | 51,477 | 97,046 |
Assets | 90,694 | 150,130 |
Equity | ||
Issued capital | 2,708 | 2,654 |
Capital reserve | 133,897 | 125,916 |
Retained earnings and other reserves | (109,295) | (62,888) |
Noncontrolling interests | 193 | 95 |
Equity | 27,503 | 65,777 |
Non-current liabilities | ||
Noncurrent loans | 401 | |
Lease liabilities | 15,588 | 17,677 |
Deferred tax liabilities | 79 | 207 |
Government grants | 8,028 | 8,950 |
Non-current liabilities | 23,695 | 27,235 |
Current liabilities | ||
Government grants | 1,368 | 1,342 |
Current loans | 3,815 | 2,492 |
Lease liabilities | 3,409 | 3,528 |
Liabilities from income taxes | 178 | 58 |
Trade payables | 11,252 | 31,736 |
Other liabilities | 19,474 | 17,962 |
Current liabilities | 39,496 | 57,118 |
Equity and liabilities | € 90,694 | € 150,130 |
Consolidated statements of cash
Consolidated statements of cash flows - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Operating activities | |||
Loss before taxes | € (46,876) | € (21,097) | € (20,697) |
Adjustments to reconcile earnings to cash flow from operating activities | |||
Amortization (including impairments) and depreciation | 21,291 | 15,128 | 6,579 |
Interest income | (3) | (6) | (16) |
Inventory write-off | 1,795 | 0 | |
Interest expense | 851 | 1,400 | 2,029 |
Gain on the disposal of noncurrent assets | (18) | (532) | |
Expected credit loss allowances on trade receivables and contract assets | 1,140 | 3,738 | 752 |
Share-based payment expenses | 8,035 | 5,658 | 6,418 |
Real estate transfer tax expenses | 1,200 | ||
Other non-cash items | (862) | (915) | (1,856) |
Changes in operating assets and liabilities: | |||
Inventories | 5,741 | (9,596) | (463) |
Trade receivables and contract assets | 4,191 | (16,344) | (6,444) |
Other assets | 1,828 | 255 | (1,169) |
Trade payables | (20,484) | 23,996 | 3,125 |
Other liabilities | 1,632 | 6,245 | 3,299 |
Cash flow (used in)/from operating activities | (21,739) | 8,462 | (7,775) |
Investing activities | |||
Cash paid for investments in intangible assets | (2,787) | (6,657) | (7,280) |
Cash paid for investments in property, plant and equipment | (2,915) | (9,890) | (296) |
Grants received for investment in property, plant and equipment | 168 | 390 | 793 |
Grants refunded related to disposed property, plant and equipment | (358) | ||
Cash received from disposals of property, plant and equipment | 171 | 21,300 | |
Interest received | 3 | 6 | 16 |
Cash flow (used in)/from investing activities | (5,360) | (16,151) | 14,175 |
Financing activities | |||
Cash received from the issuance of shares | 22,430 | 41,899 | |
Cash paid for acquisition of non-wholly owned subsidiary | (75) | ||
Cash received from loans | 1,772 | 438 | 721 |
Cash repayments of loans | (464) | (2,760) | (12,072) |
Cash repayments of lease liabilities | (4,244) | (5,018) | (3,046) |
Interest paid | (267) | (173) | (2,029) |
Cash flow from financing activities | (3,203) | 14,842 | 25,473 |
Changes in cash and cash equivalents | (30,302) | 7,153 | 31,873 |
Cash and cash equivalents at the beginning of the period | 48,156 | 41,095 | 9,222 |
Effect of movements in exchange rates on cash held | (36) | (92) | |
Cash and cash equivalents at the end of the period | € 17,818 | € 48,156 | € 41,095 |
Consolidated statements of chan
Consolidated statements of changes in equity - EUR (€) € in Thousands | Total Owners' Capital | Issued capital | Capital reserve | Currency translation reserve | Retained earnings | Non- controlling interests | Total |
Balance at beginning of the period at Dec. 31, 2018 | € 27,281 | € 1,903 | € 45,342 | € (16) | € (19,948) | € (757) | € 26,524 |
Loss for the year | (20,674) | (20,674) | (181) | (20,855) | |||
Other comprehensive loss | 16 | 16 | 16 | ||||
Total comprehensive loss | (20,658) | 16 | (20,674) | (181) | (20,839) | ||
Issuance of shares | 46,798 | 480 | 46,318 | 46,798 | |||
Transaction costs | (4,899) | (4,899) | (4,899) | ||||
Share-based payments | 1,300 | 1,300 | 1,300 | ||||
Share-based payments - modification at IPO | 10,038 | 10,038 | 10,038 | ||||
Balance at end of the period at Dec. 31, 2019 | 59,860 | 2,383 | 98,099 | (40,622) | (938) | 58,922 | |
Loss for the year | (21,438) | (21,438) | 60 | (21,378) | |||
Other comprehensive loss | (48) | (48) | (48) | ||||
Total comprehensive loss | (21,486) | (48) | (21,438) | 60 | (21,426) | ||
Issuance of shares | 23,209 | 240 | 22,969 | 23,209 | |||
Transaction costs | (779) | (779) | (779) | ||||
Share-based payments | 5,658 | 5,658 | 5,658 | ||||
Exercise of options | 31 | (31) | |||||
Disposal of non-wholly owned subsidiary | 268 | 268 | |||||
Acquisition of non-wholly owned subsidiary | (780) | (780) | 705 | (75) | |||
Balance at end of the period at Dec. 31, 2020 | 65,682 | 2,654 | 125,916 | (48) | (62,840) | 95 | 65,777 |
Loss for the year | (46,950) | (46,950) | 98 | (46,852) | |||
Other comprehensive loss | 543 | 543 | 543 | ||||
Total comprehensive loss | (46,407) | 543 | (46,950) | 98 | (46,309) | ||
Transaction costs | 0 | ||||||
Share-based payments | 8,035 | 8,035 | 8,035 | ||||
Exercise of options | 54 | (54) | |||||
Balance at end of the period at Dec. 31, 2021 | € 27,310 | € 2,708 | € 133,897 | € 495 | € (109,790) | € 193 | € 27,503 |
General Company Information
General Company Information | 12 Months Ended |
Dec. 31, 2021 | |
General Company Information | |
General Company Information | 1 General company information Centogene N.V. (“the Company”) and its subsidiaries focus on rare diseases that transforms real-world clinical and genetic or other data into actionable information for patients, physicians and pharmaceutical companies. The mission of the Company is to bring rationality to treatment decisions and to accelerate the development of new orphan drugs by using our knowledge of the global rare disease market, including epidemiological and clinical data and innovative biomarkers. On November 7, 2019, the Company completed an initial public offering (“IPO”) and has since been listed on Nasdaq Global Market under stock code “CNTG”. We have historically conducted our business through Centogene AG (which is now known as Centogene GmbH), and therefore our historical financial statements present the results of operations and financial condition of Centogene AG and its controlled subsidiaries. In connection with our initial public offering, Centogene N.V. became the holding company of Centogene AG on November 12, 2019, and the historical consolidated financial statements of Centogene AG became the historical consolidated financial statements of Centogene N.V. Centogene N.V. is a public company with limited liability incorporated in the Netherlands, with registered office located at Am Strande 7 in 18055 Rostock, Germany and Dutch trade register number 72822872. On March 5, 2020, the Company resolved that Centogene AG shall be converted into a German limited liability company and renamed Centogene GmbH. Such conversion became effective upon the registration in the German commercial register on June 29, 2020. Unless otherwise stated, “Centogene GmbH” also refers to the historical operations of Centogene AG throughout the notes. In July 2020, the Company completed a follow-on public offering of 3,500,000 common shares of the Company (the “July 2020 Offering”), consisting of 2,000,000 common shares offered by the Company and 1,500,000 common shares offered by selling shareholders at a price to the public of USD 14.00 per common share (i.e. EUR 12.71 per share). Aggregate offering proceeds, net of underwriting discounts, commissions and transaction costs, were EUR 22 million to the Company. |
Basis of Preparation
Basis of Preparation | 12 Months Ended |
Dec. 31, 2021 | |
Basis of Preparation | |
Basis of Preparation | 2 Basis of preparation Unless otherwise specified, “the Company” refers to Centogene N.V. and Centogene GmbH throughout the remainder of these notes, while “the Group” refers to Centogene N.V., Centogene GmbH and its subsidiaries. The consolidated financial statements of the Group were prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (the “IASB”). The accounting policies used in the fiscal year 2021 generally correspond to the policies applied in the prior year, except for certain amendments to the standards which are effective for annual periods beginning on or after January 1, 2021 (see note 3). In addition, certain prior period information has been reclassified to conform with current year presentation (see note 2). These consolidated financial statements are presented in euro, which is the Group’s functional currency. Unless otherwise specified, all financial information presented in euro is rounded to the nearest thousand (EUR k) in line with customary commercial practice. 2.1 New significant accounting policies and accounting judgments and estimates Revenues from contracts with customer The Group has a diagnostics customer in the Middle Eastern region with a history of significant payment delays. This history has resulted in the recognition of significant subsequent impairment losses by applying the expected credit loss method as the collection of the contractual consideration was historically considered probable upon recognition of revenue. Based on recent developments in its collection experience, recent negotiations with the customer, and past experiences, the Group considered it necessary to reassess its judgments related to the recognition of revenue from contracts with this customer. The Group’s management concluded, based on the facts and circumstances and management’s expectations regarding this customer, that this uncertainty in the amount of the contract consideration it expects to collect, and the likelihood of accepting a lower amount or changing payment terms represents an “implicit price concession” such that the contract consideration is variable. Therefore, the Group’s management estimates the amount of the contractual consideration it expects to ultimately collect and for which it is highly probable that related revenue recognized would not be subject to significant future reversals when such uncertainty is resolved. The Group’s management estimates the implicit price concessions by applying an estimated rate of 18% based primarily upon past collection history. Despite the uncertainties related to the amount expected to be collected from the customer, based on experience and the facts and circumstances related to the customer, the Group considers it probable that it will collect 82% of the amount of estimated variable transaction price due to newly agreed payment plans established with the customer. Therefore, the Group records the difference between the billed amount and the amount estimated to be collectible as a reduction to revenue. At the end of each reporting period, and if necessary upon receipt of new information, the Group may revise the amount of the variable consideration included in the transaction price. The Group has applied this accounting policy and accounting estimate to arrangements with this customer prospectively with effect from the third quarter of 2021. 2.2 Going Concern As an early commercial-stage company, the Group is still in progress towards reaching break-even in its diagnostic and pharma businesses. The Group and Company are subject to a number of risks similar to those of other development and early commercial stage companies. These risks include, among other things, the failure to enter into and successfully execute further collaborations with pharmaceutical partners, the failure to generate revenue from the Company’s development portfolio and risks associated with research, development, testing and obtaining related regulatory approvals in relation to our product candidates. The Group´s ongoing success and ultimately the attainment of profitable operations depends on future uncertain events which include, among other things, obtaining adequate financing to promote our commercial and development activities until the Group can generate sufficient revenues to support its operating cash requirements. The Group has incurred operating losses since inception. For the year ended December 31, 2021 the Group incurred a net loss of EUR 46.9 million of which EUR 46.0 million is related to loss of operations, resulting in an operating cash outflow of EUR 21.7 million driven mainly by the repayment of trade payables of EUR 20.5 million. As of December 31, 2021, the Group had generated an accumulated deficit of EUR 109.3 million, and had an equity position of EUR 27.5 million. As of December 31, 2021 the Group had cash and cash equivalents of EUR 17.8 million with relatively low short term debt obligations of EUR 3.8 million and no financial covenants. In addition, on January 31, 2022 the Company, Centogene GmbH, CentoSafe B.V. and Centogene US, LLC (together, the “Borrowers”), entered into a debt financing agreement in the total amount of up to USD 45.0 million (EUR 40.2 million) on January 31, 2022 (the “Loan Facility”). Under the terms of the Loan Facility, the Company drew down USD 25.0 million (EUR 22.3 million) on January 31, 2022 and will have access to a second tranche of USD 20.0 million (EUR 17.9 million) upon achievement prior to July 31, 2023, of product revenue from our diagnostics and pharmaceutical services segments of at least USD 50.0 million (EUR 44.7 million) calculated on a trailing twelve month basis as of the last day of any fiscal month. The Loan Facility also includes covenants such that the Group is required to maintain product revenue of at least EUR 30.0 million as of the last day of each fiscal quarter and on a trailing twelve month basis prior to obtaining the second tranche EUR 40.0 million on or after obtaining the second tranche. Both tranches mature on January 29, 2027 with amortized repayments commencing March 1, 2025. The loans extended under the Loan Facility bear monthly interest payments at an interest rate of 7.93% per annum plus the 1-month CME Term SOFR reference rate as published by the CME Group Benchmark Administration Limited (subject to a floor of 0.07%). As security for the Borrowers’ obligations under the Loan Facility, the Borrowers granted the lenders thereunder a first priority security interest on all of each Borrower’s assets. In addition, pursuant to a securities purchase agreement and a warrant agreement, each signed with certain investors on January 31, 2022, the Group also received EUR 15.0 million in exchange for the issuance of an aggregate of 4,479,088 common shares at a price per share of USD 3.73 (EUR 3.35) and warrants initially exercisable for the purchase of up to an aggregate of 1,343,727 additional common shares at an initial exercise price per common share of USD 7.72. The warrants are exercisable immediately as of the date of issuance and will expire on December 31, 2026. The Group believes that its cash and cash equivalents will be sufficient to fund its planned operating cash requirements for the next twelve months from the date of issuance of these financial statements. The accompanying consolidated financial statements for the year ended December 31, 2021 have been therefore prepared on a going concern basis contingent upon the successful implementation of the plans described above. This contemplates the Group will continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of operations. The audited consolidated financial statements do not reflect any adjustments relating to the recoverability and classification of assets or the amounts and classification of liabilities that would be necessary, was the Group unable to continue as a going concern. 2.3 COVID-19 Pandemic The COVID-19 pandemic has spread worldwide and continues to cause many governments to maintain measures to slow the spread of the outbreak through quarantines, travel restrictions, closures of borders and requiring maintenance of physical distance between individuals. The COVID-19 pandemic resulted in a slowdown in our diagnostics and pharmaceutical businesses. As part of the Company’s initiative to assist local, national and international authorities as well as other partners in their efforts to facilitate the earliest possible diagnosis of COVID-19 and thereby contribute to allowing society to return to a “new” normal, the Company commenced testing for COVID-19 in March 2020. During the year ended December 31, 2021, the Group continued the COVID-19 testing activities started in 2020 with a leading role in providing testing services at airports in Germany. Furthermore, new variants of the virus have emerged since mid-December 2020. How these mutations develop and their impact on the effectiveness of vaccines is not yet fully clear. Furthermore, vaccination campaigns in many countries started during the year ended December 31, 2021, and due to the expected increase in the availability of vaccines the expectation is that governments will further reduce restrictions moving forward. As a result of these developments in the COVID-19 pandemic, the Group has noticed a decrease in COVID-19 test order intakes in the year ended December 31, 2021. How and when these developments would affect the potential prolongation of the need for testing on a broader scale remains uncertain. Although the Group is taking a number of measures aimed at minimizing disruptions to the business and operations, and while the provision of testing for the COVID-19 virus is anticipated to generate additional revenues for us, the full extent to which the global COVID-19 pandemic may continue to impact the business will depend on future developments, which are highly uncertain and cannot be predicted, such as the duration of the pandemic, the availability and effectiveness of vaccines against new variants, the probability of the occurrence of further outbreaks and the ultimate impact on the financial markets and the global economy, could result in an unforeseen negative impact on the business and future results of operations. 2.4 Reclassification of certain Selling and General Administrative expenses The Group made changes to the classification of several items related to its Covid-19 segment, in the statement of comprehensive loss for the financial year 2020 to conform to the changes made in the fiscal year 2021. The Company has COVID-19 related advertising expenses, credit card fees and other selling expenses which were recognized under cost of sales in the statement of comprehensive loss in the fiscal year 2020 when the COVID-19 business was added to the operations of the Group in the first quarter of 2020. During the year end close process, management identified this as a classification error and corrected it retrospectively. Accordingly, the Group reclassified EUR in EUR k 2020 (restated) 2020 (as previously reported) Change Cost of Sales 83,437 86,378 (2,941) Gross profit 44,944 42,003 2,941 General administrative expenses 40,160 37,665 2,495 Selling expenses 8,026 7,580 446 The changes to the presentation above have no impact to the consolidated statements of financial position (inclusive of December 31, 2020 and January 1, 2020), segment reporting, cash flows or equity and no impact on loss per share. |
Effects of new accounting stand
Effects of new accounting standards | 12 Months Ended |
Dec. 31, 2021 | |
Effects of new accounting standards | |
Effects of new accounting standards | 3 Effects of new accounting standards (a) The following amendments and interpretations apply for the first time in 2021 and had no impact on the consolidated financial statements of the Group: ● Amendments to IFRS 4 – Insurance contracts- deferral of IFRS 9 ● Amendments to IFRS 7, 9, IAS 39 – Interest rate benchmark reform- Phase 2: Modification of financial assets, financial liabilities and leasing liabilities, requirements regarding accounting and disclosure of hedging relationships ● Amendments to IFRS 16 – Covid-19 related rent concessions (b) Furthermore, certain new and amended standards and interpretations have been published that are not mandatory for December 31, 2021 reporting periods and have not been early adopted by the Group. The Group intends to adopt these new and amended standards and interpretations, if applicable, when they become effective. There are no new or amended standards or interpretations that are issued and become effective for the 2022 annual reporting period, that are expected to have a material impact on the Group. |
Basis of consolidation
Basis of consolidation | 12 Months Ended |
Dec. 31, 2021 | |
Basis of consolidation | |
Basis of consolidation | 4 Basis of consolidation The basis of consolidation includes the entities over which Centogene N.V. has control within the meaning of IFRS 10 Consolidated Financial Statements. According to IFRS 10, Centogene N.V. has control of an investee when it has direct or indirect power over the investee, exposure, or rights to variable returns from its involvement with the investee and the ability to use its power over the investee to affect those returns. Control is established when it is possible to influence operating and financial policies of the investee, typically with a share in the voting rights or shareholding of more than 50% in the investee. An entity is included in the Group’s basis of consolidation from the point in time when the Group obtains control of the entity and ceases when the Group loses control of the subsidiary. Assets, liabilities, income and expenses of a subsidiary acquired or disposed of during the year are included in the consolidated financial statements from the date the Group gains control until the date the Group ceases to control the subsidiary. Profit or loss and each component of other comprehensive income are attributed to the equity holders of the parent of the Group and to the non-controlling interests, even if this results in the non-controlling interests having a deficit balance. All intra-group assets and liabilities, equity, income, expenses and cash flows relating to transactions between members of the Group are eliminated in full upon consolidation. If the Group loses control over a subsidiary, it derecognizes the related assets, liabilities, non-controlling interest and other components of equity, while any resultant gain or loss is recognized in profit or loss. In the third quarter of 2020, the Company entered into a collaboration agreement with Dr. Bauer Laboratoriums GmbH, Rostock (hereafter ‘Bauer GmbH’). Bauer GmbH supports Centogene in certain areas of its COVID-19 testing business by providing the medical laboratory services to facilitate Centogene to perform its COVID-19 testing business activities. Bauer GmbH is wholly owned by a long-time employee of Centogene, who from a medical perspective and by observing the Medical Association's professional code of conduct continues to operate as an independent medical physician. As per the criteria in IFRS 10, Centogene assessed the control it has over Bauer GmbH and concluded to consolidate the activities of Bauer GmbH in the Group from the third quarter of 2020. Centogene does not own any shares in Bauer GmbH. However, based on the analysis of all facts and circumstances surrounding the close collaboration with Bauer GmbH and the employment relationship with the sole shareholder of Bauer GmbH, this shareholder is considered as a de facto agent. Centogene meets the criteria of the control model under IFRS 10 as it has exposure to variable returns and the ability to use power to affect returns. Bauer GmbH has a share in the net result of the respective COVID-19 testing business which has been accounted for under non-controlling interest (see note 23). |
Significant accounting policies
Significant accounting policies | 12 Months Ended |
Dec. 31, 2021 | |
Significant accounting policies | |
Significant accounting policies | 5 Significant accounting policies The Group applied the following accounting policies consistently for all of the periods presented in these consolidated financial statements. (a) The Group’s consolidated financial statements are presented based on the parent company’s functional currency. For each entity, the Group determines the functional currency and items included in the financial statements of each entity are measured using that functional currency. The Group uses the direct method of consolidation and on disposal of a foreign operation, the gain or loss that is reclassified to profit or loss reflects the amount that arises from using this method. Transactions in foreign currency are translated into the respective entity’s functional currency at the spot rate prevailing on the date of the transaction. The functional currency of each entity is the respective local currency, since the entities carry out their business activities independently from a financial, economic and organizational perspective. Monetary assets and liabilities denominated in foreign currency are translated to the functional currency using the closing rate at the reporting date. Currency translation differences are recognized immediately through profit or loss. Non-monetary items denominated in a foreign currency that are measured at historical cost are not translated at the reporting date. On consolidation, the assets and liabilities of foreign operations are translated into euros using the closing rate on the reporting date. Income and expenses of foreign operations are translated using the exchange rate prevailing on the date of the transaction or the annual average exchange rate. Equity is translated using historical rates until the entity is removed from the Group’s basis of consolidation. Any resulting currency translation differences are recorded in other comprehensive income and recognized under the currency translation reserve in equity if the exchange difference is not allocable to the non-controlling interests. The exchange rates used are presented in the following table: Average rate Closing rate Dec 31, Dec 31, Dec 31, 2021 2020 2019 2021 2020 2019 USD (EUR 1) 1.1304 1.1412 1.1191 1.1326 1.2271 1.1234 AED (EUR 1) 4.1500 4.2091 4.0985 4.1654 4.5045 4.0795 INR (EUR 1) 85.1761 84.5737 78.7980 84.2292 89.6605 80.1870 CHF (EUR 1) 1.0814 - - 1.0331 - - RSD (EUR 1) 117.3909 - - 117.2747 - - (b) The Group provides pharmaceutical solutions and diagnostic tests, as well as COVID-19 tests, enabled by its knowledge and interpretation-based platform. Revenue from contracts with customers is recognized when control of the goods or services are transferred to the customer at an amount that reflects the consideration to which the Group expects to be entitled in exchange for those goods or services, usually on delivery of the goods. (i) The Group's contracts with customers relate to a variety of solutions provided to the Group's pharmaceutical partners in order to accelerate their development of treatments for rare diseases, including early patient recruitment and identification, epidemiological insights, biomarker discovery and patient monitoring. The collaboration agreements are structured on a fee per analysis basis, milestone basis, fixed fee basis, or a combination of these. In addition, some of the Group's contracts with its pharmaceutical partners also include sales of CentoCards for the collection of biological samples from patients. The performance obligations in Pharmaceutical segment can either be satisfied over time or at a point in time depending on the structure of the collaborations, which are determined based on nature of the service provided, as detailed below. - Revenue from early patient recruitment and identification, epidemiological insights, biomarker discovery and patient monitoring is based on fee per analysis, milestone fees and fixed fees. The revenues from these solutions are recognized over time using an input method based on the work rendered in order to measure progress towards complete satisfaction of the services. - Revenue from the licensing of intellectual property for an unlimited period, usually in the structure of an upfront fee, is recognized at a point in time, when the right (or license) to use intellectual property is conveyed. - Revenues from the licensing of intellectual property for a certain period, being a right to access such intellectual property as defined in IFRS 15, is recognized over time over the licensing period. - Revenue from the sale of CentoCards is recognized at a point in time when the control of the CentoCards has transferred to the customer, which typically occurs on delivery. (ii) Revenues from the Group's diagnostics segment are typically generated from genetic sequencing and diagnostics services that the Group provides to clients, who are typically physicians, laboratories or hospitals, either directly or through distributors. Revenues are based on a negotiated price per test or on the basis of agreements to provide certain testing volumes over defined periods. The Group has concluded that the services rendered in the diagnostics segment comprise one performance obligation. The performance obligation in the Diagnostics segment is recognized over time, using an input method to measure progress towards complete satisfaction of the service. In order to measure progress, the Group uses a standardized process which measures progress to completion by stages, consisting of (i) a preparation stage, (ii) a clarification stage, (iii) a sequencing stage, and (iv) an output stage. The percentages attributed to those stages are indicative of the cost incurred in performing the respective stage in relation to total cost. (iii) COVID-19 revenues are based on a negotiated price per test, government driven or on the basis of agreements covering tests to be performed over defined periods. Given the short turnaround time for the COVID-19 tests, revenues from COVID-19 tests that are on a price per test basis are recognized at a point in time. Revenues from COVID-19 tests that are on the basis of agreements covering tests to be performed over defined periods are recognized over time over the agreement period. The Group has disaggregated revenue recognized from contracts with customers into categories that depict how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic factors. The Group has also disclosed information about the relationship between the disclosure of disaggregated revenue and the revenue information disclosed for each reportable segment. See note 7 for the disclosure on disaggregated revenue. Contract balances (i) Contract assets A contract asset is the right to consideration in exchange for goods or services transferred to the customer. If the Group satisfies a performance obligation by transferring goods or services to a customer before the customer pays consideration or before payment is due, a contract asset is recognized for the earned consideration that is conditional. Contract assets are subject to impairment assessment, refer to accounting policies of impairment of financial assets in note 5(n) “Financial instruments”. (ii) Trade receivables A receivable represents the Group’s right to an amount of consideration that is unconditional (i.e., only the passage of time is required before payment of the consideration is due). Refer to accounting policies of impairment of financial assets in note 5(n) “Financial instruments”. (iii) Contract liabilities A contract liability is the obligation to transfer goods or services to a customer for which the Group has received consideration or an amount of consideration is due from the customer (whichever is earlier). If a customer pays consideration before the Group transfers goods or services to the customer, a contract liability is recognized when the payment is made or the payment is due (whichever is earlier). Contract liabilities are recognized as revenue when the Group performs under the contract. (c) Interest income and expenses are recognized in the period which they relate to through profit or loss using the effective interest rate method. (d) The Group presents assets and liabilities in the statement of financial position based on current/non-current classification. An asset is current when it is: - Expected to be realized or intended to be sold or consumed in the normal operating cycle - Held primarily for the purpose of trading - Expected to be realized within twelve months after the reporting period; or - Cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least twelve months after the reporting period All other assets are classified as non-current. A liability is current when: - It is expected to be settled in the normal operating cycle - It is held primarily for the purpose of trading - It is due to be settled within twelve months after the reporting period; or - There is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period The terms of the liability that could, at the option of the counterparty, result in its settlement by the issue of equity instruments do not affect its classification. The Group classifies all other liabilities as non-current. Deferred tax assets and liabilities are classified as non-current assets and liabilities (e) Research and development Expenses for research activities are recognized through profit or loss in the period in which they are incurred. Development expenditures on an individual project are recognized as an intangible asset from the date the Group can demonstrate: - the product or process is technically and commercially feasible so that the asset will be available for use or sale - the Group has the ability and intention to use or sell the asset - a future economic benefit is probable - the Group has sufficient resources to complete the development and - the development costs can be measured reliably. The Group’s research and development activities mainly relate to development of biomarkers and IT driven solutions. With respect to biomarkers, the development stage is usually considered to be achieved when the target validation process is completed and commercialization is probable. With respect to IT driven solutions, the development stage is considered to be achieved upon the completion of the Group’s internal validation test. Before such dates, any development costs are recognized in profit or loss and may not be subsequently capitalized. Capitalized development costs are recognized at cost less accumulated amortization and any accumulated impairment losses. They are only amortized as from the date the asset is ready for its intended use, which in the case of biomarkers is normally at the time the patent application for such biomarker is made. Amortization expense commences when the assets are ready to be put in use, and is recorded in cost of sales and research and development expenses. Capitalized development costs which are still under development are tested for impairment annually and when circumstances indicate that the carrying value may be impaired. Other intangible assets Other intangible assets purchased by the Group with finite useful lives are recognized at cost less accumulated amortization and any accumulated impairment losses. Subsequent expenditure is only capitalized if it increases the future economic benefits of the respective asset. Intangible assets are amortized over their estimated useful life using the straight-line method and assessed for impairment whenever there is an indication that the intangible asset may be impaired. The estimated useful lives are as follows: - Software, patents and trademarks: 3 - 7 years - Corona Test Portal: 2 years - Capitalized development costs: 7 years The useful lives and depreciation methods are reviewed annually to ensure that the methods and periods of depreciation are consistent with the expected economic benefit from the asset. (f) Property, plant and equipment are carried at cost less any accumulated depreciation and any accumulated impairment losses. The cost of property, plant and equipment comprises its purchase price including customs duties and non-refundable acquisition taxes, and proportionate VAT not deductible from input tax as well as any directly attributable costs of bringing the asset to its working condition and location for its intended use. Subsequent expenditure is only capitalized if it is probable that the future economic benefits associated with the expenditure will flow to the Group. Depreciation is calculated over the estimated useful life using the straight-line method. The Group has assessed that none of its property, plant and equipment has a residual value. The estimated useful lives of significant property, plant and equipment are as follows: - Freehold land is not depreciated - Buildings: 33 years and - Plant and other equipment, furniture and fixtures: 2 - 15 years An item of property, plant and equipment is derecognized upon disposal or when no future economic benefits are expected from its use or disposal. Any gain or loss arising on derecognition of the asset (calculated as the difference between the net disposal proceeds and the carrying amount of the asset) is included in the statement of comprehensive loss when the asset is derecognized. The depreciation methods, useful lives and residual values are reviewed, and adjusted prospectively if appropriate, as of each reporting date. Assets under construction are reported at cost and are allocated to property, plant and equipment until they are completed and put into operational use, from which point onwards they are depreciated. (g) Group as a lessee The Group applies a single recognition and measurement approach for all leases, except for short-term leases and leases of low-value assets. The Group recognizes lease liabilities to make lease payments and right-of-use assets representing the right to use the underlying assets. (i) The Group recognizes right-of-use assets at the commencement date of the lease (i.e., the date the underlying asset is available for use). Right-of-use assets are measured at cost, less any accumulated depreciation and impairment losses, and adjusted for any remeasurement of lease liabilities. The cost of right-of-use assets includes the amount of lease liabilities recognized, initial direct costs incurred, and lease payments made at or before the commencement date less any lease incentives received. Unless the Group is reasonably certain