Swipe here for further topics

Statement of financial position

as per 31 December 2012

million CHF Notes 2012  2011%
Cash and cash equivalents  330 412 
Marketable securities 8 2 
Trade accounts receivable(3)524 525 
Inventories (4)630 622 
Income taxes receivable (5)5 8 
Other accounts receivable (6)87 82 
Current assets  1 584551 65156

 

Property, plant and equipment for own use

(7)923 940 
Investment properties(7)47 32 
Intangible assets (8)280 239 
Investments in associates (9)0 0 
Deferred tax assets (12)52 56 
Other financial assets (11)13 7 
Non-current assets  1 315451 27444

 

Assets 

 

 

2 899

 

100

 

2 925

 

100

Trade accounts payable  348 379 
Bank liabilities(15)120 130 
Employee benefits (15, 17)29 32 
Provisions (13)30 36 
Current tax liabilities (14)60 66 
Other current liabilities (18)253 261 
Current liabilities  8402990431

 

Bank liabilities

(15)23 46 
Bonds (15, 16)497 496 
Employee benefits (17)137 143 
Provisions (13)46 49 
Deferred tax liabilities (12)62 54 
Other non-current liabilities 9  10 
Non-current liabilities 7742779827
Liabilities 1 613561 70258
Share capital  41 41 
Share premium 116 176 
Retained earnings  1 085 961 
Equity attributable to shareholders of Georg Fischer Ltd 1 242431 17840
Non-controlling interests 441452
Equity
(22)1 286441 22342
Liabilities and equity 2 899 1002 925 100

Download the Notes to the consolidated financial statements

Income statement

for the year ended 31 December 2012

 

million CHF

 

Notes

 

2012

 

%

 

2011

 

%

 

Sales

 

 

3 602

 

100

 

3 511

 

100

Other operating income(25)38 40 
Income
 3 6401013 551
101
Cost of materials and products
 -1 799 -1 751 
Changes in inventory
 20 9 
Operating expenses
(26)-628 -592 
Gross value added
 1 233341 217
35
Personnel expenses
(27)-883 -853 
EBITDA
 3501036410
Depreciation
(7)-121 -117 
Amortization / impairment
(8)-8 -14 
EBIT
 22162337
Interest income
(28)2 4 
Interest expense
(28)-34 -34 
Other  financial result
(28)-2   
Result of investment properties
 1 1 
Share of results of associates
 1   
Profit before taxes
 18952046
Income taxes
(29)-34 -36 
Net profit from continued operations
 15541685
Loss from discontinued operations
(30)-28   
Net profit
 12741685
- Thereof attributable to shareholders of Georg Fischer Ltd 121 160 
- Thereof attributable to non-controlling interests 6 8 
      
Basic  earnings per  share in CHF
(31)30 39 
Diluted  earnings per  share in CHF
(31)30 39 
      
Basic  earnings per  share from continued operations in CHF
(31)37 39 
Diluted  earnings per  share from continued operations in CHF
(31)37 39 

Download the Notes to the consolidated financial statements

Statement of comprehensive income

for the year ended 31 December 2012

million CHF2012 2011

 

Net profit

 

127

 

168

   
Other comprehensive income:  
- Translation adjustments recognized in the reporting period-10-12
- Cumulated translation adjustments transferred to the income statement10-1
- Changes in fair value of cash flow hedges recognized in the reporting period1-3
- Changes in fair value of cash flow hedges transferred to the income statement1-3
- Income taxes on changes in fair value of cash flow hedges 1
Other comprehensive income, net of taxes2-18
Total comprehensive income129150
- Thereof attributable to shareholders of Georg Fischer Ltd124142
- Thereof attributable to non-controlling interests58

Statement of changes in equity

for the year ended 31 December 2012

 

million CHF

 

Share capital

 

Share premium

 

Cumulative
translation
adjustments

 

Cash flow
hedging

 

Other retained
earnings

 

Retained earnings

 

Equity attributable to shareholders of

 

