INTRODUCTION
3
About this report
4
Table of content
5
2024 financial figures
8
NORMA Group
NORMA Group SE – Annual Report 2024
2
Mission Statement
With its diversified portfolio of products and solutions NORMA Group serves numerous
industries - both established and emerging. Its unique expertise, built on decades of experience
and in-depth know-how, opens up a wide range of opportunities for sustainable growth in the
future for NORMA Group and its stakeholders.
ABOUT THIS REPORT
NORMA Group publishes both financial and non-financial information in its 2024 Annual Report. In addition to the
Condensed Group Management Report and the Consolidated Financial Statements, the report also includes a
Consolidated Non-financial Statement in accordance with Sections 315b and 315c of the German Commercial
Code (HGB) in conjunction with Regulation (EU) 2020/852 of the European Parliament and of the Council of June
18, 2020 on the establishment of a framework to facilitate sustainable investment and amending Regulation (EU)
2019/2088. 4 CONSOLIDATED NON-FINANCIAL STATEMENT
The Annual Report is published solely in digital form. It is available in PDF format and as an online report.
: WWW.NORMAGROUP.COM NORMA Group’s Annual Report is published in German and English. In the event of any
deviations, the German version takes precedence. Due to commercial rounding, minor changes may occur in the
disclosure of amounts or percentage changes at various points in this report.
When persons are mentioned in this publication, this always refers to female, male and diverse (for example
transsexual and intersexual) persons. For reasons of better readability and/or formal or technical reasons such as
limited space or the better findability of web texts, not all variants are always mentioned.
Data and reporting standards
The reporting period covers the fiscal year from January 1 to December 31, 2024. To ensure the greatest possible
timeliness, all relevant information available up to the issuance of the assurance by the legal representatives on
March 18, 2025, is included. The Consolidated Financial Statements and the Group Management Report have
been prepared in accordance with the International Financial Reporting Standards (IFRS), as applicable in the
European Union (EU), as well as in accordance with the German Commercial Code (HGB). In accordance with
Section 289d of the German Commercial Code (HGB), the Consolidated Non-financial Statement was prepared
partly based on the first sentence of the European Sustainability Reporting Standards (ESRS) as a framework.
Independent auditing
The Consolidated Financial Statements prepared by NORMA Group comprising the Consolidated Statement of
Financial Position, the Consolidated Statement of Comprehensive Income, the Consolidated Statement of Changes
in Equity, the Consolidated Statement of Cash Flows and the Notes to the Consolidated Financial Statements, as
well as the Condensed Group Management Report 4 INDEPENDENT AUDITOR’S REPORT and the Consolidated Non-
financial Statement 4 AUDITOR'S REPORT were audited by KPMG AG Wirtschaftsprüfungsgesellschaft.
The following symbols indicate important information:
4 Further information can be found elsewhere in the Annual Report.
: Further information can be found on the NORMA Group website and
other websites.
These contents are part of the Consolidated Non-financial Statement and were subject to a separate limited assurance examination.
4 CONSOLIDATED NON-FINANCIAL STATEMENT
. Show content
34Page forward / back
NORMA Group SE – Annual Report 2024
3
1 INTRODUCTION
> ABOUT THIS REPORT
4 TABLE OF CONTENT
5 2024 FINANCIAL FIGURES
8 NORMA GROUP
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
INTRODUCTION
3
About This Report
4
Table of Content
5
2024 Financial Figures
8
NORMA Group
TO OUR SHAREHOLDERS
11
The Management Board
12
Letter from the Management Board
14
NORMA Group on the Capital Market
23
Supervisory Board Report
30
Corporate Governance Report and
Declaration on Corporate Governance
CONDENSED MANAGEMENT
REPORT
46
Principles of the Group
69
Economic Report
109 Consolidated Non-financial Statement
194 Condensed Management Report
of NORMA Group SE (HGB)
202 Forecast Report
210 Risk and Opportunity Report
229 Remuneration Report 2024
252 Takeover-relevant information
254 Report on Transactions with Related Parties
CONSOLIDATED FINANCIAL
STATEMENTS
256 Consolidated Statement of
Comprehensive Income
257 Consolidated Statement of Financial Position
259 Consolidated Statement of Cash Flows
260 Consolidated Statement of Changes in Equity
261 Notes to the Consolidated Financial Statements
373 Appendix to the Notes to the Consolidated
Financial Statements
377 Assurance of Legal Representatives
378 Independent Auditor’s Report
387 Auditor’s Report
FURTHER INFORMATION
392 Glossary
400 List of Graphics
401 List of Tables
406 Overview by Quarters
407 10-Year Overview
409 Financial Calendar, Contact and Imprint
NORMA Group SE – Annual Report 2024
4
1 INTRODUCTION
3 ABOUT THIS REPORT
> TABLE OF CONTENT
5 2024 FINANCIAL FIGURES
8 NORMA GROUP
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
2024 FINANCIAL FIGURES
Financial figures
T001
2024
2023
Change in %4
Order situation
Order book1
EUR millions
473.2
530.0
-10.7
Income statement
Revenue
EUR millions
1,155.1
1,222.8
-5.5
Cost of materials ratio
%
43.3
45.0
n / a
Personnel cost ratio
%
29.3
26.3
n / a
Adjusted EBIT2
EUR millions
92.3
97.5
-5.3
Adjusted EBIT margin2
%
8.0
8.0
n / a
EBIT
EUR millions
57.3
76.1
-24.7
EBIT margin
%
5.0
6.2
n / a
Financial result
EUR millions
-23.3
-22.7
n / a
Adjusted tax rate
%
40.8
41.3
n / a
Adjusted profit for the period2
EUR millions
40.9
43.9
-6.8
Adjusted earnings per share2
EUR
1.28
1.37
-6.9
Profit for the period
EUR millions
14.8
27.9
-47.0
Earnings per share
EUR
0.46
0.87
-47.1
NORMA Value Added (NOVA)
EUR millions
-38.8
-43.6
n / a
Return on Capital Employed (ROCE)3
%
8.8
9.3
n / a
Balance sheet1
Total assets
EUR millions
1,436.6
1,493.3
-3.8
Equity
EUR millions
721.4
693.4
4.0
Equity ratio
%
50.2
46.4
n / a
Net debt
EUR millions
329.2
345.4
-4.7
Cash flow
Cash flow from operating activities
EUR millions
137.0
118.9
15.2
Cash flow from investing activities
EUR millions
-63.5
-59.8
n / a
Cash flow from financing activities
EUR millions
-114.1
-57.9
n / a
Net operating cash flow
EUR millions
105.4
87.3
20.7
1_Figures as at balance sheet date Dec 31.
2_Adjusted for effects from purchase price allocations.
3_Adjusted EBIT in relation to the average capital employed.
4_The percentage change is based on unrounded absolute figures.