to obtain ownership of the leased asset at the end of the lease term, the recognized right-of-use assets are depreciated on a straight-line basis over the shorter of its lease term and the estimated useful lives, as follows: - Buildings: 33 years - Offices: 4 – 12 years and - Plant and other equipment, furniture and fixtures: 2-15 years If ownership of the leased asset transfers to the Group at the end of the lease term or the cost reflects the exercise of a purchase option, depreciation is calculated using the estimated useful life of the asset. The right-of-use assets are also subject to impairment. Refer to accounting policies of impairment of financial assets in note 5(n) “Financial instruments”. (ii) At the commencement date of the lease, the Group recognizes lease liabilities measured at the present value of lease payments to be made over the lease term. The lease payments include fixed payments (including in-substance fixed payments) less any lease incentives receivable, variable lease payments that depend on an index or a rate, and amounts expected to be paid under residual value guarantees. The lease payments also include the exercise price of a purchase option reasonably certain to be exercised by the Group and payments of penalties for leases reasonably certain to be terminated. The variable lease payments that do not depend on an index or a rate are recognized as expenses in the period during which the event or condition that triggers the payment occurs. In calculating the present value of lease payments, the Group uses the incremental borrowing rate at the lease commencement date if the interest rate implicit in the lease is not readily determinable. After the commencement date, the amount of lease liabilities is increased to reflect the accretion of interest and reduced for the lease payments made. In addition, the carrying amount of lease liabilities is remeasured if there is a modification, a change in the lease term, a change in the in-substance fixed lease payments or a change in the assessment to purchase the underlying asset. (iii) The Group applies the short-term lease recognition exemption to its short-term leases of machinery and equipment (i.e., those leases that have a lease term of 12 months or less from the commencement date and do not contain a purchase option). It also applies the lease of low-value assets recognition exemption to leases of office equipment that are considered of low value (i.e., below EUR 5k). Lease payments on short-term leases and leases of low-value assets are recognized as expenses on a straight-line basis over the lease term. (iv) The Group applies IFRS 15 for determining if the transfer of an asset to the buyer (lessor) is to be accounted for as a sale of assets. After the sale of assets is concluded, the Group measures the right-of-use assets arising from the leaseback at the proportion of the previous carrying value of the asset that relates to the right of use retained by the Group. Accordingly, the Group recognizes only the amount of any gain or loss that relates to the rights transferred to the buyer (lessor). If the fair value of the consideration for the sale of an asset does not equal the fair value of the asset, or if the payments for the leases are not at market rates, the Group makes the following adjustments to measure the sale proceeds at fair value: • any below-market terms shall be accounted for as a prepayment of lease payments • any above-market terms shall be accounted for as additional financing provided by the buyer-lessor to the seller-lessee (h) Property, plant and equipment and intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Whenever the carrying amount of an asset exceeds its recoverable amount, an impairment loss is recognized in profit or loss. The recoverable amount is measured as the higher of fair value less costs to sell and value in use. Recoverable amounts are estimated either for individual assets or, if an individual asset does not generate cash flows independently of other assets, for the whole cash-generating unit. (i) Inventories are measured at the lower of cost and net realizable value. Inventories are recognized at cost based on the first in first out (FIFO) method. Net realizable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and the estimated costs necessary to make the sale. (j) Government grants are recognized where there is reasonable assurance that the grant will be received and all attached conditions will be complied with. Grants that are intended to compensate the Group for expenses incurred are recognized through profit or loss in the period in which expenses are submitted and claimed. Government grants which relate to an asset are initially recognized as deferred income at nominal amounts. They are subsequently released to profit or loss on a systematic basis over the expected useful life of the related asset. The release of deferred income related to either type of grant is presented as other operating income (see note 8). (k) Plan recipients (including senior executives and certain member of Supervisory Board) of the Group receive remuneration in the form of share-based payments, whereby the recipients render services as consideration for equity instruments (equity-settled transactions) or settled in cash (cash-settled transactions). Equity settled transactions The cost of equity-settled transactions is determined by the fair value of the granted options when the grant is made, using a Black-Scholes or Monte Carlo simulation model, with further details given in note 20. The cost is recognized in employee benefits expense (see note 8.4) or other relevant expenses, together with a corresponding increase in equity (capital reserves), over the period in which the service conditions are fulfilled (the vesting period). The cumulative expense recognized for equity-settled transactions at each reporting date until the vesting date reflects the extent to which the vesting period has expired and the Group’s best estimate of the number of equity instruments that will ultimately vest. The expense or credit in profit or loss for a period represents the movement in cumulative expense recognized as at the beginning and end of that period. Cash-settled transactions A liability is recognized for the fair value of cash-settled transactions. The fair value is measured initially and at each reporting date up to and including the settlement date, with changes in fair value recognized in employee benefits expense (see note 8.4). The fair value per option is determined using the Black-Scholes model, further details of which are given in note 20. The fair value per option is then multiplied by the Group’s best estimate of the number of awards expected to vest and the portion of the expired vesting period (period in which the service conditions are fulfilled). The cumulative amount of expense recognized will be equal to the cash that is paid on settlement. Service and non-market performance conditions are not taken into account when determining the grant date fair value of awards, but the likelihood of the conditions being met is assessed as part of the Group’s best estimate of the number of equity instruments that will ultimately vest. Market performance conditions are reflected within the grant date fair value. Any other conditions attached to an award, but without an associated service requirement, are considered to be non-vesting conditions. Non-vesting conditions are reflected in the fair value of an award and lead to an immediate expensing of an award unless there are also service and/or performance conditions. No expense is recognized for awards that do not ultimately vest because non-market performance and/or service conditions have not been met. Where awards include a market or non-vesting condition, the transactions are treated as vested irrespective of whether the market or non-vesting condition is satisfied, provided that all other performance and/or service conditions are satisfied. If the terms and conditions of a cash-settled share-based payment transaction are modified with the result that it becomes an equity-settled share-based payment transaction, the transaction is accounted for as such from the date of the modification. Specifically, the equity-settled share-based payment transaction is measured by reference to the fair value of the equity instruments granted at the modification date and recognized in equity. The liability for the cash-settled share-based payment transaction as at the modification date is derecognized on that date. Any difference between the carrying amount of the liability derecognized and the amount of equity recognised on the modification date is recognised immediately in profit or loss. (l) A provision is recognized when the Group has a present obligation (legal, contractual or constructive) as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation. When the Group expects some or all of a provision to be reimbursed, for example, under an insurance contract, the reimbursement misrecognized as a separate asset, but only when the reimbursement is virtually certain. The expense relating to a provision is presented in the profit or loss net of any reimbursement. Provisions are reviewed at each reporting date and adjusted to reflect the current best estimate. If the requirements for recognizing a provision are not satisfied, the corresponding obligations are recorded as contingent liabilities unless the possibility of an outflow of resources embodying economic benefits is remote. (m) Tax expense comprises current and deferred taxes. Current taxes and deferred taxes are recognized through profit or loss apart from deferred taxes related to items recognized outside profit or loss, in which case it is recognized in correlation to the underlying transaction either directly in equity or in other comprehensive income. Current income tax assets and liabilities are measured at the amount expected to be recovered from or paid to the taxation authorities. The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted at the reporting date in the countries where the Group operates and generates taxable income. Deferred taxes are set up for temporary differences between the carrying amounts of assets and liabilities for group financial reporting purposes at the reporting date and the amounts used for tax purposes. Deferred tax liabilities are recognized for all taxable temporary differences, except: - temporary differences arising from the initial recognition of assets or liabilities in the course of a business transaction that is not a business combination and does not affect either the accounting profit or the taxable profit or loss - temporary differences associated with investments in subsidiaries if the Group controls the timing of the reversal of the temporary differences, and it is probable that the differences will not reverse in the foreseeable future. The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to the extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred tax asset to be utilized. Unrecognized deferred tax assets are re-assessed at each reporting date and are recognized to the extent that it has become probable that future taxable profits will allow the deferred tax asset to be recovered. Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the year when the asset is realized or the liability is settled, based on tax rates that have been enacted or substantively enacted at the reporting date. Deferred tax assets and deferred tax liabilities are offset against each other if certain conditions are met. (n) (i) Financial assets The Group’s financial assets principally consist of those accounted for as receivables, contract assets, cash and cash equivalents. Receivables and contract assets Receivables, including contract assets, are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. Contract assets and trade receivables that do not contain a significant financing component or for which the Group has applied the practical expedient are measured at the transaction price determined under IFRS 15. Refer to the accounting policies in note 5(b) “Revenues from contracts with customers”. After initial recognition, receivables and contract assets are subsequently carried at amortized cost using the effective interest rate method less any impairment losses. Gains and losses are recognized in the profit or loss for the period when the assets are derecognized or impaired. Derecognition A financial asset or a part of a financial asset is derecognized when the Group no longer has the contractual rights to the asset or the right to receive cash flows from the asset have expired. Impairment The Group recognizes an allowance for expected credit losses (ECLs). ECLs are based on the difference between the contractual cash flows due in accordance with the contract and all the cash flows that the Group expects to receive, discounted at an approximation of the original effective interest rate. The Group applies a simplified approach in calculating ECLs. Therefore, the Group does not track changes in credit risk, but instead recognizes a loss allowance based on lifetime ECLs at each reporting date. The Group has established a provision matrix that is based on its historical credit loss experience, adjusted for forward-looking factors specific to the debtors and the economic environment. The Group considers a financial asset in default when contractual payments are 360 days past due. However, in certain cases, the Group may also consider a financial asset to be in default when internal or external information indicates that the Group is unlikely to receive the outstanding contractual amounts in full before taking into account any credit enhancements held by the Group. A financial asset is written off when there is no reasonable expectation of recovering the contractual cash flows. Further disclosures relating to impairment of trade receivables, including contract assets, are in note 21. (ii) Financial liabilities All financial liabilities are recognized initially at fair value and, in the case of loans and borrowings and payables, net of directly attributable transaction costs. The Group’s financial liabilities include trade and other payables (include contract liabilities), as well as loans and borrowings including bank overdrafts. Loans and borrowings Loans and borrowings are initially recognized at fair value and subsequently measured at amortized cost using the effective interest rate method, taking into account any principal repayments and any discount or premium on acquisition and including transaction costs and fees that are an integral part of the effective interest rate. Gains or losses are recognized through profit or loss at the time the liabilities are derecognized or disposed of. Derecognition A financial liability is derecognized when the obligation underlying the liability is discharged, canceled or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as the derecognition of the original liability and the recognition of a new liability. The difference in the respective carrying amounts is recognized through profit or loss. (o) Cash and cash equivalents Cash and cash equivalents comprise cash on hand and bank balances, including short-term, highly liquid investments that can be quickly converted into cash amounts. These have original maturities of three months or less and are subject to a low risk of fluctuation in value. |
Accounting judgments and estima
Accounting judgments and estimates | 12 Months Ended |
Dec. 31, 2021 | |
Accounting judgments and estimates | |
Accounting judgments and estimates | 6 Accounting judgments and estimates The preparation of the consolidated financial statements requires the management board to make judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of revenues, expenses, assets and liabilities, and the accompanying disclosures. Actual results could differ from those estimates. Estimates and underlying assumptions are reviewed on an ongoing basis and revisions of estimates are recorded prospectively. 6.1 Development costs Development costs are recognized in accordance with the accounting policy for certain internally generated assets. The Group’s research and development activities mainly relate to development of biomarkers and IT driven solutions. With respect to biomarkers, the development stage is usually considered to be achieved when the target validation process is completed and commercialization is probable. With respect to IT driven solutions, the development stage is considered to be achieved upon the completion of the Group’s internal validation test. Before such date, any development costs are recognized in profit or loss and may not be subsequently capitalized. As of December 31, 2021, the carrying amount of capitalized development costs was EUR 7,941k (2020: EUR 9,680k). This amount includes investments in the development of biomarkers and IT driven solutions (e.g., the Group’s CentoMetabolome and CentoPortal online platform). Provision for expected credit losses of trade receivables and contract assets The Group uses a provision matrix to calculate ECLs for trade receivables and contract assets. The provision rates are based on days past due for groupings of various customer segments that have similar loss patterns (e.g. by segment, geography, customer type and rating). The provision matrix is initially based on the Group's historical observed default rates. The Group will calibrate the matrix to adjust the historical credit loss experience with forward-looking information. For instance, if forecasted economic conditions (i.e., gross domestic product) are expected to deteriorate over the next year which can lead to an increased number of defaults in the manufacturing sector, the historical default rates are adjusted. At every reporting date, the historical observed default rates are updated and changes in the forward-looking estimates are analyzed. The assessment of the correlation between historical observed default rates, forecasted economic conditions and ECLs is a significant estimate. The amount of ECLs is sensitive to changes in circumstances and of forecasted economic conditions. The Group's historical credit loss experience and forecast of economic conditions may also not be representative of customer's actual default in the future. The information about the ECLs on the Group's trade receivables and contract assets is disclosed in note 21. Deferred tax asset on loss carryforwards The tax losses carried forward do not expire. In the light of the Company’s loss history, the recognition of deferred taxes for tax losses carried forward and deductible temporary differences is limited to the future reversal of existing taxable temporary differences. Revenue implicit concession The Group reassessed revenue recognition from contracts linked to a customer with a history of significant payment delays resulting in significant impairment losses through the application of the expected credit loss method. The Group concluded, based on the facts and circumstances and management’s expectations regarding this customer, that this uncertainty in the amount of the contract consideration it expects to collect, and the likelihood of accepting a lower amount or changing payment terms represents an “implicit price concession” such that the contract consideration is variable. Therefore, the Group estimates the amount of the contractual consideration it expects to ultimately collect and for which it is highly probable that related revenue recognized would not be subject to significant future reversals when such uncertainty is resolved. The Group records the difference between the billed amount and the amount estimated to be collectible as a reduction to revenue. At the end of each reporting period, and if necessary upon receipt of new information, the Group may revise the amount of the variable consideration included in the transaction price. The Group has applied this accounting policy and accounting estimate to arrangements with this customer prospectively with effect from the third quarter of 2021. 6.2 Assumptions and estimation uncertainties Information concerning assumptions and estimation uncertainty that have a significant risk of causing a material adjustment to the fiscal year ended on December 31, 2021 are presented in the following disclosures. The Group based its assumptions and estimates on parameters available when the consolidated financial statements were prepared. Existing circumstances and assumptions about future developments, however, may change due to market changes or circumstances arising that are beyond the control of the Group. Such changes are reflected in the assumptions when they occur. Share-based payments Estimating fair value for share-based payment transactions requires a determination of the most appropriate valuation model, which depends on the terms and conditions of the grant. For the measurement of the fair value of equity-settled transactions at the grant date (including those issued to replace the cash-settled transactions), the Group uses the Monte Carlo simulation model (previously the Black-Scholes model). The fair value at grant date of equity-settled transactions is not updated at the end of each reporting period. Valuation of Share Options The Black-Scholes option pricing model requires the input of subjective assumptions, including assumptions about the expected life of share-based awards and share price volatility. The Monte Carlo simulation model utilizes multiple input variables to estimate the probability that market conditions will be achieved. As a company listed on the NASDAQ stock exchange in 2019, the Group’s share price only has limited sufficient historical information to be used as a reference, and therefore subjective inputs were included when estimating the fair value of our common shares to be used in both option pricing model. In addition, our management used different key assumptions in the models to calculate the fair value. The assumptions and models used for estimating fair value for share-based payment transactions are disclosed in note 20. The Group intends to continue to consistently apply this methodology using the same comparable companies until a sufficient amount of historical information regarding the volatility of our own share price as a public company becomes available. |
Segment information and revenue
Segment information and revenue from contracts with customers | 12 Months Ended |
Dec. 31, 2021 | |
Segment information and revenue from contracts with customers | |
Segment Information | 7 Segment information and revenue from contracts with customers 7.1 Segment information For management purposes, the Group is organized into business units based on its products and services. In line with the management approach, the operating segments were identified on the basis of the Group’s internal reporting and how the chief operating decision maker (“CODM”) assesses the performance of the business. On this basis, the Group has the following three operating segments, which also represent the Group’s reportable segments: ● Pharmaceutical segment: This segment provides a variety of solutions to our pharmaceutical partners, including target discovery, early patient recruitment and identification, epidemiological insights, biomarker discovery and patient monitoring, in order to accelerate their development of treatments for rare diseases; and ● Diagnostics segment: This segment provides genetic sequencing and diagnostics services to our clients, who are typically physicians, laboratories or hospitals, either directly or through distributors; and ● COVID-19 segment: This segment provides COVID-19 testing services to our clients. Our original COVID-19 test is a molecular diagnostic test performed for the in vitro qualitative detection of RNA from the SAR-CoV-2 in oropharyngeal samples from presymptomatic probands according to the recommended testing by public health authority guidelines. In addition, we also offer COVID-19 antigen testing. The management board is the Chief Operating Decision Maker and monitors the operating results of the segments separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on segment results and is measured with reference to the Adjusted EBITDA. Adjusted EBITDA is a financial measure which is not prescribed by IFRS, which the Group defines as income/loss before finance costs (net), taxes, and depreciation and amortization (including impairments), adjusted to exclude corporate expenses as well as share-based payment expenses. Corporate expenses, interest and similar income and expenses, as well as share-based payment expenses are not allocated to individual segments as the underlying instruments are managed on a group basis. Assets and liabilities are managed on a Group basis and are not allocated to the different segments for internal reporting purposes. Therefore, our CODM does not regularly review this information by segment and accordingly we do not report this information by segment. 2021 in EUR k Pharmaceutical Diagnostics COVID-19 Corporate Total Total Revenues from contracts with external customers 15,641 27,900 146,382 — 189,923 Adjusted EBITDA 4,843 4,024 20,678 (46,247) (16,702) Capital Expenditures Additions to property, plant and equipment and right-of-use assets 690 261 2,480 936 4,367 Additions to intangible assets 2,401 — 386 — 2,787 Other segment information Depreciation and amortization (including impairments) 2,076 2,539 10,828 5,849 21,291 Research and development expenses — — — 19,297 19,297 2020 in EUR k Pharmaceutical Diagnostics COVID-19 (1) Corporate Total Total Revenues from contracts with external customers 16,951 22,108 89,322 — 128,381 Adjusted EBITDA 6,194 (2,408) 37,215 (39,918) 1,083 Capital Expenditures Additions to property, plant and equipment and right-of-use assets 333 602 9,113 2,682 12,730 Additions to intangible assets 3,183 — 1,672 1,802 6,657 Other segment information Depreciation and amortization (including impairments) 6,769 2,289 1,400 4,670 15,128 Research and development expenses — — — 14,935 14,935 2019 in EUR k Pharmaceutical Diagnostics Corporate Total Total Revenues from contracts with external customers 21,522 27,258 — 48,780 Adjusted EBITDA 14,956 2,306 (22,949) (5,687) Capital Expenditures Additions to property, plant and equipment and right-of-use assets 1,362 1,998 17,908 21,268 Additions to intangible assets 3,603 — 3,677 7,280 Other segment information Depreciation and amortization 1,308 2,032 3,239 6,579 Research and development expenses — — 9,590 9,590 (1) As discussed in note 2, in March 2020 the Group commenced testing for COVID-19 in response to the COVID-19 pandemic and in the third quarter started managing and reporting the COVID-19 business as a separate segment. As such, the Group did not have any activities related to the COVID-19 business prior to 2020 and retrospective presentation in prior year segment reporting is not applicable. Adjustments Adjustments include non-cash charges in relation to depreciation, amortization (including impairments), and share-based payments as well as net financial costs, and income taxes. Certain costs, and related income, are not allocated to our reporting segment results and represent the residual operating activities of the Group reported as ‘Corporate’. These include corporate overheads, which are responsible for centralized functions such as communications, information technology, facilities, legal, finance and accounting, insurance (D&O), human resources, business development and strategic initiatives, certain professional and consulting services, procurement, research and development and other supporting activities. Corporate expenses also includes expenses incurred in relation to capital raising activities. For the year ended December 31, 2021, no expenses were incurred (2020 July Offering: EUR 278k ; 2019 IPO: EUR 1,092k) (see note 8.2). The corporate expenses for the year ended December 31, 2019 also includes a real estate transfer tax of EUR 1,200k related to an intercompany sale of land and building (see note 13). Reconciliation of segment Adjusted EBITDA to Group loss for the period in EUR k 2021 2020 2019 Reportable segment Adjusted EBITDA 29,545 41,001 17,262 Corporate expenses (46,247) (39,918) (22,949) (16,702) 1,083 (5,687) Share‑based payment expenses (Note 20) (8,035) (5,658) (6,418) Depreciation and amortization (including impairments) (21,291) (15,128) (6,579) Operating loss (46,028) (19,703) (18,684) Financial costs, net (848) (1,394) (2,013) Income taxes 24 (281) (158) Loss for the year (46,852) (21,378) (20,855) Non-current asset locations Non-current assets of the Group consist of right-of-use assets (under IFRS 16), property, plant and equipment, as well as intangible assets. All of such assets are located in Germany, which is the country of the business address of the Centogene GmbH, except for property, plant and equipment of EUR 147k (2020: EUR 516k; 2019: EUR 286k) and right-of-use assets of EUR 137k (2020: EUR 709k; 2019: EUR 1,042k), which are located in the United States. 7.2 Revenue from contracts with customers in EUR k 2021 Pharmaceutical Diagnostics COVID-19 Total Rendering of services 14,879 27,900 146,380 189,159 Sales of goods 762 — 2 764 Total Revenues from contracts with external customers 15,641 27,900 146,382 189,923 Recognized over time 14,879 27,900 19,131 61,910 Recognized at a point in time 762 — 127,251 128,013 Total Revenues from contracts with external customers 15,641 27,900 146,382 189,923 Geographical information Europe 490 5,425 144,669 150,584 —Germany*# — 211 140,922 141,133 —Netherlands** — 6 3,616 3,622 Middle East 117 16,315 — 16,432 North America 14,940 2,950 1,606 19,496 —United States# 14,940 2,763 1,606 19,309 Latin America 94 2,499 — 2,593 Asia Pacific — 711 107 818 Total 15,641 27,900 146,382 189,923 2020 Pharmaceutical Diagnostics COVID-19 Total Rendering of services 15,947 22,108 88,587 126,642 Sales of goods 1,004 — 735 1,739 Total Revenues from contracts with external customers 16,951 22,108 89,322 128,381 Recognized over time 15,947 22,108 24,684 62,739 Recognized at a point in time 1,004 — 64,638 65,642 Total Revenues from contracts with external customers 16,951 22,108 89,322 128,381 Geographical information Europe 149 5,605 88,314 94,068 —Germany*# — 186 80,879 81,065 —Netherlands** — 3 6,572 6,575 Middle East 56 12,568 — 12,624 North America 16,711 1,576 978 19,265 —United States# 16,711 1,370 978 19,059 Latin America 35 1,851 2 1,888 Asia Pacific — 508 28 536 Total 16,951 22,108 89,322 128,381 in EUR k 2019 Pharmaceutical Diagnostics Total Rendering of services 19,089 27,258 46,347 Sales of goods 2,433 — 2,433 Total Revenues from contracts with external customers 21,522 27,258 48,780 Recognized over time 17,159 27,258 44,417 Recognized at a point in time 4,363 — 4,363 Total Revenues from contracts with external customers 21,522 27,258 48,780 Geographical information Europe 381 7,066 7,447 —Germany* 233 275 508 —Netherlands** — 25 25 Middle East 122 13,977 14,099 — Saudi Arabia# — 7,417 7,417 North America 20,896 2,380 23,276 —United States# 20,896 1,882 22,778 Latin America 123 2,864 2,987 Asia Pacific — 971 971 Total 21,522 27,258 48,780 * country of the incorporation of Centogene GmbH ** country of the incorporation of Centogene N.V. # countries contributing more than 10% of the Group's total consolidated revenues for the respective year ended December 31, 2021, 2020 or 2019 The Group collaborated with the majority of our pharmaceutical partners on a worldwide basis in 2021, 2020 and 2019. In addition, in cases where our pharmaceutical partners are developing a new rare disease treatment, it is generally anticipated that the final approved treatment will be made available globally. As a result, we allocate the revenues of our pharmaceutical segment by geographical region by reference to the location where each pharmaceutical partner mainly operates, which is based on the region from which most of their revenues are generated. The allocation of revenues in our diagnostics and COVID-19 segments are based on the location of each customer. Pharmaceutical segment During the year ended December 31, 2021, revenues from one pharmaceutical partner represented 5.1% of the Group’s total revenues (2020: 8.6%; 2019: 24.3%). During the year ended December 31, 2021, we entered into collaboration agreements with certain pharmaceutical partners, of which upfront fees of EUR 455k were received in relation to setup fees which will be recognized as revenue over the period of the partnership collaboration. No such payments were received or revenues recognized for the year ended December 31, 2020. During the year ended December 31, 2019, Centogene entered into several collaborations with pharmaceutical partners, of which upfront fees totaling EUR 1,930 k were received. Such upfront payments were recognized as revenues during the year as they represented the transaction price allocated to the one-off transfer of the Group’s intellectual property—provision of epidemiological insights of relevant rare diseases and relevant data. COVID-19 segment During the year ended December 31, 2021, revenues from two COVID-19 partners represented 6.4% and 9.4%, respectively, of the Group’s total revenues. (2020: 14.6% and 13.5%, respectively). To support the expansion of test offerings, the Company acquired laboratory facilities and equipment, developed a Corona Test Portal and leased laboratory space at several locations in Germany. Additionally, COVID-19 testing capacity is provided through our custom-built CentoTruck, a mobile laboratory in a container designed to carry out COVID-19 analysis. Total capitalized investments in COVID-19 testing as of December 31, 2021 amounted to EUR 2.8 million (2020: EUR 10.8 million), of which EUR 2.4 million (2020: EUR 7.7 million) are included in property, plant and equipment and EUR 0.4 million (2020: EUR 1.7 million) is included in intangible assets and relates to the development of the Corona Test Portal. Contract balances in EUR k Dec 31, 2021 Dec 31, 2020 Trade receivables (note 15) 21,065 25,656 Contract assets (note 15) 3,272 3,543 Contract liabilities (note 19.2) 4,842 4,479 The contract assets primarily relate to the Group’s rights to consideration for work completed but not billed at the reporting date on the tests for the diagnostics segment, with the satisfaction of the respective performance obligation measured by reference to stages in a standardized process. The contract assets also include work performed for pharmaceutical partners which are based on milestone fees. In 2021, EUR 483k (2020: EUR 356 k) was recognised as provision for expected credit losses on contract assets (see note 21). The contract assets are transferred to receivables when the rights become unconditional. This usually occurs when the Group issues an invoice to the customer. The contract liabilities include EUR 2,506k (2020: EUR 2,516k) which relate to the advance consideration, including various contracts with performance obligations, received from pharmaceutical partners for which revenue is recognized over time, and consideration from sales of CentoCards which have not yet been delivered. In addition, EUR 2,336k relates to COVID-19 performance obligations that have not been met as of December 31, 2021 (2020: EUR 1,963k). |
Other income and expenses
Other income and expenses | 12 Months Ended |
Dec. 31, 2021 | |
Other income and expenses | |
Other income and expenses | 8 Other income and expenses 8.1 in EUR k 2021 2020 2019 Government grants 2,263 2,152 2641 Gain on disposal of property, plant and equipment 18 2 532 Exchange rate gains — — 314 Income from the reversal of provisions — — 89 Others 656 240 205 Total other operating income 2,936 2,394 3,781 Government grants contain performance-based grants to subsidize research, development and innovation in the state of Mecklenburg-Western Pomerania from funds granted by the European Regional Development Fund. Furthermore, government grants contain the release of deferred income from investment related grants. Other operating income includes a gain of EUR 387k from the forgiveness of a bank loan granted under the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). (2020: EUR Nil). In July 2019, the Group entered into a sale and leaseback transaction. According to which, the Group sold the Rostock headquarters building to a third party and then leased the building from the third party for a period of 12 years at a fixed rate per month with the option to extend. The sale of the Rostock headquarters in 2019 resulted in a gain of EUR 532k and was recognized in the period of sale. (See note 13) 8.2 in EUR k 2021 2020 2019 Currency losses 86 10 192 Other — 172 1,092 Total other operating expenses 86 182 1,284 Other operating expenses for the year ended December 31, 2019 included costs incurred related to the IPO charged to profit and loss of EUR 1,092k. During the year ended December 31, 2020, the Group disposed of its entire 51% interest in LPC GmbH (“LPC”) to the minority shareholders for a consideration of EUR 213k, of which EUR 200k is to be paid over a period of four years and EUR 100k is outstanding as of December 31, 2021 (included in other assets, see note 15). The related non-controlling interest of EUR 268k (accumulated share of loss) was debited to profit or loss, and the sale resulted in a loss of EUR 101k. 8.3 in EUR k 2021 2020 2019 Interest expenses from loans (267) (173) (1,690) Currency losses — (362) — Unwinding of the discount on lease liabilities (584) (865) (339) Interest income from loans and receivables 3 6 16 Total (848) (1,394) (2,013) 8.4 in EUR k 2021 2020 2019 Wages and salaries 43,533 31,121 23,854 Social security contributions 6,134 4,095 3,212 Share‑based payments 5,471 3,486 5,714 Termination benefits 1,158 569 63 Total 56,296 39,271 32,843 Social security contributions include contributions to state pension scheme of EUR 2,706k (2020: EUR 1,851k; 2019: EUR 1,136k) as defined contribution plan expenses. Additionally, the Company recognized compensation expense of EUR 3,252k (2020: EUR 2,775k; 2019: EUR 1,203k) for remuneration of supervisory board members, including share-based payments (see note 25). |
