Catom Annual Report 2019 EN

Liabilities are subsequently stated at amortised cost, which is the amount received, taking into account any premium or discount, less transaction costs.

2.14. Leasing 2.14.1. Operating leases

The company may have lease contracts where many of the risks and rewards associated with ownership of the underlying assets have not been transferred to the company. These lease contracts are accounted for as operating leases. Liabilities under operating lease contracts are recognised in the profit and loss account over the term of the contract on a straight-line basis, taking into account any fees received from the lessor.

3. Principles for the determination of results

3.1. General The result for the year is determined as the difference between the net realisable value of the goods and services delivered and the costs and other expenses incurred during the year. Revenue from transactions is recognised in the year in which it is realised.

3.2. Revenue recognition 3.2.1. Sale of goods

Revenue from the sale of goods is recognised as soon as all significant rights and risks associated with the ownership of the goods have been transferred to the buyer.

3.3. Currency differences Currency differences that occur upon settlement or translation of monetary items are accounted for in the profit and loss account in the period in which they occur, unless hedge accounting is applied. 3.4. Net turnover Net turnover comprises the revenue from the delivery of goods and services, less discounts and value-added tax, and after elimination of intercompany transactions.

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