NORMA Group SE – Annual Report 2024
5
1 INTRODUCTION
3 ABOUT THIS REPORT
4 TABLE OF CONTENT
> 2024 FINANCIAL FIGURES
8 NORMA GROUP
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Non-financial figures
T002
2024
2023
General information
Core workforce1
number
6,041
5,994
Temporary workers1
number
1,553
2,011
Total workforce1
number
7,594
8,005
Invention applications
number
25
20
Environment
Total energy consumption
MWh
128,440
n / a2
Total energy consumption per net revenue associated with activities
in high climate impact sectors
MWh/EUR
thousands
0.111
n / a
Generated energy
MWh
25,694
n / a
Gross Scope 1 GHG emissions3
tCO2eq
5,163
n / a
Gross location-based Scope 2 GHG emissions
tCO2eq
45,523
n / a
Gross market-based Scope 2 GHG emissions4
tCO2eq
30,794
n / a
Total Gross indirect (Scope 3) GHG emissions
tCO2eq
1,066,280
n / a
Microplastics used5
t
36,526
n / a
Total water consumption
m3
167,106
n / a
Total amount of waste generated
t
11,742
n / a
EU Taxonomy
Taxonomy-eligible turnover
%
26.0
24,5
Taxonomy-eligible CapEx
%
28.4
40,3
Taxonomy-eligible OpEx
%
26.4
13,6
Social
Employees covered by collective agreements
%
43.0
n / a
Employees represented by workers’ representatives
(e.g. representation by works councils)
%
9.0
n / a
Employees covered by the health and safety management system
(ISO 45001)
%
87.3
n / a
Fatalities as a result of work-related injuries
number
0
n / a
Recordable work-related accidents
number
77
n / a
Rate of recordable injuries
%
4.97
n / a
Rate of recordable work-related illness
%
0
n / a
1_Figures as of balance sheet date Dec 31.
2_n / a (not applicable); Due to the first-time application of the European Sustainability Reporting Standards (ESRS) and the resulting change in the calculation basis, it is not possible to provide information
on the previous year for every KPI, as there is no comparability.
3_In accordance with the GHG Protocol for all locations worldwide.
4_In accordance with the GHG Protocol (market-based) for all locations worldwide.
5_NORMA Group defines microplastics as small plastic particles that are less than 5 mm in size. Microplastics are sourced or used in products and leave NORMA Group's facilities as emissions, products or
as a component of products and services.
NORMA Group SE – Annual Report 2024
6
1 INTRODUCTION
3 ABOUT THIS REPORT
4 TABLE OF CONTENT
> 2024 FINANCIAL FIGURES
8 NORMA GROUP
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Non-financial figures (continued)
2024
2023
Days lost due to work-related injuries and work-related illnesses and,
if available, the number of days lost due to fatalities as a result of such
incidents
number
1,730
n / a
Confirmed incidents of discrimination, human rights violations and
severe human rights violations
number
0
n / a
Fines, penalties and compensation for incidents of discrimination,
human rights violations and severe human rights violations
EUR
0
n / a
Preferred suppliers who have signed the Supplier Code of Conduct
%
100
n / a
Incidents of non-compliance with the UN Guiding Principles on Business and
Human Rights, the ILO Declaration on Fundamental Principles and Rights at
Work or the OECD Guidelines for Multinational Enterprises
number
0
n / a
Governance
Violations of corruption and bribery regulations
number
0
n / a
Fines for violations of corruption and bribery regulations
EUR
0
n / a
Completion rate of the training on corruption
%
96
n / a
Completion rate of the training on information security
%
88
n / a
Number of defective parts per million parts produced
number
3.2
2,2
Accepted customer complaints per month per production/distribution location
number
2.8
3,91
Further non-financial key figures and descriptions of the calculation methodology can be found in the section 4 CONSOLIDATED NON-FINANCIAL STATEMENT.
Share data
Initial public offering
April 2011
Stock exchange
Frankfurt Stock Exchange
Market segment
Regulated Market (Prime Standard), SDAX
ISIN
DE000A1H8BV3
Security identification number
A1H8BV
Ticker symbol
NOEJ
Highest price 20242
EUR
19.80
Lowest price 20242
EUR
11.50
Closing price2, 3
EUR
14.94
Market capitalization3
EUR millions
476
Dividend4
EUR
0.40
Payout ratio4
%
31.2
Number of shares issued
31,862,400
1_Until 2023: Customer complaints per month per entity.
2_Xetra price.
3_Figures as at balance sheet date Dec 31.
4_Subject to approval by the Annual General Meeting on May 13, 2025.
NORMA Group SE – Annual Report 2024
7
1 INTRODUCTION
3 ABOUT THIS REPORT
4 TABLE OF CONTENT
> 2024 FINANCIAL FIGURES
8 NORMA GROUP
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
NORMA GROUP1
NORMA Group positions itself among one of the international market and technology leaders in advanced and
standardized joining and fluid handling technology as well as Water Management solutions. The Group supplies
more than 10,000 customers in over 100 countries with over 40,000 high-quality products and solutions. NORMA
Group’s joining products are used in numerous industries and end products, including water pipes, vehicles, ships,
trains, aircraft, domestic appliances and engines. From its headquarters in Maintal near Frankfurt am Main,
Germany, the company coordinates a global network consisting of 25 production facilities as well as numerous
sales and distribution sites across Europe, the Americas, and Asia-Pacific.
Three strategic business units
Industry Applications
Joining and fluid-handling technology for
sales partners, industrial OEMs and
project planners.
High-quality, standardized branded products
as well as specific solutions for a wide range of
applications, e.g. for the automotive after-
market, technical wholesalers and DIY stores,
the
infrastructure
and
industrial
project
business as well as shipbuilding.
NORMA Group relies on the continuous
expansion and harmonization of its portfolio to
meet customer needs. With its joining and
fluid-handling products, it offers high-quality,
safe and reliable solutions.
Mobility & New Energy
Partner in the evolution and
transformation of the mobility and
transportation landscape.
Customized
fluid-handling,
joining
and
fastening solutions that meet the specific
requirements of OEM customers.
By collaborating with its customers, NORMA
Group develops innovative, sustainable and
reliable solutions for all types of drives and
auxiliary systems, creating added value. This
includes ways to optimize the efficiency and
safety of media transport, e.g. in the thermal
management of batteries and inductive
charging systems.
Water Management1
Transportation, distribution and
management of water for efficient, safe
and reliable use.
Solutions in the areas of stormwater
management, efficient landscape irrigation
and flow management for the residential
and commercial markets.
The Water Management division includes
products
that
are
characterized
by
outstanding performance and durability and
are easy to install. This helps to conserve the
world's precious water resources with
reliable and innovative Water Management
solutions.
NORMA Group SE – Annual Report 2024
8
1 NORMA Group announced in an ad hoc announcement on November 28, 2024, that the Management Board has decided to initiate a process to
sell the global business activities of the strategic business unit Water Management. The information presented in this report is based on the Group
structure valid as of December 31, 2024.