Income taxes
Income taxes | 12 Months Ended |
Dec. 31, 2021 | |
Income taxes | |
Income taxes | 9 Income taxes Taxes recognized through profit or loss: in EUR k 2021 2020 2019 Current tax expenses (118) (74) (158) Current year (102) (58) (1) Adjustments for prior periods (16) (16) (157) Deferred tax (expense)/income 142 (207) — Temporary differences 142 (182) (514) Tax losses — (25) 514 Total income tax (expenses)/benefit 24 (281) (158) No income taxes were recognized directly in other comprehensive income for the years ended December 31, 2021, 2020 and 2019. A reconciliation of the effective tax rate to the Group’s statutory rate of 31.1% for the year ended December 31, 2021, and in EUR k 2021 2020 2019 Loss before tax (46,876) (21,097) (20,697) Taxes on the basis of the Company’s domestic tax rate 14,596 6,570 6,445 Tax rate effect of foreign tax jurisdictions 882 65 412 Non‑deductible expenses (3,030) (903) (441) Current year losses for which no deferred tax assets were recognized (12,211) (5,792) (6,416) Tax income related to prior years (17) (137) (157) Other effects (196) (84) (1) Income tax (expenses)/ benefit 24 (281) (158) The domestic tax rate of 31.1% is composed of the corporate income tax rate of 15%, the solidarity surcharge of 5.5% of this corporate income tax, as well as trade tax of 15.3%. The tax rate effects from foreign tax jurisdictions are primarily attributable to the tax-exempt profit of a Group subsidiary located in Dubai. Tax losses carryforwards for which no deferred tax assets were recognized amount to EUR 85,639k in Germany (2020: EUR 64,464k; 2019: EUR 41,570k) and to EUR 1,083k in other countries (2020: EUR 1,002k; 2019: EUR 505k). Deductable temporary differences, for which no deferred tax asset is recognized, amount to EUR 1,117k. Tax losses carried forward in Germany do not expire. Foreign tax losses carried forward may be restricted. In the light of the Group’s loss history, the recognition of deferred taxes for tax losses carried forward and deductible temporary differences was limited to the future reversal of existing taxable temporary differences. For temporary differences associated with investments in the amount of EUR 5,656k (2020: EUR 4,313k; 2019: EUR 4,360k), no deferred tax liability has been recognized because the Company is able to control the timing of the reversal and it is probable that the difference will not reverse in the foreseeable future. The below table shows a breakdown of deferred taxes in the Group’s statement of financial position. December 31, 2021 December 31, 2020 Deferred Deferred Deferred Deferred in EUR k tax assets tax liabilities tax assets tax liabilities Intangible assets — (2,439) — (2,934) Property, plant and equipment — (14) — (133) Right-of-use assets — (4,617) — (5,029) Measurement of service contracts — (42) — (145) Leasing liabilities 4,563 — 4,865 — Government grants 1,693 — 1,903 — Unused tax losses 777 — 1,266 — Sum 7,033 (7,112) 8,034 (8,241) Offset (7,033) 7,033 (8,034) 8,034 Deferred Taxes — (79) — (207) |
Loss Per Share
Loss Per Share | 12 Months Ended |
Dec. 31, 2021 | |
Loss Per Share | |
Loss Per Share | 10 Loss Per Share Basic loss per share is calculated by dividing loss for the period attributable to equity holders of the Group by the weighted average number of shares outstanding during the same period, adjusted for the effect of the corporate reorganization as discussed in Note 1 and applied retrospectively to all prior periods presented. The weighted average number of outstanding shares for the year ended December 31, 2021 was 22,437,301 (2020: 20,909,673; 2019: 16,409,285), adjusted for the effect of the 2019 corporate reorganization). For the periods included in these financial statements, the share options are not included in the diluted loss per share calculation as the Company was loss-making in all these periods. Due to the anti-dilutive nature of the outstanding options, basic and diluted loss per share is equal. |
Intangible assets
Intangible assets | 12 Months Ended |
Dec. 31, 2021 | |
Intangible assets | |
Intangible assets | Assets 11 Intangible assets Reconciliation of carrying amounts Internally generated Internally Purchased rights, /acquired developed licenses, in EUR k biomarkers databases software Total Cost As of Jan 1, 2020 12,022 6,502 3,010 21,534 Additions 1,900 2,717 2,040 6,657 Deconsolidation — — (151) (151) As of Dec 31, 2020 13,922 9,219 4,899 28,040 Additions 749 1,652 386 2,787 Reclass* (297) 297 — — As of Dec 31, 2021 14,374 11,168 5,285 30,827 Accumulated amortization and impairment As of Jan 1, 2020 3,831 1,770 1,788 7,389 Amortization and impairment 6,917 943 508 8,368 Deconsolidation — — (124) (124) As of Dec 31, 2020 10,748 2,713 2,172 15,633 Amortization and impairment 2,149 1,991 1,860 6,000 Reclass* (68) 68 — — As of Dec 31, 2021 12,829 4,772 4,032 21,633 Carrying amounts As of Dec 31, 2020 3,174 6,506 2,727 12,407 As of Dec 31, 2021 1,545 6,396 1,253 9,194 * The net reclassification of EUR 229 k from internally generated biomarkers to internally developed databases represents internal costs incurred in the process of developing internal IT driven solutions on biomarkers. Reclassification is made to allow more transparent presentation considering this is more in line with each sub-group of intangible assets. Development costs and amortization Internally generated intangible assets include capitalized development costs for biomarkers and IT driven solutions such as CentoPortal, CentoMetabolome and CentoMD (see notes 5 and 6 regarding measurement). The amortization of patents, trademarks and development costs is expensed and recorded under “cost of sales” to the extent the related intangible asset are used in generating revenue and recorded in research and development expenses to the extent the related intangible assets are used for R&D purposes. As of December 31, 2021, certain identified biomarkers and internally developed databases amounting to EUR 1.1 million (2020: EUR 4.7 million) were impaired as part of the Company’s strategy reassessment which occurred in Q4 2021. The impairment is expensed under cost of sales and included in amortization and impairment expense in the Pharma segment. |
Property, plant and equipment
Property, plant and equipment | 12 Months Ended |
Dec. 31, 2021 | |
Property, plant and equipment | |
Property, plant and equipment | 12 Property, plant and equipment Please refer to the following table for the development from January 1, 2020 to December 31, 2021: Other equipment, furniture in EUR k Buildings Plant and fixtures Total Cost As of Jan 1, 2020 3,254 9,730 4,712 17,696 Additions 105 1,295 8,490 9,890 Disposal* — — (612) (612) Reclass from right-of-use assets*** — 3,099 — 3,099 As of Dec 31, 2020 3,359 14,124 12,590 30,073 Additions 5 144 2,766 2,915 Disposal** — (379) (718) (1,097) Reclass from right-of-use assets*** — 1,165 — 1,165 As of Dec 31, 2021 3,364 15,054 14,638 33,056 Accumulated depreciation and impairment As of Jan 1, 2020 392 6,155 2,773 9,320 Depreciation 194 993 1,913 3,100 Disposal* — — (44) (44) Reclass from right-of-use assets*** — 1,107 — 1,107 As of Dec 31, 2020 586 8,255 4,642 13,483 Depreciation 315 3,519 7,473 11,307 Disposal** — (157) (217) (374) Reclass from right-of-use assets*** — 493 — 493 As of Dec 31, 2021 901 12,110 11,898 24,909 Carrying amounts As of Dec 31, 2020 2,773 5,869 7,948 16,590 As of Dec 31, 2021 2,463 2,944 2,740 8,147 * The disposal relates to the sale of a CentoTruck as part of a contract with a COVID-19 customer . ** The disposal relates to various obsolete plant and machinery equipment mainly in relation to the ramp down of the COVID-19 business segment *** The reclass from right-of-use assets represents assets purchased at the end of the lease. The Group prospectively adjusted the estimated useful lives of COVID-19 related property, plant and equipment to a remaining estimated useful life of eight months, with effect at the beginning of the third quarter 2021 due to management’s decision to ramp down the COVID-19 business segment. This prospective change in estimate resulted in accelerated depreciation expense of EUR 4,138k for the year ended December 31, 2021. |
Right-of-use assets
Right-of-use assets | 12 Months Ended |
Dec. 31, 2021 | |
Right-of-use assets. | |
Right-of-use assets | 13 Right-of-use assets The Group has lease contracts for land and buildings and offices in Germany and the United States, as well as various items of plant, machinery, motor vehicles and other equipment used in its operations. Leases for land and buildings is related to the sale and leaseback transaction of the Rostock headquarters building with a lease term of . The Group’s obligations under its leases are secured by the lessor’s title to the leased assets. Generally, the Group is restricted from subleasing the leased assets. In addition, a bank guarantee of EUR k) is required to be maintained for the leases of Rostock headquarters building and Berlin offices until the expiry or termination of the leases. Leases of certain plant and machineries were also secured with rental deposits of EUR The lease contract of Rostock headquarters building includes extension options. These options are negotiated by management to provide flexibility in managing the leased-asset portfolio and align with the Group’s business needs. The lease of Rostock headquarters building allows the Group to extend the rental contract twice k per annum. Such extension option was not included in the right-of-use assets and lease liabilities, as it is not reasonably certain that such extension option will be exercised. The Group also has certain leases of motor vehicles and premises with lease terms of 12 months or less and leases of office equipment with low value. The Group applies the ‘short-term lease’ and ‘lease of low-value assets’ recognition exemptions for these leases. Set out below are the carrying amounts of right-of-use assets and movements during the period: Plant and Other Motor In EUR k Buildings* Offices equipment equipment Vehicles Total As of January 1, 2020 13,126 4,407 6,989 390 20 24,932 Additions — 426 1,265 1,112 37 2,840 Reclass to property, plant & equipment** — — (1,992) — — (1,992) Depreciation expenses (1,121) (657) (1,675) (187) (20) (3,660) As of December 31, 2020 12,005 4,176 4,587 1,315 37 22,120 Additions — 133 1,121 179 19 1,452 Reclass to property, plant & equipment** — — (672) — — (672) Depreciation expenses (1,121) (970) (1,745) (138) (22) (3,996) As of December 31, 2021 10,884 3,339 3,291 1,356 34 18,904 * As the lease of land and buildings are made through one contract, all the related right-of-use assets are allocated to Buildings. ** Reclass of leased assets to PP&E (note 12) represents purchased assets at the end of lease term. Set out below are the carrying amounts of lease liabilities and the movements during the period: in EUR k 2021 2020 As of January 1 21,205 21,704 Additions 1,452 3,654 Interest expenses 584 865 Payments (4,244) (5,018) As of December 31 18,997 21,205 Current 3,409 3,528 Non-current 15,588 17,677 The maturity analysis of lease liabilities is disclosed in note 21. The following are the amounts recognised in profit or loss: in EUR k 2021 2020 2019 Depreciation expense of right-of-use assets 3,996 3,660 1,807 Interest expenses on lease liabilities 584 865 339 Rent expenses—short-term leases 7,175 1,695 185 Rent expense—leases of low-value assets 48 33 25 Total amounts recognized in profit or loss 11,803 6,253 2,356 The Group had total cash outflows for leases of EUR 11,467k in 2021 (2020: EUR 6,746k; 2019: EUR 3,256k). The future cash outflows relating to non-cancellable short-term leases and leases of low-value assets, are disclosed in note 24. |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2021 | |
Inventories | |
Inventories | 14 Inventories in EUR k Dec 31, 2021 Dec 31, 2020 Raw materials, consumables and supplies 3,831 11,167 Finished goods and merchandise 38 238 Inventories 3,869 11,405 Management assessed inventory obsolescence on all COVID-19 related inventories which resulted in an inventory write-off included within cost of sales in the amount of € 1,795k (2020: nil). In the year ended December 31, 2021, raw materials, consumables and changes in inventories of finished goods recorded as expenses under “cost of sales” came to EUR 70,089k (2020: EUR 41,594k; 2019: EUR 11,285k). |
Trade and other receivables and
Trade and other receivables and other assets | 12 Months Ended |
Dec. 31, 2021 | |
Trade and other receivables and other assets | |
Trade and other receivables and other assets | 15 Trade and other receivables and other assets in EUR k Dec 31, 2021 Dec 31, 2020 Non ‑ current Other assets—Rental deposits 2,922 1,867 Other assets—Others 50 100 2,972 1,967 Current Trade receivables 21,065 25,656 Contract assets 3,272 3,543 Other assets 5,453 8,286 29,790 37,485 Total non-current and current trade and other receivables and other assets 32,762 39,452 Other non-current assets The non-current portion of other assets mainly include cash deposit of EUR 2,250k, used to secure a bank guarantee of EUR 3,000k, relating to the leases of Rostock headquarters building, cash deposits of EUR 193k, used to secure a bank guarantee of EUR 257k, relating to the leases of Berlin office, cash deposits of EUR 289 k relating to the leases of other offices and laboratories located in Germany and EUR Trade receivables Trade receivables are non-interest bearing and are generally due in 30 Other current assets Other current assets include VAT receivables of EUR 253k (2020: EUR 226k), prepaid expenses of EUR 3,346k (2020: EUR 4,431k), receivables related to exercised share-based payment grants of EUR 116k (2020; EUR 1,253k), receivables related to COVID-19 bank or credit card transactions of EUR 612k (2020: EUR 1,076k), as well as receivables from grants of EUR Nil (2020: EUR 442k). |
Cash and short-term deposits
Cash and short-term deposits | 12 Months Ended |
Dec. 31, 2021 | |
Cash and short-term deposits | |
Cash and short-term deposits | 16 Cash and short-term deposits As of December 31, 2021, the Group has pledged its short-term deposits with carrying amount of EUR 938k (2020: EUR 1,500k) and EUR 2,500k (2020: EUR 2,500k) respectively, to fulfil collateral requirements in respect of existing secured bank loan and overdraft facility up to EUR 2,500k. In addition, the Group has pledged its short-term deposits of EUR 1,000k (2020: EUR 1,000k) related to two other overdraft facilities worth EUR 500k each The restriction applying to the collateral may be terminated at any time subject to the full amount of the relevant bank loans and the overdrafts being repaid. |
Equity
Equity | 12 Months Ended |
Dec. 31, 2021 | |
Equity. | |
Equity | Equity and liabilities 17 Equity Issued capital and capital reserve in thousands of shares 2021 2020 Common shares as of Jan 1, fully paid 22,118 19,861 Issued shares — 2,000 Exercise of options 450 256 Common shares issued as of Dec 31, fully paid 22,568 22,118 as of as of in thousands of shares Dec 31, 2021 Dec 31, 2020 Authorized common shares of EUR 0.12 each 79,000 79,000 Common Shares In July 2020, the Company completed a follow-on public offering of 3,500,000 common shares of the Company, consisting of 2,000,000 common shares offered by the Company and 1,500,000 common shares offered by selling shareholders at a price to the public of USD 14.00 per common share (i.e. EUR 12.71 per share). Aggregate offering proceeds, net of underwriting discounts, commissions and transaction costs, were EUR 22 million to the Company. As of December 31 2021, 22,567,971 common shares of Centogene N.V. with a nominal value of EUR 0.12 were issued and fully paid up (2020: 22,117,643). As of December 31, 2021, the authorized, but unissued common share capital amounted to EUR 6,772k (2020: EUR 6,826k). The holders of common shares are entitled to the Company's approved dividends and other distributions as may be declared from time to time by the Company, and is entitled to vote per share on all matters to be voted at the Company's annual general meetings. Capital reserve As of December 31, 2021, capital reserve included a share premium of EUR 106,665k (2020: EUR 107,498k), being amounts paid in by shareholders at the issuance of shares in excess of the par value of the shares issued, net of any transaction costs incurred for the share issuance. The capital reserve consists of the share premium account and amounts recorded in respect of share-based payments. For additional information on the share-based payments, please refer to note 20. |
Capital management
Capital management | 12 Months Ended |
Dec. 31, 2021 | |
Capital management | |
Capital management | 18 Capital management The Group's objectives when managing capital are to safeguard the Company's ability to continue as a going concern and finance all necessary sustainable developments, so that it can continue to provide returns for shareholders and benefits for other stakeholders. In particular, care is taken and an optimal capital structure is strived for to reduce the cost of capital. With the IPO in November 2019, follow-on public offering of July 2020, warrant issuance and aggregate debt financing in February 2022, the Group is focused on achieving a healthy capital base to increase the confidence of investors and the capital market. The Group manages its capital structure and makes adjustments in light of changes in economic conditions and the risk characteristics of its activities. To maintain or adjust the capital structure, the Group may adjust the return to shareholders, issue new shares, or pay additional interests to reduce debt. |
Financial liabilities
Financial liabilities | 12 Months Ended |
Dec. 31, 2021 | |
Financial liabilities | |
Financial liabilities | 19 Financial liabilities 19.1 in EUR k Dec 31, 2021 Dec 31, 2020 Non ‑ current liabilities Non‑current portion of secured bank loans - 401 Total non ‑ current loans - 401 Lease liabilities 15,588 17,677 Total non ‑ current liabilities 15,588 18,078 Current liabilities Current portion of secured bank loans 505 567 Other bank loans — 387 Bank overdrafts 3,310 1,538 Total current loans 3,815 2,492 Current portion of lease liabilities 3,409 3,528 Total current liabilities 7,224 6,020 Total non ‑ current and current liabilities 22,812 24,098 As of December 2021, short-term cash deposits of EUR 938k (2020: EUR 1,500k) were used to secure the remaining bank loan outstanding (see note 16). The following table is based on the original terms and conditions: Conditions and statement of liabilities The outstanding interest-bearing loans as of December 31, 2021 and 2020 have the following conditions: Dec 31, 2021 Dec 31, 2020 Nominal Nominal Carrying Nominal Carrying in EUR k Currency interest rate Maturity amount amount amount amount Secured bank loan EUR 2.95% 2017‑22 505 505 968 968 Other bank loan USD 1% 2020-22 — — 387 387 Bank overdrafts EUR 4.75% Rollover 499 499 498 498 Bank overdrafts EUR 3.75% Rollover 2,329 2,329 628 628 Bank overdrafts EUR 4.50% Rollover 482 482 412 412 Lease liabilities EUR 2.1%-3.5%*, 5.4%-9.1% 2017-31 18,997 18,997 21,205 21,205 Total interest ‑ bearing financial liabilities 22,812 22,812 24,098 24,098 * represents the incremental borrowing rate of the Group at the commencement of the leases The bank overdrafts of EUR 2,329k as of December 31, 2021 (2020: EUR 628k) were secured by short-term deposits with a carrying amount of EUR 2,500k (2020: EUR 2,500 k) (see note 16). The other bank overdrafts of EUR 19.2 in EUR k Dec 31, 2021 Dec 31, 2020 Trade payables 11,252 31,736 Government grants (deferred income) 9,396 10,292 Contract liabilities 4,842 4,479 Others 14,632 13,483 Trade payables and other liabilities 40,122 59,990 Non ‑ current 8,028 8,950 Current 32,094 51,040 Government grants mainly include investment-related government grants. These were received for the purchase of certain items of property, plant and equipment for the research and development facilities in Mecklenburg-Western Pomerania, including the Rostock facility. The grants were issued in the form of investment subsidies as part of the joint federal and state program, “Verbesserung der regionalen Wirtschaftsstruktur” (improvement of the regional economic structure) in connection with funds from the European Regional Development Fund. Additional grants received during the year ended December 31, 2021 amounted to EUR k). In addition, other liabilities include a provision for outstanding invoices of EUR 4,978k (2020: EUR 1,245k), personnel-related liabilities for vacation and bonuses totaling EUR 4,812k (2020: EUR 4,032k), a VAT payable of EUR 905k (2020: EUR 4,578k), as well as liabilities for wage and church tax of EUR 1,040k (2020: EUR 1,988k). |
Share-based payments
Share-based payments | 12 Months Ended |
Dec. 31, 2021 | |
Share-based payments | |
Share-based payments | 20 Share-based payments As of December 31, 2021 and 2020, the Group had the following share-based payment arrangements. (i) Virtual share option program 2016 (cash-settled) On July 1, 2016, the Group established a virtual share option program (the “2016 VSOP”) under Centogene AG. The completion of IPO in November 2019 was defined as one of the “exit events” in the 2016 VSOP program. Accordingly, all options granted under the 2016 VSOP vested immediately in full upon the completion of the IPO. In addition, holders of vested options are entitled to receive a direct cash payment from the Company according to the calculation as stipulated in the program, which is determined based on the IPO price of the shares of Centogene N.V. and the exercise prices of the vested options The payment to the option holders will be reimbursed by the original shareholders of the Company at the same time as the obligation to pay the options holders arises. Upon the completion of the July 2020 Offering, the relevant payments of EUR (ii) 2019 Equity Incentive Plan (2019 Plan) In conjunction with the consummation of the IPO, the Company established a new long‑term incentive plan (the “2019 Plan”) with the purpose of advancing the interests of our shareholders and other stakeholders by enhancing our ability to attract, retain and motivate individuals who are expected to make important contributions to us. The 2019 Plan governs issuances of equity and equity‑based incentive awards from and after the consummation of the IPO. Awards under the 2019 Plan may be granted to our employees, the members of our management board and supervisory board, consultants or other advisors. As of January 1, 2022 the maximum number of common shares underlying awards that may be granted pursuant to the 2019 Plan (other than replacement awards) will not exceed 22% of the Company’s issued share capital. Such maximum number will be increased on January 1 of each calendar year, by an additional number of common shares equal to 3% of the Company’s issued share capital on such date (or a lower number of common shares as determined by the management board or supervisory board, where appropriate on the basis of a recommendation of the compensation committee (as the case may be, as prescribed by the 2019 Plan and, collectively, the “Committee”)). In the event of a good leaver’s (as defined in the 2019 Plan) termination of employment or service, all vested awards will be exercised or settled in accordance with their terms within a period specified by the Committee and all unvested awards will be cancelled automatically unless decided otherwise by the Committee. In the event of a bad leaver’s (as defined in the 2019 Plan) termination of employment or service, all vested and unvested awards will be cancelled automatically without compensation. Pursuant to an amendment to the 2019 Plan applicable to awards granted in the period between September 11, 2020 and November 25, 2020, unless otherwise determined by the Committee, in the event of a good leaver’s termination of employment or service, all unvested awards will vest in full and all vested awards that have not yet been exercised or settled must be exercised or settled in accordance with their terms within a period specified by the Committee. If those awards are not exercised or settled within such period, they will be cancelled automatically without compensation. This arrangement is applicable to awards granted in the above-mentioned period only (see note 20(v)). In the event of a change in control of the Company (as defined in the 2019 Plan), outstanding awards that will be substituted or exchanged for equivalent replacement awards, in connection with the change in control will be cancelled. Outstanding rewards that are not substituted or exchanged for equivalent replacement awards, in connection with the change in control will immediately vest and settle in full, unless otherwise decided by the Committee. The grants disclosed in the following paragraphs were granted under the 2019 Plan. (iii) Equity share option - Replacement (ESOP/ VSOP 2017) In 2017, the Group established another virtual share option program (the “2017 VSOP”) that entitled the management board to grant virtual share options to individuals, in regard to services they provide and their continuous commitment to the Group. The number of options granted to each holder was based on the number of options granted to them under 2017 VSOP and the IPO price of Centogene N.V. Accordingly, during 2019, 805,308 new share options were granted pursuant to the Centogene N.V. 2019 Plan, with each option representing the right to acquire one common share of Centogene N.V., with an exercise price equal to the nominal value of a share of Centogene N.V., which is EUR 0.12 . The options were considered vested upon the completion of the IPO, but were not exercisable in the first 2021 2020 Number WAEP Number WAEP Outstanding as of January 1 549,005 0.12 805,308 0.12 Granted during the year — 0.12 — 0.12 Cancelled during the year — 0.12 — 0.12 Exercised during the year (191,565) 0.12 (256,303) 0.12 Outstanding as of December 31 357,440 0.12 549,005 0.12 Vested as of December 31 357,440 0.12 549,005 0.12 Exercisable as of December 31 357,440 0.12 549,005 0.12 During 2020, 256,303 options were exercised. The weighted average share price at the date of exercise was USD 12.13 . During 2021, The contractual term of the share options as of December 31, 2021 is eight years. The share options issued under ESOP 2017 are equity-settled and the fair value of the options were recognized in equity under capital reserve on the date of grant. (iv) Equity share option 2019 (ESOP 2019) to Flemming Ornskov In 2019, an agreement was entered into between the Company and Flemming Ornskov. According to this agreement, a total of 396,522 options, each option representing the right to acquire one common share, were granted pursuant to the 2019 Plan for his services as chairman of the supervisory board, with an exercise price equaling the IPO price, which is EUR 12.58 per share, on the date of the IPO of the Company. The vesting period was three years commencing on March 31, 2019 as the grant date, during which one -third of the granted options would vest at the end of each year of grant. The contractual term of the share options as of December 31, 2019 was ten years and the weighted average fair value of options outstanding was EUR 9.08 . The share options issued under “ESOP 2019” will be equity-settled and the fair value of the options were recognized in equity under capital reserve, based on the fair value on the date of grant, and will be charged to profit or loss over the vesting period using the graded approach. On December 18, 2020, in an extraordinary general meeting of shareholders of Centogene N.V., the shareholders approved the grant of 300,000 restricted stock units (“RSUs”) to Flemming Ornskov under the 2019 Plan, which replaced the ESOP 2019 and pursuant to which Flemming Ornskov will forfeit the options awarded to him thereunder in exchange for the RSUs granted to him. The RSUs will expire after ten years, will not be subject to any other performance criteria, will have no exercise price and will be settled in shares. With respect to the RSUs granted: 1. 33% will vest immediately; 2. the remaining 67% will vest in two equal annual instalments on each relevant anniversary of October 1 following the date of grant; and 3. will vest in full upon the occurrence of a change in control (as defined in the 2019 Plan), provided that the holder of the awards is an eligible participant (as defined in the 2019 Plan) on the date of such change in control. 2021 2020 Number WAEP (EUR) Number WAEP Outstanding as of January 1 300,000 — 396,522 12.58 Cancelled during the year — — (396,522) 12.58 Replacement awards granted during the year — — 300,000 — Granted during the year — — — — Exercised during the year — — — — Outstanding as of December 31 300,000 — 300,000 — Vested as of December 31 200,000 — 100,000 — Exercisable as of December 31 200,000 — 100,000 — The replacement of the ESOP 2019 and the grant of new RSUs of Centogene N.V. was accounted for as modification under IFRS 2. The incremental fair value of EUR 135k has been recorded in the statement of comprehensive income over the vesting period of the replacement grant. (v) 2020 grants to management board and employees On September 11, 2020, the Supervisory Board granted members of the management board the following options and RSUs under the 2019 Plan: a. to the Company’s former CEO Arndt Rolfs: 36,175 Options and 72,350 RSUs; b. to the Company’s former CFO Richard Stoffelen: 16,250 Options and 32,250 RSUs; and c. to the Company’s CIO Volkmar Weckesser: 15,000 Options and 30,000 RSUs. On September 11, 2020, the management board granted 87,500 options and 75,000 RSUs to other key current and former executive officers under the 2019 Plan. On October 15, 2020, 251,500 RSUs were granted to employees, subject to the terms of the 2019 Plan, the applicable award agreement and the terms specified in the authorization from the Supervisory Board for this purpose. Apart from one award that immediately vested in full on the grant date and another award that vests in three equal tranches on each anniversary of its date of first employment, all other awards referred to above will vest in three equal tranches from January 1 following the grant date, in accordance with the following vesting schedule: i. one ii. one iii. one All of the foregoing awards vest in full when the participant is considered to be a good leaver within the meaning of the 2019 Plan effective as of grant date, as discussed in note 20(ii). As a result, unrecognized costs related to any unvested part of the award of a good leaver will result in accelerated recognition of these unrecognized costs in the statement of comprehensive income in the period when the employment contract has been terminated. Furthermore, all of the foregoing awards vest upon the occurrence of a change of control as defined by the 2019 Plan, unless the holder is no longer eligible to participate in the 2019 Plan at that time. The options referred to above vest only if the 20 trading day volume-weighted average stock price of the Company’s shares preceding the vesting date of each tranche exceeds the exercise price of USD 11.60. This hurdle is considered a market condition. Therefore, expenses would not be reversed, if the tranches do not ultimately vest. As the 20 (vi) 2021 grants to management board and employees During the year ended December 31, 2021 the following awards were granted under 2019 Plan: Award Type (2019 Plan) Market/ Performance Based Vesting Conditions Number of Awards Vesting Conditions Expiration Date RSUs No 95,499 Four equal tranches over a four-year period, starting January 1, 2022, April 1, 2022 or on each anniversary of the grant date 10th RSUs No 30,000 Three equal tranches over a three-year period starting January 1, 2022 10th RSUs No 15,000 Three equal tranches of which the first tranche vested immediately and the two remaining annual tranches will vest starting January 1, 2022 10th RSUs No 22,936 Four equal tranches over a four-year period, starting October 1, 2022 on each anniversary of the grant date 10th Options Yes 15,000 Three equal tranches over a three-year period starting January 1, 2022 10th RSUs No 3,891 Four equal tranches over a four-year period starting January 1, 2022 10th The grant date fair value of these grants will be recognized in profit or loss over the service period by using the graded approach. 15,000 of the options referred to above vest only if the 20 trading day volume-weighted average stock price of the Company’s shares preceding the vesting date of each tranche exceeds the exercise price of US$ 12.52. This hurdle is considered a market condition. Therefore, expenses would not be reversed, if the tranches do not ultimately vest. The RSUs referred to above have no performance-based vesting criteria. Each RSU represents a right to receive a payment in cash or shares equal to the value of the RSU at the exercise date. The Company has a choice to settle either in cash, in shares or a combination thereof. In line with this policy, both types of awards are to be settled in shares and expire on the 10 (vii) 2020 grants to Dr. Andrin Oswald In 2020, the Company and Mr. Oswald entered into an award agreement under the 2019 Plan pursuant to which Mr. Oswald will receive certain awards in the form of RSUs. According to the award agreement, a total of 324,000 RSUs were granted on December 1, 2020, subject to the purchase of ordinary shares of the Company on the open market in the amount of CHF 1,000k after the grant date, which will vest in four equal annual installments following December 1, 2020, subject to Mr. Oswald’s continued services with the Company and continued ownership of the a number of shares equal or higher than the number of purchased shares. On September 5, 2021 the Supervisory Board approved an amendment to this agreement. Under the amended award agreement, the RSUs vest in 14 equal quarterly installments following July 30, 2021 with final vesting date on December 1, 2024, subject to the purchase of ordinary shares of the Company on the open market in the amount of CHF 1,000k by June 30, 2022, and Mr. Oswald’s continued services with the Company. Further, the RSUs will vest pro rata to the number of shares actually purchased up to the full investment amount of CHF 1,000k on each quarterly installment prior to the share purchase deadline and are subject to the continued ownership of a number of shares equal or higher than the pro rata number of shares actually purchased on each applicable vesting date or share purchase deadline. The amendment did not result in incremental fair value of the award. The grant date fair value shall be recognized in the statement of comprehensive loss over the remaining vesting period based on the modified vesting schedule using the graded approach . The RSUs referred to above have no performance-based vesting criteria. RSUs represent a right to receive a payment equal to the value of the RSU at the exercise date. All the RSUs will vest in four equal annual installments following the grant date, subject to Mr. Oswald’s continued service with the Company as of the vesting date and will be charged to profit or loss over the period by using the graded approach. Additionally, a total of 500,000 performance-based vesting RSUs were granted to Mr. Oswald on December 1, 2020, subject to the following conditions: 1. 