Non-controlling
interests

 

Equity

 

Balance as per 31 December 2010

 

82

 

179

 

-276

 

4

 

1 091

 

819

 

1 080

 

44

 

1 124

Net profit    1601601608 168
Other comprehensive income:         
Translation adjustments recognized in the reporting period  -12  -12-12 -12
Cumulated translation adjustments transferred to the income statement  -1  -1-1 -1
Changes in fair value of cash flow hedges recognized in the reporting period   -3 -3-3 -3
Changes in fair value of cash flow hedges transferred to the income statement   -3 -3-3 -3
Income taxes on changes in fair value of cash flow hedges   1 11 1
Other comprehensive income, net of taxes  -13-5 -18-18  -18
Total comprehensive income      1428 150
Purchase of treasury shares -20    -20 -20
Disposal of treasury shares 12    12 12
Share-related compensation 5    5 5
Reduction in par value/dividends-41     -41-7-48
Balance as per 31 December 201141176-289-11 2519611 17845 1 223
Net profit    1211211216 127
Other comprehensive income:         
Translation adjustments recognized in the reporting period  -9  -9-9-1-10
Cumulated translation adjustments transferred to the income statement  10  1010 10
Changes in fair value of cash flow hedges recognized in the reporting period   1 11 1
Changes in fair value of cash flow hedges transferred to the income statement   1 11 1
Other comprehensive income, net of taxes  12 33-1 2
Total comprehensive income      1245 129
Purchase of treasury shares -19    -19 -19
Disposal of treasury shares 18    18 18
Share-related compensation 3    3 3
Dividends -62    -62-6-68
Balance as per 31 December 201241116-28811 3721 0851 24244 1 286

Statement of cash flows

for the year ended 31 December 2012

million CHFNotes2012 2011

 

Net profit

 

 

127

 

168

Income taxes(29)3436
Financial result(28)3432
Depreciation(7)125121
Amortization / impairment(8)814
Loss from discontinued operations(30)28 
Other non-cash income and expenses 2527
Increase in provisions, net(13)15-7
Use of provisions(13)-24-25
Changes in   
- Inventories -22-41
- Trade accounts receivable -13-47
- Other accounts receivable -5-6
- Trade accounts payable -2211
- Other non-interest-bearing liabilities -1539
Interest paid -32-33
Income taxes paid -34-39

 

Cash flow from operating activities

 

 

229

 

250

Additions to   
- Property, plant and equipment(7)-132-147
- Intangible assets(8)-4-3
Disposals of   
- Property, plant and equipment(7)31
- Other financial assets 1 
Cash flow from acquisitions(2)-78 
Cash flow from divestitures(2)-1 
Interest received 12

 

Cash flow from investing activities

 

 

-210

 

-147

 

Free cash flow

 

 

19

 

103

Purchase of treasury shares -19-20
Disposal of treasury shares 1812
Dividends / par value reduction paid -68-48
Increase of bank loans(15)12
Repayment of bank loans(15)-53-9
Changes in other interest-bearing liabilities (mainly current bank accounts) 22-20

 

Cash flow from financing activities

 

 

-99

 

-83

 

Translation adjustment on cash and cash equivalents

 

 

-2


2

Net cash flow -8222

 

Cash and cash equivalents at beginning of year

 

 

412

 

390

Cash and cash equivalents at year-end1  330412

1 Cash, postal and bank accounts: CHF 307 million (previous year: CHF 392 million), fixed-term deposits: CHF 23 million (previous year: CHF 20 million).

Download the Notes to the consolidated financial statements

Notes to the consolidated financial statements

Contact us

Corporate Communications
Georg Fischer Ltd
Amsler-Laffon-Strasse 9
8201 Schaffhausen
Switzerland

kommunikation #at# georgfischer dot com

Corporate accounting principles

Accounting policies

General

The consolidated financial statements of Georg Fischer Ltd have been prepared in accordance with the International Financial Reporting Standards (IFRS) and comply with Swiss law. They are based on the financial statements of the Georg Fischer Corporate Companies for the year ended 31 December, prepared in accordance with uniform corporate accounting principles.