1 INTRODUCTION
3 ABOUT THIS REPORT
4 TABLE OF CONTENT
5 2024 FINANCIAL FIGURES
> NORMA GROUP
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
NORMA Group worldwide
G001
M1
D2
EMEA
Germany
■
■
France
■
■
Italy
■
Poland
■
■
Portugal
■
■
Sweden
■
■
Switzerland
■
■
Serbia
■
Spain
■
Czech Republic
■
Turkey
■
United Kingdom
■
■
1_Manufacturing sites
2_Sales and distribution sites
M1
D2
Americas
Brazil
■
■
Mexico
■
■
USA
■
■
Asia-Pacific
Australia
■
China
■
■
India
■
■
Japan
■
Malaysia
■
■
Singapore
■
South Korea
■
Thailand
■
NORMA Group SE – Annual Report 2024
9
1 INTRODUCTION
3 ABOUT THIS REPORT
4 TABLE OF CONTENT
5 2024 FINANCIAL FIGURES
> NORMA GROUP
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
TO OUR
SHAREHOLDERS
11
The Management Board
12
Letter from the Management Board
14
NORMA Group on the Capital Market
23
Supervisory Board Report
30
Corporate Governance Report and Declaration on
Corporate Governance
NORMA Group SE – Annual Report 2024
10
VPP Bi-Cone V-band clamps are
flange connections with a high
degree of tightness. They are
therefore particularly suitable for
the use in cooling systems -
among many other applications.
Powerful Clamps for
Energy Storage Units
The energy transition and the associated energy generation
and storage from alternative sources are key megatrends.
NORMA Group's Industry Applications business unit supports the
temperature control of stationary batteries in energy storage
systems, for example.
TO OUR SHAREHOLDERS
The Management Board
Dr. Daniel Heymann
Member of the Management
Board (COO)
Mark Wilhelms
Chief Executive Officer
(Interim CEO)
Annette Stieve
Member of the Management
Board (CFO)
NORMA Group SE – Annual Report 2024
11
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
> THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
23 CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Letter from the Management Board
Before we look at the main developments in fiscal year 2024, we would like to explain the change in the composition
of the Management Board and Supervisory Board of NORMA Group SE communicated on February 17, 2025.
As you can see from the published notification, Mr. Guido Grandi has resigned from his position on the
Management Board and as Chairman of the Management Board with effect from the end of February 17, 2025.
For a transitional period of a maximum of one year, the previous Chairman of the Supervisory Board, Mr. Mark
Wilhelms, has taken over the position as interim Chairman of the Management Board of NORMA Group. For the
transitional period Ms. Kerstin Müller-Kirchhofs acts as the interim Chairwoman of the Supervisory Board.
Mr. Wilhelms and Ms. Müller-Kirchhofs took up their respective new positions immediately with effect from
February 18, 2025. The structured search for a successor for the Chairman of the Management Board also started
immediately. NORMA Group is thus creating the conditions for a smooth transition as well as process continuity for
the far-reaching sharpening of its strategic direction communicated at the end of November 2024.
The Management Board and the Supervisory Board remain committed to the decision taken: The global business
activities of the Water Management strategic business unit are to be transferred to a suitable buyer. NORMA
Group will focus even more strongly on the synergetic core industrial business in the future. This is accompanied by
the transformation from a conglomerate to a focused “Industrial Powerhouse”. Accelerating the transformation is
one of the key success factors here - not least due to the persistently demanding conditions.
The 2024 fiscal year was largely characterized by a volatile market environment. The prevailing global
macroeconomic and geopolitical influences had a negative impact. This resulted in weak and fluctuating demand
in key markets, which also applied to some of the industries relevant to NORMA Group, especially in the EMEA and
Asia-Pacific regions. In 2024, the challenging environment resulted in a 5.5% decline in Group sales to around
EUR 1.2 billion.
In this demanding market environment, NORMA Group closed the fiscal year 2024 with robust profitability despite
declining sales: Based on an adjusted EBIT of EUR 92.3 million, the adjusted EBIT margin reached a solid 8%. This
was exactly in line with our expectations. Net operating cash flow showed a very strong increase despite the
significant reduction in supply chain financing. It increased by 20.7% to EUR 105.4 million at the end of the year,
driven by positive developments in working capital management as well as focused investment activities in the
operating business. In addition, a significant reduction in debt was achieved in the 2024 fiscal year compared to
the previous year. The results are to a large extent directly related to the successful implementation of the “Step
Up” growth and efficiency program initiated in 2023. Since then, significant steps have been taken to increase
profitability and ensure NORMA Group’s ongoing competitiveness. These include essential optimizations in global
purchasing, supply chain management and operational improvements in production plants, in which automation is
increasingly playing a key role. All of this lays the foundation for continuous improvement in key areas.
The focus on profitable growth areas is a key pillar of the “Step Up” program. Targeted growth initiatives for the
traditional core industry business have become an even greater focus since the end of 2024. In particular, the
acquisition of direct business in the industrial area is becoming more important. NORMA Group places customers
and a needs-based service approach at the centre of its business activities.
NORMA Group SE – Annual Report 2024
12
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
> LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
23 CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Based on the mission statement of the 2024 Annual Report “Endless Opportunities”, the Management Board
sees a wide range of opportunities for profitable growth for NORMA Group in the coming years, especially in
industrial business. Investments in the core business to expand the market position in the Industry Applications
strategic business unit and strengthen Mobility & New Energy are a key aspect of this. The divestment of the
international water business is intended to free up the necessary resources and capacities. The expected proceeds
from the sale are to be reinvested primarily in three areas:
The initial focus is on creating a solid financial foundation and a robust balance sheet structure. For this reason,
part of the future proceeds will be used to reduce debt appropriately. Structural optimizations in our global
production, sales and administration network are also continuously reviewed. In a further step, one or possibly
several targeted acquisitions should accelerate profitable growth in the Industry Applications strategic business
unit. Last but not least, we would like our shareholders to participate with an appropriate share in the sales
proceeds. The Management Board and Supervisory Board will discuss the details together following the successful
conclusion of the current sales process. Taken together, this serves a common interest: We create added value as
a reliable partner for customers, employees and shareholders.
That’s why we are pooling our strengths within the company. The key drivers here are: passionate collaboration
and global excellence. Based on relevant megatrends, the colleagues are continuously working on identifying
further innovative application potential for the joining products established on the market. The strength gained
from years of engineering experience is a unique key asset here. At the same time, new mission-critical (service)
solutions are being developed for a sustainable future. The 2024 and recently announced orders demonstrate the
importance and success of the new approach.
Many of you, dear shareholders, have been following NORMA Group for years - even in challenging times. Thank
you for your loyalty and trust. The Management Board and Supervisory Board plan to propose the payment of a
dividend of EUR 0.40 per dividend-bearing share for 2024 to the Annual General Meeting on May 13, 2025. This
corresponds to a payout ratio of around 31% of the adjusted profit for the period 2024 and is therefore in line with
our sustainable dividend strategy.
We expect the environment to remain challenging in the 2025 fiscal year. We therefore continue to view the
coming months with the necessary caution. Nevertheless, you can rest assured that we are continuing to work
towards the #NewNORMA by focusing on profitable new business and operational efficiency. Our aim is to be the
market leader in the field of joining technology, to be perceived as the preferred contact for our stakeholders and to
achieve healthy profitability.