2. The hurdle to the performance-vesting RSUs is considered a market condition. Therefore, expenses would not be reversed, if the market condition is not met. All the performance-vesting RSUs will vest in four equal annual installments following the relevant initial vesting date, if the applicable performance hurdles are met, and subject to Mr. Oswald’s continued service with the Company as of the vesting date and will be charged to profit or loss over the vesting period using the graded approach. If Mr. Oswald’s service with the Company terminates for any reason, any unvested RSUs will immediately be forfeited. The foregoing awards that have been granted vest in full upon the occurrence of a change in control as defined in the agreement, provided that Mr. Oswald is still eligible to participate in the 2019 Plan and in continuous service with the Company through the date of such change in control (see “Note 27 Subsequent Developments” of our consolidated financial statements as of and for the year ended December 31, 2021). The contractual term of the RSUs is ten years from the respective grant dates. The RSUs issued are equity-settled. (viii) 2021 and 2020 supervisory board grants In connection to the IPO 10,000 Share Options have been granted as an extraordinary incentive to Mr. Berndt Modig as approved in the Annual General Meeting on June 24 , In 2020, an agreement was entered into between the Company and Peer Schatz, as member of our supervisory board. According to this agreement, a total of 300,000 RSUs were granted pursuant to the 2019 Plan to Mr. Schatz. The RSUs will vest in four equal annual instalments on each relevant anniversary of November 25, 2020. The grant was approved in the Company’s extraordinary general meeting of shareholders on December 18, 2020. The contractual term of the RSUs is ten years from grant date. The RSUs are not subject to performance criteria and will be settled in shares. In the same extraordinary general meeting of shareholders on December 18, 2020, shareholders also approved a new incentive compensation scheme for supervisory board members, under which certain members of the supervisory board will annually receive an award of options and RSUs for ordinary shares of the Company under the 2019 Plan with a target value of EUR 80,000 multiplied by the LTI factor. For each award, RSUs will constitute 75% of the value of the award while options will constitute the remaining 25% of the value of the award. The LTI factor will be 100% or less based on the volume-weighted average stock price of the shares over a 60 trading day period preceding December 31 of the relevant financial year. Furthermore, the chairman and vice-chairman of the supervisory board will each annually receive an additional award with a value of EUR 60,000 and EUR 40,000, respectively, multiplied by the LTI factor as of the financial year 2023; the chairman of the audit committee and the chairman of the compensation committee will each annually receive an additional award with a value of EUR 40,000 and EUR 8,000, respectively, multiplied by the LTI factor. The awards will be granted retrospectively for the preceding financial year following the audit of the Company’s annual accounts over such financial year, with the first annual awards to be granted in 2021 (in respect of the 2020 financial year). The awards will vest in four equal annual instalments on each relevant anniversary of the grant date, will expire on the ten-year anniversary of the grant date and are not subject to any performance criteria. The options and RSU awards referred above have a service commencement date of December 18, 2020, based on when the understanding was reached between the Company and the holders regarding the required services to contribute to the achievement of the long-term incentive targets. However, the grant date criteria for these awards will be met at each future annual grant date, upon the approval of the audited annual accounts, at such time when the terms and value of the awards to be granted become fixed. The foregoing awards are equity-settled and will vest in full upon the occurrence of a change in control as defined in the agreement, unless the holder is no longer eligible to participate in the plan at that time. The awards will be charged to profit or loss over the service period using the graded approach, pursuant to the equal annual vesting instalments. Additionally, in connection to this plan, Mr. Modig was granted 9,427 RSUs and 4,713 Share Options and Mr. Sheldon was granted 878 RSUs and 439 Share Options in 2021. The Options have a strike price of USD 9.92. The awards will vest in four equal annual instalments on each relevant anniversary of the grant date and will vest in full upon a change in control of the Company (provided that the holder remains an eligible participant on the date of the change in control). The awards will expire on the ten-year anniversary of the grant date, are not subject to any performance criteria and will be settled in shares. Valuation of Options Virtual share option program 2016 and 2017 The fair values of the 2016 VSOP upon its exercise and 2017 VSOP upon its cancellation in 2019 were based on the cash payments to which the holders of the virtual options are entitled, which were calculated according to the formulae as stipulated in the respective programs. The cash payment is with reference to the share price of Centogene N.V. at the date of IPO. Equity share option 2017 and Equity share option 2019 The fair values of ESOP 2017 and ESOP 2019 were estimated at the date of grant using the Black-Scholes option pricing model, taking into account the terms and conditions under which the share options were granted. The model takes into account historical and expected dividends, and the share price volatility of other public companies in the relevant industries to predict the share performance. There are no cash settlement alternatives for either the option holders or the Company. The key assumptions used to derive the option value are set out below: 2019 ESOP 2017 ESOP 2019 Exercise price (EUR) 0.12 12.58 Share price at grant date (EUR) 12.58 12.58 Volatility (%) 70 70 Risk‑free interest rate (%) (0.7) (0.7) Dividend yield (%) 0 0 Option term (years) 10 10 Valuation of 2020 grants The fair value of the replacement awards granted to Flemming Ornskov under the 2019 Plan and the awards granted to other participants under the 2019 Plan in 2020 were estimated at the grant date. The fair value of the standard RSUs (i.e., those without performance-based vesting criteria) is based on the observed value of the underlying shares. As no dividend payments are expected over the vesting period, no further adjustment is required. The weighted average fair value of standard RSUs granted under the 2019 Plan during the year ended December 31, 2020 was USD 11.62. The fair value of the ESOP 2019 replacement was estimated at the date of grant using the Black-Scholes option pricing model, taking into account the terms and conditions on which the options were granted. The fair value of the options and performance-based RSUs as of the grant date was determined using a Monte Carlo simulation model. The Monte Carlo simulation model utilizes multiple input variables to estimate the probability that market conditions will be achieved. The key assumptions used to derive the option and performance-based RSUs value and the weighted average fair value are set out below: 2020 Fair Value assumptions ESOP 2019 Options Performance Replacement Based RSUs Exercise price (USD) 14.00 11.60 n/a Share price at grant date (USD) 12.02 11.05 12.54 Volatility (%) 75 75 88 Risk‑free interest rate (%) 1.0 0.8 0.2-0.3 Dividend yield (%) 0 0 0 Expected contractual life (years) 8.9 10 12.08-13.08 Weighted average fair value (USD) 12.02 6.20 8.23 Valuation of 2021 grants The fair value of the options granted to the Mr. Modig and Mr. Sheldon was estimated at the date of grant using the Black-Scholes option pricing model, taking into account the terms and conditions on which the options were granted. In addition to that the fair value of the options granted to the Mr. Kim was estimated at the date of modification also using the Black-Scholes option pricing model. The awards granted to participants under the 2019 Plan in 2021 were estimated at the grant date. The fair value of the standard RSUs (i.e., those without performance-based vesting criteria) is based on the observed value of the underlying shares. As no dividend payments are expected over the vesting period, no further adjustment is required. The weighted average fair value of standard RSUs granted under the 2019 Plan during the year ended December 31, 2021 was USD 2021 Fair Value assumptions Options Add. Options Options Options Mr. Modig and Mr. Modig Mr. Kim 2019 Plan Mr.Sheldon Exercise price (USD) 9.92 14.00 11.60 12.52 Share price at grant date (USD) 10.01 10.01 10.80 12.54 Volatility (%) 75 75 75 75 Risk‑free interest rate (%) 1.7 1.7 1.7 1.9 Dividend yield (%) 0 0 0 0 Expected contractual life (years) 10.0 10 9 10 Weighted average fair value (USD) 7.86 7.45 8.21 7.36 The expense recognized for the above share-based payment transactions during the year is shown in the following table: in EUR k 2021 2020 2019 Expenses arising from cash-settled share-based payment transactions — — 5,714 - 2016 VSOP — — 596 - 2017 VSOP (2019: including modification gain) — — 5,118 Expenses arising from equity-settled share-based payment transactions 8,035 5,658 704 - ESOP 2019, including replacement by RSUs 7,000 2,105 704 - Grants to management board and employees 985 3,217 — - Grants to the CEO — 269 — - Supervisory board grant 50 67 — Total expenses arising from share ‑ based payment transactions 8,035 5,658 6,418 |
Financial instruments - fair va
Financial instruments - fair values and risk management | 12 Months Ended |
Dec. 31, 2021 | |
Financial instruments-fair values and risk management | |
Financial instruments-fair values and risk management | Financial instruments 21 Financial instruments-fair values and risk management 21.1 The carrying values of the Group’s financial assets and financial liabilities approximate their fair value. 21.2 The Group is exposed to the following risks from the use of financial instruments: ● Credit risk ● Liquidity risk ● Currency risk Credit risk Credit risk is the risk that a counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss. The Group is exposed to credit risk from its operating activities (primarily trade receivables) and from its financing activities, including deposits with banks and financial institutions and foreign exchange transactions. The carrying amount of the financial assets corresponds to the maximum default risk. Trade receivables and contract assets The Group utilizes a receivables management system that closely manages open items of major customers. The Group’s customers in the pharmaceutical segment are mainly pharmaceutical companies which are usually listed companies, or strongly financed by private equity funds. The Group’s customers in the diagnostics segment are mainly hospitals, labs and physicians, of which a large part are generating revenues. To avoid default, the Company may request prepayment for new business. In addition to the macroeconomic situation generally, the development of international healthcare markets is a key economic factor in assessing the default risk related to trade receivables and contract assets. These markets are closely monitored by the Group. An impairment analysis is performed at each reporting date using a provision matrix to measure expected credit losses. The provision rates are based on days past due for groupings of various customer segments with similar loss patterns (i.e. by customers from different segment; customers from different geographical region and customer type). The calculation reflects the probability weighted outcome, the time value of money and reasonable and supportable information that is available at the reporting date about past events, current conditions and forecasts of future economic conditions. The maximum exposure to credit risk at the reporting date is the carrying value of each class of financial assets disclosed in note 15. The Group does not hold collateral as security and does not request letters of credit or other forms of credit insurance. The Group evaluates the concentration of risk with respect to trade receivables and contract assets and recorded credit losses reflecting the expected lifetime loss, based on different types of customers. Considering the major exposure to the credit risk arising from the diagnostics segment, the Group focused its impairment analysis on the trade receivables due from customers in the diagnostic segment, in particular the MENA and Europe regions as they represent the majority of that segment’s revenue. In addition to applying the provision matrix, the Group performed an individual customer analysis on major debtors, with reference to the past history (such as sales and collection in the previous periods) and the assessment of their current financial condition and other relevant factors and evaluated if additional specific impairment losses would be necessary. Set out below is the information regarding the credit risk exposure of the Group’s trade receivables and contract assets using a provision matrix. As of December 31, 2021 Past due by Total Gross Past due 1 - Past due 31 ‑ 90 more than 90 in EUR k amount Not past due 30 days days days Middle East 13,968 3,999 1,013 2,056 6,900 Europe 11,486 10,771 351 259 105 Latin America 683 531 23 72 57 North America 3,787 2,562 79 203 943 Asia Pacific 130 115 9 6 (1) Total 30,054 17,978 1,475 2,596 8,004 Expected credit loss rate 19 % 0.9 % 7.7 % 11.7 % 64.1 % Expected credit loss 5,717 167 114 304 5,132 As of December 31, 2020 Past due by Total Gross Past due 1 - Past due 31 ‑ 90 more than 90 in EUR k amount Not past due 30 days days days Middle East 10,515 3,338 486 385 6,306 Europe 20,017 19,193 706 113 5 Latin America 387 313 24 13 37 North America 2,870 1,205 994 262 409 Asia Pacific 178 136 18 24 — Total 33,967 24,185 2,228 797 6,757 Expected credit loss rate 14.0 % 1.6 % 3.1 % 7.7 % 63.0 % Expected credit loss 4,768 382 70 61 4,255 Overdue trade receivables from the Middle East region mainly relate to major customers from the diagnostics segment. The trade receivables due from the top 10 diagnostics customers in the MENA region as of December 31, 2021 represent over 80% of total overdue balances for this region. These customers are mainly government hospitals administered by the Ministry of Health in the respective countries as well as distributors and, based on our past experience, these customers normally require a longer period to settle outstanding trade receivables. The average turnover period from these customers are 278 days. Therefore, a higher country specific loss rate has been used for the MENA region. Set out below is the movement in the allowance for expected credit losses of trade receivables and contract assets: in EUR k 2021 2020 As of January 1 4,768 2,355 Provision for expected credit losses 956 3,879 Derecognition of trade receivables (7) (1,466) As of December 31 5,717 4,768 The addition to the allowance for expected credit losses includes an amount of EUR 949 k which was included in the impairment of financial assets in the profit and loss account. In 2021, trade receivables of EUR 7 k (2020: EUR 1,466 k) were outstanding for more than 365 days and were derecognized. Cash and cash equivalents As of December 31, 2021, the Group held cash and cash equivalents of EUR 17,818k (2020: EUR 48,156k). This total, therefore, also represents the maximum default risk with regard to these assets. The cash and cash equivalents are deposited principally with financial institutions with investment grade credit ratings. Liquidity risk The liquidity risk is the risk of the Group possibly not being in a position to meet its financial liabilities as contractually agreed by providing cash or other financial assets. The Group's objective is to maintain a balance between continuity of funding and flexibility through the use of bank overdrafts and lease contracts. Managing liquidity within the Group is intended to ensure that - as far as possible - sufficient cash and cash equivalents are always available to meet payment obligations when these fall due, in both normal and challenging conditions, without incurring unacceptable losses or damaging the Group’s reputation. The Group strives to maintain cash and cash equivalents at a level above that of the expected cash outflows for financial liabilities (apart from trade payables) during the next 60 days. As of December 31, 2021, 30.7% of the Group’s interest-bearing liabilities mature in less than one year (2020: 25.0%) based on the carrying value of borrowings reflected in the financial statements. As of December 31, 2021, the expected cash inflows from trade and other receivables within two months amounts to EUR 6,418k (2020: EUR 14,857k), which would be EUR 4,834k lower than the amount of trade payables due as of then. The Company completed the IPO in November 2019. In July 2020, the Company completed a follow-on public offering of 3,500,000 common shares of the Company, consisting of 2,000,000 common shares offered by the Company and 1,500,000 common shares offered by selling shareholders at a price to the public of USD 14.00 per common share (i.e. EUR 12.71 per share). Aggregate offering proceeds, net of underwriting discounts, commissions and transaction costs, were EUR 22 million to the Company. As of December 31, 2021, the Group had cash and cash equivalent of EUR 17,818k (2020: EUR 48,156 k). The cash and cash equivalents are deposited principally with financial institutions with investment grade credit ratings. In addition to the cash and cash equivalent available as of December 31, 2021, the Group also has access to other sources of funding. As of December 31, 2021, the Group has secured credit lines totaling EUR 3,500k. These bear interest of 3.75% - 4.75% (2020: EUR 3,500k; 3.75% - 4.75%). EUR 3,310k were utilized as of December 31, 2021 (2020: EUR 1,538k). The table below presents the remaining contractual terms of the financial liabilities on the reporting date, including estimated interest payments. The figures are undiscounted gross amounts, including estimated interest payments and interest on undrawn loan funds, but without showing the impact of offsetting. Contractually agreed cash flows More Dec 31, 2021 Carrying Less than 2 to 12 1 to 5 than in EUR k amount Total 2 months months years 5 years Bank overdrafts 3,310 3,310 3,310 — — — Secured bank loans 505 505 105 400 — — Lease liabilities 18,997 22,050 716 3,403 9,038 8,893 Trade payables 11,252 11,252 11,252 — — — 34,064 37,117 15,383 3,803 9,038 8,893 Contractually agreed cash flows More Dec 31, 2020 Carrying Less than 2 to 12 1 to 5 than in EUR k amount Total 2 months months years 5 years Bank overdrafts 1,538 1,538 1,538 — — — Secured bank loans 968 997 5 584 408 — Other bank loans 387 394 — 394 — — Lease liabilities 21,205 24,897 716 3,580 9,861 10,740 Trade payables 31,736 31,525 31,011 514 — — 55,834 59,351 33,270 5,072 10,269 10,740 Reconciliation of liabilities arising from financing activities Non-cash changes Changes in in EUR k Jan 1, 2021 Cash flows Additions maturity and FX Dec 31, 2021 Non-current financial liabilities 18,078 (401) 865 (2,954) 15,588 Non-current portion of secured bank loans 401 (401) — — — Non-current lease liabilities 17,677 — 865 (2,954) 15,588 Current financial liabilities 6,020 (2,802) 1,438 2,567 7,223 Current portion of secured bank loans 567 (62) — — 505 Bank loans 387 — — (387) — Bank overdrafts 1,538 1,505 267 — 3,310 Current lease liabilities 3,528 (4,245) 1,171 2,954 3,408 Total 24,098 (3,203) 2,303 (387) 22,811 Non-cash changes Changes in in EUR k Jan 1, 2020 Cash flows Additions maturity Dec 31, 2020 Non-current financial liabilities 19,647 (1,993) 2,029 (1,605) 18,078 Non-current portion of secured bank loans 968 — — (567) 401 Municipal loans 610 (610) — — — Non-current lease liabilities 18,069 (1,383) 2,029 (1,038) 17,677 Current financial liabilities 7,323 (5,520) 2,663 1,554 6,020 Current portion of secured bank loans 802 (865) 63 567 567 Bank loans — 438 — (51) 387 Bank overdrafts 2,636 (1,208) 110 — 1,538 Municipal loans 250 (250) — — — Current lease liabilities 3,635 (3,635) 2,490 1,038 3,528 Total 26,970 (7,513) 4,692 (51) 24,098 Currency risk The Group is exposed to currency risk in cases where contracts are concluded in foreign currencies. The vast majority of goods delivered and services the Company provided, including those for international customers, are invoiced in euro. The main functional currencies of group companies are the euro, USD, the Indian rupee and the Arab Emirates Dirham. The following table presents the net foreign currency exposure of the Group as of December 31, 2021 and 2020. Dec 31, 2021 in EUR k USD INR AED Trade receivables 2,604 8 — Trade payables and other liabilities (2,394) (4) — Net exposure 210 4 — Dec 31, 2020 in EUR k USD INR AED Trade receivables 1,224 18 — Trade payables and other liabilities (3,631) (55) (17) Net exposure (2,407) (37) (17) Sensitivity analysis relating to changes in exchange rates Given the exposure to foreign currencies as presented above, the impact to the Group’s earnings before tax or equity from a 10% change in the US dollar exchange rate would not be material. |
List of subsidiaries
List of subsidiaries | 12 Months Ended |
Dec. 31, 2021 | |
List of subsidiaries | |
List of subsidiaries | 22 List of subsidiaries The major subsidiaries of the Group are listed below. Equity interests (%) Country in which primary activities are Name pursued Dec 31, 2021 Dec 31, 2020 Centogene GmbH* Germany 100 100 Centogene FZ-LLC United Arab Emirates 100 100 Centogene US, LLC USA 100 100 Centogene GmbH Austria 90 90 Centogene India Pvt. Ltd** India 100 100 Centogene Switzerland AG Switzerland 100 100 Centosafe B.V. Netherlands 100 100 Centogene d.o.o Belgrade Serbia 100 100 Dr. Bauer Laboratoriums GmbH*** Germany — — (*) Centogene IP GmbH and Centogene Shared Service GmbH were merged with Centogene GmbH on January 1, 2021. (**) (***) Centogene does not own any shares in Dr. Bauer Laboratoriums GmbH. However, Centogene meets the criteria of the control model under IFRS 10 as it has exposure to variable returns and the ability to use power to affect returns (see note 4). |
Non-controlling interests
Non-controlling interests | 12 Months Ended |
Dec. 31, 2021 | |
Non-controlling interests. | |
Non-controlling interests | 23 Non-controlling interests The table below shows information on each subsidiary of the Group with material, non-controlling interests before intercompany eliminations. The Group acquired the remaining 49% of Centogene India Pvt. Ltd in 2020 and disposed of its entire 51% interest in LPC GmbH in 2020. The non-controlling interest in Dr. Bauer Laboratoriums GmbH relates to the share in the net result of Dr. Bauer Laboratoriums GmbH that is included in the results of the Company’s COVID-19 testing business (see note 4). Dec 31, 2021 Centogene GmbH, Vienna Dr. Bauer Laboratoriums GmbH in EUR k Net assets/(liabilities) (528) 245 Carrying amount of non‑controlling interests (53) — Revenue — 109,015 Profit/(loss) (6) 98 Profit/loss allocated to non‑controlling interests (1) 98 Dec 31, 2020 Centogene GmbH, Vienna Dr. Bauer Laboratoriums GmbH in EUR k Net assets/(liabilities) (522) 148 Carrying amount of non‑controlling interests (52) — Revenue — 55,596 Profit/(loss) (1) 122 Profit/loss allocated to non‑controlling interests (0) 122 |
Commitments
Commitments | 12 Months Ended |
Dec. 31, 2021 | |
Commitments | |
Commitments | 24 Commitments Future payments for non-cancellable leases The Group has various lease contracts in relation to the expansion of the Rostock headquarters and leasing of the Frankfurt laboratory, Berlin Airport, Düsseldorf Airport, Frankfurt Airport and additional laboratory space in Hamburg. The future lease payments and utilities for these non-cancellable lease contracts are EUR 107 k within one year, EUR 2,370 k within five years and EUR 4,219 k thereafter (2020: EUR 283 k within one year, EUR 1,686 k within five years and EUR 4,855 k thereafter). The Group has various non-cancellable lease contracts of office equipment and storage spaces which had a lease term of less than 12 months or were related to leases of low-value assets, and therefore the short-term lease recognition exemption was applied to these contracts. The future lease payments for these non-cancellable lease contracts are EUR 44 k within one year (2020: EUR 33 k) and EUR 49 k within five years (2020: EUR 9 k). Future payment obligations During 2021, the Group concluded agreements with suppliers, for goods and services to be provided in 2022 with a total payment obligation of EUR 6,620k (2020: EUR 4,669k). |
Related parties
Related parties | 12 Months Ended |
Dec. 31, 2021 | |
Related parties | |
Related parties | 25 Related parties Transaction with shareholders In July 2020, we completed a follow-on public offering of 3,500,000 common shares of the Company (the “Follow-on Equity Offering”), consisting of 2,000,000 common shares offered by the Company and 1,500,000 common shares offered by selling shareholders at a price to the public of $14.00 per common share (i.e., EUR 12.71 per share). Aggregate offering proceeds, net of underwriting discounts, commissions and transaction costs, to the Company were EUR 22 million. We are not aware of any ordinary shares which were issued by the Company and sold in this transaction to related parties. Based on a shareholder agreement from January 2016 the payment to the option holders of the VSOP 2016 will be reimbursed by the original shareholders to the Company at the same time when the obligation to pay the options holders arises. The payables by the Group to the holders of vested options were recorded as a liability with a carrying value of EUR 2,769k as of December 31, 2019 and a corresponding receivable against shareholders was recorded (see note 15). The shareholders agreement had a term until December 31, 2023. Upon completion of the July 2020 Offering, the relevant payables to the holders of vested options were settled mainly by the proceeds received from such original shareholders from the sale of their shares. During 2020, the Company entered into a service contract with the former CEO, a major shareholder, to serve as an advisor during the transition period after his departure from the Company until December 31, 2020. For the year ended December 31, 2020, fees totaling EUR 11k were charged to profit or loss related to these services and the Group had payables of EUR 12k outstanding as of December 31, 2020. In 2021, no further service agreement have been entered into. Remuneration of management in key positions Key management have been defined as the members of the management board and the Company’s other key executive officers. in EUR k 2021 2020 2019 Short‑term employee benefits 4,098 4,273 3,313 Post‑employment pension and medical benefits 23 23 10 Termination benefits 235 565 — Share‑based payment transactions 822 1,822 3,395 Total compensation to key management 5,178 6,683 6,718 Due to the departure of the former CEO Arndt Rolfs in 2020, share-based payments include additional share-based expenses of EUR 776k for the accelerated vesting of outstanding equity awards and termination benefits include the severance payout of EUR 565k. As of December 31, 2020, the Group had amounts of EUR 1,325k (2019: EUR 769k) accrued for key management compensation. (See “Note 27 – Subsequent Developments” of our consolidated financial statements as of and for the year ended December 31, 2021.) There are no pension commitments for members of the management board. During 2021, 15,000 share options and 142,764 RSUs were granted under the 2019 Plan to key management personnel which are recognized as share-based payment expenses in profit and loss (see notes 20(vi)). As of December 31, 2021, the Group has receivables of EUR Nil (2020: EUR 561k) recognized related to the exercise of options by key management personnel, including the former CEO Arndt Rolfs in 2000 who was a member of key management during the periods. Remuneration of members of the Supervisory Board The supervisory board received remuneration for its activities of EUR 688k in the reporting year (2020: EUR 603k; 2019: EUR 499 k). In addition, as disclosed in note 20, certain members of the supervisory board received share-based awards under the 2019 Plan. For the year ended December 31, 2021, share-based payment expenses of EUR Transactions with members of management in key positions and other related parties The Company purchased supplies used for COVID-19 testing from an entity related to a member of the supervisory board that joined the board in 2021. Expenses totaling EUR 5 thousand were charged to profit and loss related to the period of service of the board member. For the year ended December 31, 2021, revenues totaling EUR 14 thousand were recognized in profit and loss in relation performance of COVID-19 testing services for entities related to members of the supervisory board. For the year ended December 31, 2021, fees totaling EUR nil (2020: EUR nil; 2019: EUR 152k) were charged to profit or loss in relation to consulting services provided by a member of the supervisory board. |
Contingent Liabilities
Contingent Liabilities | 12 Months Ended |
Dec. 31, 2021 | |
Contingent Liabilities | |
Contingent Liabilities | 26 Contingent liabilities In May 2016, the Company was informed in writing by the Universitair Medisch Centrum Utrecht ("UMCU") that a claim had been initiated against UMCU regarding a prenatal diagnostic test that the Company conducted at their request which failed to identify a specific mutation present in a patient. On October 1, 2018, the UMCU and Neon Underwriting Limited formally filed a legal claim in the local court in Rostock, Germany against the Company alleging that the Company’s negligence in performing the test resulted in the misdiagnosis of the patient. UMCU is seeking recovery for compensatory damages as a result of the alleged misdiagnosis. By court order of November 8, 2018, the Regional Court of Rostock set the amount in dispute at EUR 880k. On November 12, 2018, the Company submitted a notice to the Regional Court of Rostock of the intention to defend against the claim. On January 3, 2019, the Company filed a motion to dismiss in which the Company denied the merits of the claim. UMCU and Neon Underwriting Limited responded to this motion on March 15, 2019 with a statement of reply, and the parties made several court filings setting out their arguments since. By order dated June 3, 2019, the Regional Court of Rostock provided a first set of questions to be answered by an expert witness. As of December 31, 2020, the amount in dispute was EUR 1.3 million. The matter was assigned to a new judge, due to the illness of the prior judge, and the decision to appoint the recommended expert witness is still pending. Since then, several potential experts were approached by the court but eventually declined to prepare an expert witness report due to the possibility of bias. The Company intends to continue to rigorously defend its position and considers that it is not probable the legal claim towards the Company will be successful and as a result has not recognized a provision for this claim as of December 31, 2021. In addition, in case a settlement would be required, the Company believes that the corresponding liability will be fully covered by the respective existing insurance policies. On August 7, 2021, our partnering laboratory physician and a key executive officer of ours, Prof. Dr. Peter Bauer was informed in writing by the Public Prosecutor's Office in Fulda that a criminal investigation had been initiated against him regarding allegedly falsely billing statements submitted to the Association of Statutory Health Insurance Physicians in Hessen (Kassenärztliche Vereinigung Hessen). The aggregate amount in question was EUR 42,268.50. The investigation and claims were subsequently dropped in January 2022. Certain of our original shareholders agreed to reimburse us for the payments that we make to option holders under the 2016 Plan. Upon completion of the Follow-on Equity Offering, the relevant payables to the holders of vested options were settled mainly by the proceeds received from such original shareholders from the sale of their shares in the Follow-on Equity Offering. We have received a demand from one such original shareholder that alleges that it should have paid less to us in connection with the settlement of such payables. While we continue to believe that such demand has little chance of being successfully enforced through legal proceedings, we see the benefit of settling this pending issue. We have therefore agreed to a settlement agreement with the relevant shareholders pursuant to which we will make a one-time-payment in the total amount of EUR 550,000 to be divided up between such shareholders. On November 22, 2021, we signed a settlement agreement with the relevant shareholders. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2021 | |
Subsequent Events | |
Subsequent Events | 27 Subsequent Events On January 31, 2022, pursuant to a securities purchase agreement and a warrant agreement, each signed with certain investors, the Group received EUR 15.0 million in exchange for the issuance of an aggregate of 4,479,088 common shares at a price per share of USD 3.73 (EUR 3.35) and warrants initially exercisable for the purchase of up to an aggregate of 1,343,727 additional common shares at an initial exercise price per common share of USD 7.72. The warrants are exercisable immediately as of the date of issuance and will expire on December 31, 2026. Based on the fair value per share at the issuance date, the Group expects to recognize USD 3.2 million (EUR 2.8 million) under equity in the first quarter of the financial year 2022. In addition on January 31, 2022, the Company and certain of its subsidiaries entered into the Loan Facility, providing for debt financing agreement in the total amount of up to USD 45.0 million (EUR 40.2 million). Under the terms the Loan Facility, the Group drew down USD 25.0 million (EUR 22.3 million) on January 31, 2022 and will have access to a second tranche of USD 20.0 million (EUR 17.9 million) upon achievement, prior to July 31, 2023, of product revenue from our diagnostics and pharmaceutical services segments of at least USD 50.0 million (EUR 44.7 million) calculated on a trailing twelve month basis as of the last day of any fiscal month. As security for the Borrowers’s obligations under the Loan Facility, the Borrowers granted the lenders thereunder a first priority security interest on all of each Borrowers’ assets. Refer to note 2.2 Going concern for further details of the Loan Facility. On February 1, 2022, the Group announced the resignation of Dr. Andrin Oswald as CEO, effective immediately, due to his prolonged medical leave. According to his separation agreement, all unvested RSUs held by Mr. Oswald under the Company’s LTIP will continue to vest in accordance with their terms through the date of his termination on April 30, 2022, however; the number of RSUs shall not exceed 62,284 RSUs. As a result, unvested RSUs granted to Mr. Oswald shall be forfeited as of January 31, 2022 when Mr. Oswald stopped rendering services for the Group. Total RSUs in the amount of EUR 1,358k that was recognized in the financial statements in the previous periods will be derecognized in 2022 financial year and additional RSUs in the amount of EUR 201k will be recognized in 2022 financial statements to match 62,284 RSUs granted to Mr. Oswald. On February 1, 2022, Kim Stratton was appointed as the new CEO (the “New CEO”). The New CEO and the Company entered into an award agreement pursuant to which the New CEO will receive certain RSUs, which have no exercise price. According to the agreement, the RSUs are awarded in two forms as 174,394 initial performance RSUs subject to time-vesting and performance vesting and 166,667 initial time-vested RSUs subject to only time-vesting. Both awards vest in four equal installments after the grant date and have a grant date of February 1, 2022 and expiration date of February 1, 2032. However; initial performance RSUs that have not performance-vested by January 1, 2024 expire on January 2, 2024. On February 7, 2022, the Company announced the resignation of René Just as CFO effective March 31, 2022. According to the separation agreement signed on the same date, all vested RSUs held by the Mr. Just as of March 31, 2022 that have not yet been exercised and settled must be exercised and settled in accordance with their terms within six months following this date and, if such RSUs are not exercised and settled within such period, they will be cancelled automatically upon the expiry of such six-month period without compensation for the loss of such RSUs. All unvested RSUs as of March 31, 2022 will be cancelled automatically without compensation for the loss of such RSUs. On February 7, 2022, Jose Miguel Coego Rios was appointed as Executive Vice President of Finance & Legal and Interim CFO (“Interim CFO”). The Interim CFO was awarded 30,995 RSUs vesting in four equal tranches from January 1 following the grant date of February 2, 2022. The award is not subject to any performance criteria and vested tranches may be exercised at the option of the Interim CFO and will be settled in shares. In February 2022, a number of countries (including the United States, United Kingdom and the European Union) imposed sanctions against certain individuals and entities in Russia and Belarus as a result of the recognition of the so-called Donetsk People and the so-called Republic and Luhansk People Republic by the Russian Federation. Announcements of potential additional sanctions have been made following the war initiated by Russia against Ukraine on February 24, 2022. Due to the war in Ukraine, there has been a significant increase in volatility on the securities and currency markets. It is expected that these events may affect the activities of Russian enterprises in various sectors of the economy. Although neither Centogene’s operations, performance nor going concern basis has been significantly affected by the conflict, the impact of the conflict and its broader economic implications, such as higher costs of consumer goods, cannot be reliably quantified at this point in time. Therefore, at the date of this report, the Management Board regards these events as non-adjusting events after the reporting period. These consolidated financial statements were approved by management on March 31, 2022. |
Significant accounting polici_2
Significant accounting policies (Policies) | 12 Months Ended |
Dec. 31, 2021 | |
Significant accounting policies | |
Foreign currency and currency translation | (a) The Group’s consolidated financial statements are presented based on the parent company’s functional currency. For each entity, the Group determines the functional currency and items included in the financial statements of each entity are measured using that functional currency. The Group uses the direct method of consolidation and on disposal of a foreign operation, the gain or loss that is reclassified to profit or loss reflects the amount that arises from using this method. Transactions in foreign currency are translated into the respective entity’s functional currency at the spot rate prevailing on the date of the transaction. The functional currency of each entity is the respective local currency, since the entities carry out their business activities independently from a financial, economic and organizational perspective. Monetary assets and liabilities denominated in foreign currency are translated to the functional currency using the closing rate at the reporting date. Currency translation differences are recognized immediately through profit or loss. Non-monetary items denominated in a foreign currency that are measured at historical cost are not translated at the reporting date. On consolidation, the assets and liabilities of foreign operations are translated into euros using the closing rate on the reporting date. Income and expenses of foreign operations are translated using the exchange rate prevailing on the date of the transaction or the annual average exchange rate. Equity is translated using historical rates until the entity is removed from the Group’s basis of consolidation. Any resulting currency translation differences are recorded in other comprehensive income and recognized under the currency translation reserve in equity if the exchange difference is not allocable to the non-controlling interests. The exchange rates used are presented in the following table: Average rate Closing rate Dec 31, Dec 31, Dec 31, 2021 2020 2019 2021 2020 2019 USD (EUR 1) 1.1304 1.1412 1.1191 1.1326 1.2271 1.1234 AED (EUR 1) 4.1500 4.2091 4.0985 4.1654 4.5045 4.0795 INR (EUR 1) 85.1761 84.5737 78.7980 84.2292 89.6605 80.1870 CHF (EUR 1) 1.0814 - - 1.0331 - - RSD (EUR 1) 117.3909 - - 117.2747 - - |