Furthermore, the consolidated financial statements are based on historical cost, with the exception of marketable securities, participations under 20 % and derivative financial instruments, which are measured at fair value. The preparation of the consolidated financial statements requires management to make estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities, and the disclosure of contingent liabilities at the date of the consolidated financial statements. If in the future such estimates and assumptions, which are based on management’s best judgment at the closing date, deviate from the actual circumstances, the original estimates and assumptions will be modified as appropriate in the year in which the circumstances change.

Definition of non-GAAP measures

The subtotal “Gross value added” includes all operating income less cost of materials and products, changes in inventory and operating expenses.

The subtotal “Earnings before Interest, Income Taxes, Depreciation and Amortization“ (EBITDA) consists of the gross value added less personnel expenses and “Earnings before Interest and Income Taxes“ (EBIT) calculate from EBITDA less depreciation and amortization / impairment.

As these three subtotals are major key figures for Georg Fischer they are reported separately in the income statement.

Scope and principles of consolidation

The scope of consolidation includes Georg Fischer Ltd and all Swiss and foreign Corporate Companies which the parent company, directly or indirectly, controls either by holding more than 50 % of the voting rights or by having otherwise the power to govern their operating and financial policies. Those entities are fully consolidated, whereby assets, liabilities, income and expenses are incorporated in the consolidated accounts. Intercompany balances and transactions (accounts receivable, accounts payable, income and expenses) are eliminated upon consolidation. Non-controlling interests in the equity and net income of consolidated companies are presented separately but as a component of consolidated equity and consolidated net income respectively. Gains arising from intercompany transactions are eliminated in full. Capital consolidation is based on the acquisitions method, whereby the acquisition cost of a Corporate Company is eliminated at the time of acquisition against the fair value of net assets acquired, determined according to uniform corporate accounting principles.

Companies acquired are consolidated from the date on which control is obtained, while companies sold are excluded from the scope of consolidation as of the date on which control is given up, with any gain or loss recognized in income.

Upon the acquisition of non-controlling interests in a fully consolidated entity, any difference between the purchase price and the carrying amount of such noncontrolling interests is recognized in share premium. Upon the disposal of non-controlling interests while control of the entity is retained, any excess or shortfall of proceeds over the carrying amount is also recognized in share premium.

Joint ventures in which the Georg Fischer Corporation exercises joint control together with a joint venture partner are treated according to the method of proportionate consolidation.

Companies in which the Georg Fischer Corporation has a non-controlling interest of at least 20 % but less than 50 %, or over which it otherwise has significant influence, are included in the consolidated financial statements using the equity method of accounting and presented as investments in associates. Investments with a voting power of less than 20 % are stated at fair value and presented under other financial assets, with the unrealized
gains and losses recognized in retained earnings. At the time of disposal or in the case of an impairment of an investment, the related cumulative gain or loss is transferred to the income statement.

Sales and revenue recognition

Billings for goods and services are recognized as sales when they are delivered or when the risks and benefits incidental to ownership are transferred. Assessing whether the principal risks and opportunities were transferred for a particular delivery is made separately for each sales transaction on the basis of the contractual agreement underlying the transaction. The transfer of legal ownership alone does not necessarily result in the transfer of the principal risks and opportunities. This is the case, for instance, if

  • the recipient of the delivery has a claim for insufficient quality of the item delivered that goes beyond the normal warranty claims;
  • the receipt of the proceeds depends on the sale of the goods by the buyer;
  • the installation of the goods at the recipient’s is an essential part of the contract;
  • the buyer has the right to return the item for a contractually specified reason and the likelihood of such a return cannot be assessed with any certainty.

Services rendered are booked as sales depending on the degree of their completion if the result of the service can be reliably assessed.