We look forward to that.
Sincerely,
Mark Wilhelms
Chief Executive Officer
(Interim-CEO)
Annette Stieve
Member of the Management
Board (CFO)
Dr. Daniel Heymann
Member of the Management
Board (COO)
NORMA Group SE – Annual Report 2024
13
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
> LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
23 CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
NORMA Group on the Capital Market
〉Annual General Meeting 2024 approves dividend of EUR 0.45
〉Investor Relations at NORMA Group honored yet again in the “Investors’ Darling” competition
〉NORMA Group share closes trading year 2024 down 6.8%
Mixed development on stock markets; some leading indexes reaching new highs
Global stock markets turned in mixed performance in 2024. Economic data in the USA was generally positive. It
was primarily driven by private consumption and boosted at the end of the year by Donald Trump’s announced
measures to protect the US economy. In the eurozone and in Germany in particular, the economy deteriorated over
the course of the reporting year. Declining industrial production and poor sentiment in the services and
construction sectors weighed on the eurozone’s competitiveness. The challenging situation in the automotive
industry came as a particularly negative factor. Ongoing armed conflicts in Ukraine and the Middle East, as well as
political uncertainty in several European countries also had an adverse impact. A decline in energy prices year-
over-year and the ECB’s interest rate pivot in June – three months before the Federal Reserve – provided support.
Further interest rate cuts by the ECB followed in quick succession in September, October and December 2024.
The international stock markets reflected the mixed economic situation in the USA and Europe. The US stock
indexes reached new highs in some cases over the course of the year following Donald Trump’s re-election as
President of the United States and interest rate cuts. The Dow Jones Index, which tracks the performance of the 30
largest US companies, ended 2024 at 42,544 points. This corresponds to an increase of 12.9%. The much broader
S&P 500 Index rose - as in 2023 - even more dynamically by 23.3%, ending 2024 at 5,882 points. On December 6,
2024, the S&P 500 remained just below the 6,100 point mark with a new all-time high.
The German stock market showed a mixed picture in 2024. While the DAX benchmark index rose sharply again in
the trading year 2024, the performance of the indexes for medium-sized and smaller companies in Germany was
negative. The DAX rose by 18.8% over the year and exceeded the previous high of 20,000 points several times in
December 2024. At the close of trading on December 31, 2024, the leading index stood at 19,909 points. The
SDAX, where NORMA Group is also listed, lost value slightly during the trading year. The index ended the 2024
trading year at 13,711 points, 1.8% below the 2023 year-end level. The MDAX was even weaker with a drop of
5.7%. The index ended the last trading day of 2024 at 25,589 points.
NORMA Group SE – Annual Report 2024
14
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
> NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
23 CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Index-based comparison of NORMA Group’s share price performance in 2024
with DAX, MDAX and SDAX
G002
NORMA Group SE
DAX
MDAX
SDAX
Jan.
Feb.
Mar.
Apr.
May
Jun.
Jul.
Aug.
Sep.
Oct.
Nov.
Dec.
70 %
80 %
90 %
100 %
110 %
120 %
130 %
140 %
150 %
Performance of the NORMA Group share
The NORMA Group share started the trading year 2024 at a price of EUR 16.34 and developed dynamically from
March 2024 towards its annual high of EUR 19.80, which it reached on May 17, 2024. Starting in early April 2024,
the stock performed significantly better than both the SDAX and MDAX indexes, occasionally even beating the
DAX. From August 2024, however, the share lost value again due to the general market dynamics and reached its
lowest price in the trading year 2024 at EUR 11.50 during the course of the day on November 21, 2024. At the end
of 2024, the NORMA Group share reached EUR 14.94. Compared to the closing price in 2023 (EUR 16.03), this
represents a drop of 6.8%.
The market capitalization of NORMA Group shares, based on an unchanged number of shares of 31,862,400
compared to the previous year, amounted to EUR 476.0 million as of December 30, 2024 (2023: EUR 510.8
million). Measured in terms of the free float market capitalization relevant for determining index membership,
which has been 100% since 2013, the NORMA Group share ranked 36th out of 70 in the SDAX at the end of
December 2024 (December 2023: rank 45 out of 70 in the SDAX).
NORMA Group SE – Annual Report 2024
15
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
> NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
23 CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Share price development of the NORMA Group share since the IPO in 2011 compared to the SDAX
G003
SDAX (LHS)
NORMA Group SE (RHS)
2011 2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
2024
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
18,000
20,000
0 €
20 €
40 €
60 €
80 €
Trading turnover down due to lower trading activity and lower share prices
The average daily Xetra trading volume of the NORMA Group share was 38,646 shares in 2024 (2023: 47,804
shares). The average daily Xetra turnover (number of shares traded multiplied by the respective closing price of the
day on which they were traded) of EUR 0.6 million was below the level of the previous year (2023: EUR 0.9
million). This is due to both the lower average share prices and the decline in trading volumes compared to the
previous year. The total number of shares traded on average per trading day across all trading venues in 2024
was 115,631 (2023: 141,225 shares). Trading was distributed among the various trading venues as follows:
NORMA Group SE – Annual Report 2024
16
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
> NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
23 CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Distribution of trading activity in 2024
G004
42 %
32 %
26 %
Official trading
Alternative trading platforms
Block trades
Voting rights notifications in the fiscal year 2024
According to the voting rights notifications received by the end of December 2024, the following institutional
investors hold significant voting rights (at least 3%) in NORMA Group:
Significant voting rights1
T003
Teleios Capital Partners, Zug, Switzerland2
20.98%
SPICE TWO Investment Coöperatief U.A., Amsterdam, Netherlands3
5.00%
Impax Asset Management Group plc, London, UK
4.96%
Lazard Frères Gestion SAS, Paris, France
3.03%
FMR LLC, Wilmington, USA
3.02%
KBI Global Investors Ltd., Dublin, Ireland
3.01%
1_Significant voting rights pursuant to Sections 33, 38 and 39 WpHG, as at December 31, 2024
2_In the analysis of the entire corporate chain, Igor Kuzniar holds 20.98% of the voting rights via Teleios Capital Partners LLC (Zug, Switzerland)
3_In the analysis of the entire corporate chain, Joseph van Caldenborgh and Nicolaas Hoek hold 5.003% of the voting rights via SPICE Two Investment Coöperatief U.A. (Amsterdam, Netherlands) Further
information on the reporting thresholds reached during the year with regard to significant voting rights notifications can be found in the 4 APPENDIX TO THE NOTES. In addition, the voting rights
notifications received are published on the company's website. : WWW.NORMAGROUP.COM.
NORMA Group SE – Annual Report 2024
17
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
> NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
23 CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Annual General Meeting 2024 approves dividend of 45 cents per share and
new remuneration system
NORMA Group SE held its Annual General Meeting as an in-person event in Frankfurt am Main on May 16,
2024. In total, around 79% of the registered share capital of NORMA Group SE was represented. This figure
includes postal votes.