Revenues from contracts with customers | (b) The Group provides pharmaceutical solutions and diagnostic tests, as well as COVID-19 tests, enabled by its knowledge and interpretation-based platform. Revenue from contracts with customers is recognized when control of the goods or services are transferred to the customer at an amount that reflects the consideration to which the Group expects to be entitled in exchange for those goods or services, usually on delivery of the goods. (i) The Group's contracts with customers relate to a variety of solutions provided to the Group's pharmaceutical partners in order to accelerate their development of treatments for rare diseases, including early patient recruitment and identification, epidemiological insights, biomarker discovery and patient monitoring. The collaboration agreements are structured on a fee per analysis basis, milestone basis, fixed fee basis, or a combination of these. In addition, some of the Group's contracts with its pharmaceutical partners also include sales of CentoCards for the collection of biological samples from patients. The performance obligations in Pharmaceutical segment can either be satisfied over time or at a point in time depending on the structure of the collaborations, which are determined based on nature of the service provided, as detailed below. - Revenue from early patient recruitment and identification, epidemiological insights, biomarker discovery and patient monitoring is based on fee per analysis, milestone fees and fixed fees. The revenues from these solutions are recognized over time using an input method based on the work rendered in order to measure progress towards complete satisfaction of the services. - Revenue from the licensing of intellectual property for an unlimited period, usually in the structure of an upfront fee, is recognized at a point in time, when the right (or license) to use intellectual property is conveyed. - Revenues from the licensing of intellectual property for a certain period, being a right to access such intellectual property as defined in IFRS 15, is recognized over time over the licensing period. - Revenue from the sale of CentoCards is recognized at a point in time when the control of the CentoCards has transferred to the customer, which typically occurs on delivery. (ii) Revenues from the Group's diagnostics segment are typically generated from genetic sequencing and diagnostics services that the Group provides to clients, who are typically physicians, laboratories or hospitals, either directly or through distributors. Revenues are based on a negotiated price per test or on the basis of agreements to provide certain testing volumes over defined periods. The Group has concluded that the services rendered in the diagnostics segment comprise one performance obligation. The performance obligation in the Diagnostics segment is recognized over time, using an input method to measure progress towards complete satisfaction of the service. In order to measure progress, the Group uses a standardized process which measures progress to completion by stages, consisting of (i) a preparation stage, (ii) a clarification stage, (iii) a sequencing stage, and (iv) an output stage. The percentages attributed to those stages are indicative of the cost incurred in performing the respective stage in relation to total cost. (iii) COVID-19 revenues are based on a negotiated price per test, government driven or on the basis of agreements covering tests to be performed over defined periods. Given the short turnaround time for the COVID-19 tests, revenues from COVID-19 tests that are on a price per test basis are recognized at a point in time. Revenues from COVID-19 tests that are on the basis of agreements covering tests to be performed over defined periods are recognized over time over the agreement period. The Group has disaggregated revenue recognized from contracts with customers into categories that depict how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic factors. The Group has also disclosed information about the relationship between the disclosure of disaggregated revenue and the revenue information disclosed for each reportable segment. See note 7 for the disclosure on disaggregated revenue. Contract balances (i) Contract assets A contract asset is the right to consideration in exchange for goods or services transferred to the customer. If the Group satisfies a performance obligation by transferring goods or services to a customer before the customer pays consideration or before payment is due, a contract asset is recognized for the earned consideration that is conditional. Contract assets are subject to impairment assessment, refer to accounting policies of impairment of financial assets in note 5(n) “Financial instruments”. (ii) Trade receivables A receivable represents the Group’s right to an amount of consideration that is unconditional (i.e., only the passage of time is required before payment of the consideration is due). Refer to accounting policies of impairment of financial assets in note 5(n) “Financial instruments”. (iii) Contract liabilities A contract liability is the obligation to transfer goods or services to a customer for which the Group has received consideration or an amount of consideration is due from the customer (whichever is earlier). If a customer pays consideration before the Group transfers goods or services to the customer, a contract liability is recognized when the payment is made or the payment is due (whichever is earlier). Contract liabilities are recognized as revenue when the Group performs under the contract. |
Finance income and finance costs | (c) Interest income and expenses are recognized in the period which they relate to through profit or loss using the effective interest rate method. |
Current versus non-current classification | (d) The Group presents assets and liabilities in the statement of financial position based on current/non-current classification. An asset is current when it is: - Expected to be realized or intended to be sold or consumed in the normal operating cycle - Held primarily for the purpose of trading - Expected to be realized within twelve months after the reporting period; or - Cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least twelve months after the reporting period All other assets are classified as non-current. A liability is current when: - It is expected to be settled in the normal operating cycle - It is held primarily for the purpose of trading - It is due to be settled within twelve months after the reporting period; or - There is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period The terms of the liability that could, at the option of the counterparty, result in its settlement by the issue of equity instruments do not affect its classification. The Group classifies all other liabilities as non-current. Deferred tax assets and liabilities are classified as non-current assets and liabilities |
Intangible assets | (e) Research and development Expenses for research activities are recognized through profit or loss in the period in which they are incurred. Development expenditures on an individual project are recognized as an intangible asset from the date the Group can demonstrate: - the product or process is technically and commercially feasible so that the asset will be available for use or sale - the Group has the ability and intention to use or sell the asset - a future economic benefit is probable - the Group has sufficient resources to complete the development and - the development costs can be measured reliably. The Group’s research and development activities mainly relate to development of biomarkers and IT driven solutions. With respect to biomarkers, the development stage is usually considered to be achieved when the target validation process is completed and commercialization is probable. With respect to IT driven solutions, the development stage is considered to be achieved upon the completion of the Group’s internal validation test. Before such dates, any development costs are recognized in profit or loss and may not be subsequently capitalized. Capitalized development costs are recognized at cost less accumulated amortization and any accumulated impairment losses. They are only amortized as from the date the asset is ready for its intended use, which in the case of biomarkers is normally at the time the patent application for such biomarker is made. Amortization expense commences when the assets are ready to be put in use, and is recorded in cost of sales and research and development expenses. Capitalized development costs which are still under development are tested for impairment annually and when circumstances indicate that the carrying value may be impaired. Other intangible assets Other intangible assets purchased by the Group with finite useful lives are recognized at cost less accumulated amortization and any accumulated impairment losses. Subsequent expenditure is only capitalized if it increases the future economic benefits of the respective asset. Intangible assets are amortized over their estimated useful life using the straight-line method and assessed for impairment whenever there is an indication that the intangible asset may be impaired. The estimated useful lives are as follows: - Software, patents and trademarks: 3 - 7 years - Corona Test Portal: 2 years - Capitalized development costs: 7 years The useful lives and depreciation methods are reviewed annually to ensure that the methods and periods of depreciation are consistent with the expected economic benefit from the asset. |
Property, plant and equipment | (f) Property, plant and equipment are carried at cost less any accumulated depreciation and any accumulated impairment losses. The cost of property, plant and equipment comprises its purchase price including customs duties and non-refundable acquisition taxes, and proportionate VAT not deductible from input tax as well as any directly attributable costs of bringing the asset to its working condition and location for its intended use. Subsequent expenditure is only capitalized if it is probable that the future economic benefits associated with the expenditure will flow to the Group. Depreciation is calculated over the estimated useful life using the straight-line method. The Group has assessed that none of its property, plant and equipment has a residual value. The estimated useful lives of significant property, plant and equipment are as follows: - Freehold land is not depreciated - Buildings: 33 years and - Plant and other equipment, furniture and fixtures: 2 - 15 years An item of property, plant and equipment is derecognized upon disposal or when no future economic benefits are expected from its use or disposal. Any gain or loss arising on derecognition of the asset (calculated as the difference between the net disposal proceeds and the carrying amount of the asset) is included in the statement of comprehensive loss when the asset is derecognized. The depreciation methods, useful lives and residual values are reviewed, and adjusted prospectively if appropriate, as of each reporting date. Assets under construction are reported at cost and are allocated to property, plant and equipment until they are completed and put into operational use, from which point onwards they are depreciated. |
Leases | (g) Group as a lessee The Group applies a single recognition and measurement approach for all leases, except for short-term leases and leases of low-value assets. The Group recognizes lease liabilities to make lease payments and right-of-use assets representing the right to use the underlying assets. (i) The Group recognizes right-of-use assets at the commencement date of the lease (i.e., the date the underlying asset is available for use). Right-of-use assets are measured at cost, less any accumulated depreciation and impairment losses, and adjusted for any remeasurement of lease liabilities. The cost of right-of-use assets includes the amount of lease liabilities recognized, initial direct costs incurred, and lease payments made at or before the commencement date less any lease incentives received. Unless the Group is reasonably certain to obtain ownership of the leased asset at the end of the lease term, the recognized right-of-use assets are depreciated on a straight-line basis over the shorter of its lease term and the estimated useful lives, as follows: - Buildings: 33 years - Offices: 4 – 12 years and - Plant and other equipment, furniture and fixtures: 2-15 years If ownership of the leased asset transfers to the Group at the end of the lease term or the cost reflects the exercise of a purchase option, depreciation is calculated using the estimated useful life of the asset. The right-of-use assets are also subject to impairment. Refer to accounting policies of impairment of financial assets in note 5(n) “Financial instruments”. (ii) At the commencement date of the lease, the Group recognizes lease liabilities measured at the present value of lease payments to be made over the lease term. The lease payments include fixed payments (including in-substance fixed payments) less any lease incentives receivable, variable lease payments that depend on an index or a rate, and amounts expected to be paid under residual value guarantees. The lease payments also include the exercise price of a purchase option reasonably certain to be exercised by the Group and payments of penalties for leases reasonably certain to be terminated. The variable lease payments that do not depend on an index or a rate are recognized as expenses in the period during which the event or condition that triggers the payment occurs. In calculating the present value of lease payments, the Group uses the incremental borrowing rate at the lease commencement date if the interest rate implicit in the lease is not readily determinable. After the commencement date, the amount of lease liabilities is increased to reflect the accretion of interest and reduced for the lease payments made. In addition, the carrying amount of lease liabilities is remeasured if there is a modification, a change in the lease term, a change in the in-substance fixed lease payments or a change in the assessment to purchase the underlying asset. (iii) The Group applies the short-term lease recognition exemption to its short-term leases of machinery and equipment (i.e., those leases that have a lease term of 12 months or less from the commencement date and do not contain a purchase option). It also applies the lease of low-value assets recognition exemption to leases of office equipment that are considered of low value (i.e., below EUR 5k). Lease payments on short-term leases and leases of low-value assets are recognized as expenses on a straight-line basis over the lease term. (iv) The Group applies IFRS 15 for determining if the transfer of an asset to the buyer (lessor) is to be accounted for as a sale of assets. After the sale of assets is concluded, the Group measures the right-of-use assets arising from the leaseback at the proportion of the previous carrying value of the asset that relates to the right of use retained by the Group. Accordingly, the Group recognizes only the amount of any gain or loss that relates to the rights transferred to the buyer (lessor). If the fair value of the consideration for the sale of an asset does not equal the fair value of the asset, or if the payments for the leases are not at market rates, the Group makes the following adjustments to measure the sale proceeds at fair value: • any below-market terms shall be accounted for as a prepayment of lease payments • any above-market terms shall be accounted for as additional financing provided by the buyer-lessor to the seller-lessee |
Impairment of non-financial assets | (h) Property, plant and equipment and intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Whenever the carrying amount of an asset exceeds its recoverable amount, an impairment loss is recognized in profit or loss. The recoverable amount is measured as the higher of fair value less costs to sell and value in use. Recoverable amounts are estimated either for individual assets or, if an individual asset does not generate cash flows independently of other assets, for the whole cash-generating unit. |
Inventories | (i) Inventories are measured at the lower of cost and net realizable value. Inventories are recognized at cost based on the first in first out (FIFO) method. Net realizable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and the estimated costs necessary to make the sale. |
Government grants | (j) Government grants are recognized where there is reasonable assurance that the grant will be received and all attached conditions will be complied with. Grants that are intended to compensate the Group for expenses incurred are recognized through profit or loss in the period in which expenses are submitted and claimed. Government grants which relate to an asset are initially recognized as deferred income at nominal amounts. They are subsequently released to profit or loss on a systematic basis over the expected useful life of the related asset. The release of deferred income related to either type of grant is presented as other operating income (see note 8). |
Share-based payments | (k) Plan recipients (including senior executives and certain member of Supervisory Board) of the Group receive remuneration in the form of share-based payments, whereby the recipients render services as consideration for equity instruments (equity-settled transactions) or settled in cash (cash-settled transactions). Equity settled transactions The cost of equity-settled transactions is determined by the fair value of the granted options when the grant is made, using a Black-Scholes or Monte Carlo simulation model, with further details given in note 20. The cost is recognized in employee benefits expense (see note 8.4) or other relevant expenses, together with a corresponding increase in equity (capital reserves), over the period in which the service conditions are fulfilled (the vesting period). The cumulative expense recognized for equity-settled transactions at each reporting date until the vesting date reflects the extent to which the vesting period has expired and the Group’s best estimate of the number of equity instruments that will ultimately vest. The expense or credit in profit or loss for a period represents the movement in cumulative expense recognized as at the beginning and end of that period. Cash-settled transactions A liability is recognized for the fair value of cash-settled transactions. The fair value is measured initially and at each reporting date up to and including the settlement date, with changes in fair value recognized in employee benefits expense (see note 8.4). The fair value per option is determined using the Black-Scholes model, further details of which are given in note 20. The fair value per option is then multiplied by the Group’s best estimate of the number of awards expected to vest and the portion of the expired vesting period (period in which the service conditions are fulfilled). The cumulative amount of expense recognized will be equal to the cash that is paid on settlement. Service and non-market performance conditions are not taken into account when determining the grant date fair value of awards, but the likelihood of the conditions being met is assessed as part of the Group’s best estimate of the number of equity instruments that will ultimately vest. Market performance conditions are reflected within the grant date fair value. Any other conditions attached to an award, but without an associated service requirement, are considered to be non-vesting conditions. Non-vesting conditions are reflected in the fair value of an award and lead to an immediate expensing of an award unless there are also service and/or performance conditions. No expense is recognized for awards that do not ultimately vest because non-market performance and/or service conditions have not been met. Where awards include a market or non-vesting condition, the transactions are treated as vested irrespective of whether the market or non-vesting condition is satisfied, provided that all other performance and/or service conditions are satisfied. If the terms and conditions of a cash-settled share-based payment transaction are modified with the result that it becomes an equity-settled share-based payment transaction, the transaction is accounted for as such from the date of the modification. Specifically, the equity-settled share-based payment transaction is measured by reference to the fair value of the equity instruments granted at the modification date and recognized in equity. The liability for the cash-settled share-based payment transaction as at the modification date is derecognized on that date. Any difference between the carrying amount of the liability derecognized and the amount of equity recognised on the modification date is recognised immediately in profit or loss. |
Provisions | (l) A provision is recognized when the Group has a present obligation (legal, contractual or constructive) as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation. When the Group expects some or all of a provision to be reimbursed, for example, under an insurance contract, the reimbursement misrecognized as a separate asset, but only when the reimbursement is virtually certain. The expense relating to a provision is presented in the profit or loss net of any reimbursement. Provisions are reviewed at each reporting date and adjusted to reflect the current best estimate. If the requirements for recognizing a provision are not satisfied, the corresponding obligations are recorded as contingent liabilities unless the possibility of an outflow of resources embodying economic benefits is remote. |
Income taxes | (m) Tax expense comprises current and deferred taxes. Current taxes and deferred taxes are recognized through profit or loss apart from deferred taxes related to items recognized outside profit or loss, in which case it is recognized in correlation to the underlying transaction either directly in equity or in other comprehensive income. Current income tax assets and liabilities are measured at the amount expected to be recovered from or paid to the taxation authorities. The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted at the reporting date in the countries where the Group operates and generates taxable income. Deferred taxes are set up for temporary differences between the carrying amounts of assets and liabilities for group financial reporting purposes at the reporting date and the amounts used for tax purposes. Deferred tax liabilities are recognized for all taxable temporary differences, except: - temporary differences arising from the initial recognition of assets or liabilities in the course of a business transaction that is not a business combination and does not affect either the accounting profit or the taxable profit or loss - temporary differences associated with investments in subsidiaries if the Group controls the timing of the reversal of the temporary differences, and it is probable that the differences will not reverse in the foreseeable future. The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to the extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred tax asset to be utilized. Unrecognized deferred tax assets are re-assessed at each reporting date and are recognized to the extent that it has become probable that future taxable profits will allow the deferred tax asset to be recovered. Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the year when the asset is realized or the liability is settled, based on tax rates that have been enacted or substantively enacted at the reporting date. Deferred tax assets and deferred tax liabilities are offset against each other if certain conditions are met. |
Financial instruments | (n) (i) Financial assets The Group’s financial assets principally consist of those accounted for as receivables, contract assets, cash and cash equivalents. Receivables and contract assets Receivables, including contract assets, are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. Contract assets and trade receivables that do not contain a significant financing component or for which the Group has applied the practical expedient are measured at the transaction price determined under IFRS 15. Refer to the accounting policies in note 5(b) “Revenues from contracts with customers”. After initial recognition, receivables and contract assets are subsequently carried at amortized cost using the effective interest rate method less any impairment losses. Gains and losses are recognized in the profit or loss for the period when the assets are derecognized or impaired. Derecognition A financial asset or a part of a financial asset is derecognized when the Group no longer has the contractual rights to the asset or the right to receive cash flows from the asset have expired. Impairment The Group recognizes an allowance for expected credit losses (ECLs). ECLs are based on the difference between the contractual cash flows due in accordance with the contract and all the cash flows that the Group expects to receive, discounted at an approximation of the original effective interest rate. The Group applies a simplified approach in calculating ECLs. Therefore, the Group does not track changes in credit risk, but instead recognizes a loss allowance based on lifetime ECLs at each reporting date. The Group has established a provision matrix that is based on its historical credit loss experience, adjusted for forward-looking factors specific to the debtors and the economic environment. The Group considers a financial asset in default when contractual payments are 360 days past due. However, in certain cases, the Group may also consider a financial asset to be in default when internal or external information indicates that the Group is unlikely to receive the outstanding contractual amounts in full before taking into account any credit enhancements held by the Group. A financial asset is written off when there is no reasonable expectation of recovering the contractual cash flows. Further disclosures relating to impairment of trade receivables, including contract assets, are in note 21. (ii) Financial liabilities All financial liabilities are recognized initially at fair value and, in the case of loans and borrowings and payables, net of directly attributable transaction costs. The Group’s financial liabilities include trade and other payables (include contract liabilities), as well as loans and borrowings including bank overdrafts. Loans and borrowings Loans and borrowings are initially recognized at fair value and subsequently measured at amortized cost using the effective interest rate method, taking into account any principal repayments and any discount or premium on acquisition and including transaction costs and fees that are an integral part of the effective interest rate. Gains or losses are recognized through profit or loss at the time the liabilities are derecognized or disposed of. Derecognition A financial liability is derecognized when the obligation underlying the liability is discharged, canceled or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as the derecognition of the original liability and the recognition of a new liability. The difference in the respective carrying amounts is recognized through profit or loss. |
Cash and cash equivalents | (o) Cash and cash equivalents Cash and cash equivalents comprise cash on hand and bank balances, including short-term, highly liquid investments that can be quickly converted into cash amounts. These have original maturities of three months or less and are subject to a low risk of fluctuation in value. |
Basis of preparation (Tables)
Basis of preparation (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Basis of Preparation | |
Schedule of reconciliation of the Statement of Comprehensive Income | in EUR k 2020 (restated) 2020 (as previously reported) Change Cost of Sales 83,437 86,378 (2,941) Gross profit 44,944 42,003 2,941 General administrative expenses 40,160 37,665 2,495 Selling expenses 8,026 7,580 446 |
Significant accounting polici_3
Significant accounting policies (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Significant accounting policies | |
Schedule of exchange rates used | Average rate Closing rate Dec 31, Dec 31, Dec 31, 2021 2020 2019 2021 2020 2019 USD (EUR 1) 1.1304 1.1412 1.1191 1.1326 1.2271 1.1234 AED (EUR 1) 4.1500 4.2091 4.0985 4.1654 4.5045 4.0795 INR (EUR 1) 85.1761 84.5737 78.7980 84.2292 89.6605 80.1870 CHF (EUR 1) 1.0814 - - 1.0331 - - RSD (EUR 1) 117.3909 - - 117.2747 - - |
Segment information and reven_2
Segment information and revenue from contracts with customers (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Segment information and revenue from contracts with customers | |
Schedule of segment information and reconciliation of segment adjusted EBITDA to group loss for the period | 2021 in EUR k Pharmaceutical Diagnostics COVID-19 Corporate Total Total Revenues from contracts with external customers 15,641 27,900 146,382 — 189,923 Adjusted EBITDA 4,843 4,024 20,678 (46,247) (16,702) Capital Expenditures Additions to property, plant and equipment and right-of-use assets 690 261 2,480 936 4,367 Additions to intangible assets 2,401 — 386 — 2,787 Other segment information Depreciation and amortization (including impairments) 2,076 2,539 10,828 5,849 21,291 Research and development expenses — — — 19,297 19,297 2020 in EUR k Pharmaceutical Diagnostics COVID-19 (1) Corporate Total Total Revenues from contracts with external customers 16,951 22,108 89,322 — 128,381 Adjusted EBITDA 6,194 (2,408) 37,215 (39,918) 1,083 Capital Expenditures Additions to property, plant and equipment and right-of-use assets 333 602 9,113 2,682 12,730 Additions to intangible assets 3,183 — 1,672 1,802 6,657 Other segment information Depreciation and amortization (including impairments) 6,769 2,289 1,400 4,670 15,128 Research and development expenses — — — 14,935 14,935 2019 in EUR k Pharmaceutical Diagnostics Corporate Total Total Revenues from contracts with external customers 21,522 27,258 — 48,780 Adjusted EBITDA 14,956 2,306 (22,949) (5,687) Capital Expenditures Additions to property, plant and equipment and right-of-use assets 1,362 1,998 17,908 21,268 Additions to intangible assets 3,603 — 3,677 7,280 Other segment information Depreciation and amortization 1,308 2,032 3,239 6,579 Research and development expenses — — 9,590 9,590 (1) As discussed in note 2, in March 2020 the Group commenced testing for COVID-19 in response to the COVID-19 pandemic and in the third quarter started managing and reporting the COVID-19 business as a separate segment. As such, the Group did not have any activities related to the COVID-19 business prior to 2020 and retrospective presentation in prior year segment reporting is not applicable. Reconciliation of segment Adjusted EBITDA to Group loss for the period in EUR k 2021 2020 2019 Reportable segment Adjusted EBITDA 29,545 41,001 17,262 Corporate expenses (46,247) (39,918) (22,949) (16,702) 1,083 (5,687) Share‑based payment expenses (Note 20) (8,035) (5,658) (6,418) Depreciation and amortization (including impairments) (21,291) (15,128) (6,579) Operating loss (46,028) (19,703) (18,684) Financial costs, net (848) (1,394) (2,013) Income taxes 24 (281) (158) Loss for the year (46,852) (21,378) (20,855) |
Schedule of geographical information | in EUR k 2021 Pharmaceutical Diagnostics COVID-19 Total Rendering of services 14,879 27,900 146,380 189,159 Sales of goods 762 — 2 764 Total Revenues from contracts with external customers 15,641 27,900 146,382 189,923 Recognized over time 14,879 27,900 19,131 61,910 Recognized at a point in time 762 — 127,251 128,013 Total Revenues from contracts with external customers 15,641 27,900 146,382 189,923 Geographical information Europe 490 5,425 144,669 150,584 —Germany*# — 211 140,922 141,133 —Netherlands** — 6 3,616 3,622 Middle East 117 16,315 — 16,432 North America 14,940 2,950 1,606 19,496 —United States# 14,940 2,763 1,606 19,309 Latin America 94 2,499 — 2,593 Asia Pacific — 711 107 818 Total 15,641 27,900 146,382 189,923 2020 Pharmaceutical Diagnostics COVID-19 Total Rendering of services 15,947 22,108 88,587 126,642 Sales of goods 1,004 — 735 1,739 Total Revenues from contracts with external customers 16,951 22,108 89,322 128,381 Recognized over time 15,947 22,108 24,684 62,739 Recognized at a point in time 1,004 — 64,638 65,642 Total Revenues from contracts with external customers 16,951 22,108 89,322 128,381 Geographical information Europe 149 5,605 88,314 94,068 —Germany*# — 186 80,879 81,065 —Netherlands** — 3 6,572 6,575 Middle East 56 12,568 — 12,624 North America 16,711 1,576 978 19,265 —United States# 16,711 1,370 978 19,059 Latin America 35 1,851 2 1,888 Asia Pacific — 508 28 536 Total 16,951 22,108 89,322 128,381 in EUR k 2019 Pharmaceutical Diagnostics Total Rendering of services 19,089 27,258 46,347 Sales of goods 2,433 — 2,433 Total Revenues from contracts with external customers 21,522 27,258 48,780 Recognized over time 17,159 27,258 44,417 Recognized at a point in time 4,363 — 4,363 Total Revenues from contracts with external customers 21,522 27,258 48,780 Geographical information Europe 381 7,066 7,447 —Germany* 233 275 508 —Netherlands** — 25 25 Middle East 122 13,977 14,099 — Saudi Arabia# — 7,417 7,417 North America 20,896 2,380 23,276 —United States# 20,896 1,882 22,778 Latin America 123 2,864 2,987 Asia Pacific — 971 971 Total 21,522 27,258 48,780 * country of the incorporation of Centogene GmbH ** country of the incorporation of Centogene N.V. # countries contributing more than 10% of the Group's total consolidated revenues for the respective year ended December 31, 2021, 2020 or 2019 |
Schedule of contract balances | in EUR k Dec 31, 2021 Dec 31, 2020 Trade receivables (note 15) 21,065 25,656 Contract assets (note 15) 3,272 3,543 Contract liabilities (note 19.2) 4,842 4,479 |
Other income and expenses (Tabl
Other income and expenses (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Other income and expenses | |
Schedule of other operating income | in EUR k 2021 2020 2019 Government grants 2,263 2,152 2641 Gain on disposal of property, plant and equipment 18 2 532 Exchange rate gains — — 314 Income from the reversal of provisions — — 89 Others 656 240 205 Total other operating income 2,936 2,394 3,781 |
Schedule of other operating expenses | in EUR k 2021 2020 2019 Currency losses 86 10 192 Other — 172 1,092 Total other operating expenses 86 182 1,284 |
Schedule of finance costs, net | in EUR k 2021 2020 2019 Interest expenses from loans (267) (173) (1,690) Currency losses — (362) — Unwinding of the discount on lease liabilities (584) (865) (339) Interest income from loans and receivables 3 6 16 Total (848) (1,394) (2,013) |
Schedule of employee benefits expense | in EUR k 2021 2020 2019 Wages and salaries 43,533 31,121 23,854 Social security contributions 6,134 4,095 3,212 Share‑based payments 5,471 3,486 5,714 Termination benefits 1,158 569 63 Total 56,296 39,271 32,843 |
Income taxes (Tables)
Income taxes (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Income taxes | |
Schedule of tax recognized through profit or loss | in EUR k 2021 2020 2019 Current tax expenses (118) (74) (158) Current year (102) (58) (1) Adjustments for prior periods (16) (16) (157) Deferred tax (expense)/income 142 (207) — Temporary differences 142 (182) (514) Tax losses — (25) 514 Total income tax (expenses)/benefit 24 (281) (158) |
Schedule of reconciliation of the effective tax rate to the statutory rate | in EUR k 2021 2020 2019 Loss before tax (46,876) (21,097) (20,697) Taxes on the basis of the Company’s domestic tax rate 14,596 6,570 6,445 Tax rate effect of foreign tax jurisdictions 882 65 412 Non‑deductible expenses (3,030) (903) (441) Current year losses for which no deferred tax assets were recognized (12,211) (5,792) (6,416) Tax income related to prior years (17) (137) (157) Other effects (196) (84) (1) Income tax (expenses)/ benefit 24 (281) (158) |
Schedule of breakdown of deferred taxes in the statement of financial position | December 31, 2021 December 31, 2020 Deferred Deferred Deferred Deferred in EUR k tax assets tax liabilities tax assets tax liabilities Intangible assets — (2,439) — (2,934) Property, plant and equipment — (14) — (133) Right-of-use assets — (4,617) — (5,029) Measurement of service contracts — (42) — (145) Leasing liabilities 4,563 — 4,865 — Government grants 1,693 — 1,903 — Unused tax losses 777 — 1,266 — Sum 7,033 (7,112) 8,034 (8,241) Offset (7,033) 7,033 (8,034) 8,034 Deferred Taxes — (79) — (207) |
Intangible assets (Tables)
Intangible assets (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Intangible assets | |
Summary of reconciliation of carrying amounts of intangible assets | Internally generated Internally Purchased rights, /acquired developed licenses, in EUR k biomarkers databases software Total Cost As of Jan 1, 2020 12,022 6,502 3,010 21,534 Additions 1,900 2,717 2,040 6,657 Deconsolidation — — (151) (151) As of Dec 31, 2020 13,922 9,219 4,899 28,040 Additions 749 1,652 386 2,787 Reclass* (297) 297 — — As of Dec 31, 2021 14,374 11,168 5,285 30,827 Accumulated amortization and impairment As of Jan 1, 2020 3,831 1,770 1,788 7,389 Amortization and impairment 6,917 943 508 8,368 Deconsolidation — — (124) (124) As of Dec 31, 2020 10,748 2,713 2,172 15,633 Amortization and impairment 2,149 1,991 1,860 6,000 Reclass* (68) 68 — — As of Dec 31, 2021 12,829 4,772 4,032 21,633 Carrying amounts As of Dec 31, 2020 3,174 6,506 2,727 12,407 As of Dec 31, 2021 1,545 6,396 1,253 9,194 * The net reclassification of EUR 229 k from internally generated biomarkers to internally developed databases represents internal costs incurred in the process of developing internal IT driven solutions on biomarkers. Reclassification is made to allow more transparent presentation considering this is more in line with each sub-group of intangible assets. |