Sales are stated before value added tax, sales tax and after any deduction of discounts and credits. Appropriate warranty provisions are recognized for anticipated claims.

Foreign currencies

Corporate Companies prepare their financial statements in their functional currency. Monetary assets and liabilities held in foreign currencies are translated at the spot rate on the balance sheet date. Foreign exchange gains and losses resulting from transactions and from the translation of balance sheet items denominated in foreign currencies are reported in the income statement. For cash flow hedges which are accounted according to “Hedge accounting” as defined by IAS 39 the effective part of the changes in the fair value of the hedging instruments is recognized in comprehensive income. Any inefficient part is recognized immediately in the income statement. When the hedged item results in the recognition of an asset or a liability the gains or losses previously recognized in the comprehensive income are transferred to the income statement at the same time as the hedged transaction. Hedges which are not accounted according to “Hedge accounting” are stated at fair value, whereby the fair value fluctuations are recognized in the income statement.

The consolidated financial statements are prepared and presented in Swiss francs. For consolidation purposes, the financial statements of the foreign entities are translated into Swiss francs as follows: statement of financial position at year-end rates, income statement and statement of cash flows at average rates for the year under review. Any translation adjustment resulting from the translation of statements of financial position and income statements, as well as the foreign exchange gains and losses arising from the translation of loans which are part of the net investment denominated in foreign currencies, are recognized in the statement of comprehensive income in other comprehensive income. In case of the disposal of a foreign Corporate Company the corresponding accumulated translation adjustments are transferred to the income statement.

Maturities

Assets that are either realized or consumed in the course of the Corporation’s normal operating cycle within one year or held for trading are included in current assets. All other assets are included in noncurrent assets.

All liabilities that the Corporation intends to settle in the course of its normal operating cycle or that fall due within one year of the balance sheet date are included in current liabilities. All other liabilities are included in non-current liabilities.

Segment information

In accordance with the management structure and the reporting made to the Executive Committee and the Board of Directors, the reportable segments are the three operating divisions GF Piping Systems, GF Automotive and GF AgieCharmilles. GF Piping Systems develops, manufactures and distributes piping systems for industry, utility and building technology. GF Automotive produces castings for the automotive industry. GF AgieCharmilles develops, manufactures and distributes electric discharge machines, milling machines, laser machines and automation solutions. GF AgieCharmilles also provides services for these products. Business units within these segments, which in some cases also meet the size threshold under IFRS 8, have been aggregated as a single reportable segment because they manufacture similar products with comparable production processes and supply them to similar customer groups using similar distribution methods. Segment accounting is prepared up to the level of EBIT because this is the key figure used for management purposes. All operating assets and liabilities that are directly attributable or can be allocated on a reasonable basis are reported in the respective divisions. No distinction is made between the accounting policies of segment reporting and those of the consolidated financial statements.

Cash and cash equivalents

Cash and cash equivalents are stated at nominal value. They include cash on hand, postal and bank accounts and fixed-term deposits with an original maturity of up to 90 days.

Marketable securities

Marketable securities include investments held for trading and derivative financial instruments. Acquisitions and disposals are recognized on the trade date, rather than the settlement date. Held-for-trading investments are stated at market value, unrealized gains and losses being recognized in the income statement and presented in the financial result.

Derivative financial instruments

Derivative financial instruments are reported under marketable securities and other current liabilities respectively. Foreign currency and interest rate risks are hedged by the Corporation using forward foreign currency rate contracts, currency options and swaps. Foreign currency risks related to highly probable future cash flows from sales in foreign currencies are hedged in particular with cash flow hedges.

Accounts receivable

Short-term accounts receivable are stated at amortized cost, which generally correspond to nominal value. Value adjustments for doubtful debts are established based on maturity structure and identifiable solvency risks. Besides individual value adjustments with respect to specific identifiable risks, value adjustments are also recognized based on statistically determined credit risks.