The proposal of the Supervisory Board and the Management Board to distribute a dividend of 45 cents per
share was approved by the Annual General Meeting of NORMA Group with a majority of around 99.8%. The
total amount distributed amounted to around EUR 14.3 million (2023: EUR 17.5 million). This results in a
payout ratio of 32.7% of adjusted consolidated net income of EUR 43.9 million in fiscal year 2023. NORMA
Group’s dividend strategy provides for a payout ratio of about 30% to 35% of adjusted consolidated net
income.
The Annual General Meeting also approved a new remuneration system for the Management Board by a
large majority, which the Supervisory Board resolved in March 2024. The system promotes sustainable value
creation and the long-term success of NORMA Group. In accordance with the recommendations of the
German Corporate Governance Code, remuneration is made up of fixed and variable components. Part of the
variable remuneration depends on the achievement of sustainability targets, such as a reduction in CO2
emissions in production.
At the 2024 Annual General Meeting, the shareholders also approved all other agenda items with large
majorities. This also included the regular election of Mark Wilhelms, Chairman of the Supervisory Board, as a
member of the Supervisory Board.
All voting results can be found in the Investor Relations section of the NORMA Group website
: WWW.NORMAGROUP.COM.
Directors’ Dealings
No transactions were reported to NORMA Group SE as part of Directors’ Dealings notifications in 2024.
4 CORPORATE-GOVERNANCE-REPORT
Sustainable Investor Relations activities
NORMA Group’s Investor Relations activities seek to further increase awareness of the company on the capital
market, strengthen long-term confidence in the company’s management and achieve a fair valuation of the
company. This implies commenting on the strategy of NORMA Group SE, the operational business development as
well as the prospects of the company. To this end, the management and the Investor Relations officers engage in
discussions with institutional investors, financial analysts and private shareholders over the course of the year. The
company’s goal is to maintain constant, transparent and reliable communication with private and institutional
investors as well as financial analysts.
NORMA Group SE – Annual Report 2024
18
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
> NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
23 CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
The traditional communication formats include, on the one hand, legally required mandatory components such as
Quarterly Statements, Half-year and Annual Reports, investor presentations and announcements. In doing so, the
company regularly informs its shareholders about the strategic and business development of the Group. NORMA
Group’s Investor Relations team also focuses on continuously developing the digital communication formats, e.g.
the investor presentation, and voluntary components of communication, such as the Online Annual Report, in line
with the needs of the target audience.
The Management Board and the Investor Relations team conducted twelve roadshows with current and potential
new investors in fiscal year 2024. NORMA Group was also represented at the following conferences:
•
Baader Investment Conference, Munich, Germany
•
Berenberg European Conference, Pennyhill, Great Britain
•
Berenberg & Goldman Sachs German Corporate Conference, Munich, Germany
•
Commerzbank & ODDO BHF Corporate Conference, Frankfurt/Main, Germany
•
Commerzbank & ODDO BHF German Investment Seminar, New York City, USA
•
Hamburger Investorentage [Hamburg Investor Days] – HIT, Hamburg, Germany
•
Kepler Cheuvreux German Corporate Conference, Frankfurt am Main, Germany
•
MWB German Select Conference Roundtable, virtual
•
ODDO BHF Forum, Lyon, France
•
Quirin SME Conference, Paris, France
•
SDK Investor Forum, Hanau, Germany
•
Warburg Small Cap Selection, Frankfurt am Main, Germany
Broadly diversified shareholder structure regionally
NORMA Group’s share has gained international recognition in recent years through active IR work. As a result,
the importance of foreign investors has also increased continuously. NORMA Group SE has a broadly
diversified regional shareholder base with a high share of international investors, primarily from Switzerland,
the USA, the United Kingdom, France and Germany.
At the end of the current reporting year, 0.04% (2023: 0.04%) of the shares were held by management. An
additional 7.18% (2023: 6.64%) were held by private investors. The remaining share of around 92.78% was
held by institutional investors. The number of private investors at the end of the 2024 fiscal year was 6,742
(Dec. 31, 2023: 6,988).
NORMA Group SE – Annual Report 2024
19
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
> NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
23 CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Free float by region
G005
7 %
11 %
26 %
5 %
14 %
16 %
21 %
Germany
France
Switzerland
Netherland
United Kingdom
USA
Rest of World
As of December 31, 2024
Analysts covering NORMA Group
As already noted, ongoing, transparent communication with analysts represents a crucial component of
investor relations work. As of December 31, 2024, NORMA Group was covered by ten analysts from various
banks and research companies. Of these, seven analysts had the share as a buy and three as a hold, as of
December 31, 2024. The average target price at the end of December 2024 was EUR 18.61 (2023: EUR 18.70)
Analysts covering NORMA Group
T004
Baader Bank
Peter Rothenaicher
Bankhaus Metzler
Pal Skirta
Berenberg Bank
Yasmin Steilen
Deutsche Bank AG
Nikita Lal
DZ Bank AG
Thorsten Reigber
Hauck & Aufhäuser
Felix Kruse
Kepler Cheuvreux
Dr. Hans-Joachim Heimbürger
ODDO BHF
Klaus Ringel
Quirin Privatbank
Daniel Kukalj
Warburg Research GmbH
Marc-René Tonn
NORMA Group SE – Annual Report 2024
20
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
> NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
23 CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Analyst recommendations
G006
3
7
Hold
Buy
As of December 31, 2024
Investor Relations at NORMA Group once again honored in the “Investors’ Darling” competition
In this year’s “Investor’s Darling” ranking, NORMA Group was awarded third place out of 70 in the SDAX and 14th
place out of 160 in the overall ranking (based on all DAX, MDAX and SDAX companies). In the capital market
competition, special recognition was given to the company’s reporting and investor relations activities. This
includes the subcategories Investor Relations Presentation and Digital Communications, including the Investor
Relations website.
Key issues in capital market communications
For NORMA Group, 2024 was driven by extensive personal engagement with existing and potential investors.
Management Board and Investor Relations team members attended a number of capital market conferences and
met with investors in Germany and abroad. In addition to providing ongoing information on the company’s current
development, significant progress from the “Step Up” growth and efficiency program was highlighted and
discussed with capital market participants in fiscal year 2024. With this action plan, NORMA Group aims to make
its operating business even more efficient and productive and therefore drive further profitable growth in its
strategically important areas. One of the main communication topics was the initiation of a divestment process for
the global activities of the Water Management business, announced on November 28, 2024.
On top of that, numerous meetings and discussions were also held with investors to discuss how the company can
best benefit from the megatrends of sustainability, environmental protection and electromobility. The core element
here is that NORMA Group wants to align its product developments even more closely with customer needs and
offer reliable and mission-critical as well as cost-efficient and resource-saving products and systems that meet
current and future market requirements.
NORMA Group SE – Annual Report 2024
21
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
> NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
23 CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Service for shareholders
The Investor Relations website contains extensive information on NORMA Group and the NORMA Group share.
The site provides access to downloadable financial reports and presentations, along with the complete financial
calendar. The conference calls on the Quarterly and Annual Reports are recorded and available in audio format.