Property, plant and equipment (
Property, plant and equipment (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Property, plant and equipment | |
Schedule of development of property, plant and equipment | Other equipment, furniture in EUR k Buildings Plant and fixtures Total Cost As of Jan 1, 2020 3,254 9,730 4,712 17,696 Additions 105 1,295 8,490 9,890 Disposal* — — (612) (612) Reclass from right-of-use assets*** — 3,099 — 3,099 As of Dec 31, 2020 3,359 14,124 12,590 30,073 Additions 5 144 2,766 2,915 Disposal** — (379) (718) (1,097) Reclass from right-of-use assets*** — 1,165 — 1,165 As of Dec 31, 2021 3,364 15,054 14,638 33,056 Accumulated depreciation and impairment As of Jan 1, 2020 392 6,155 2,773 9,320 Depreciation 194 993 1,913 3,100 Disposal* — — (44) (44) Reclass from right-of-use assets*** — 1,107 — 1,107 As of Dec 31, 2020 586 8,255 4,642 13,483 Depreciation 315 3,519 7,473 11,307 Disposal** — (157) (217) (374) Reclass from right-of-use assets*** — 493 — 493 As of Dec 31, 2021 901 12,110 11,898 24,909 Carrying amounts As of Dec 31, 2020 2,773 5,869 7,948 16,590 As of Dec 31, 2021 2,463 2,944 2,740 8,147 * The disposal relates to the sale of a CentoTruck as part of a contract with a COVID-19 customer . ** The disposal relates to various obsolete plant and machinery equipment mainly in relation to the ramp down of the COVID-19 business segment *** The reclass from right-of-use assets represents assets purchased at the end of the lease. |
Right-of-use assets (Tables)
Right-of-use assets (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Right-of-use assets. | |
Schedule of carrying amounts of right-of-use assets and movements during the period | Plant and Other Motor In EUR k Buildings* Offices equipment equipment Vehicles Total As of January 1, 2020 13,126 4,407 6,989 390 20 24,932 Additions — 426 1,265 1,112 37 2,840 Reclass to property, plant & equipment** — — (1,992) — — (1,992) Depreciation expenses (1,121) (657) (1,675) (187) (20) (3,660) As of December 31, 2020 12,005 4,176 4,587 1,315 37 22,120 Additions — 133 1,121 179 19 1,452 Reclass to property, plant & equipment** — — (672) — — (672) Depreciation expenses (1,121) (970) (1,745) (138) (22) (3,996) As of December 31, 2021 10,884 3,339 3,291 1,356 34 18,904 * As the lease of land and buildings are made through one contract, all the related right-of-use assets are allocated to Buildings. ** Reclass of leased assets to PP&E (note 12) represents purchased assets at the end of lease term. |
Schedule of carrying amounts of lease liabilities and the movements during the period | in EUR k 2021 2020 As of January 1 21,205 21,704 Additions 1,452 3,654 Interest expenses 584 865 Payments (4,244) (5,018) As of December 31 18,997 21,205 Current 3,409 3,528 Non-current 15,588 17,677 |
Schedule of amounts recognised in profit or loss related to leases | in EUR k 2021 2020 2019 Depreciation expense of right-of-use assets 3,996 3,660 1,807 Interest expenses on lease liabilities 584 865 339 Rent expenses—short-term leases 7,175 1,695 185 Rent expense—leases of low-value assets 48 33 25 Total amounts recognized in profit or loss 11,803 6,253 2,356 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Inventories | |
Summary of inventories | in EUR k Dec 31, 2021 Dec 31, 2020 Raw materials, consumables and supplies 3,831 11,167 Finished goods and merchandise 38 238 Inventories 3,869 11,405 |
Trade and other receivables a_2
Trade and other receivables and other assets (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Trade and other receivables and other assets | |
Summary of trade receivables and other assets | in EUR k Dec 31, 2021 Dec 31, 2020 Non ‑ current Other assets—Rental deposits 2,922 1,867 Other assets—Others 50 100 2,972 1,967 Current Trade receivables 21,065 25,656 Contract assets 3,272 3,543 Other assets 5,453 8,286 29,790 37,485 Total non-current and current trade and other receivables and other assets 32,762 39,452 |
Equity (Tables)
Equity (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Equity. | |
Common shares issued and authorized | in thousands of shares 2021 2020 Common shares as of Jan 1, fully paid 22,118 19,861 Issued shares — 2,000 Exercise of options 450 256 Common shares issued as of Dec 31, fully paid 22,568 22,118 as of as of in thousands of shares Dec 31, 2021 Dec 31, 2020 Authorized common shares of EUR 0.12 each 79,000 79,000 |
Financial liabilities (Tables)
Financial liabilities (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Financial liabilities | |
Schedule of interest-bearing liabilities | in EUR k Dec 31, 2021 Dec 31, 2020 Non ‑ current liabilities Non‑current portion of secured bank loans - 401 Total non ‑ current loans - 401 Lease liabilities 15,588 17,677 Total non ‑ current liabilities 15,588 18,078 Current liabilities Current portion of secured bank loans 505 567 Other bank loans — 387 Bank overdrafts 3,310 1,538 Total current loans 3,815 2,492 Current portion of lease liabilities 3,409 3,528 Total current liabilities 7,224 6,020 Total non ‑ current and current liabilities 22,812 24,098 |
Schedule of outstanding interest-bearing liabilities | Dec 31, 2021 Dec 31, 2020 Nominal Nominal Carrying Nominal Carrying in EUR k Currency interest rate Maturity amount amount amount amount Secured bank loan EUR 2.95% 2017‑22 505 505 968 968 Other bank loan USD 1% 2020-22 — — 387 387 Bank overdrafts EUR 4.75% Rollover 499 499 498 498 Bank overdrafts EUR 3.75% Rollover 2,329 2,329 628 628 Bank overdrafts EUR 4.50% Rollover 482 482 412 412 Lease liabilities EUR 2.1%-3.5%*, 5.4%-9.1% 2017-31 18,997 18,997 21,205 21,205 Total interest ‑ bearing financial liabilities 22,812 22,812 24,098 24,098 * represents the incremental borrowing rate of the Group at the commencement of the leases |
Schedule of trade payables and other liabilities | in EUR k Dec 31, 2021 Dec 31, 2020 Trade payables 11,252 31,736 Government grants (deferred income) 9,396 10,292 Contract liabilities 4,842 4,479 Others 14,632 13,483 Trade payables and other liabilities 40,122 59,990 Non ‑ current 8,028 8,950 Current 32,094 51,040 |
Share-based payments (Tables)
Share-based payments (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Share-based payments | |
Schedule of total expenses arising from sharebased payment transactions | in EUR k 2021 2020 2019 Expenses arising from cash-settled share-based payment transactions — — 5,714 - 2016 VSOP — — 596 - 2017 VSOP (2019: including modification gain) — — 5,118 Expenses arising from equity-settled share-based payment transactions 8,035 5,658 704 - ESOP 2019, including replacement by RSUs 7,000 2,105 704 - Grants to management board and employees 985 3,217 — - Grants to the CEO — 269 — - Supervisory board grant 50 67 — Total expenses arising from share ‑ based payment transactions 8,035 5,658 6,418 |
Equity share option 2017 and 2019 | |
Share-based payments | |
Schedule of key assumptions used to derive the option value | 2019 ESOP 2017 ESOP 2019 Exercise price (EUR) 0.12 12.58 Share price at grant date (EUR) 12.58 12.58 Volatility (%) 70 70 Risk‑free interest rate (%) (0.7) (0.7) Dividend yield (%) 0 0 Option term (years) 10 10 |
Equity share option 2017 (Equity settled) | |
Share-based payments | |
Schedule of share option activity | 2021 2020 Number WAEP Number WAEP Outstanding as of January 1 549,005 0.12 805,308 0.12 Granted during the year — 0.12 — 0.12 Cancelled during the year — 0.12 — 0.12 Exercised during the year (191,565) 0.12 (256,303) 0.12 Outstanding as of December 31 357,440 0.12 549,005 0.12 Vested as of December 31 357,440 0.12 549,005 0.12 Exercisable as of December 31 357,440 0.12 549,005 0.12 |
Equity share option 2019 (Equity settled) | |
Share-based payments | |
Schedule of share option activity | 2021 2020 Number WAEP (EUR) Number WAEP Outstanding as of January 1 300,000 — 396,522 12.58 Cancelled during the year — — (396,522) 12.58 Replacement awards granted during the year — — 300,000 — Granted during the year — — — — Exercised during the year — — — — Outstanding as of December 31 300,000 — 300,000 — Vested as of December 31 200,000 — 100,000 — Exercisable as of December 31 200,000 — 100,000 — |
2019 Plan | |
Share-based payments | |
Schedule of key assumptions used to derive the option value | 2020 Fair Value assumptions ESOP 2019 Options Performance Replacement Based RSUs Exercise price (USD) 14.00 11.60 n/a Share price at grant date (USD) 12.02 11.05 12.54 Volatility (%) 75 75 88 Risk‑free interest rate (%) 1.0 0.8 0.2-0.3 Dividend yield (%) 0 0 0 Expected contractual life (years) 8.9 10 12.08-13.08 Weighted average fair value (USD) 12.02 6.20 8.23 2021 Fair Value assumptions Options Add. Options Options Options Mr. Modig and Mr. Modig Mr. Kim 2019 Plan Mr.Sheldon Exercise price (USD) 9.92 14.00 11.60 12.52 Share price at grant date (USD) 10.01 10.01 10.80 12.54 Volatility (%) 75 75 75 75 Risk‑free interest rate (%) 1.7 1.7 1.7 1.9 Dividend yield (%) 0 0 0 0 Expected contractual life (years) 10.0 10 9 10 Weighted average fair value (USD) 7.86 7.45 8.21 7.36 |
Summary of awards granted | Award Type (2019 Plan) Market/ Performance Based Vesting Conditions Number of Awards Vesting Conditions Expiration Date RSUs No 95,499 Four equal tranches over a four-year period, starting January 1, 2022, April 1, 2022 or on each anniversary of the grant date 10th RSUs No 30,000 Three equal tranches over a three-year period starting January 1, 2022 10th RSUs No 15,000 Three equal tranches of which the first tranche vested immediately and the two remaining annual tranches will vest starting January 1, 2022 10th RSUs No 22,936 Four equal tranches over a four-year period, starting October 1, 2022 on each anniversary of the grant date 10th Options Yes 15,000 Three equal tranches over a three-year period starting January 1, 2022 10th RSUs No 3,891 Four equal tranches over a four-year period starting January 1, 2022 10th |
Financial instruments - fair _2
Financial instruments - fair values and risk management (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Financial instruments-fair values and risk management | |
Schedule of information regarding the credit risk exposure of trade receivables and contract assets | As of December 31, 2021 Past due by Total Gross Past due 1 - Past due 31 ‑ 90 more than 90 in EUR k amount Not past due 30 days days days Middle East 13,968 3,999 1,013 2,056 6,900 Europe 11,486 10,771 351 259 105 Latin America 683 531 23 72 57 North America 3,787 2,562 79 203 943 Asia Pacific 130 115 9 6 (1) Total 30,054 17,978 1,475 2,596 8,004 Expected credit loss rate 19 % 0.9 % 7.7 % 11.7 % 64.1 % Expected credit loss 5,717 167 114 304 5,132 As of December 31, 2020 Past due by Total Gross Past due 1 - Past due 31 ‑ 90 more than 90 in EUR k amount Not past due 30 days days days Middle East 10,515 3,338 486 385 6,306 Europe 20,017 19,193 706 113 5 Latin America 387 313 24 13 37 North America 2,870 1,205 994 262 409 Asia Pacific 178 136 18 24 — Total 33,967 24,185 2,228 797 6,757 Expected credit loss rate 14.0 % 1.6 % 3.1 % 7.7 % 63.0 % Expected credit loss 4,768 382 70 61 4,255 |
Schedule of development of impairment losses relating to trade and other receivables | in EUR k 2021 2020 As of January 1 4,768 2,355 Provision for expected credit losses 956 3,879 Derecognition of trade receivables (7) (1,466) As of December 31 5,717 4,768 |
Schedule of residual contractual terms of financial liabilities, including estimated interest payments | Contractually agreed cash flows More Dec 31, 2021 Carrying Less than 2 to 12 1 to 5 than in EUR k amount Total 2 months months years 5 years Bank overdrafts 3,310 3,310 3,310 — — — Secured bank loans 505 505 105 400 — — Lease liabilities 18,997 22,050 716 3,403 9,038 8,893 Trade payables 11,252 11,252 11,252 — — — 34,064 37,117 15,383 3,803 9,038 8,893 Contractually agreed cash flows More Dec 31, 2020 Carrying Less than 2 to 12 1 to 5 than in EUR k amount Total 2 months months years 5 years Bank overdrafts 1,538 1,538 1,538 — — — Secured bank loans 968 997 5 584 408 — Other bank loans 387 394 — 394 — — Lease liabilities 21,205 24,897 716 3,580 9,861 10,740 Trade payables 31,736 31,525 31,011 514 — — 55,834 59,351 33,270 5,072 10,269 10,740 |
Schedule of reconciliation of liabilities arising from financing activities | Non-cash changes Changes in in EUR k Jan 1, 2021 Cash flows Additions maturity and FX Dec 31, 2021 Non-current financial liabilities 18,078 (401) 865 (2,954) 15,588 Non-current portion of secured bank loans 401 (401) — — — Non-current lease liabilities 17,677 — 865 (2,954) 15,588 Current financial liabilities 6,020 (2,802) 1,438 2,567 7,223 Current portion of secured bank loans 567 (62) — — 505 Bank loans 387 — — (387) — Bank overdrafts 1,538 1,505 267 — 3,310 Current lease liabilities 3,528 (4,245) 1,171 2,954 3,408 Total 24,098 (3,203) 2,303 (387) 22,811 Non-cash changes Changes in in EUR k Jan 1, 2020 Cash flows Additions maturity Dec 31, 2020 Non-current financial liabilities 19,647 (1,993) 2,029 (1,605) 18,078 Non-current portion of secured bank loans 968 — — (567) 401 Municipal loans 610 (610) — — — Non-current lease liabilities 18,069 (1,383) 2,029 (1,038) 17,677 Current financial liabilities 7,323 (5,520) 2,663 1,554 6,020 Current portion of secured bank loans 802 (865) 63 567 567 Bank loans — 438 — (51) 387 Bank overdrafts 2,636 (1,208) 110 — 1,538 Municipal loans 250 (250) — — — Current lease liabilities 3,635 (3,635) 2,490 1,038 3,528 Total 26,970 (7,513) 4,692 (51) 24,098 |
Schedule of net foreign currency exposure | Dec 31, 2021 in EUR k USD INR AED Trade receivables 2,604 8 — Trade payables and other liabilities (2,394) (4) — Net exposure 210 4 — Dec 31, 2020 in EUR k USD INR AED Trade receivables 1,224 18 — Trade payables and other liabilities (3,631) (55) (17) Net exposure (2,407) (37) (17) |
List of subsidiaries (Tables)
List of subsidiaries (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
List of subsidiaries | |
Schedule of major subsidiaries | Equity interests (%) Country in which primary activities are Name pursued Dec 31, 2021 Dec 31, 2020 Centogene GmbH* Germany 100 100 Centogene FZ-LLC United Arab Emirates 100 100 Centogene US, LLC USA 100 100 Centogene GmbH Austria 90 90 Centogene India Pvt. Ltd** India 100 100 Centogene Switzerland AG Switzerland 100 100 Centosafe B.V. Netherlands 100 100 Centogene d.o.o Belgrade Serbia 100 100 Dr. Bauer Laboratoriums GmbH*** Germany — — (*) Centogene IP GmbH and Centogene Shared Service GmbH were merged with Centogene GmbH on January 1, 2021. (**) (***) Centogene does not own any shares in Dr. Bauer Laboratoriums GmbH. However, Centogene meets the criteria of the control model under IFRS 10 as it has exposure to variable returns and the ability to use power to affect returns (see note 4). |
Non-controlling interests (Tabl
Non-controlling interests (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Non-controlling interests. | |
Schedule of information related to each subsidiary of the Group with material, non-controlling interests before intercompany eliminations | Dec 31, 2021 Centogene GmbH, Vienna Dr. Bauer Laboratoriums GmbH in EUR k Net assets/(liabilities) (528) 245 Carrying amount of non‑controlling interests (53) — Revenue — 109,015 Profit/(loss) (6) 98 Profit/loss allocated to non‑controlling interests (1) 98 Dec 31, 2020 Centogene GmbH, Vienna Dr. Bauer Laboratoriums GmbH in EUR k Net assets/(liabilities) (522) 148 Carrying amount of non‑controlling interests (52) — Revenue — 55,596 Profit/(loss) (1) 122 Profit/loss allocated to non‑controlling interests (0) 122 |
Related parties (Tables)
Related parties (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Related parties | |
Schedule of remuneration of members of key management | in EUR k 2021 2020 2019 Short‑term employee benefits 4,098 4,273 3,313 Post‑employment pension and medical benefits 23 23 10 Termination benefits 235 565 — Share‑based payment transactions 822 1,822 3,395 Total compensation to key management 5,178 6,683 6,718 |
General Company Information (De
General Company Information (Details) € / shares in Units, € in Millions | 1 Months Ended | 12 Months Ended | |
Jul. 31, 2020$ / shares | Jul. 31, 2020EUR (€)€ / sharesshares | Dec. 31, 2021EUR (€) | |
General Company Information | |||
Net offering proceeds, after deducting underwriting discounts, commissions and transaction costs | € 22 | ||
Follow-on Equity Offering | Common shares | |||
General Company Information | |||
Public offering price (in dollars per share) | (per share) | $ 14 | € 12.71 | |
Net offering proceeds, after deducting underwriting discounts, commissions and transaction costs | € 22 | ||
Follow-on public offering | Common shares | |||
General Company Information | |||
Public offering price (in dollars per share) | (per share) | 14 | € 12.71 | |
Net offering proceeds, after deducting underwriting discounts, commissions and transaction costs | € 22 | ||
Follow-on public offering | Common shares | Major purchases of assets | |||
General Company Information | |||
Number of common shares issued (in shares) | shares | 3,500,000 | ||
Public offering price (in dollars per share) | (per share) | $ 14 | € 12.71 | |
Follow-on public offering | Common shares | Selling shareholders | Major purchases of assets | |||
General Company Information | |||
Number of common shares issued (in shares) | shares | 1,500,000 | ||
Follow-on public offering | Common shares | The Company | Major purchases of assets | |||
General Company Information | |||
Number of common shares issued (in shares) | shares | 2,000,000 | ||
Net offering proceeds, after deducting underwriting discounts, commissions and transaction costs | € 22 |
Basis of Preparation (Details)
Basis of Preparation (Details) € / shares in Units, $ / shares in Units, $ in Millions | 1 Months Ended | 12 Months Ended | |||||
Jan. 31, 2022EUR (€)€ / sharesshares | Jan. 31, 2022USD ($)shares | Dec. 31, 2021EUR (€) | Dec. 31, 2020EUR (€) | Dec. 31, 2019EUR (€) | Jan. 31, 2022USD ($)$ / sharesshares | Dec. 31, 2018EUR (€) | |
Disclosure of changes in accounting estimates [line items] | |||||||
Percentage of estimated variable transaction price | 82.00% | ||||||
Profit/(loss) | € (46,852,000) | € (21,378,000) | € (20,855,000) | ||||
Loss of operations | (46,028,000) | (19,703,000) | (18,684,000) | ||||
Loss of operations resulting in operating cash outflow | (21,739,000) | 8,462,000 | (7,775,000) | ||||
Repayment of trade payables | 20,484,000 | (23,996,000) | (3,125,000) | ||||
Accumulated deficit | 109,295,000 | 62,888,000 | |||||
Equity | 27,503,000 | 65,777,000 | 58,922,000 | € 26,524,000 | |||
Cash and cash equivalents | 17,818,000 | 48,156,000 | 41,095,000 | € 9,222,000 | |||
Short term debt obligation | 3,800,000 | ||||||
Financial covenants | 0 | ||||||
Nominal amount | 22,812,000 | 24,098,000 | |||||
Borrowings drawdowns | 1,772,000 | € 438,000 | € 721,000 | ||||
Net offering proceeds, after deducting underwriting discounts, commissions and transaction costs | € 22,000,000 | ||||||
Entering into debt financing agreement | Loan facility | |||||||
Disclosure of changes in accounting estimates [line items] | |||||||
Nominal amount | € 40,200,000 | $ 45 | |||||
Borrowings, Revenue achievement threshold | € 44,700,000 | ||||||
Interest rate | 7.93% | 7.93% | |||||
Entering into debt financing agreement | Loan facility | Floor rate | |||||||
Disclosure of changes in accounting estimates [line items] | |||||||
Adjustment to interest rate | 0.07% | 0.07% | |||||
Entering into debt financing agreement | Loan facility first tranche | |||||||
Disclosure of changes in accounting estimates [line items] | |||||||
Borrowings drawdowns | € 22,300,000 | $ 25 | |||||
Borrowings covenant, Minimum required revenue | 30,000,000 | ||||||
Entering into debt financing agreement | Loan facility second tranche | |||||||
Disclosure of changes in accounting estimates [line items] | |||||||
Borrowings available, Subject to achievement of product revenue | 17,900,000 | $ 20 | |||||
Borrowings, Revenue achievement threshold | 44,700,000 | $ 50 | |||||
Borrowings covenant, Minimum required revenue | 40,000,000 | ||||||
Major ordinary share transactions | |||||||
Disclosure of changes in accounting estimates [line items] | |||||||
Net offering proceeds, after deducting underwriting discounts, commissions and transaction costs | € 15,000,000 | ||||||
Shares issued during period | shares | 4,479,088 | 4,479,088 | |||||
Share price | (per share) | € 3.35 | $ 3.73 | |||||
Class of warrant or right, Number of securities called by warrants or rights | shares | 1,343,727 | 1,343,727 | |||||
Class of warrant or right, Exercise price of warrants or rights | $ / shares | $ 7.72 | ||||||
Group | |||||||
Disclosure of changes in accounting estimates [line items] | |||||||
Estimated rate of implicit price concessions | 18.00% |
Basis of Preparation - Reconcil
Basis of Preparation - Reconciliation (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of changes in accounting estimates [line items] | |||
Cost of sales | € 161,765 | € 83,437 | € 26,005 |
Gross profit | 28,158 | 44,944 | 22,775 |
General administrative expenses | 46,739 | 40,160 | 23,160 |
Selling expenses | 9,860 | 8,026 | € 9,254 |
Previously Reported | |||
Disclosure of changes in accounting estimates [line items] | |||
Cost of sales | 86,378 | ||
Gross profit | 42,003 | ||
General administrative expenses | 37,665 | ||
Selling expenses | 7,580 | ||
Change | |||
Disclosure of changes in accounting estimates [line items] | |||
Cost of sales | € (2,941) | (2,941) | |
Gross profit | 2,941 | ||
General administrative expenses | 2,495 | ||
Selling expenses | € 446 |
Significant accounting polici_4
Significant accounting policies (Details) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2021$ / € | Dec. 31, 2021$ / € | Dec. 31, 2021$ / €د.إ / € | Dec. 31, 2021$ / €₨ / € | Dec. 31, 2021$ / €SFr / € | Dec. 31, 2021дин / €$ / € | Dec. 31, 2021$ / €D | Dec. 31, 2020$ / € | Dec. 31, 2020$ / €د.إ / € | Dec. 31, 2020₨ / €$ / € | Dec. 31, 2019$ / € | Dec. 31, 2019د.إ / €$ / € | Dec. 31, 2019₨ / €$ / € | Dec. 31, 2021د.إ / € | Dec. 31, 2021₨ / € | Dec. 31, 2021SFr / € | Dec. 31, 2021дин / € | Dec. 31, 2020د.إ / € | Dec. 31, 2020₨ / € | Dec. 31, 2019د.إ / € | Dec. 31, 2019₨ / € | |
Foreign currency and currency translation | |||||||||||||||||||||
Average rate | 1.1304 | 4.1500 | 85.1761 | 1.0814 | 117.3909 | 1.1412 | 4.2091 | 84.5737 | 1.1191 | 4.0985 | 78.7980 | ||||||||||
Closing rate | 1.1326 | 1.1326 | 1.1326 | 1.1326 | 1.1326 | 1.1326 | 1.1326 | 1.2271 | 1.2271 | 1.2271 | 1.1234 | 1.1234 | 1.1234 | 4.1654 | 84.2292 | 1.0331 | 117.2747 | 4.5045 | 89.6605 | 4.0795 | 80.1870 |
Financial instruments | |||||||||||||||||||||
Number of days past due, to consider a financial asset as default | 360 | ||||||||||||||||||||
Buildings | |||||||||||||||||||||
Property, plant and equipment | |||||||||||||||||||||
Estimated useful life of property, plant and equipment | 33 years | ||||||||||||||||||||
Leases | |||||||||||||||||||||
Estimated useful life of right-of-use assets | 33 years | ||||||||||||||||||||
Offices | Minimum | |||||||||||||||||||||
Leases | |||||||||||||||||||||
Estimated useful life of right-of-use assets | 4 years | ||||||||||||||||||||
Offices | Maximum | |||||||||||||||||||||
Leases | |||||||||||||||||||||
Estimated useful life of right-of-use assets | 12 years | ||||||||||||||||||||
Other property, plant and equipment | Minimum | |||||||||||||||||||||
Property, plant and equipment | |||||||||||||||||||||
Estimated useful life of property, plant and equipment | 2 years | ||||||||||||||||||||
Leases | |||||||||||||||||||||
Estimated useful life of right-of-use assets | 2 years | ||||||||||||||||||||
Other property, plant and equipment | Maximum | |||||||||||||||||||||
Property, plant and equipment | |||||||||||||||||||||
Estimated useful life of property, plant and equipment | 15 years | ||||||||||||||||||||
Leases | |||||||||||||||||||||
Estimated useful life of right-of-use assets | 15 years | ||||||||||||||||||||
Software, patents and trademarks | Minimum | |||||||||||||||||||||
Intangible assets | |||||||||||||||||||||
Estimated useful lives | 3 years | ||||||||||||||||||||
Software, patents and trademarks | Maximum | |||||||||||||||||||||
Intangible assets | |||||||||||||||||||||
Estimated useful lives | 7 years | ||||||||||||||||||||
Corona Test Portal | |||||||||||||||||||||
Intangible assets | |||||||||||||||||||||
Estimated useful lives | 2 years | ||||||||||||||||||||
Capitalized development costs | |||||||||||||||||||||
Intangible assets | |||||||||||||||||||||
Estimated useful lives | 7 years |
Accounting judgments and esti_2
Accounting judgments and estimates (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Accounting judgments and estimates | |||
Intangible assets other than goodwill | € 9,194 | € 12,407 | |
Cost | |||
Accounting judgments and estimates | |||
Intangible assets other than goodwill | 30,827 | 28,040 | € 21,534 |
Cost | Capitalized development costs | |||
Accounting judgments and estimates | |||
Intangible assets other than goodwill | € 7,941 | € 9,680 |
Segment information and reven_3
Segment information and revenue from contracts with customers - Information by operating segments (Details) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021EUR (€)segment | Dec. 31, 2020EUR (€) | Dec. 31, 2019EUR (€) | |
Segment information and revenue from contracts with customers | |||
Number of reportable segments | segment | 3 | ||
Total Revenues from contracts with external customers | € 189,923 | € 128,381 | € 48,780 |
Adjusted EBITDA | (16,702) | 1,083 | (5,687) |
Additions to property, plant and equipment and right-of-use assets | 4,367 | 12,730 | 21,268 |
Additions to intangible assets | 2,787 | 6,657 | 7,280 |
Other segment information | |||
Depreciation and amortization (including impairments) | 21,291 | 15,128 | 6,579 |
Research and development expenses | 19,297 | 14,935 | 9,590 |
Recognized over time. | |||
Segment information and revenue from contracts with customers | |||
Total Revenues from contracts with external customers | 61,910 | 62,739 | 44,417 |
Recognized at a point in time. | |||
Segment information and revenue from contracts with customers | |||
Total Revenues from contracts with external customers | 128,013 | 65,642 | 4,363 |
Pharmaceutical | |||
Segment information and revenue from contracts with customers | |||
Total Revenues from contracts with external customers | 15,641 | 16,951 | 21,522 |
Pharmaceutical | Recognized over time. | |||
Segment information and revenue from contracts with customers | |||
Total Revenues from contracts with external customers | 14,879 | 15,947 | 17,159 |
Pharmaceutical | Recognized at a point in time. | |||
Segment information and revenue from contracts with customers | |||
Total Revenues from contracts with external customers | 762 | 1,004 | 4,363 |
Pharmaceutical | Pharmaceutical Partner | |||
Segment information and revenue from contracts with customers | |||
Total Revenues from contracts with external customers | 455 | 0 | 1,930 |
Diagnostics | |||
Segment information and revenue from contracts with customers | |||
Total Revenues from contracts with external customers | 27,900 | 22,108 | 27,258 |
Diagnostics | Recognized over time. | |||
Segment information and revenue from contracts with customers | |||
Total Revenues from contracts with external customers | 27,900 | 22,108 | 27,258 |
COVID-19 | |||
Segment information and revenue from contracts with customers | |||
Total Revenues from contracts with external customers | 146,382 | 89,322 | |
COVID-19 | Recognized over time. | |||
Segment information and revenue from contracts with customers | |||
Total Revenues from contracts with external customers | 19,131 | 24,684 | |
COVID-19 | Recognized at a point in time. | |||
Segment information and revenue from contracts with customers | |||
Total Revenues from contracts with external customers | 127,251 | 64,638 | |
Operating segment | Pharmaceutical | |||
Segment information and revenue from contracts with customers | |||
Total Revenues from contracts with external customers | 15,641 | 16,951 | 21,522 |
Adjusted EBITDA | 4,843 | 6,194 | 14,956 |
Additions to property, plant and equipment and right-of-use assets | 690 | 333 | 1,362 |
Additions to intangible assets | 2,401 | 3,183 | 3,603 |
Other segment information | |||
Depreciation and amortization (including impairments) | 2,076 | 6,769 | 1,308 |
Operating segment | Diagnostics | |||
Segment information and revenue from contracts with customers | |||
Total Revenues from contracts with external customers | 27,900 | 22,108 | 27,258 |
Adjusted EBITDA | 4,024 | (2,408) | 2,306 |
Additions to property, plant and equipment and right-of-use assets | 261 | 602 | 1,998 |
Other segment information | |||
Depreciation and amortization (including impairments) | 2,539 | 2,289 | 2,032 |
Operating segment | COVID-19 | |||
Segment information and revenue from contracts with customers | |||
Total Revenues from contracts with external customers | 146,382 | 89,322 | |
Adjusted EBITDA | 20,678 | 37,215 | |
Additions to property, plant and equipment and right-of-use assets | 2,480 | 9,113 | |
Additions to intangible assets | 386 | 1,672 | |
Other segment information | |||
Depreciation and amortization (including impairments) | 10,828 | 1,400 | |
Corporate | |||
Segment information and revenue from contracts with customers | |||
Adjusted EBITDA | (46,247) | (39,918) | (22,949) |
Additions to property, plant and equipment and right-of-use assets | 936 | 2,682 | 17,908 |
Additions to intangible assets | 1,802 | 3,677 | |
Other segment information | |||
Depreciation and amortization (including impairments) | 5,849 | 4,670 | 3,239 |
Research and development expenses | € 19,297 | € 14,935 | € 9,590 |
Segment information and reven_4
Segment information and revenue from contracts with customers - Reconciliation of segment Adjusted EBITDA to Group Loss for the Period (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Segment information and revenue from contracts with customers | |||
Share-based compensation | € (5,471) | € (3,486) | € (5,714) |
Depreciation and amortization | (21,291) | (15,128) | (6,579) |
Operating loss | (46,028) | (19,703) | (18,684) |
Financial costs, net | (848) | (1,394) | (2,013) |
Income taxes | 24 | (281) | (158) |
Loss for the year | (46,852) | (21,378) | (20,855) |
Operating segment | |||
Segment information and revenue from contracts with customers | |||
Reportable segment Adjusted EBITDA | 29,545 | 41,001 | 17,262 |
Reportable segment Adjusted EBITDA after corporate expenses | (16,702) | 1,083 | (5,687) |
Operating loss | (46,028) | (19,703) | (18,684) |
Financial costs, net | (848) | (1,394) | (2,013) |
Income taxes | 24 | (281) | (158) |
Loss for the year | (46,852) | (21,378) | (20,855) |
Corporate | |||
Segment information and revenue from contracts with customers | |||
Corporate expenses | (46,247) | (39,918) | (22,949) |
Depreciation and amortization | (5,849) | (4,670) | (3,239) |
Sharebased payment expenses | |||
Segment information and revenue from contracts with customers | |||
Share-based compensation | (8,035) | (5,658) | (6,418) |
Depreciation and amortization | |||
Segment information and revenue from contracts with customers | |||
Depreciation and amortization | € (21,291) | € (15,128) | € (6,579) |
Segment information and reven_5
Segment information and revenue from contracts with customers - Geographical information (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of operating segments | |||
Rendering of services | € 189,159 | € 126,642 | € 46,347 |
Sales of goods | 764 | 1,739 | 2,433 |
Total Revenues from contracts with external customers | 189,923 | 128,381 | 48,780 |
Europe | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 150,584 | 94,068 | 7,447 |
-Germany | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 141,133 | 81,065 | 508 |
-Netherlands | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 3,622 | 6,575 | 25 |
Middle East | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 16,432 | 12,624 | 14,099 |
-Saudi Arabia | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 7,417 | ||
North America | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 19,496 | 19,265 | 23,276 |
-United States | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 19,309 | 19,059 | 22,778 |
Latin America | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 2,593 | 1,888 | 2,987 |
Asia Pacific | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 818 | 536 | 971 |
Recognized over time. | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 61,910 | 62,739 | 44,417 |
Recognized at a point in time. | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 128,013 | 65,642 | 4,363 |
Pharmaceutical | |||
Disclosure of operating segments | |||
Rendering of services | 14,879 | 15,947 | 19,089 |
Sales of goods | 762 | 1,004 | 2,433 |
Total Revenues from contracts with external customers | 15,641 | 16,951 | 21,522 |
Pharmaceutical | Europe | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 490 | 149 | 381 |
Pharmaceutical | -Germany | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 233 | ||
Pharmaceutical | Middle East | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 117 | 56 | 122 |
Pharmaceutical | North America | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 14,940 | 16,711 | 20,896 |
Pharmaceutical | -United States | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 14,940 | 16,711 | 20,896 |
Pharmaceutical | Latin America | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 94 | 35 | 123 |
Pharmaceutical | Recognized over time. | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 14,879 | 15,947 | 17,159 |
Pharmaceutical | Recognized at a point in time. | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 762 | 1,004 | 4,363 |
Diagnostics | |||
Disclosure of operating segments | |||
Rendering of services | 27,900 | 22,108 | 27,258 |
Total Revenues from contracts with external customers | 27,900 | 22,108 | 27,258 |
Diagnostics | Europe | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 5,425 | 5,605 | 7,066 |
Diagnostics | -Germany | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 211 | 186 | 275 |
Diagnostics | -Netherlands | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 6 | 3 | 25 |
Diagnostics | Middle East | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 16,315 | 12,568 | 13,977 |
Diagnostics | -Saudi Arabia | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 7,417 | ||
Diagnostics | North America | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 2,950 | 1,576 | 2,380 |
Diagnostics | -United States | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 2,763 | 1,370 | 1,882 |
Diagnostics | Latin America | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 2,499 | 1,851 | 2,864 |
Diagnostics | Asia Pacific | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 711 | 508 | 971 |
Diagnostics | Recognized over time. | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 27,900 | 22,108 | € 27,258 |
COVID-19 | |||
Disclosure of operating segments | |||
Rendering of services | 146,380 | 88,587 | |
Sales of goods | 2 | 735 | |
Total Revenues from contracts with external customers | 146,382 | 89,322 | |
COVID-19 | Europe | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 144,669 | 88,314 | |
COVID-19 | -Germany | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 140,922 | 80,879 | |
COVID-19 | -Netherlands | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 3,616 | 6,572 | |
COVID-19 | North America | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 1,606 | 978 | |
COVID-19 | -United States | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 1,606 | 978 | |
COVID-19 | Latin America | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 2 | ||
COVID-19 | Asia Pacific | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 107 | 28 | |
COVID-19 | Recognized over time. | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | 19,131 | 24,684 | |
COVID-19 | Recognized at a point in time. | |||
Disclosure of operating segments | |||
Total Revenues from contracts with external customers | € 127,251 | € 64,638 |
Segment information and reven_6
Segment information and revenue from contracts with customers - Contract balances (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Segment information and revenue from contracts with customers | ||
Trade receivables (note 15) | € 21,065 | € 25,656 |
Contract assets (note 15) | 3,272 | 3,543 |
Contract liabilities (note 19.2) | € 4,842 | € 4,479 |
Segment information and reven_7
Segment information and revenue from contracts with customers - Additional information (Details) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021EUR (€)customer | Dec. 31, 2020EUR (€) | Dec. 31, 2019EUR (€) | |
Segment information and revenue from contracts with customers | |||
Share issue related cost | € 0 | € 779 | € 4,899 |
Real estate transfer tax expenses | 1,200 | ||
Property, plant and equipment | 8,147 | 16,590 | |
Right-of-use assets | 18,904 | 22,120 | 24,932 |
Revenue from contracts with customers | 189,923 | 128,381 | 48,780 |
Provision for expected credit losses on contract assets | 483 | 356 | |
Revenues recognized for contract liabilities | 2,506 | 2,516 | |
Performance obligations | 2,336 | 1,963 | |
-United States | |||
Segment information and revenue from contracts with customers | |||
Property, plant and equipment | 147 | 516 | 286 |
Right-of-use assets | 137 | 709 | 1,042 |
Revenue from contracts with customers | 19,309 | 19,059 | 22,778 |
-Germany | |||