Inventories

Goods held for trading are generally stated at average cost and internally manufactured products at manufacturing cost, including direct labor and materials used, as well as a commensurate share of related overhead costs. If the net realizable value is lower, valuation adjustments are made accordingly. Inventories with an unsatisfactory turnover are partly or fully adjusted in value.

Property, plant and equipment

Items of property, plant and equipment are stated at cost or manufacturing cost less depreciation and impairment. Borrowing costs for the financing of assets under construction are part of the costs of the asset if they are material. Assets acquired under finance lease contracts are capitalized at the lower of minimum lease payments and fair value. The related outstanding finance lease obligations are presented under liabilities. Assets are depreciated on a straight-line basis over their estimated useful lives or lease terms: buildings for operating or investment purposes 20 to 40 years, machinery 3 to 15 years, other equipment (vehicles, IT systems, etc.) 3 to 5 years. Where components of larger assets have different useful lives, these components are depreciated separately. Useful lives and residual values are reviewed annually on the balance sheet date and any adjustments are recognized in the income statement. Any gains or losses on the disposal of items of property, plant and equipment are recognized in the income statement.

Intangible assets

Intangible assets, such as acquired royalties, patents and similar rights, are capitalized and amortized on a straight-line basis over their estimated useful lives of 3 to 15 years with the exception of land use rights, which are amortized over the duration of the given right. On this position useful lives are up to 50 years. Goodwill is calculated at the closing date of a business combination as follows: the fair value of the transferred consideration, plus the recognized amount for non-controlling interests, plus the fair value of the existing share in the equity of the acquired company in the case of an acquisition in steps, minus the recognized amount for the acquired net assets. In case this calculation results in a negative amount, the profit is recognized immediately in the income statement. Goodwill and other intangible assets with an indefinite useful life are not amortized but are tested annually for impairment. For this purpose goodwill is allocated to cash generating units.

Other financial assets

Other financial assets mainly comprise loans to third parties, non-controlling interests of less than 20 % held over the longer term and pension assets. Loans are stated at amortized cost less valuation adjustments; the related interest income is recognized using the effective interest method. Non-controlling interests are stated at their estimated fair value, whereby unrealized gains and losses are recognized in retained earnings; at the time of disposal or upon impairment, they are transferred to the income statement.

Employee benefits

Post-employment plans for employees are maintained based on the respective legislation in each country. They mainly comprise funds and foundations that are financially independent from the Corporation. Some of these funds are defined contribution plans, others defined benefit plans. Pension funds are generally financed by employer and employee contributions. In the case of defined contribution plans, employer contributions paid or due are recognized in the income statement as incurred. In the case of defined benefit plans, the present value of the defined benefit obligation is calculated by applying the projected unit credit method. All significant pension fund obligations and the related plan assets are assessed annually. Current service costs are recognized in the income statement. Past service costs are recognized in the income statement on a straight-line basis over the period until the benefits become vested. Actuarial gains and losses are recognized in the income statement on a straightline basis over the average remaining service years to the extent that they exceed 10 % of the fair value of plan assets or the present value of the defined benefit obligations of the prior year, whichever is higher. Deficits arising from such calculations as of the balance sheet date are recognized according to this mechanism. Surpluses are only capitalized if they are actually available to the Corporation in the form of expected refunds from the fund or reductions in contributions to the fund. They are disclosed under other financial assets.

Provisions

Provisions are recognized for any present obligation incurred as a result of a past event if it is probable that an outflow of resources will be required to settle the obligation and the amount can be estimated reliably.

Taxes

Taxes are accrued for all tax obligations, irrespective of their due date. Current income taxes are calculated on the taxable profit. Deferred taxes are calculated by applying the balance sheet liability method for any temporary difference between the carrying amount according to IFRS and the tax basis of assets and liabilities. Tax loss carryforwards are recognized only to the extent that it is probable that future taxable profits or deferred tax liabilities will be available against which they can be offset. Calculation of deferred taxes is based on the country-specific tax rates. Tax assets and liabilities are offset if they concern the same taxable entity and tax authority and if there exists an offset entitlement for current taxes. In compliance with the exception of IAS 12 no deferred taxes are booked for temporary valuation differences on investments.