Shareholders and interested parties can sign-up for the mailing list. The contact details of the IR team are also
available on the company’s website. : WWW.NORMAGROUP.COM
Key figures for the NORMA-Group share
T005
2024
2023
2022
2021
2020
2019
2018
2017
2016
2015
Closing price
on Dec 31 (in EUR)
14.94
16.03
17.00
33.88
41.88
38.00
43.18
55.97
40.55
51.15
Highest price (in EUR)
19.80
26.72
36.02
49.36
42.38
49.26
70.15
63.79
51.54
53.30
Lowest price (in EUR)
11.50
14.78
13.15
31.60
14.38
26.36
40.44
39.95
35.20
38.82
Score of the
comparison index1
as of Dec 31
13,711.33
13,960.36
11,925.70
16,414.67
14,764.89
12,511.89
21,588.09
26,200.77
22,188.94
20,774.62
Number of unweighted
shares as of Dec 31
31,862,400
31,862,400
31,862,400
31,862,400
31,862,400
31,862,400
31,862,400
31,862,400
31,862,400
31,862,400
Market capitalization
(in EUR million)
476
511
542
1,079
1,334
1,211
1,376
1,783
1,292
1,630
Average daily Xetra
volume
Shares
38,646
47,804
78,272
58,324
88,689
97,960
95,624
96,906
73,571
88,888
EUR million
0.6
0.9
1.7
2.3
2.4
3.6
5.4
4.7
3.2
4.1
Earnings per share
(in EUR)
0.46
0.87
1.23
1.76
0.18
1.83
2.88
3.76
2.38
2.31
Adjusted earnings per
share (in EUR)
1.28
1.37
1.75
2.27
0.77
2.76
3.61
3.29
2.96
2.78
Dividend per share
(in EUR)
0.40 2
0.45
0.55
0.75
0.70
0.04
1.10
1.05
0.95
0.90
Dividend yield (in %)
3.0 2
2.8
3.2
2.2
1.7
0.1
2.5
1.9
2.3
1.8
Distribution rate (in %)
31.2 2
32.7
31.3
33.0
91.7
1.5
30.5
31.9
32.0
32.3
Price-earnings ratio
32.5 3
18.4
13.8
19.3
232.5
20.8
15.0
14.9
17.0
22.1
1_MDAX score up to and including 2018 and SDAX score since 2019 due to the relegation to the SDAX in September 2019
2_In accordance with the Management Board's proposal for the appropriation of profits, subject to approval by the Annual General Meeting on May 13, 2025
3_Related to unadjusted earnings per share. The P/E ratio based on adjusted earnings per share is 11.7.
NORMA Group SE – Annual Report 2024
22
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
> NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
23 CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Supervisory Board Report
The Supervisory Board of NORMA Group SE monitored and advised on the activities of the Management Board in
fiscal year 2024 in accordance with the legal regulations, the German Corporate Governance Code and NORMA
Group SE’s Articles of Association.
Kerstin Müller-Kirchhofs
Interim-Chairwoman of the Supervisory Board
Meetings of the Supervisory Board in 2024, changes to the Supervisory Board
The Management Board begins each regular Supervisory Board meeting by reporting on the overall economic
situation and sector-specific economic expectations. It reports on the current business performance of NORMA
Group and explains the earnings position based on key indicators and their development compared to the previous
year, the forecast and the budget.
The Management Board presents the risk report at each regular meeting of the Supervisory Board and the Audit
Committee. In this context, the risks affecting NORMA Group are assessed in each case at the level of the previous
quarter with regard to their probability of occurrence and potential impact, taking countermeasures already
initiated and any provisions into account. This risk reporting provides the Supervisory Board and the Audit
Committee with a clear understanding of the possible risks that could have a negative impact on the company’s
asset, financial and earnings position. Accidents at work and occupational safety as well as quality issues and
aspects relating to delivery reliability are reported at every ordinary Supervisory Board meeting. The Supervisory
Board also addresses employee figures, the ongoing introduction of a standardized ERP system and ESG issues,
especially relating to carbon emissions. In addition to the “Step Up” program initiated in 2023 and the continued
development of an SBU organization, the Supervisory Board and Management Board regularly discussed key
NORMA Group SE – Annual Report 2024
23
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
> SUPERVISORY
BOARD REPORT
23 CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
topics in 2024, particularly personnel cost developments amid declining sales and strategic options for product
portfolio optimization. The respective committee chairs – Rita Forst for the Strategy Committee, Miguel Ángel
López Borrego and subsequently Kerstin Müller-Kirchhofs for the Audit Committee, and Mark Wilhelms for the
General and Nomination Committee – also reported to the Supervisory Board on committee meetings. Following
the meetings with the Management Board, the Supervisory Board held regular internal meetings at which the
Management Board was not in attendance.
Seven meetings of the full Supervisory Board were held in 2024.
On March 14, 2024, in Maintal, in addition to standard topics, the discussion included the Consolidated and Annual
Financial Statements for 2023 and the Non-financial Group Report, the forecast for fiscal year 2024, the proposal
for the appropriation of net income and preparations and invitations for the 2024 Annual General Meeting. In
addition, the Supervisory Board discussed the selection of the auditor for the sustainability report, a new, more
market-aligned remuneration model for the Management Board and once again confirmed the standard limit of
twelve years for Supervisory Board tenure.
At the meeting on April 18, 2024, in Maintal, the President of the Water Management strategic business unit
presented the unit’s strategy, which was discussed in depth. The Supervisory Board approved a multi-year rental
agreement for a larger building in Australia, which is primarily used for distribution, and took part in several hours
of ESG training with an external specialist provider.
At the Supervisory Board meeting on May 16, 2024, in Frankfurt am Main following the Annual General Meeting,
the Supervisory Board discussed a range of topics including potential improvements at the locations. The focus
here was on units with lower-margins compared to the rest of the Group. The Management Board presented the
initial results of a review of personnel structures with an external consultant and outlined the initial areas for
action.
On July 10, 2024, the Supervisory Board met in Podzamcze (Poland), near the important plant in Pilica. The
Management Board presented the Group’s strategy. The three Presidents then explained details of the strategy of
their respective units. The meeting also covered the structure of production sites and potential M&A projects. The
day after this meeting, the Supervisory Board visited the nearby plant in Pilica with the Management Board to gain
an on-site impression of automation, capacity utilization of the premises and new products.
On August 21, 2024, the Supervisory Board held a virtual meeting to discuss the failure to acquire shares as part
of the 2020 ESG LTI bonus program. In accordance with contractual agreements, the net bonus amounts from ESG
LTI were reclaimed; the company has received this payment, which is reflected in the remuneration report.
A meeting was held in Maintal on September 19, 2024, which Kerstin Müller-Kirchhofs attended for the first time
as a new member. The Supervisory Board also addressed a legal dispute in the USA. The head of the development
department presented and discussed the internal procedures and test processes for product safety and product-
readiness. Options for addressing low-margin and strategically non-essential business units were also discussed.
