Cash and cash equivalents increased to EUR 38,159 thousand in the 2023 financial year, an increase of EUR 12,021 thousand compared to the previous year. The cash outflows in the previous year were characterized by a build-up of inventories to ensure delivery capability and by major investments. Due to the elimination of these pronounced effects, cash and cash equivalents increased significantly in 2023.

Receivables from customers increased slightly from EUR 35,074 thousand to EUR 36,586 thousand. In addition to the reporting date, other factors also had an influence. In absolute terms, receivables in four production companies rose the most, with two of these companies also achieving increases in external sales. In some cases, the graduated bonuses were less significant than in the past due to the lower external sales, meaning that receivables were reduced to a lesser extent. The Group continued to focus on stringent receivables management in the 2023 reporting year. The average days sales outstanding increased slightly to 29 days (27) due to the decline in sales, but a satisfactory figure was still achieved.

The increase in current income tax receivables by EUR 3,167 thousand is mainly due to excessively high tax prepayments by the German companies. These were calculated by the tax authorities on the high basis of 2021. As the taxable result was lower, there are current income tax receivables.

Following a significant increase in inventories in 2022, they were reduced by EUR -19,775 thousand from EUR 89,695 thousand to EUR 69,920 thousand in 2023. As a result of the tense situation on the procurement market, the production companies in particular built up inventories in 2022 to ensure their ability to deliver. As the situation eased, the availability of materials improved over the course of 2023, allowing inventories to be reduced again.

At 59.3% (59.1), the share of Group fixed assets remained at the previous year's level, with the remaining assets accounting for 40.7% (40.9) of the balance sheet total. In absolute terms, fixed assets increased by EUR 4,966 thousand.

Property, plant and equipment amounted to EUR 200,631 thousand at the end of 2023. They thus stagnated at the previous year's level (EUR 198,477 thousand) with an increase of EUR 2,154 thousand. In some production companies, such as Uzin Utz Nederland B.V., Uzin Polska Produkty Budowlane Sp. z o.o. and Uzin Utz North America Inc., fixed assets increased as a result of investments in machinery and equipment. Fixed assets decreased by EUR 2,694 thousand as a result of the reclassification of a developed plot of land to investment property. Depreciation of the dry mortar plant in Waco was not taken until it went into operation in 2023; accordingly, this depreciation reduced fixed assets to a greater extent than in 2022. Investments in the Group amounted to EUR 20,394 thousand (41,077) in the reporting year.

Right-of-use assets increased from EUR 7,475 thousand to EUR 9,599 thousand in the reporting year. The highest absolute increase in right-of-use assets resulted from the extension of the rental agreement for a property by Uzin Utz North America Inc. In addition, there were increases in right-of-use assets from car leasing at several companies. Here, expiring leasing contracts were mainly replaced by new leasing contracts.

With the exception of the investment property held by Sifloor AG, Uzin Utz Tools GmbH & Co. KG and Uzin Utz Immobilienverwaltungs GmbH, all of the assets continue to represent operationally necessary assets. The increase compared to the previous year resulted from a reclassification from property, plant and equipment. Further information on this topic can be found in the notes under section "14. Investment properties".

Segment information on capital expenditure

Investments in the Germany segment as a whole were on a par with the previous year. The decline in the area of surface care and finishing as well as machinery and tools (reported separately for the first time in 2023) was offset by the increase in the area of installation systems, with investments in software at Uzin Utz SE increasing in this segment in particular.

Investments in the Netherlands segment fell by EUR 2,921 thousand, with the absolute reduction resulting equally from both sub-segments. Last year, investments in the Wholesale segment were primarily influenced by the extension of several building rental agreements of INTR. B. V., which led to an increase in rights of use. This effect did not materialize in 2023 due to the term of the contracts. The decline in the area of installation systems was influenced by the warehouse expansion of Uzin Utz Nederland B. V. in the previous year; in comparison, this year's investments in property, plant and equipment were lower, despite investments in production.

In the USA segment, which is presented separately for the first time this year, investments were made in a new dry mortar plant in Waco. The majority of the investments in the construction of the plant were already made in 2022. The investments incurred in the 2023 financial year mainly resulted from the completion of the plant. In addition, the rights of use increased as the lease for a property was extended.

As in the previous year, the increase in investments in the Southern/Eastern Europe segment stems from investments in operating facilities at the Polish production company. These were made in connection with the new bottling line, which was commissioned in 2023.