Leases

The present value of contractual lease obligations is recognized on the statement of financial position if the significant contractual risks and rewards have been transferred to the consolidated entity. Lease installments are divided into an interest and a redemption component based on the annuity method. Assets held under such finance leases are depreciated over the shorter of their estimated useful life and the lease term. Operating lease installments are charged to the income statement on a straight-line basis over the lease term.

Financial liabilities

Financial liabilities comprise bank loans, mortgages, convertible and other bonds. They are carried at amortized cost. Borrowing costs are recognized in the income statement using the effective interest method with the exception of borrowing costs that can be allocated directly to the construction, buildup or purchase of a qualifying asset. These borrowing costs are capitalized as part of the costs of this asset.

Research and development

All research costs are recognized in the income statement as incurred. Development costs are recognized as an asset only to the extent that specific recognition criteria are met and the amount recognized is recoverable through future cash flows.

Impairment

The recoverable amount of non-current assets is reviewed at least once a year. If there is any indication of an impairment, an impairment test is performed immediately. Goodwill and intangible assets with an indefinite useful life are tested for impairment on an annual basis. If the carrying amount exceeds the recoverable amount, an impairment loss is recognized in the income statement.

Discontinued operations

Discontinued operations are reported as soon as a part of the company with business activities and cash inflows and outflows that can be clearly delimited from the rest of the company operationally and for the purposes of accounting is classified as held for sale or has already been disposed of, and this part of the company either

  • represents a separate major line of business or geographical area of operations and
  • is part of a single coordinated plan to dispose of a separate major line of business or geographical area of operations, or
  • is a Corporate Company acquired exclusively with a view to resale.

The profit / loss from discontinued operations is reported in the income statement separately from the expenses and revenues from continued operations. The previous year’s figures that affect the income statement are restated accordingly (as if the operation had been disposed of at the beginning of the reference year) and are also reported separately.

Information in connection with the discontinued operation is set out separately in note 30.

Treasury shares, share-based payments and earnings per share

Treasury shares are deducted from the share capital at their nominal value. Costs in excess of nominal value arising on the acquisition of treasury shares are deducted from the related share premium, and gains or losses arising on the disposal of treasury shares are respectively credited to and deducted from the related share premium.

Share-based payments to members of the Executive Committee and senior management (particularly shares issued free of charge) are measured at fair value at the grant date and recognized as a personnel expense in the period in which the service is performed.

Earnings per share is calculated by dividing the portion of net income attributable to Georg Fischer Ltd shareholders by the weighted average number of ordinary shares outstanding in the reporting period. Diluted earnings per share take into account any potential ordinary shares that may result from exercised option or conversion rights.

Changes in accounting principles

With effect from 1 January 2012, Georg Fischer applied the following revised standards and interpretations:

  • IFRS 7 Disclosures - Transfer of Financial Assets
  • IAS 12 Deferred Tax - Recovery of Underlying Assets

The adoption of these new and revised standards and interpretations have no effect on the consolidated financial statements.

Management assumptions and estimates

Significant accounting policies

Preparation of financial statements requires management to make estimates and assumptions that could materially affect the consolidated financial statements of Georg Fischer, particularly with regard to the items described below, should actual results differ from these management estimates and assumptions.

Impairment of non-current assets

In addition to the regular, periodic test applied to goodwill items, noncurrent assets are reviewed whenever there are indications that, due to changed circumstances or events, their carrying amount may no longer be recoverable. If such a situation arises, the recoverable amount is determined on the basis of expected future inflows. It corresponds to either the discounted value of expected future net cash flows or the expected net selling price. If the recoverable amount is below the carrying amount a corresponding impairment loss is recognized in the income statement. The main assumptions on which these measurements are based include growth rates, margins and discount rates. The cash inflows actually generated can differ considerably from discounted projections. The carrying amounts and information regarding impairments of the items of property, plant and equipment and intangible assets affected are set out in notes 7 and 8.