At the last meeting of the year on November 28, 2024, the Supervisory Board and the Management Board
discussed the decision to initiate a divestment process for the water business and the publication of this decision.
The Supervisory Board also approved the budget for 2025 as well as the medium-term planning and the
declaration on the German Corporate Governance Code. The Management Board also presented options for
lower-margin business and operating-level improvements.
NORMA Group SE – Annual Report 2024
24
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
> SUPERVISORY
BOARD REPORT
23 CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
All Supervisory Board meetings in 2024 were attended by all members of the Supervisory Board.
In addition, the Supervisory Board passed a resolution outside of a meeting on the acquisition of US tax credits
under the Inflation Reduction Act (IRA). This will enable NORMA Group to reduce its tax burden by a small six-
figure amount.
Outside of their meetings and conference calls, the Management Board reports to the Supervisory Board on a
monthly basis on how the business is developing at NORMA Group SE and the Group, and provides an up-to-date
outlook for the current fiscal year. In addition to these monthly reports and Supervisory Board meetings, the
Chairman of the Management Board and the Chairman of the Supervisory Board typically communicate every two
weeks.
On May 16, 2024, the day of the Annual General Meeting, Miguel Ángel López Borrego resigned as a member of
the Supervisory Board and member and Chairman of the Audit Committee with effect from the end of June 16,
2024. The General and Nomination Committee immediately began the search for a new member. The Hanau Local
Court appointed Kerstin Müller-Kirchhofs as a member of the Supervisory Board with effect from September
9, 2024. At the Supervisory Board meeting on September 19, 2024, Kerstin Müller-Kirchhofs was elected
Chairwoman of the Audit Committee with effect from September 20, 2024. Kerstin Müller-Kirchhofs will stand for
election by the shareholders at the 2025 Annual General Meeting. During the short transition phase, the
Supervisory Board had five instead of six members and the Audit Committee had two instead of three. During this
period, the Audit Committee lacked a chairperson since Mark Wilhelm, the only financial expert on the Supervisory
Board was serving as the Supervisory Board Chairman in the 2024 financial year. This made it impossible to
comply with recommendation D3 of the German Corporate Governance Code, which requires that the Audit
Committee be chaired by a financial expert who is not simultaneously the Supervisory Board Chairman.
Focus of the Audit Committee’s activities in 2024, Discussion of Interim Statements and Interim
Reports
The Audit Committee is intensively involved in the audit process of the financial statements, including the
evaluation of audit quality. The Audit Committee discussed the focus, procedure and results of the audit of the
Annual and Consolidated Financial Statements of NORMA Group SE with the auditors and prepared the
resolutions of the Supervisory Board. In addition, the Audit Committee decided on certain permissible non-audit
services to be provided by the auditors. The Audit Committee monitored the effectiveness of the internal control
system, the risk management system and the internal auditing system as well as the compliance management
system. Furthermore, it decided on the audit plan for internal auditing. The Audit Committee discussed the
upcoming interim statements and reports with the Management Board. In the past fiscal year, the Audit
Committee also addressed the CSRD and the EU Taxonomy, cybersecurity, a refinancing concept, liquidity
planning for 2024, the budget for 2025 and medium-term planning.
In 2024, seven meetings of the Audit Committee were held, some of them in person and some of them virtually.
Denise Koopmans was unable to attend one meeting; all other meetings were attended by all members. Further
details can be found in the table 4 MEETING ATTENDANCE 2024.
Besides CFO Annette Stieve, who attended all Audit Committee meetings, senior executives from Accounting and
Reporting, Treasury, Investor Relations & Corporate Responsibility, Internal Audit and Risk Management in
particular also made presentations to the Audit Committee.
NORMA Group SE – Annual Report 2024
25
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
> SUPERVISORY
BOARD REPORT
23 CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
In addition to the Audit Committee meetings, regular face-to-face and telephone consultations took place between
the Committee Chairman/Chairwoman and the auditors (in part without the Management Board present) and with
CFO Annette Stieve.
KPMG’s lead audit partner and audit manager attended three Audit Committee meetings.
Main activities of the General and Nomination Committee
The General and Nomination Committee dealt in particular with the assessment and remuneration of the
Management Board and the selection of new Management Board members. It is also entrusted with the search for
and selection of candidates for vacant Supervisory Board positions. Its tasks also include preparing Supervisory
Board resolutions in these areas.
In 2024, the committee dealt with issues including the modernization of the Management Board remuneration
system, which was approved by a large majority at the Annual General Meeting in May 2024. The share
acquisition rules as part of the expiring LTI bonus system required detailed attention. The preparation of the
adjustment to Supervisory Board remuneration, which is to be proposed to the 2025 Annual General Meeting, was
also addressed. One focus of the committee’s activities was the search for new members of the Supervisory Board
following the resignation of Miguel Ángel López Borrego in May 2024 and the upcoming end of Erika Schulte’s
term at the 2025 Annual General Meeting.
Five meetings of the General and Nomination Committee were held in the 2024 fiscal year. All members attended
all meetings. Details on attendance can be found in the table below 4 MEETING ATTENDANCE 2024.
Main activities of the Strategy Committee
The Strategy Committee deals in particular with NORMA Group’s long-term orientation towards the various end
markets and megatrends. The committee also addresses the impacts of climate change on NORMA Group’s
business and the sustainability of its products and production, as well as the development of CO2 emissions. The
committee oversees the innovation process and international expansion of the strategic business units Industry
Applications, Mobility & New Energy and Water Management, across the regions. The necessary adjustments to
structures and resources will be presented and discussed by the Management Board. In the 2024 fiscal year, the
Strategy Committee examined the branding strategy, the transition to a higher proportion of Industry Applications
and Water Management business, the M&A strategy and the further automation of production.
The Strategy Committee held three meetings in 2024. The meetings were always held in Maintal and were
attended by all members on site. Details of the participants can be found in the table 4 MEETING ATTENDANCE 2024.
Besides the Chairman of the Management Board, who attended all meetings, the NORMA Group managers
responsible also took part in the Strategy Committee meetings on the respective topics.
Training activities, no conflicts of interest, meeting attendance
In 2024, the Supervisory Board’s training and development measures focused on introducing the new members
and updating the induction documents. The Supervisory Board also received further training on ESG with the
support of an external consultant.
NORMA Group SE – Annual Report 2024
26
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
> SUPERVISORY
BOARD REPORT
23 CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
There were no conflicts of interest on the Supervisory Board in the 2024 fiscal year.
With the exception of one meeting of the Audit Committee, which Denise Koopmans was unable to attend, all
members of the Supervisory Board and the committees took part in all meetings of the Supervisory Board and the
committees. The meetings and other resolutions of the Supervisory Board were held partly in person and in part by
video conference.
The following table shows the respective attendance at meetings (p = in person, v = via video conference,
e = excused).