Segment information and revenue from contracts with customers | |||
Revenue from contracts with customers | 141,133 | 81,065 | 508 |
Follow-on Equity Offering | |||
Segment information and revenue from contracts with customers | |||
Share issue related cost | 278 | ||
IPO | |||
Segment information and revenue from contracts with customers | |||
Share issue related cost | 1,092 | ||
Pharmaceutical | |||
Segment information and revenue from contracts with customers | |||
Revenue from contracts with customers | € 15,641 | € 16,951 | € 21,522 |
Pharmaceutical | Pharmaceutical Partner | |||
Segment information and revenue from contracts with customers | |||
Number of customer in group | customer | 1 | ||
Percentage of revenue | 5.10% | 8.60% | 24.30% |
Revenue from contracts with customers | € 455 | € 0 | € 1,930 |
Pharmaceutical | -United States | |||
Segment information and revenue from contracts with customers | |||
Revenue from contracts with customers | € 14,940 | 16,711 | 20,896 |
Pharmaceutical | -Germany | |||
Segment information and revenue from contracts with customers | |||
Revenue from contracts with customers | € 233 | ||
COVID-19 | |||
Segment information and revenue from contracts with customers | |||
Number of customer in group | customer | 2 | ||
Revenue from contracts with customers | € 146,382 | € 89,322 | |
COVID-19 | Covid-19 Partner One | |||
Segment information and revenue from contracts with customers | |||
Percentage of revenue | 6.40% | 14.60% | |
COVID-19 | Covid-19 Partner Two | |||
Segment information and revenue from contracts with customers | |||
Percentage of revenue | 9.40% | 13.50% | |
COVID-19 | -United States | |||
Segment information and revenue from contracts with customers | |||
Revenue from contracts with customers | € 1,606 | € 978 | |
COVID-19 | -Germany | |||
Segment information and revenue from contracts with customers | |||
Revenue from contracts with customers | 140,922 | 80,879 | |
Capitalized investment | 2,800 | 10,800 | |
COVID-19 | -Germany | Property Plant And Equipment [Member] | |||
Segment information and revenue from contracts with customers | |||
Capitalized investment | 2,400 | 7,700 | |
COVID-19 | -Germany | Intangible assets other than goodwill [member] | |||
Segment information and revenue from contracts with customers | |||
Capitalized investment | € 400 | € 1,700 |
Other income and expenses - Oth
Other income and expenses - Other Operating Income (Details) - EUR (€) € in Thousands | 1 Months Ended | 12 Months Ended | ||
Jul. 31, 2019 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Other income and expenses | ||||
Government grants | € 2,263 | € 2,152 | € 2,641 | |
Gain on disposal of property, plant and equipment | 18 | 2 | 532 | |
Exchange rate gains | 314 | |||
Income from the reversal of provisions | 89 | |||
Others | 656 | 240 | 205 | |
Total other operating income | 2,936 | 2,394 | 3,781 | |
Employee benefits expense | 56,296 | 39,271 | 32,843 | |
Contributions to state pension scheme (defined contribution plan) | 2,706 | 1,851 | 1,136 | |
COVID-19 | ||||
Other income and expenses | ||||
Gain from forgiveness of loan | 387 | 0 | ||
Supervisory board members | ||||
Other income and expenses | ||||
Employee benefits expense | € 3,252 | € 2,775 | € 1,203 | |
Rostock headquarters building | ||||
Other income and expenses | ||||
Lease Term | 12 years | 12 years |
Other income and expenses - O_2
Other income and expenses - Other Operating Expenses (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Other income and expenses | |||
Currency losses | € 86 | € 10 | € 192 |
Other | 172 | 1,092 | |
Total other operating expenses | 86 | 182 | 1,284 |
Cost incurred related to the IPO | € 0 | € 779 | 4,899 |
IPO | |||
Other income and expenses | |||
Cost incurred related to the IPO | € 1,092 |
Other income and expenses - LPC
Other income and expenses - LPC GmbH (Details) - EUR (€) € in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2021 | |
Other income and expenses | ||
Noncontrolling interests | € 95 | € 193 |
LPC GmbH | ||
Other income and expenses | ||
Proportion of ownership interest in subsidiary | 51.00% | |
Consideration for disposal of subsidiary | € 213 | |
Consideration to be paid over time | € 200 | |
Payment due period (in years) | 4 years | |
Consideration outstanding | € 100 | |
Noncontrolling interests | (268) | |
Profit/(loss) allocated to non-controlling interest | € (101) |
Other income and expenses - Fin
Other income and expenses - Financial costs, net (Details) € in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021EUR (€) | Dec. 31, 2020EUR (€) | Dec. 31, 2019EUR (€) | Dec. 31, 2019USD ($) | |
Other income and expenses | ||||
Interest expenses from loans | € (267) | € (173) | € (1,690) | |
Currency losses | (362) | |||
Unwinding of the discount on lease liabilities | (584) | (865) | (339) | $ (339) |
Interest income from loans and receivables | 3 | 6 | 16 | |
Financial costs, net | € (848) | € (1,394) | € (2,013) |
Other income and expenses - Emp
Other income and expenses - Employee benefits expense (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Other income and expenses | |||
Wages and salaries | € 43,533 | € 31,121 | € 23,854 |
Social security contributions | 6,134 | 4,095 | 3,212 |
Share-based payments | 5,471 | 3,486 | 5,714 |
Termination benefits | 1,158 | 569 | 63 |
Total | € 56,296 | € 39,271 | € 32,843 |
Income taxes - Taxes recognized
Income taxes - Taxes recognized through profit or loss (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income taxes | |||
Current tax expenses | € (118) | € (74) | € (158) |
Current year | (102) | (58) | (1) |
Adjustments for prior periods | (16) | (16) | (157) |
Deferred tax (expense)/income | 142 | (207) | |
Temporary differences | 142 | (182) | (514) |
Tax losses | (25) | 514 | |
Income tax (expenses)/ benefit | 24 | (281) | (158) |
Income taxes recognized directly in other comprehensive income | € 0 | € 0 | € 0 |
Income taxes - Reconciliation o
Income taxes - Reconciliation of the effective tax rate to the statutory rate (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income Tax Disclosure [Line Items] | |||
Statutory rate (as a percent) | 31.10% | 31.10% | 31.10% |
Loss before tax | € (46,876) | € (21,097) | € (20,697) |
Taxes on the basis of the Company's domestic tax rate | 14,596 | 6,570 | 6,445 |
Tax rate effect of foreign tax jurisdictions | 882 | 65 | 412 |
Non-deductible expenses | (3,030) | (903) | (441) |
Current year losses for which no deferred tax assets were recognized | (12,211) | (5,792) | (6,416) |
Tax income related to prior years | (17) | (137) | (157) |
Other effects | (196) | (84) | (1) |
Income tax (expenses)/ benefit | € 24 | € (281) | € (158) |
Domestic tax rate | |||
Income Tax Disclosure [Line Items] | |||
Statutory rate (as a percent) | 31.10% | ||
Corporate income tax rate (as a percent) | 15.00% | ||
Solidarity surcharge (as a percent) | 5.50% | ||
Trade tax rate (as a percent) | 15.30% |
Income taxes - Deferred Taxes (
Income taxes - Deferred Taxes (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Income taxes | |||
Deductible temporary differences, for which no deferred tax asset is recognized | € 1,117 | ||
Temporary differences associated with investments for which no deferred tax liability has been recognized | 5,656 | € 4,313 | € 4,360 |
Deferred tax assets | 7,033 | 8,034 | |
Deferred tax liabilities | (7,112) | (8,241) | |
Deferred tax assets, Offset | (7,033) | (8,034) | |
Deferred tax liabilities, Offset | 7,033 | 8,034 | |
Deferred Taxes | (79) | (207) | |
Deferred Taxes | (79) | 207 | |
-Germany | |||
Income taxes | |||
Tax losses carryforwards for which no deferred tax assets were recognized | 85,639 | 64,464 | 41,570 |
Other countries | |||
Income taxes | |||
Tax losses carryforwards for which no deferred tax assets were recognized | 1,083 | 1,002 | € 505 |
Intangible assets other than goodwill [member] | |||
Income taxes | |||
Deferred tax liabilities | (2,439) | (2,934) | |
Property Plant And Equipment [Member] | |||
Income taxes | |||
Deferred tax liabilities | (14) | (133) | |
Right-of-use asset | |||
Income taxes | |||
Deferred tax liabilities | (4,617) | (5,029) | |
Measurement of service contracts | |||
Income taxes | |||
Deferred tax liabilities | (42) | (145) | |
Lease liabilities | |||
Income taxes | |||
Deferred tax assets | 4,563 | 4,865 | |
Government grants | |||
Income taxes | |||
Deferred tax assets | 1,693 | 1,903 | |
Unused tax losses | |||
Income taxes | |||
Deferred tax assets | € 777 | € 1,266 |
Loss Per Share (Details)
Loss Per Share (Details) - shares | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Loss Per Share | |||
Weighted average number of outstanding shares after adjusted for the effect of the corporate reorganization | 22,437,301 | 20,909,673 | 16,409,285 |
Intangible assets (Details)
Intangible assets (Details) - EUR (€) € in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Intangible assets | ||
Balance, at the beginning of the year | € 12,407 | |
Balance, at the end of the year | 9,194 | € 12,407 |
Biomarkers and databases | ||
Intangible assets | ||
Impairment expense | 1,100 | |
Internally generated /acquired | Biomarkers | ||
Intangible assets | ||
Balance, at the beginning of the year | 3,174 | |
Balance, at the end of the year | 1,545 | 3,174 |
Internally generated /acquired | Database | ||
Intangible assets | ||
Balance, at the beginning of the year | 6,506 | |
Reclass | 229 | |
Balance, at the end of the year | 6,396 | 6,506 |
Purchased | Rights, licenses, software | ||
Intangible assets | ||
Balance, at the beginning of the year | 2,727 | |
Balance, at the end of the year | 1,253 | 2,727 |
Cost | ||
Intangible assets | ||
Balance, at the beginning of the year | 28,040 | 21,534 |
Additions | 2,787 | 6,657 |
Deconsolidation | (151) | |
Balance, at the end of the year | 30,827 | 28,040 |
Cost | Internally generated /acquired | Biomarkers | ||
Intangible assets | ||
Balance, at the beginning of the year | 13,922 | 12,022 |
Additions | 749 | 1,900 |
Reclass | 297 | |
Balance, at the end of the year | 14,374 | 13,922 |
Cost | Internally generated /acquired | Database | ||
Intangible assets | ||
Balance, at the beginning of the year | 9,219 | 6,502 |
Additions | 1,652 | 2,717 |
Reclass | (297) | |
Balance, at the end of the year | 11,168 | 9,219 |
Cost | Purchased | Rights, licenses, software | ||
Intangible assets | ||
Balance, at the beginning of the year | 4,899 | 3,010 |
Additions | 386 | 2,040 |
Deconsolidation | (151) | |
Balance, at the end of the year | 5,285 | 4,899 |
Accumulated depreciation, amortization and impairment | ||
Intangible assets | ||
Balance, at the beginning of the year | (15,633) | (7,389) |
Deconsolidation | (124) | |
Amortization and impairment | 6,000 | 8,368 |
Balance, at the end of the year | (21,633) | (15,633) |
Accumulated depreciation, amortization and impairment | Internally generated /acquired | Biomarkers | ||
Intangible assets | ||
Balance, at the beginning of the year | (10,748) | (3,831) |
Deconsolidation | 68 | |
Amortization and impairment | 2,149 | 6,917 |
Balance, at the end of the year | (12,829) | (10,748) |
Accumulated depreciation, amortization and impairment | Internally generated /acquired | Database | ||
Intangible assets | ||
Balance, at the beginning of the year | (2,713) | (1,770) |
Deconsolidation | (68) | |
Amortization and impairment | 1,991 | 943 |
Balance, at the end of the year | (4,772) | (2,713) |
Accumulated depreciation, amortization and impairment | Purchased | Rights, licenses, software | ||
Intangible assets | ||
Balance, at the beginning of the year | (2,172) | (1,788) |
Deconsolidation | (124) | |
Amortization and impairment | 1,860 | 508 |
Balance, at the end of the year | € (4,032) | € (2,172) |
Property, plant and equipment_2
Property, plant and equipment (Details) - EUR (€) € in Thousands | Jun. 30, 2021 | Dec. 31, 2021 | Dec. 31, 2020 |
Property, plant and equipment | |||
Balance, at the beginning of the year | € 16,590 | ||
Balance, at the end of the year | 8,147 | € 16,590 | |
COVID-19 | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Estimated useful life of property, plant and equipment | 8 months | ||
Property, plant and equipment | |||
Depreciation | € 4,138 | ||
Buildings | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Estimated useful life of property, plant and equipment | 33 years | ||
Property, plant and equipment | |||
Balance, at the beginning of the year | € 2,773 | ||
Balance, at the end of the year | 2,463 | 2,773 | |
Plant | |||
Property, plant and equipment | |||
Balance, at the beginning of the year | 5,869 | ||
Balance, at the end of the year | 2,944 | 5,869 | |
Other equipment, furniture and fixtures | |||
Property, plant and equipment | |||
Balance, at the beginning of the year | 7,948 | ||
Balance, at the end of the year | 2,740 | 7,948 | |
Cost | |||
Property, plant and equipment | |||
Balance, at the beginning of the year | 30,073 | 17,696 | |
Reclass from (to) right-of-use assets | 1,165 | 3,099 | |
Additions | 2,915 | 9,890 | |
Disposal | (1,097) | (612) | |
Balance, at the end of the year | 33,056 | 30,073 | |
Cost | Buildings | |||
Property, plant and equipment | |||
Balance, at the beginning of the year | 3,359 | 3,254 | |
Additions | 5 | 105 | |
Balance, at the end of the year | 3,364 | 3,359 | |
Cost | Plant | |||
Property, plant and equipment | |||
Balance, at the beginning of the year | 14,124 | 9,730 | |
Reclass from (to) right-of-use assets | 1,165 | 3,099 | |
Additions | 144 | 1,295 | |
Disposal | (379) | ||
Balance, at the end of the year | 15,054 | 14,124 | |
Cost | Other equipment, furniture and fixtures | |||
Property, plant and equipment | |||
Balance, at the beginning of the year | 12,590 | 4,712 | |
Additions | 2,766 | 8,490 | |
Disposal | (718) | (612) | |
Balance, at the end of the year | 14,638 | 12,590 | |
Accumulated depreciation, amortization and impairment | |||
Property, plant and equipment | |||
Balance, at the beginning of the year | (13,483) | (9,320) | |
Reclass from (to) right-of-use assets | (493) | (1,107) | |
Disposal | 374 | 44 | |
Depreciation | 11,307 | 3,100 | |
Balance, at the end of the year | (24,909) | (13,483) | |
Accumulated depreciation, amortization and impairment | Buildings | |||
Property, plant and equipment | |||
Balance, at the beginning of the year | (586) | (392) | |
Depreciation | 315 | 194 | |
Balance, at the end of the year | (901) | (586) | |
Accumulated depreciation, amortization and impairment | Plant | |||
Property, plant and equipment | |||
Balance, at the beginning of the year | (8,255) | (6,155) | |
Reclass from (to) right-of-use assets | (493) | (1,107) | |
Disposal | 157 | ||
Depreciation | 3,519 | 993 | |
Balance, at the end of the year | (12,110) | (8,255) | |
Accumulated depreciation, amortization and impairment | Other equipment, furniture and fixtures | |||
Property, plant and equipment | |||
Balance, at the beginning of the year | (4,642) | (2,773) | |
Disposal | 217 | 44 | |
Depreciation | 7,473 | 1,913 | |
Balance, at the end of the year | € (11,898) | € (4,642) |
Right-of-use assets (Details)
Right-of-use assets (Details) € in Thousands | 1 Months Ended | 12 Months Ended |
Jul. 31, 2019 | Dec. 31, 2021EUR (€)contract | |
Rostock headquarters building | ||
Leases | ||
Lease term | 12 years | 12 years |
Number of times the lease contract can be extended | contract | 2 | |
Lease contract extension term | 6 years | |
Rental expense | € 1,400 | |
Rostock headquarters building and Berlin offices | ||
Leases | ||
Bank guarantee | 3,000 | |
Short term deposits pledged as security | € 2,443 | |
Offices in Berlin | ||
Leases | ||
Lease term | 12 years | |
Offices in Boston | ||
Leases | ||
Lease term | 4 years | |
Plant and machinery | ||
Leases | ||
Lease term | 2 years | |
Rental deposits | € 190 | |
Other equipment | ||
Leases | ||
Lease term | 4 years | |
Motor vehicles | ||
Leases | ||
Lease term | 3 years | |
Certain motor vehicles and premises | Maximum | ||
Leases | ||
Lease term | 12 months |
Right-of-use assets - Carrying
Right-of-use assets - Carrying amounts of right-of-use assets and movements during the period (Details) € in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021EUR (€) | Dec. 31, 2020EUR (€) | Dec. 31, 2019USD ($) | |
Leases | |||
Beginning balance | € 22,120 | € 24,932 | |
Additions | 1,452 | 2,840 | |
Reclass to property, plant & equipment | (672) | (1,992) | |
Depreciation expenses | (3,996) | (3,660) | $ (1,807) |
Ending balance | 18,904 | 22,120 | |
Buildings | |||
Leases | |||
Beginning balance | 12,005 | 13,126 | |
Depreciation expenses | (1,121) | (1,121) | |
Ending balance | 10,884 | 12,005 | |
Offices | |||
Leases | |||
Beginning balance | 4,176 | 4,407 | |
Additions | 133 | 426 | |
Depreciation expenses | (970) | (657) | |
Ending balance | 3,339 | 4,176 | |
Plant and equipment | |||
Leases | |||
Beginning balance | 4,587 | 6,989 | |
Additions | 1,121 | 1,265 | |
Reclass to property, plant & equipment | (672) | (1,992) | |
Depreciation expenses | (1,745) | (1,675) | |
Ending balance | 3,291 | 4,587 | |
Other equipment | |||
Leases | |||
Beginning balance | 1,315 | 390 | |
Additions | 179 | 1,112 | |
Depreciation expenses | (138) | (187) | |
Ending balance | 1,356 | 1,315 | |
Motor vehicles | |||
Leases | |||
Beginning balance | 37 | 20 | |
Additions | 19 | 37 | |
Depreciation expenses | (22) | (20) | |
Ending balance | € 34 | € 37 |
Right-of-use assets - Carryin_2
Right-of-use assets - Carrying amounts of lease liabilities and the movements during the period (Details) € in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021EUR (€) | Dec. 31, 2020EUR (€) | Dec. 31, 2019EUR (€) | Dec. 31, 2019USD ($) | |
Right-of-use assets. | ||||
Beginning balance | € 21,205 | € 21,704 | ||
Additions | 1,452 | 3,654 | ||
Interest expenses | 584 | 865 | € 339 | $ 339 |
Payments | (4,244) | (5,018) | ||
Ending balance | 18,997 | 21,205 | € 21,704 | |
Current lease liabilities. | 3,409 | 3,528 | ||
Non-current lease liabilities. | € 15,588 | € 17,677 |
Right-of-use assets - Amounts r
Right-of-use assets - Amounts recognised in profit or loss (Details) € in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021EUR (€) | Dec. 31, 2020EUR (€) | Dec. 31, 2019EUR (€) | Dec. 31, 2019USD ($) | |
Right-of-use assets. | ||||
Depreciation expense of right-of-use assets | € 3,996 | € 3,660 | $ 1,807 | |
Interest expenses on lease liabilities | 584 | 865 | € 339 | 339 |
Rent expenses - short-term leases | 7,175 | 1,695 | 185 | |
Rent expense - leases of low-value assets | 48 | 33 | 25 | |
Total amounts recognized in profit or loss | 11,803 | 6,253 | $ 2,356 | |
Total cash outflows for leases | € 11,467 | € 6,746 | € 3,256 |
Right-of-use assets - Sale and
Right-of-use assets - Sale and Leaseback transactions (Details) - EUR (€) € in Thousands | 1 Months Ended | 12 Months Ended | ||
Jul. 31, 2019 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Leases | ||||
Real estate transfer tax expenses | € 1,200 | |||
Proceeds from sale of land and building | € 171 | 21,300 | ||
Loans repaid using the consideration from sale of land and building | € 464 | € 2,760 | 12,072 | |
Grants refunded related to disposed property, plant and equipment | € 358 | |||
Rostock headquarters building | ||||
Leases | ||||
Lease term | 12 years | 12 years |
Inventories (Details)
Inventories (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Inventories | |||
Raw materials, consumables and supplies | € 3,831 | € 11,167 | |
Finished goods and merchandise | 38 | 238 | |
Inventories | 3,869 | 11,405 | |
Inventory write-down | 1,795 | 0 | |
Raw materials, consumables and changes in inventories of finished goods and work in process recorded as expenses | € 70,089 | € 41,594 | € 11,285 |
Trade and other receivables a_3
Trade and other receivables and other assets (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Non-current | |||
Other assets-Rental deposits | € 2,922 | € 1,867 | |
Other assets-Others | 50 | 100 | |
Trade receivables and contract assets and other assets non-current | 2,972 | 1,967 | |
Current | |||
Trade receivables | 21,065 | 25,656 | |
Contract assets | 3,272 | 3,543 | |
Payables due to holders of vested options | € 2,769 | ||
Other assets | 5,453 | 8,286 | |
Trade receivables and contract assets and other assets current | 29,790 | 37,485 | |
Total non-current and current trade and other receivables and other assets | € 32,762 | 39,452 | |
Minimum | |||
Current | |||
Receivables payment terms | 30 days | ||
Maximum | |||
Current | |||
Receivables payment terms | 90 days | ||
Other assets | |||
Current | |||
Current value added tax receivables | € 253 | 226 | |
Prepaid expenses | 3,346 | 4,431 | |
Receivables from exercise of share based payments granted | 116 | 1,253 | |
Receivables from COVID 19 bank or credit card transactions | 612 | 1,076 | |
Receivables from grants | 0 | € 442 | |
Other assets | Rostock headquarters building | |||
Current | |||
Cash deposits provided as security for bank loans | 2,250 | ||
Bank guarantee | 3,000 | ||
Other assets | Berlin Offices | |||
Current | |||
Cash deposits provided as security for bank loans | 193 | ||
Bank guarantee | 257 | ||
Other assets | Other property, plant and equipment | |||
Non-current | |||
Other assets-Rental deposits | 190 | ||
Other assets | Other office and laboratories | |||
Current | |||
Cash deposits provided as security for bank loans | 289 | ||
Other assets | LPC GmbH | |||
Current | |||
Consideration receivable for the sale of LPC | € 50 |
Cash and short-term deposits (D
Cash and short-term deposits (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Secured bank loan | ||
Borrowings | ||
Short term deposits pledged as security | € 938 | € 1,500 |
Overdraft facility | ||
Borrowings | ||
Short term deposits pledged as security | 1,000 | 1,000 |
Existing Overdraft facility | ||
Borrowings | ||
Short term deposits pledged as security | 2,500 | € 2,500 |
Maximum borrowing capacity | 2,500 | |
Second Overdraft facility | ||
Borrowings | ||
Maximum borrowing capacity | 500 | |
Third Overdraft facility | ||
Borrowings | ||
Maximum borrowing capacity | € 500 |
Equity - Issued capital and cap
Equity - Issued capital and capital reserve (Details) - Common shares - € / shares | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Equity | ||
Number of shares issued and fully paid, Beginning | 22,117,643 | 19,861,000 |
Issued shares | 2,000,000 | |
Exercise of options | 450,000 | 256,000 |
Number of shares issued and fully paid, Ending | 22,567,971 | 22,117,643 |
Authorized common shares | 79,000,000 | 79,000,000 |
Par value per share (in euros per share) | € 0.12 | € 0.12 |
Equity - Common Shares (Details
Equity - Common Shares (Details) € / shares in Units, € in Thousands | 1 Months Ended | 12 Months Ended | |||
Jul. 31, 2020$ / shares | Jul. 31, 2020EUR (€)€ / sharesshares | Dec. 31, 2021EUR (€)€ / sharesshares | Dec. 31, 2020EUR (€)€ / sharesshares | Dec. 31, 2019shares | |
Disclosure of classes of share capital [line items] | |||||
Net offering proceeds, after deducting underwriting discounts, commissions and transaction costs | € | € 22,000 | ||||
Common shares | |||||
Disclosure of classes of share capital [line items] | |||||
Par value per share (in euros per share) | € / shares | € 0.12 | € 0.12 | |||
Increase (decrease) in number of ordinary shares issued | 2,000,000 | ||||
Authorized but unissued share capital | € | € 6,772 | € 6,826 | |||
Number of shares issued and fully paid | 22,567,971 | 22,117,643 | 19,861,000 | ||
Follow-on public offering | Common shares | |||||
Disclosure of classes of share capital [line items] | |||||
Total number of shares issued and sold in follow-on public offering | 3,500,000 | ||||
Number of shares offered by existing shareholders | 1,500,000 | ||||
Public offering price (in dollars per share) | (per share) | $ 14 | € 12.71 | |||
Net offering proceeds, after deducting underwriting discounts, commissions and transaction costs | € | € 22,000 | ||||
Follow-on public offering | The Company | Common shares | |||||
Disclosure of classes of share capital [line items] | |||||
Increase (decrease) in number of ordinary shares issued | 2,000,000 |
Equity - Capital Reserves (Deta
Equity - Capital Reserves (Details) - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Capital reserve | ||
Share premium included in capital reserve | € 106,665 | € 107,498 |
Financial liabilities - Interes
Financial liabilities - Interest-bearing loans (Details) € in Thousands, $ in Thousands | Dec. 31, 2021EUR (€) | Dec. 31, 2020EUR (€) | Dec. 31, 2020USD ($) |
Financial liabilities | |||
Total non-current liabilities | € 15,588 | € 18,078 | |
Total current liabilities | 7,224 | 6,020 | |
Total non-current and current liabilities | 22,812 | 24,098 | |
Total loans | |||
Financial liabilities | |||
Total non-current liabilities | 401 | ||
Total current liabilities | 3,815 | 2,492 | |
Secured bank loans | |||
Financial liabilities | |||
Total non-current liabilities | 401 | ||
Total current liabilities | 505 | 567 | |
Short term deposits pledged as security | 938 | 1,500 | |
Other bank loans | |||
Financial liabilities | |||
Total current liabilities | 387 | ||
Total non-current and current liabilities | $ | $ 387 | ||
Bank overdrafts | |||
Financial liabilities | |||
Total current liabilities | 3,310 | 1,538 | |
Lease liabilities | |||
Financial liabilities | |||
Total non-current liabilities | 15,588 | 17,677 | |
Total current liabilities | 3,409 | 3,528 | |
Total non-current and current liabilities | € 18,997 | € 21,205 |
Financial liabilities - Conditi
Financial liabilities - Conditions and statement of liabilities (Details) € in Thousands, $ in Thousands | Dec. 31, 2021EUR (€) | Dec. 31, 2020USD ($) | Dec. 31, 2020EUR (€) |
Financial liabilities | |||
Nominal amount | € 22,812 | € 24,098 | |
Carrying amount | 34,064 | 55,834 | |
Carrying amount | 22,812 | 24,098 | |
Bank overdrafts | € 981 | 910 | |
Secured bank loans, bearing maturity period of 2017-25, three | |||
Financial liabilities | |||
Nominal interest rate (as a percent) | 2.95% | ||
Nominal amount | € 505 | 968 | |
Carrying amount | € 505 | 968 | |
Other bank loans | |||
Financial liabilities | |||
Nominal interest rate (as a percent) | 1.00% | ||
Nominal amount | $ | $ 387 | ||
Carrying amount | $ | $ 387 | ||
Bank overdrafts, one | |||
Financial liabilities | |||
Nominal interest rate (as a percent) | 4.75% | ||
Nominal amount | € 499 | 498 | |
Carrying amount | € 499 | 498 | |
Bank overdrafts, two | |||
Financial liabilities | |||
Nominal interest rate (as a percent) | 3.75% | ||
Nominal amount | € 2,329 | 628 | |
Carrying amount | € 2,329 | 628 | |
Bank overdrafts, three | |||
Financial liabilities | |||
Nominal interest rate (as a percent) | 4.50% | ||
Nominal amount | € 482 | 412 | |
Carrying amount | 482 | 412 | |
Lease liabilities | |||
Financial liabilities | |||
Nominal amount | 18,997 | 21,205 | |
Carrying amount | € 18,997 | 21,205 | |
Minimum | Lease liabilities | |||
Financial liabilities | |||
Nominal interest rate (as a percent) | 5.40% | ||
Nominal interest rate at commencement of leases | 2.10% | ||
Maximum | Lease liabilities | |||
Financial liabilities | |||
Nominal interest rate (as a percent) | 9.10% | ||
Nominal interest rate at commencement of leases | 3.50% | ||
Overdraft facility | |||
Financial liabilities | |||
Short-term deposits, pledged as security | € 2,500 | € 2,500 | |
Overdraft facility | Bank overdrafts, one and three | |||
Financial liabilities | |||
Short-term deposits, pledged as security | € 500 |
Financial liabilities - Trade p
Financial liabilities - Trade payables and other liabilities (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Financial liabilities | |||
Trade payables | € 11,252 | € 31,736 | |
Government grants (deferred income) | 9,396 | 10,292 | |
Contract liabilities | 4,842 | 4,479 | |
Others | 14,632 | 13,483 | |
Trade payables and other liabilities | 40,122 | 59,990 | |
Non-current | 8,028 | 8,950 | |
Current | 32,094 | 51,040 | |
Grants received for investment in property, plant and equipment | 168 | 390 | € 793 |
Provision for outstanding invoices | 4,978 | 1,245 | |
Personnel related liabilities for vacation and bonuses | 4,812 | 4,032 | |
VAT payable | 905 | 4,578 | |
Liabilities for wage and church tax | € 1,040 | € 1,988 |
Share-based payments - Virtual
Share-based payments - Virtual share option program 2016 (Cash-settled) (Details) € in Thousands | 1 Months Ended |
Jul. 31, 2020EUR (€) | |
Virtual share option program 2016 (Cash-settled) | |
Share-based payments | |
Payments for settlement of stock options | € 2,768 |
Share-based Payments - 2019 Equ
Share-based Payments - 2019 Equity Incentive Plan (2019 Plan) (Details) - 2019 Plan | Jan. 01, 2022 |
Share-based payments | |
Maximum amount of share-based award grants allowed under the plan (as a percent) | 22.00% |
Additional share-based award grants allowed under the plan (as a percent) | 3.00% |
Share-based payments - Equity s
Share-based payments - Equity share option - Replacement (ESOP VSOP 2017) (Details) € in Thousands | Dec. 18, 2020€ / shares | Dec. 31, 2021Options€ / shares$ / sharesshares | Dec. 31, 2021EUR (€)€ / sharesOptionsshares | Dec. 31, 2020€ / sharesOptions$ / sharesshares | Dec. 31, 2020EUR (€)€ / sharesOptionsshares | Dec. 31, 2019EUR (€)Options€ / sharesshares |
Share-based payments | ||||||
Share-based payment transactions | € | € 822 | € 1,822 | € 3,395 | |||
Equity share option 2017 (Equity settled) | ||||||
Share-based payments | ||||||
Number of common shares per option granted | shares | 1 | |||||
Exercise price of share options granted | € 0.12 | € 0.12 | € 0.12 | |||
Lock-up period | 180 days | |||||
Number | ||||||
Outstanding at January 1 | Options | 549,005 | 805,308 | ||||
Granted during the year | Options | 805,308 | |||||
Exercised during the year | Options | (191,565) | (256,303) | ||||
Outstanding as of December 31 | Options | 357,440 | 549,005 | 805,308 | |||
Vested as of December 31 | shares | 357,440 | 357,440 | 549,005 | 549,005 | ||
Exercisable as of December 31 | Options | 357,440 | 357,440 | 549,005 | 549,005 | ||
WAEP | ||||||
Outstanding as of January 1 | € 0.12 | € 0.12 | ||||
Granted during the year | € 0.12 | € 0.12 | € 0.12 | |||
Cancelled during the year | 0.12 | 0.12 | 0.12 | 0.12 | ||
Exercised during the year | (per share) | $ 9.76 | € 0.12 | $ 12.13 | € 0.12 | ||
Outstanding as of December 31 | 0.12 | 0.12 | € 0.12 | |||
Vested as of December 31 | $ 0.12 | 0.12 | $ 0.12 | 0.12 | ||
Exercisable as of December 31 | $ 0.12 | € 0.12 | $ 0.12 | € 0.12 | ||
Weighted average remaining contractual life | 8 years | |||||
2019 Plan | ||||||
Share-based payments | ||||||
Exercise price of share options granted | € 0 | |||||
WAEP | ||||||
Granted during the year | € 0 |
Share-based payments - Equity_2
Share-based payments - Equity Share Option (ESOP 2019) (Details) € / shares in Units, € in Thousands | Mar. 31, 2022 | Feb. 07, 2022tranche | Mar. 31, 2021 | Dec. 18, 2020EquityInstruments€ / shares | Sep. 11, 2020Options | Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2021EUR (€)OptionsUSD ($)shares | Dec. 31, 2020Options€ / sharesshares | Dec. 31, 2019Options€ / sharesshares |
RSUs | Management | Vesting in four tranches | Grant of RSUs | ||||||||||
Share-based payments | ||||||||||
Number of tranches | tranche | 4 | |||||||||
Equity share option 2019 (Equity settled) | ||||||||||
Share-based payments | ||||||||||
Incremental fair value | € | € 135 | |||||||||
Number | ||||||||||
Outstanding at January 1 | Options | 300,000 | 396,522 | ||||||||
Cancelled during the year | Options | (396,522) | |||||||||
Replacement awards granted during the year | Options | 300,000 | |||||||||
Outstanding as of December 31 | Options | 300,000 | 300,000 | 396,522 | |||||||
Vested as of December 31 | shares | 200,000 | 100,000 | ||||||||
Exercisable as of December 31 | Options | 200,000 | 100,000 | ||||||||
WAEP | ||||||||||
Outstanding as of January 1 | € 12.58 | |||||||||
Cancelled during the year | 12.58 | |||||||||
Outstanding as of December 31 | € 12.58 | |||||||||
Equity share option 2019 (Equity settled) | Member of the supervisory board | ||||||||||
Share-based payments | ||||||||||
Number of options granted | Options | 396,522 | |||||||||
Granted during the year | € 12.58 | |||||||||
Number of common shares per option granted | shares | 1 | |||||||||
Vesting percentage | 33.33% | 33.33% | 33.33% | |||||||
Weighted average remaining contractual life of outstanding share options | 10 years | |||||||||
Weighted average fair value of options outstanding | € 9.08 | |||||||||
Vesting period | 3 years | |||||||||
Number | ||||||||||
Granted during the year | Options | 396,522 | |||||||||
WAEP | ||||||||||
Granted during the year | € 12.58 | |||||||||
2019 Plan | ||||||||||
Share-based payments | ||||||||||
Granted during the year | € 0 | |||||||||
WAEP | ||||||||||
Granted during the year | € 0 | |||||||||
2019 Plan | RSUs | ||||||||||
Share-based payments | ||||||||||
RSUs granted | EquityInstruments | 300,000 | |||||||||
Contractual life | 10 years | |||||||||
2019 Plan | RSUs | Key management personnel | ||||||||||
Share-based payments | ||||||||||
RSUs granted | 75,000 | 142,764 | ||||||||
2019 Plan | Options | ||||||||||
Share-based payments | ||||||||||
Contractual life | 10 years | |||||||||
2019 Plan | Options | Key management personnel | ||||||||||
Share-based payments | ||||||||||
Number of options granted | 87,500 | 15,000 | ||||||||
Number | ||||||||||
Granted during the year | 87,500 | 15,000 | ||||||||
2019 Plan | Vest immediately | RSUs | ||||||||||
Share-based payments | ||||||||||
Vesting percentage | 33.00% | |||||||||
2019 Plan | Vest in two equal annual instalments | RSUs | ||||||||||
Share-based payments | ||||||||||
Vesting percentage | 67.00% |
Share-based payments - Manageme
Share-based payments - Management board and employees Options and RSUs grants awarded and exercises (Details) | Jan. 01, 2022item | Dec. 18, 2020EquityInstruments | Dec. 01, 2020USD ($) | Oct. 15, 2020Options | Sep. 11, 2020Options$ / shares | Dec. 31, 2021 | Dec. 31, 2021Options | Dec. 31, 2021$ / shares | Dec. 31, 2021tranche | Dec. 31, 2021USD ($) | Dec. 31, 2020 |
RSUs | Former Chief Executive Officer | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
Number of Awards | item | 62,284 | ||||||||||
2019 Plan | Supervisory board members | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
Expiration Date | 10 years | ||||||||||
2019 Plan | RSUs | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
RSUs granted | EquityInstruments | 300,000 | ||||||||||
Expiration Date | 10 years | ||||||||||
2019 Plan | RSUs | Key management personnel | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
RSUs granted | 75,000 | 142,764 | |||||||||
2019 Plan | RSUs | Former Chief Executive Officer | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
RSUs granted | 324,000 | 72,350 | |||||||||
Expiration Date | 10 years | ||||||||||
2019 Plan | RSUs | Former Chief Financial Officer | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
RSUs granted | 32,250 | ||||||||||
2019 Plan | RSUs | Chief Information Officer | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
RSUs granted | 30,000 | ||||||||||
2019 Plan | RSUs | Employees | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
RSUs granted | 251,500 | ||||||||||
2019 Plan | RSUs | Supervisory board members | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
Expiration Date | 10 years | ||||||||||
2019 Plan | RSU Granted One | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
RSUs granted | 95,499 | ||||||||||
Number of tranches | tranche | 4 | ||||||||||
Vesting period | 4 years | ||||||||||
Expiration Date | 10 years | ||||||||||
2019 Plan | RSU Granted Two | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
RSUs granted | 30,000 | ||||||||||
Number of tranches | tranche | 3 | ||||||||||
Vesting period | 3 years | ||||||||||
Expiration Date | 10 years | ||||||||||
2019 Plan | RSU Granted Three | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
RSUs granted | 15,000 | ||||||||||
Number of tranches | tranche | 3 | ||||||||||
Expiration Date | 10 years | ||||||||||
2019 Plan | RSU Granted Four | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
RSUs granted | 22,936 | ||||||||||
Number of tranches | tranche | 4 | ||||||||||
Vesting period | 4 years | ||||||||||
Expiration Date | 10 years | ||||||||||
2019 Plan | RSU Granted Five | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
RSUs granted | 3,891 | ||||||||||
Number of tranches | tranche | 4 | ||||||||||
Vesting period | 4 years | ||||||||||
Expiration Date | 10 years | ||||||||||
2019 Plan | Options | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
Trading days | 20 days | ||||||||||
Exercise price | $ / shares | $ 11.60 | ||||||||||
Expiration Date | 10 years | ||||||||||
2019 Plan | Options | Key management personnel | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
Number of options granted | 87,500 | 15,000 | |||||||||
2019 Plan | Options | Former Chief Executive Officer | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
Number of options granted | 36,175 | ||||||||||
2019 Plan | Options | Former Chief Financial Officer | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
Number of options granted | 16,250 | ||||||||||
2019 Plan | Options | Chief Information Officer | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
Number of options granted | 15,000 | ||||||||||
2019 Plan | Options Granted Two | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
Number of options granted | 15,000 | 15,000 | |||||||||
Trading days | 20 days | ||||||||||
Exercise price | $ / shares | $ 12.52 | ||||||||||
Number of tranches | tranche | 3 | ||||||||||
Vesting period | 3 years | ||||||||||
2019 Plan | Tranche one | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
Vesting percentage | 33.33% | ||||||||||
2019 Plan | Tranche two | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
Vesting percentage | 33.33% | ||||||||||
2019 Plan | Tranche three | |||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||||
Vesting percentage | 33.33% |
Share-based payments - Grants t