Provisions for warranties and onerous contracts

In the course of their ordinary operating activities, Corporate Companies can become involved in litigation. Provisions for pending legal proceedings are measured on the basis of the information available and a realistic estimate of the expected outflow of resources. The outcome of these proceedings may result in claims against the Corporation that cannot be met at all or in full through provisions or insurance cover.

If there are any contractual obligations for which the unavoidable costs of meeting the obligations under the contract exceed the expected economic benefits to be received (e. g. onerous delivery contracts), provisions for the agreed quantities over the whole or prudently estimated period are made. These provisions are based on management assumptions. The carrying amounts of these provisions are set out in note 13.

Employee benefit plans

Georg Fischer uses various employee benefit plans. The majority of its salaried employees are covered by these plans. In order to measure liabilities and costs, it is first of all necessary to assess whether the plans are defined contribution or defined benefit plans by applying the principle of substance over form. If they are defined benefit plans, actuarial assumptions are made for the purpose of estimating future developments. These include estimates and assumptions relating to discount rates, the expected return on plan assets in individual countries and future wage trends. The actuaries also use statistical data such as mortality tables and staff turnover rates in the actuarial calculations they perform with a view to determining employee benefit obligations. If parameters change due to a change in economic or market conditions, the subsequent results can deviate considerably from the actuarial reports and calculations. Over the medium term, these deviations can have a significant effect on income and expenses arising from employee benefit plans. The carrying amounts of the plan assets and liabilities carried in the statement of financial position are set out in note 17.

Income taxes

Current tax liabilities are measured on the basis of an interpretation of the tax regulations in place in the relevant countries. The adequacy of this interpretation is assessed by the tax authorities in the course of the final assessment or tax audits. This can result in material changes to tax expense. Furthermore, in order to determine whether tax loss carryforwards may be carried as an asset, it is first necessary to critically assess the probability that there will be future taxable profit against which to offset them. This assessment depends on a variety of influencing factors and developments. The carrying amounts of current and deferred tax assets and liabilities are disclosed in the consolidated statement of financial position.

Standards that have been approved but not yet applied

The following new and revised standards and interpretations had been approved by the time the consolidated financial statements were authorized for issue by the Board of Directors. However, they do not take effect until later on and were not adopted early in preparing this set of consolidated financial statements. Since their effect on the consolidated financial statements of Georg Fischer has not yet been systematically analyzed, the anticipated effects as disclosed at the end of the table are merely an initial estimate on the part of the Executive Committee.

Standards and Interpretations Impact Effective Date Date planned for
adoption by Georg Fischer

 

New Standards and Interpretations

   
IFRS 9 Financial Instruments*
1 January 2015Financial year 2015
IFRS 10 Consolidated Financial Statements*
1 January 2013Financial year 2013
IFRS 11 Joint Arrangements***
1 January 2013Financial year 2013
IFRS 12 Disclosure of Interests in Other Entities**
1 January 2013Financial year 2013
IFRS 13 Fair Value Measurement*
1 January 2013Financial year 2013
IFRIC 20 Stripping Costs in the Production Phase of a Surface Mine*
1 January 2013Financial year 2013
Revised Standards and Interpretations   
Presentation of Items of Other Comprehensive Income (Amendments to IAS 1)**
1 July 2012Financial year 2013
IAS 19 Employee Benefits (amended 2011)****
1 January 2013Financial year 2013
IAS 27 Separate Financial Statements (2011)*
1 January 2013Financial year 2013
IAS 28 Investments in Associates and Joint Ventures (2011)***
1 January 2013Financial year 2013
Offsetting Financial Assets and Financial Liabilities (Amendment to IFRS 7)**
1 January 2013Financial year 2013
Offsetting Financial Assets and Financial Liabilities (Amendment to IAS 32)**
1 January 2014Financial year 2014
Annual Improvements Project 2011*
1 January 2013Financial year 2013
Investment Entities (Amendments to IFRS 10, IFRS 12 and IAS 27)*
1 January 2014Financial year 2014