Share-based payments - Grants to new CEO and supervisory board grant (Details) € / shares in Units, € in Thousands, SFr in Thousands | Sep. 05, 2021CHF (SFr)installment | Jun. 24, 2021Options$ / shares | Dec. 18, 2020EquityInstruments€ / shares | Dec. 01, 2020installment$ / shares | Dec. 01, 2020CHF (SFr)USD ($)installment | Sep. 11, 2020Options | Dec. 31, 2021EUR (€)USD ($) | Dec. 31, 2020EUR (€)EquityInstrumentsinstallment | Dec. 31, 2019EUR (€) | Dec. 31, 2021installment$ / shares | Jun. 25, 2021installment | Nov. 25, 2020installment |
Share-based Compensation | ||||||||||||
Issuance of shares | € | € 23,209 | € 46,798 | ||||||||||
Supervisory board members | Options | Mr. Berndt Modig | IPO | ||||||||||||
Share-based Compensation | ||||||||||||
Number of Installments | installment | 4 | |||||||||||
Number of options granted | Options | 10,000 | |||||||||||
Strike price of options | $ / shares | $ 14 | |||||||||||
Number | ||||||||||||
Granted during the year | Options | 10,000 | |||||||||||
2019 Plan | ||||||||||||
WAEP | ||||||||||||
Granted during the year | € / shares | € 0 | |||||||||||
2019 Plan | RSUs | ||||||||||||
Share-based Compensation | ||||||||||||
RSUs granted | EquityInstruments | 300,000 | |||||||||||
Contractual life | 10 years | |||||||||||
Number | ||||||||||||
Granted during the year | EquityInstruments | 300,000 | |||||||||||
2019 Plan | Options | ||||||||||||
Share-based Compensation | ||||||||||||
Contractual life | 10 years | |||||||||||
2019 Plan | Supervisory board members | ||||||||||||
Share-based Compensation | ||||||||||||
Number of Installments | installment | 4 | |||||||||||
Contractual life | 10 years | |||||||||||
Value of equity ordinary shares | € | € 80,000 | |||||||||||
Maximum percentage of lost time injury | 100.00% | |||||||||||
Period of tradings days | 60 days | |||||||||||
2019 Plan | Supervisory board members | Peer Schatz | ||||||||||||
Share-based Compensation | ||||||||||||
RSUs granted | EquityInstruments | 300,000 | |||||||||||
Number | ||||||||||||
Granted during the year | EquityInstruments | 300,000 | |||||||||||
2019 Plan | Supervisory board members | RSUs | ||||||||||||
Share-based Compensation | ||||||||||||
Number of Installments | installment | 4 | |||||||||||
Contractual life | 10 years | |||||||||||
Percentage of award constitutes RSU's | 75.00% | |||||||||||
2019 Plan | Supervisory board members | RSUs | Mr. Berndt Modig | ||||||||||||
Share-based Compensation | ||||||||||||
RSUs granted | 9,427 | |||||||||||
Number | ||||||||||||
Granted during the year | 9,427 | |||||||||||
2019 Plan | Supervisory board members | RSUs | Peer Schatz | ||||||||||||
Share-based Compensation | ||||||||||||
Number of Installments | installment | 4 | |||||||||||
Contractual life | 10 years | |||||||||||
2019 Plan | Supervisory board members | RSUs | Mr. Jonathan G. Sheldon | ||||||||||||
Share-based Compensation | ||||||||||||
RSUs granted | 878 | |||||||||||
Number | ||||||||||||
Granted during the year | 878 | |||||||||||
2019 Plan | Supervisory board members | Options | ||||||||||||
Share-based Compensation | ||||||||||||
Strike price of options | $ / shares | $ 9.92 | |||||||||||
Percentage of award constitutes stock options | 25.00% | |||||||||||
2019 Plan | Supervisory board members | Options | Mr. Berndt Modig | ||||||||||||
Share-based Compensation | ||||||||||||
Number of options granted | 4,713 | |||||||||||
Number | ||||||||||||
Granted during the year | 4,713 | |||||||||||
2019 Plan | Supervisory board members | Options | Mr. Jonathan G. Sheldon | ||||||||||||
Share-based Compensation | ||||||||||||
Number of options granted | 439 | |||||||||||
Number | ||||||||||||
Granted during the year | 439 | |||||||||||
2019 Plan | Former Chief Executive Officer | RSUs | ||||||||||||
Share-based Compensation | ||||||||||||
RSUs granted | 324,000 | 72,350 | ||||||||||
Number of Installments | installment | 14 | 4 | 4 | 4 | ||||||||
Value of ordinary shares to be issued as per share based payment arrangement | SFr | SFr 1,000 | SFr 1,000 | ||||||||||
Contractual life | 10 years | |||||||||||
Number | ||||||||||||
Granted during the year | 324,000 | 72,350 | ||||||||||
2019 Plan | Former Chief Executive Officer | Performance Based RSUs | ||||||||||||
Share-based Compensation | ||||||||||||
RSUs granted | 500,000 | |||||||||||
Number of Installments | installment | 4 | 4 | ||||||||||
Number | ||||||||||||
Granted during the year | 500,000 | |||||||||||
2019 Plan | Former Chief Executive Officer | Options | ||||||||||||
Share-based Compensation | ||||||||||||
Number of options granted | Options | 36,175 | |||||||||||
Number | ||||||||||||
Granted during the year | Options | 36,175 | |||||||||||
2019 Plan | Former Chief Executive Officer | Volume weighted average stock price equals or exceeds USD 24 prior to January 1st, 2023 | Performance Based RSUs | ||||||||||||
Share-based Compensation | ||||||||||||
Number of units vested during the period | 200,000 | |||||||||||
Share hurdle price | $ / shares | $ 24 | |||||||||||
Number | ||||||||||||
Exercised during the year | (200,000) | |||||||||||
2019 Plan | Former Chief Executive Officer | Volume weighted average stock price equals or exceeds USD 33 prior to January 1st, 2024. | Performance Based RSUs | ||||||||||||
Share-based Compensation | ||||||||||||
Number of units vested during the period | 300,000 | |||||||||||
Share hurdle price | $ / shares | $ 33 | |||||||||||
Number | ||||||||||||
Exercised during the year | (300,000) | |||||||||||
2019 Plan | Chairman | ||||||||||||
Share-based Compensation | ||||||||||||
Value of additional equity ordinary shares | € | € 60,000 | |||||||||||
2019 Plan | Vice chairman | ||||||||||||
Share-based Compensation | ||||||||||||
Value of additional equity ordinary shares | € | 40,000 | |||||||||||
2019 Plan | Chairman of audit committee | ||||||||||||
Share-based Compensation | ||||||||||||
Value of additional equity ordinary shares | € | 40,000 | |||||||||||
2019 Plan | Chairman of compensation committee | ||||||||||||
Share-based Compensation | ||||||||||||
Value of additional equity ordinary shares | € | € 8,000 |
Share-based payments - Valuatio
Share-based payments - Valuation of Options (Details) € / shares in Units, € in Thousands | 12 Months Ended | ||||
Dec. 31, 2021$ / shares | Dec. 31, 2021EUR (€)Y€ / shares | Dec. 31, 2020$ / shares | Dec. 31, 2020EUR (€)Y | Dec. 31, 2019EUR (€) | |
Options | |||||
Key assumptions used to derive other equity instruments value | |||||
Exercise price (USD) | $ 11.60 | ||||
Share price at grant date (USD) | 11.05 | ||||
Volatility (%) | 75.00% | ||||
Riskfree interest rate (%) | 0.80% | ||||
Dividend yield (%) | 0.00% | ||||
Expected contractual life (years) | Y | 10 | ||||
Weighted average fair value (USD) | 6.20 | ||||
Options | Mr. Modig and Mr. Sheldon | |||||
Key assumptions used to derive other equity instruments value | |||||
Exercise price (USD) | $ 9.92 | ||||
Share price at grant date (USD) | 10.01 | ||||
Volatility (%) | 75.00% | ||||
Riskfree interest rate (%) | 1.70% | ||||
Dividend yield (%) | 0.00% | ||||
Expected contractual life (years) | Y | 10 | ||||
Weighted average fair value (USD) | 7.86 | ||||
Options | Mr, Modig | |||||
Key assumptions used to derive other equity instruments value | |||||
Exercise price (USD) | 14 | ||||
Share price at grant date (USD) | 10.01 | ||||
Volatility (%) | 75.00% | ||||
Riskfree interest rate (%) | 1.70% | ||||
Dividend yield (%) | 0.00% | ||||
Expected contractual life (years) | Y | 10 | ||||
Weighted average fair value (USD) | 7.45 | ||||
Options | Mr. Kim | |||||
Key assumptions used to derive other equity instruments value | |||||
Exercise price (USD) | 11.60 | ||||
Share price at grant date (USD) | 10.80 | ||||
Volatility (%) | 75.00% | ||||
Riskfree interest rate (%) | 1.70% | ||||
Dividend yield (%) | 0.00% | ||||
Expected contractual life (years) | Y | 9 | ||||
Weighted average fair value (USD) | 8.21 | ||||
Performance Based RSUs | |||||
Key assumptions used to derive other equity instruments value | |||||
Share price at grant date (USD) | 12.54 | ||||
Volatility (%) | 88.00% | ||||
Dividend yield (%) | 0.00% | ||||
Weighted average fair value (USD) | 8.23 | ||||
Performance Based RSUs | Minimum | |||||
Key assumptions used to derive other equity instruments value | |||||
Riskfree interest rate (%) | 1.90% | 0.20% | |||
Expected contractual life (years) | Y | 10 | 12.08 | |||
Performance Based RSUs | Maximum | |||||
Key assumptions used to derive other equity instruments value | |||||
Riskfree interest rate (%) | 0.30% | ||||
Expected contractual life (years) | Y | 13.08 | ||||
Virtual share option program 2017 (Cash settled) | |||||
Expenses arising from share-based payment transactions | |||||
Expenses arising from cash-settled share-based payment transactions | € | € 5,118 | ||||
Virtual share option program 2016 (Cash-settled) | |||||
Expenses arising from share-based payment transactions | |||||
Expenses arising from cash-settled share-based payment transactions | € | 596 | ||||
Equity share option 2017 and 2019 | |||||
Expenses arising from share-based payment transactions | |||||
Expenses arising from cash-settled share-based payment transactions | € | 5,714 | ||||
Expenses arising from equity-settled share-based payment transactions | € | € 8,035 | € 5,658 | 704 | ||
Share-based payment expenses | € | € 8,035 | 5,658 | 6,418 | ||
Equity share option 2017 (Equity settled) | |||||
Key assumptions used to derive the option value | |||||
Exercise price | € / shares | € 0.12 | ||||
Share price at grant date | € / shares | € 12.58 | ||||
Volatility (%) | 70.00% | ||||
Risk-free interest rate (%) | (0.70%) | ||||
Dividend yield (%) | 0.00% | ||||
Option term (years) | Y | 10 | ||||
Equity share option 2019 (Equity settled) | |||||
Key assumptions used to derive the option value | |||||
Exercise price | € / shares | € 12.58 | ||||
Share price at grant date | € / shares | € 12.58 | ||||
Volatility (%) | 70.00% | ||||
Risk-free interest rate (%) | (0.70%) | ||||
Dividend yield (%) | 0.00% | ||||
Option term (years) | Y | 10 | ||||
Expenses arising from share-based payment transactions | |||||
Expenses arising from equity-settled share-based payment transactions | € | € 7,000 | € 2,105 | € 704 | ||
2019 Plan | |||||
Key assumptions used to derive other equity instruments value | |||||
Exercise price (USD) | 14 | ||||
Share price at grant date (USD) | 12.02 | ||||
Volatility (%) | 75.00% | ||||
Riskfree interest rate (%) | 1.00% | ||||
Dividend yield (%) | 0.00% | ||||
Expected contractual life (years) | Y | 8.9 | ||||
Weighted average fair value (USD) | 12.02 | ||||
2019 Plan | Management board and employees | |||||
Expenses arising from share-based payment transactions | |||||
Expenses arising from equity-settled share-based payment transactions | € | 985 | € 3,217 | |||
2019 Plan | New CEO | |||||
Expenses arising from share-based payment transactions | |||||
Expenses arising from equity-settled share-based payment transactions | € | 269 | ||||
2019 Plan | Supervisory board members | |||||
Expenses arising from share-based payment transactions | |||||
Expenses arising from equity-settled share-based payment transactions | € | € 50 | € 67 | |||
2019 Plan | Options | |||||
Key assumptions used to derive other equity instruments value | |||||
Exercise price (USD) | 12.52 | ||||
Share price at grant date (USD) | 12.54 | ||||
Volatility (%) | 75.00% | ||||
Riskfree interest rate (%) | 1.90% | ||||
Dividend yield (%) | 0.00% | ||||
Expected contractual life (years) | Y | 10 | ||||
Weighted average fair value (USD) | 7.36 | ||||
2019 Plan | RSUs | |||||
Key assumptions used to derive other equity instruments value | |||||
Weighted average fair value (USD) | $ 10.96 | $ 11.62 |
Financial instruments - fair _3
Financial instruments - fair values and risk management - Credit risk (Details) € in Thousands | 12 Months Ended | |||
Dec. 31, 2021EUR (€)customer | Dec. 31, 2020EUR (€) | Dec. 31, 2019EUR (€) | Dec. 31, 2018EUR (€) | |
Credit risk exposure | ||||
Cash and cash equivalents | € 17,818 | € 48,156 | € 41,095 | € 9,222 |
Development of impairment losses | ||||
Expected credit loss allowances on trade receivables | 1,140 | 3,738 | 752 | |
Impairment loss on financial assets | 1,140 | 3,738 | 752 | |
Credit risk | ||||
Credit risk exposure | ||||
Cash and cash equivalents | 17,818 | 48,156 | ||
Trade receivables and contract assets | Specific bad debt allowances | Credit risk | ||||
Credit risk exposure | ||||
Expected credit loss | 5,717 | 4,768 | 2,355 | |
Development of impairment losses | ||||
As of January 1 | 4,768 | 2,355 | ||
Expected credit loss allowances on trade receivables | 956 | 3,879 | ||
Derecognition | (7) | (1,466) | ||
As of December 31 | 5,717 | 4,768 | € 2,355 | |
Trade receivables and contract assets | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | € 30,054 | € 33,967 | ||
Expected credit loss rate | 19.00% | 14.00% | ||
Expected credit loss | € 5,717 | € 4,768 | ||
Development of impairment losses | ||||
As of January 1 | 4,768 | |||
As of December 31 | 5,717 | 4,768 | ||
Trade receivables and contract assets | Middle East | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 13,968 | 10,515 | ||
Trade receivables and contract assets | Europe | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 11,486 | 20,017 | ||
Trade receivables and contract assets | Latin America | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 683 | 387 | ||
Trade receivables and contract assets | North America | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 3,787 | 2,870 | ||
Trade receivables and contract assets | Asia Pacific | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 130 | 178 | ||
Trade receivables and contract assets | Not past due | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | € 17,978 | € 24,185 | ||
Expected credit loss rate | 0.90% | 1.60% | ||
Expected credit loss | € 167 | € 382 | ||
Development of impairment losses | ||||
As of January 1 | 382 | |||
As of December 31 | 167 | 382 | ||
Trade receivables and contract assets | Not past due | Middle East | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 3,999 | 3,338 | ||
Trade receivables and contract assets | Not past due | Europe | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 10,771 | 19,193 | ||
Trade receivables and contract assets | Not past due | Latin America | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 531 | 313 | ||
Trade receivables and contract assets | Not past due | North America | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 2,562 | 1,205 | ||
Trade receivables and contract assets | Not past due | Asia Pacific | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 115 | 136 | ||
Trade receivables and contract assets | Past due 1 to 30 day | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | € 1,475 | € 2,228 | ||
Expected credit loss rate | 7.70% | 3.10% | ||
Expected credit loss | € 114 | € 70 | ||
Development of impairment losses | ||||
As of January 1 | 70 | |||
As of December 31 | 114 | 70 | ||
Trade receivables and contract assets | Past due 1 to 30 day | Middle East | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 1,013 | 486 | ||
Trade receivables and contract assets | Past due 1 to 30 day | Europe | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 351 | 706 | ||
Trade receivables and contract assets | Past due 1 to 30 day | Latin America | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 23 | 24 | ||
Trade receivables and contract assets | Past due 1 to 30 day | North America | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 79 | 994 | ||
Trade receivables and contract assets | Past due 1 to 30 day | Asia Pacific | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 9 | 18 | ||
Trade receivables and contract assets | 1 - 3 months | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | € 2,596 | € 797 | ||
Expected credit loss rate | 11.70% | 7.70% | ||
Expected credit loss | € 304 | € 61 | ||
Development of impairment losses | ||||
As of January 1 | 61 | |||
As of December 31 | 304 | 61 | ||
Trade receivables and contract assets | 1 - 3 months | Middle East | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 2,056 | 385 | ||
Trade receivables and contract assets | 1 - 3 months | Europe | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 259 | 113 | ||
Trade receivables and contract assets | 1 - 3 months | Latin America | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 72 | 13 | ||
Trade receivables and contract assets | 1 - 3 months | North America | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 203 | 262 | ||
Trade receivables and contract assets | 1 - 3 months | Asia Pacific | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 6 | 24 | ||
Trade receivables and contract assets | Past due more than 90 days | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | € 8,004 | € 6,757 | ||
Expected credit loss rate | 64.10% | 63.00% | ||
Expected credit loss | € 5,132 | € 4,255 | ||
Development of impairment losses | ||||
As of January 1 | 4,255 | |||
As of December 31 | 5,132 | 4,255 | ||
Trade receivables and contract assets | Past due more than 90 days | Middle East | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 6,900 | 6,306 | ||
Trade receivables and contract assets | Past due more than 90 days | Europe | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 105 | 5 | ||
Trade receivables and contract assets | Past due more than 90 days | Latin America | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 57 | 37 | ||
Trade receivables and contract assets | Past due more than 90 days | North America | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | 943 | 409 | ||
Trade receivables and contract assets | Past due more than 90 days | Asia Pacific | Cost | ||||
Credit risk exposure | ||||
Trade receivables and contract assets | (1) | |||
Trade receivables | Specific bad debt allowances | Credit risk | ||||
Development of impairment losses | ||||
Impairment loss on financial assets | 949 | |||
Trade receivables | More than 365 days | Specific bad debt allowances | Credit risk | ||||
Development of impairment losses | ||||
Derecognition | € (7) | € (1,466) | ||
Diagnostics | Middle East | ||||
Credit risk exposure | ||||
Average turnover period on trade receivables | 278 days | |||
Diagnostics | MENA | Credit risk | ||||
Credit risk exposure | ||||
Number of top diagnostic customers | customer | 10 | |||
Diagnostics | MENA | Credit risk | Minimum | ||||
Credit risk exposure | ||||
Percentage of overdue balances | 80.00% |
Financial instruments - fair _4
Financial instruments - fair values and risk management - Liquidity risk (Details) € / shares in Units, € in Thousands | 1 Months Ended | 12 Months Ended | ||||
Jul. 31, 2020$ / sharesshares | Dec. 31, 2021EUR (€) | Dec. 31, 2020EUR (€)shares | Jul. 31, 2020€ / shares | Dec. 31, 2019EUR (€) | Dec. 31, 2018EUR (€) | |
Liquidity risk | ||||||
Expected cash flows receivables with in two months | € 4,834 | |||||
Common per share | (per share) | $ 14 | € 12.71 | ||||
Net offering proceeds, after deducting underwriting discounts, commissions and transaction costs | 22,000 | |||||
Cash and cash equivalents | 17,818 | € 48,156 | € 41,095 | € 9,222 | ||
Carrying amount | 34,064 | 55,834 | ||||
Total | 37,117 | 59,351 | ||||
Reconciliation of liabilities arising from financing activities | ||||||
Beginning of year | 24,098 | 26,970 | ||||
Cash flows | (3,203) | (7,513) | ||||
Additions | 2,303 | 4,692 | ||||
Changes in maturity | (387) | (51) | ||||
End of year | 22,811 | 24,098 | ||||
Non-current financial liabilities | ||||||
Reconciliation of liabilities arising from financing activities | ||||||
Beginning of year | 18,078 | 19,647 | ||||
Cash flows | (401) | (1,993) | ||||
Additions | 865 | 2,029 | ||||
Changes in maturity | (2,954) | (1,605) | ||||
End of year | 15,588 | 18,078 | ||||
Non-current lease liabilities | ||||||
Reconciliation of liabilities arising from financing activities | ||||||
Beginning of year | 17,677 | 18,069 | ||||
Cash flows | (1,383) | |||||
Additions | 865 | 2,029 | ||||
Changes in maturity | (2,954) | (1,038) | ||||
End of year | 15,588 | 17,677 | ||||
Current financial liabilities | ||||||
Reconciliation of liabilities arising from financing activities | ||||||
Beginning of year | 6,020 | 7,323 | ||||
Cash flows | (2,802) | (5,520) | ||||
Additions | 1,438 | 2,663 | ||||
Changes in maturity | 2,567 | 1,554 | ||||
End of year | 7,223 | 6,020 | ||||
Non-current portion of secured bank loans | ||||||
Reconciliation of liabilities arising from financing activities | ||||||
Beginning of year | 401 | 968 | ||||
Cash flows | (401) | |||||
Changes in maturity | (567) | |||||
End of year | 401 | |||||
Municipal loan | ||||||
Reconciliation of liabilities arising from financing activities | ||||||
Beginning of year | 610 | |||||
Cash flows | (610) | |||||
Current portion of secured bank loans | ||||||
Reconciliation of liabilities arising from financing activities | ||||||
Beginning of year | 567 | 802 | ||||
Cash flows | (62) | (865) | ||||
Additions | 63 | |||||
Changes in maturity | 567 | |||||
End of year | 505 | 567 | ||||
Bank Loans | ||||||
Reconciliation of liabilities arising from financing activities | ||||||
Beginning of year | 387 | |||||
Cash flows | 438 | |||||
Changes in maturity | (387) | (51) | ||||
End of year | 387 | |||||
IFRS Bank overdrafts | ||||||
Reconciliation of liabilities arising from financing activities | ||||||
Beginning of year | 1,538 | 2,636 | ||||
Cash flows | 1,505 | (1,208) | ||||
Additions | 267 | 110 | ||||
End of year | 3,310 | 1,538 | ||||
Municipal loans | ||||||
Reconciliation of liabilities arising from financing activities | ||||||
Beginning of year | 250 | |||||
Cash flows | (250) | |||||
Current lease liabilities | ||||||
Reconciliation of liabilities arising from financing activities | ||||||
Beginning of year | 3,528 | 3,635 | ||||
Cash flows | (4,245) | (3,635) | ||||
Additions | 1,171 | 2,490 | ||||
Changes in maturity | 2,954 | 1,038 | ||||
End of year | 3,408 | 3,528 | ||||
Less than 2 months | ||||||
Liquidity risk | ||||||
Total | 15,383 | 33,270 | ||||
2 to 12 months | ||||||
Liquidity risk | ||||||
Total | 3,803 | 5,072 | ||||
1 - 5 years | ||||||
Liquidity risk | ||||||
Total | 9,038 | 10,269 | ||||
More than five years | ||||||
Liquidity risk | ||||||
Total | 8,893 | 10,740 | ||||
Trade and other receivables due with in two months | ||||||
Liquidity risk | ||||||
Expected cash flows | 6,418 | 14,857 | ||||
IFRS Bank overdrafts | ||||||
Liquidity risk | ||||||
Carrying amount | 3,310 | 1,538 | ||||
Total | 3,310 | 1,538 | ||||
IFRS Bank overdrafts | Less than 2 months | ||||||
Liquidity risk | ||||||
Total | € 3,310 | € 1,538 | ||||
IFRS Bank overdrafts | 2 to 12 months | ||||||
Liquidity risk | ||||||
Interest-bearing loans will mature in less than one year (in percent) | 30.70% | 25.00% | ||||
Secured bank loans | ||||||
Liquidity risk | ||||||
Utilized amount of secured credit lines | € 3,310 | € 1,538 | ||||
Carrying amount | 505 | 968 | ||||
Secured bank loans | 3,500 | 3,500 | ||||
Total | € 505 | € 997 | ||||
Secured bank loans | Minimum | ||||||
Liquidity risk | ||||||
Interest rate on secured credit lines | 3.75% | 3.75% | ||||
Secured bank loans | Maximum | ||||||
Liquidity risk | ||||||
Interest rate on secured credit lines | 4.75% | 4.75% | ||||
Secured bank loans | Less than 2 months | ||||||
Liquidity risk | ||||||
Total | € 105 | € 5 | ||||
Secured bank loans | 2 to 12 months | ||||||
Liquidity risk | ||||||
Total | 400 | 584 | ||||
Secured bank loans | 1 - 5 years | ||||||
Liquidity risk | ||||||
Total | 408 | |||||
Other bank loans | ||||||
Liquidity risk | ||||||
Carrying amount | 387 | |||||
Total | 394 | |||||
Other bank loans | 2 to 12 months | ||||||
Liquidity risk | ||||||
Total | 394 | |||||
Lease liabilities | ||||||
Liquidity risk | ||||||
Carrying amount | 18,997 | 21,205 | ||||
Total | 22,050 | 24,897 | ||||
Lease liabilities | Less than 2 months | ||||||
Liquidity risk | ||||||
Total | 716 | 716 | ||||
Lease liabilities | 2 to 12 months | ||||||
Liquidity risk | ||||||
Total | 3,403 | 3,580 | ||||
Lease liabilities | 1 - 5 years | ||||||
Liquidity risk | ||||||
Total | 9,038 | 9,861 | ||||
Lease liabilities | More than five years | ||||||
Liquidity risk | ||||||
Total | 8,893 | 10,740 | ||||
Trade payables | ||||||
Liquidity risk | ||||||
Carrying amount | 11,252 | 31,736 | ||||
Total | 11,252 | 31,525 | ||||
Trade payables | Less than 2 months | ||||||
Liquidity risk | ||||||
Total | € 11,252 | 31,011 | ||||
Trade payables | 2 to 12 months | ||||||
Liquidity risk | ||||||
Total | € 514 | |||||
Common shares | ||||||
Liquidity risk | ||||||
Increase (decrease) in number of ordinary shares issued | shares | 2,000,000 | |||||
Common shares | Follow-on public offering | ||||||
Liquidity risk | ||||||
Total number of shares issued and sold in follow-on public offering | shares | 3,500,000 | |||||
Number of shares offered by existing shareholders | shares | 1,500,000 | |||||
The Company | Common shares | Follow-on public offering | ||||||
Liquidity risk | ||||||
Increase (decrease) in number of ordinary shares issued | shares | 2,000,000 |
Financial instruments - fair _5
Financial instruments - fair values and risk management - Currency risk (Details) - Currency risk - EUR (€) € in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
USD | ||
Currency risk | ||
Net exposure | € 210 | € (2,407) |
USD | Trade receivables | ||
Currency risk | ||
Net exposure | 2,604 | 1,224 |
USD | Trade payables and other liabilities | ||
Currency risk | ||
Net exposure | (2,394) | (3,631) |
INR | ||
Currency risk | ||
Net exposure | 4 | (37) |
INR | Trade receivables | ||
Currency risk | ||
Net exposure | 8 | 18 |
INR | Trade payables and other liabilities | ||
Currency risk | ||
Net exposure | € (4) | (55) |
AED | ||
Currency risk | ||
Net exposure | (17) | |
AED | Trade payables and other liabilities | ||
Currency risk | ||
Net exposure | € (17) |
List of subsidiaries (Details)
List of subsidiaries (Details) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Centogene GmbH | ||
List of subsidiaries | ||
Ownership interest in subsidiary (in percent) | 100.00% | 100.00% |
Centogene Fz Llc, United Arab Emirates | ||
List of subsidiaries | ||
Ownership interest in subsidiary (in percent) | 100.00% | 100.00% |
Centogene US LLC, Burlington, USA | ||
List of subsidiaries | ||
Ownership interest in subsidiary (in percent) | 100.00% | 100.00% |
Centogene GmbH, Vienna | ||
List of subsidiaries | ||
Ownership interest in subsidiary (in percent) | 90.00% | 90.00% |
Centogene India Pvt. Ltd | ||
List of subsidiaries | ||
Ownership interest in subsidiary (in percent) | 100.00% | 100.00% |
Additional percentage ownership in subsidiary acquired | 49.00% | |
Centogene Switzerland AG | ||
List of subsidiaries | ||
Ownership interest in subsidiary (in percent) | 100.00% | 100.00% |
Centosafe B.V. | ||
List of subsidiaries | ||
Ownership interest in subsidiary (in percent) | 100.00% | 100.00% |
Centogene d.o.o Belgrade | ||
List of subsidiaries | ||
Ownership interest in subsidiary (in percent) | 100.00% | 100.00% |
Non-controlling interests (Deta
Non-controlling interests (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Non-controlling interests | |||
Carrying amount of noncontrolling interests | € (193) | € (95) | |
Profit/(loss) | (46,852) | (21,378) | € (20,855) |
Centogene GmbH, Vienna | |||
Non-controlling interests | |||
Net assets/(liabilities) | (528) | (522) | |
Carrying amount of noncontrolling interests | (53) | (52) | |
Profit/(loss) | (6) | (1) | |
Profit/(loss) allocated to non-controlling interest | (1) | 0 | |
Dr. Bauer Laboratoriums GmbH | |||
Non-controlling interests | |||
Net assets/(liabilities) | 245 | 148 | |
Revenue | 109,015 | 55,596 | |
Profit/(loss) | 98 | 122 | |
Profit/(loss) allocated to non-controlling interest | € 98 | € 122 | |
Centogene India Pvt. Ltd | |||
Non-controlling interests | |||
Additional percentage ownership in subsidiary acquired | 49.00% | ||
LPC GmbH | |||
Non-controlling interests | |||
Proportion of ownership in subsidiary disposed | 51.00% | ||
Carrying amount of noncontrolling interests | € 268 | ||
Profit/(loss) allocated to non-controlling interest | € (101) |
Commitments (Details)
Commitments (Details) - EUR (€) € in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Lease commitments | ||
Total payment obligation | € 6,620 | € 4,669 |
Rostock headquarters building | Not later than one year | ||
Lease commitments | ||
Future lease payments to be made | 107 | 283 |
Rostock headquarters building | 1 - 5 years | ||
Lease commitments | ||
Future lease payments to be made | 2,370 | 1,686 |
Rostock headquarters building | More than five years | ||
Lease commitments | ||
Future lease payments to be made | 4,219 | 4,855 |
Office equipment and storage spaces | Not later than one year | ||
Lease commitments | ||
Future lease payments to be made | 44 | 33 |
Office equipment and storage spaces | 1 - 5 years | ||
Lease commitments | ||
Future lease payments to be made | € 49 | € 9 |
Related parties - Remuneration
Related parties - Remuneration of members of key management (Details) - EUR (€) € in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Related parties | |||
Short-term employee benefits | € 4,098 | € 4,273 | € 3,313 |
Post-employment pension and medical benefits | 23 | 23 | 10 |
Termination benefits | 235 | 565 | |
Share-based payment transactions | 822 | 1,822 | 3,395 |
Total compensation paid to key management | € 5,178 | € 6,683 | € 6,718 |
Related parties - Additional in
Related parties - Additional information (Details) € / shares in Units, € in Thousands | Dec. 18, 2020EquityInstruments€ / shares | Dec. 01, 2020USD ($) | Sep. 11, 2020Options | Jul. 31, 2020$ / shares | Jul. 31, 2020EUR (€)€ / sharesshares | Dec. 31, 2021EUR (€)USD ($)€ / shares | Dec. 31, 2020EUR (€)€ / sharesshares | Dec. 31, 2019EUR (€)Options€ / shares |
Related parties | ||||||||
Share-based payments | € 5,471 | € 3,486 | € 5,714 | |||||
Payables due to holders of vested options | € 2,769 | |||||||
Net offering proceeds, after deducting underwriting discounts, commissions and transaction costs | 22,000 | |||||||
Follow-on Equity Offering | ||||||||
Related parties | ||||||||
Total number of shares issued and sold in follow-on public offering | shares | 3,500,000 | |||||||
COVID Testing Supplies Purchases | ||||||||
Related parties | ||||||||
Payments for services | 5 | |||||||
COVID Testing Services | ||||||||
Related parties | ||||||||
Revenues recognized in profit and loss | € 14 | |||||||
Equity share option 2017 (Equity settled) | ||||||||
Related parties | ||||||||
Number of share options granted in share-based payment arrangement | Options | 805,308 | |||||||
Exercise price of share options granted | € / shares | € 0.12 | € 0.12 | € 0.12 | |||||
2019 Plan | ||||||||
Related parties | ||||||||
Exercise price of share options granted | € / shares | € 0 | |||||||
2019 Plan | RSUs | ||||||||
Related parties | ||||||||
Number of other equity instruments granted in share-based payment arrangement | EquityInstruments | 300,000 | |||||||
Supervisory board members | ||||||||
Related parties | ||||||||
Share-based payments | € 2,564 | € 2,172 | € 704 | |||||
Supervisory board members | Supervisory board activities | ||||||||
Related parties | ||||||||
Payments for services | 688 | 603 | 499 | |||||
Supervisory board members | Corporate strategy services | ||||||||
Related parties | ||||||||
Payments for services | 152 | |||||||
Member of the supervisory board | Corporate strategy services | ||||||||
Related parties | ||||||||
Payments for services | 0 | 0 | ||||||
Key management personnel | ||||||||
Related parties | ||||||||
Accrued for key management compensation | 1,325 | € 769 | ||||||
Receivables of related to the exercise of options | 0 | 561 | ||||||
Key management personnel | Equity share option 2017 (Equity settled) | ||||||||
Related parties | ||||||||
Pension commitments for members of the management board | € 0 | |||||||
Key management personnel | 2019 Plan | RSUs | ||||||||
Related parties | ||||||||
Number of other equity instruments granted in share-based payment arrangement | 75,000 | 142,764 | ||||||
Key management personnel | 2019 Plan | Options | ||||||||
Related parties | ||||||||
Number of share options granted in share-based payment arrangement | 87,500 | 15,000 | ||||||
Former CEO And Major Shareholder [Member] | Services | ||||||||
Related parties | ||||||||
Payments for services | 11 | |||||||
Payable for services | € 12 | |||||||
Former Chief Executive Officer | ||||||||
Related parties | ||||||||
Additional share-based expenses | € 776 | |||||||
Severance payout | € 565 | |||||||
Former Chief Executive Officer | 2019 Plan | RSUs | ||||||||
Related parties | ||||||||
Number of other equity instruments granted in share-based payment arrangement | 324,000 | 72,350 | ||||||
Former Chief Executive Officer | 2019 Plan | Options | ||||||||
Related parties | ||||||||
Number of share options granted in share-based payment arrangement | Options | 36,175 | |||||||
Common shares | ||||||||
Related parties | ||||||||
Increase (decrease) in number of ordinary shares issued | shares | 2,000,000 | |||||||
Common shares | Follow-on Equity Offering | ||||||||
Related parties | ||||||||
Number of shares offered by existing shareholders | shares | 1,500,000 | |||||||
Public offering price (in dollars per share) | (per share) | $ 14 | € 12.71 | ||||||
Net offering proceeds, after deducting underwriting discounts, commissions and transaction costs | € 22,000 | |||||||
The Company | Common shares | Follow-on Equity Offering | ||||||||
Related parties | ||||||||
Increase (decrease) in number of ordinary shares issued | shares | 2,000,000 |
Contingent Liabilities (Details
Contingent Liabilities (Details) - EUR (€) | Dec. 31, 2021 | Aug. 07, 2021 | Dec. 31, 2020 | Nov. 08, 2018 |
Stock Option Plan 2016 | ||||
Contingent Liabilities | ||||
Aggregate amount in question | € 550,000 | |||
Universitair Medisch Centrum Utrecht | ||||
Contingent Liabilities | ||||
Amount in dispute | € 1,300,000 | € 880,000 | ||
Prof. Dr. Peter Bauer | ||||
Contingent Liabilities | ||||
Aggregate amount in question | € 42,268.50 |
Subsequent Events (Details)
Subsequent Events (Details) € / shares in Units, $ / shares in Units, € in Thousands | Feb. 07, 2022itemtranche | Feb. 01, 2022USD ($)EquityInstrumentsinstallment€ / shares | Jan. 01, 2022item | Jan. 31, 2022EUR (€)€ / sharesshares | Jan. 31, 2022USD ($)shares | Dec. 31, 2022EUR (€) | Dec. 31, 2022USD ($) | Dec. 31, 2021EUR (€) | Dec. 31, 2020EUR (€) | Dec. 31, 2019EUR (€) | Jan. 31, 2022USD ($)$ / sharesshares |
Subsequent Event | |||||||||||
Net offering proceeds, after deducting underwriting discounts, commissions and transaction costs | € 22,000 | ||||||||||
Nominal amount | 22,812 | € 24,098 | |||||||||
Borrowings drawdowns | 1,772 | 438 | € 721 | ||||||||
Revenue | € 189,923 | € 128,381 | € 48,780 | ||||||||
RSUs | Former Chief Executive Officer | |||||||||||
Subsequent Event | |||||||||||
Number of Awards | item | 62,284 | ||||||||||
Grant of RSUs | RSUs | Chief Executive Officer | |||||||||||
Subsequent Event | |||||||||||
Exercise price | € / shares | € 0 | ||||||||||
Number of installments | installment | 4 | ||||||||||
Grant of RSUs | RSUs | Subject to time-vesting and performance vesting | Chief Executive Officer | |||||||||||
Subsequent Event | |||||||||||
RSUs granted | EquityInstruments | 174,394 | ||||||||||
Grant of RSUs | RSUs | Subject to time-vesting and performance vesting | Chief Executive Officer | |||||||||||
Subsequent Event | |||||||||||
RSUs granted | EquityInstruments | 166,667 | ||||||||||
Grant of RSUs | Vesting in four tranches | RSUs | Management | |||||||||||
Subsequent Event | |||||||||||
Number of tranches | tranche | 4 | ||||||||||
Major ordinary share transactions | |||||||||||
Subsequent Event | |||||||||||
Net offering proceeds, after deducting underwriting discounts, commissions and transaction costs | € 15,000 | ||||||||||
Shares issued during period | shares | 4,479,088 | 4,479,088 | |||||||||
Share price | (per share) | € 3.35 | $ 3.73 | |||||||||
Class of warrant or right, Number of securities called by warrants or rights | shares | 1,343,727 | 1,343,727 | |||||||||
Class of warrant or right, Exercise price of warrants or rights | $ / shares | $ 7.72 | ||||||||||
Value of other equity instruments granted under share based payment arrangement | € 2,800 | $ 3,200,000 | |||||||||
Major ordinary share transactions | RSUs | Former Chief Executive Officer | Maximum | |||||||||||
Subsequent Event | |||||||||||
Number of Awards | $ | 62,284 | ||||||||||
Major ordinary share transactions | RSUs | Former Chief Financial Officer | |||||||||||
Subsequent Event | |||||||||||
Contractual life | 6 months | ||||||||||
Major ordinary share transactions | RSUs derecognized | |||||||||||
Subsequent Event | |||||||||||
Value of other equity instruments granted under share based payment arrangement | 1,358 | ||||||||||
Major ordinary share transactions | RSUs recognized | |||||||||||
Subsequent Event | |||||||||||
Value of other equity instruments granted under share based payment arrangement | € 201 | ||||||||||
Major ordinary share transactions | Vesting in four tranches | RSUs | Miguel Coego Rios [Member] | |||||||||||
Subsequent Event | |||||||||||
Number of Awards | item | 30,995 | ||||||||||
Entering into debt financing agreement | Loan facility | |||||||||||
Subsequent Event | |||||||||||
Nominal amount | € 40,200 | $ 45,000,000 | |||||||||
Borrowings, Revenue achievement threshold | 44,700 | ||||||||||
Entering into debt financing agreement | Loan facility first tranche | |||||||||||
Subsequent Event | |||||||||||
Borrowings drawdowns | 22,300 | $ 25,000,000 | |||||||||
Entering into debt financing agreement | Loan facility second tranche | |||||||||||
Subsequent Event | |||||||||||
Borrowings available, Subject to achievement of product revenue | 17,900 | $ 20,000,000 | |||||||||
Borrowings, Revenue achievement threshold | € 44,700 | $ 50,000,000 |