* No impact or no significant impact is expected on the consolidated financial statements.
** The impact on the consolidated financial statements is expected to result in additional disclosures or changes in presentation.
*** The impact on the consolidated financial statements is expected as follows: sales reduction of approximately CHF 170 million and EBIT reduction of approximately CHF 6 million.
**** After considering deferred taxes the effect of unrecognized actuarial losses to the equity is estimated to approximately CHF 110 million. The employee benefit costs will be presumably increased by a low single-digit million amount.

Contact us

Corporate Communications
Georg Fischer Ltd
Amsler-Laffon-Strasse 9
8201 Schaffhausen
Switzerland

kommunikation #at# georgfischer dot com

Notes

teaser_platzhalter_linkseiten

Download the PDF version

Contact us

Corporate Communications
Georg Fischer Ltd
Amsler-Laffon-Strasse 9
8201 Schaffhausen
Switzerland

kommunikation #at# georgfischer dot com

Affiliated companies

teaser_platzhalter_linkseiten

Contact us

Corporate Communications
Georg Fischer Ltd
Amsler-Laffon-Strasse 9
8201 Schaffhausen
Switzerland

kommunikation #at# georgfischer dot com

Report of the Statutory Auditor

As statutory auditor, we have audited the accompanying consolidated financial statements of Georg Fischer Ltd, which comprise the consolidated statement of financial position, consolidated income statement, consolidated statement of comprehensive income, consolidated statement of changes in equity, consolidated statement of cash flows and notes, for the year ended 31 December 2012.

Board of Directors’ responsibility

The Board of Directors is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with the International Financial Reporting Standards (IFRS) and the requirements of Swiss law. This responsibility includes designing, implementing and maintaining an internal control system relevant to the preparation and fair presentation of consolidated financial statements that are free from material misstatement, whether due to fraud or error. The Board of Directors is further responsible for selecting and applying appropriate accounting policies and making accounting estimates that are reasonable in the circumstances.

Auditor’s responsibility

Our responsibility is to express an opinion on these consolidated financial statements based on our audit. We conducted our audit in accordance with Swiss law and Swiss Auditing Standards as well as the International Standards on Auditing. Those standards require that we plan and perform the audit to obtain reasonable assurance whether the consolidated financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the consolidated financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the consolidated financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers the internal control system relevant to the entity’s preparation and fair presentation of the consolidated financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control system. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of accounting estimates made, as well as evaluating the overall presentation of the consolidated financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Opinion

In our opinion, the consolidated financial statements for the year ended 31 December 2012 give a true and fair view of the financial position, the results of operations and the cash flows in accordance with the International Financial Reporting Standards (IFRS) and comply with Swiss law.

Other matter

The consolidated financial statements of Georg Fischer Ltd for the year ended 31 December 2011 were audited by another auditor who expressed an unqualified opinion on those statements on 16 February 2012.

Report on other legal requirements

We confirm that we meet the legal requirements on licensing according to the Auditor Oversight Act (AOA) and independence (article 728 CO and article 11 AOA) and that there are no circumstances incompatible with our independence.

In accordance with article 728a paragraph 1 item 3 CO and Swiss Auditing Standard 890, we confirm that an internal control system exists which has been designed for the preparation of consolidated financial statements according to the instructions of the Board of Directors. We recommend that the consolidated financial statements submitted to you be approved.

PricewaterhouseCoopers Ltd

signatures_Stefan-Raebsamen

Stefan Räbsamen
Audit expert
Auditor in charge

Zurich, 14 February 2013

signatures_Diego--Alvarez

Diego J. Alvarez
Audit expert

Contact us

Corporate Communications
Georg Fischer Ltd
Amsler-Laffon-Strasse 9
8201 Schaffhausen
Switzerland

kommunikation #at# georgfischer dot com