Meeting attendance 2024
T006
Mark Wilhelms1
Erika Schulte
Rita Forst
Denise Koopmans
Kerstin
Müller-Kirchhofs
Dr. Markus
Distelhoff
Miguel Ángel
López Borrego
Supervisory Board
Mar. 14, 2024
p
p
p
p
-2
p
v
Apr. 18, 2024
p
p
p
p
-2
p
p
May 16, 2024
p
p
p
p
-2
p
p
Jul. 10, 2024
p
p
p
p
-2
p
-3
Aug. 21, 2024
v
v
v
v
-2
v
-3
Sep. 19, 2024
p
p
p
p
p
p
-3
Nov. 28, 2024
p
p
p
p
p
p
-3
Audit Committee
Feb. 8, 2024
v
Not a member
Not a member
v
-2
Not a member
v
Mar. 13, 2024
p
v
-2
v
May 2, 2024
v
v
-2
v
Aug. 8, 2024
v
e
-2
-3
Sep. 18, 2024
p
v
-2
-3
Oct. 31, 2024
v
v
v
-3
Nov. 27, 2024
p
p
p
-3
Strategy Committee
Mar. 13, 2024
Not a member
p
p
Not a member
Not a member
p
Not a member
Sep. 18, 2024
p
p
p
Nov. 27, 2024
p
p
p
General and Nomination Committee
Mar. 5, 2024
v
v
v
Not a member
Not a member
Not a member
Not a member
May 19, 2024
v
v
v
Jul. 12, 2024
v
v
v
Jul. 25, 2024
p
p
p
Oct. 29, 2024
v
v
v
Total (in %)
100 %
100%
100%
93%
100%
100%
100%
p_physical participation; v_participation via video conference; e_excused, no participation
1_Chairman of the Supervisory Board in the 2024 fiscal year and until the end of February 17, 2025; assumption of the interim CEO role with effect from February 18, 2025; the Supervisory Board mandate is suspended during the interim CEO role for a
transitional period of a maximum of one year until February 17, 2026.
2_Court-appointed member of the Supervisory Board effective September 9, 2024; member and Chairwoman of the Audit Committee since September 20, 2024; Interim Chairwoman of the Supervisory Board since February 18, 2025.
3_Miguel Ángel López Borrego resigned from his positions as a member of the Supervisory Board and as a member and Chairman of the Audit Committee effective June 16, 2024.
NORMA Group SE – Annual Report 2024
27
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
> SUPERVISORY
BOARD REPORT
23 CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Information on the auditor for the 2024 fiscal year
The 2024 Annual Financial Statements of NORMA Group SE presented by the Management Board and the
Consolidated Financial Statements with the Condensed Management Report were audited by KPMG AG
Wirtschaftsprüfungsgesellschaft (KPMG). The audit mandate for the 2024 financial statements was issued on
November 19, 2024. In addition, as part of the audit, the auditor also had to assess whether the electronic
reproduction of the financial statements and the management report (“ESEF documents”) prepared by the
Management Board for disclosure purposes comply in all material respects with the requirements of Section 328
(1) of the German Commercial Code (Handelsgesetzbuch, HGB). The 2024 audit is KPMG’s second audit of
NORMA Group.
The auditors attended a Supervisory Board meeting on March 14, 2024, and an Audit Committee meeting on
March 13, 2024, September 18, 2024 and November 27, 2024, where they discussed the audit.
Adoption of the 2024 Annual Financial Statements and the Separate Consolidated Non-Financial
Statement
The Consolidated Financial Statements of NORMA Group SE were prepared in accordance with Section 315e HGB
on the basis of the International Financial Reporting Standards (IFRS) as applicable in the EU. The auditor issued
unqualified audit opinions for the 2024 Annual Financial Statements and for the Consolidated Financial
Statements with the Condensed Management Report. Furthermore, the Remuneration Report was audited by the
auditor without any objections being raised. The Remuneration Report is part of the Condensed Management
Report. The documents relating to the financial statements and the Management Board’s proposal for the
appropriation of net profit, as well as the two auditor reports, were submitted to the Supervisory Board. The Audit
Committee and the Supervisory Board as a whole examined the reports in detail and discussed and scrutinized
them at length in the presence and with the participation of the auditor. The Supervisory Board concurred with the
results of the audit by the auditor. No objections were raised.
The Supervisory Board then approved the 2024 Annual Financial Statements of NORMA Group SE and the 2024
Consolidated Financial Statements, together with the respective Condensed Management Report at its meeting on
March 20, 2025. The Supervisory Board approved the proposal on the appropriation of net profit by the
Management Board. NORMA Group SE’s Annual Financial Statements are thereby adopted in accordance with
Section 172 of the German Stock Corporation Act (Aktiengesetz, AktG).
The Audit Committee and the Supervisory Board also examined the separate Non-financial Group Statement
for NORMA Group prepared by the Management Board as of December 31, 2024. KPMG AG
Wirtschaftsprüfungsgesellschaft conducted a limited assurance engagement and issued an unqualified opinion.
As part of the audit of the Consolidated Financial Statements, the disclosures relating to CO2 emissions were even
carried out with reasonable assurance. The Management Board explained the documents in detail at its meetings,
while representatives of the auditor reported on the main findings of their audit and answered further questions
from the members of the Supervisory Board. The Supervisory Board had no objections after reviewing these
results.
NORMA Group SE – Annual Report 2024
28
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
> SUPERVISORY
BOARD REPORT
23 CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Declaration of Conformity with the German Corporate Governance Code
The Supervisory Board and Management Board reviewed the requirements of the German Corporate Governance
Code. The Corporate Governance Declaration made by NORMA Group SE dated December 13, 2024, as well as
the supplementary update of February 28, 2025 and the declarations from past years are available on the
company’s website at : WWW.NORMAGROUP.COM.
On behalf of the entire Supervisory Board, I would like to thank all employees worldwide and the Management
Board of NORMA Group for their personal commitment and dedicated work in the past challenging financial year.
Our thanks also go to the shareholders who continue to place their trust in NORMA Group even in challenging
times. The Supervisory Board looks forward with confidence to the development of NORMA Group into a
#NewNORMA and wishes the entire NORMA Group team every success on this path.
Kerstin Müller-Kirchhofs
Interim-Chairwoman of the Supervisory Board
NORMA Group SE – Annual Report 2024
29
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
> SUPERVISORY
BOARD REPORT
23 CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Corporate Governance Report and Declaration on
Corporate Governance
The following is the Management Board’s and Supervisory Board’s report in accordance with § 289f of the
German Commercial Code (HGB) and the regulations of the German Corporate Governance Code. The
management of NORMA Group is dedicated to achieving sustained economic success while complying with the
company’s social responsibility. Transparency, responsibility and sustainability are the principles that determine its
actions.
Declaration of Conformity with the German Corporate Governance Code
The Supervisory Board and Management Board of NORMA Group SE have examined in detail the
recommendations and suggestions of the German Corporate Governance Code that NORMA Group SE should
follow and, explain which recommendations are deviated from this and which reasons were decisive for this. The
Declaration of Conformity dated December 13, 2024, its update of February 28, 2025 and all other previous
Declarations of Conformity are published in the Investor Relations section of the NORMA Group SE website.
: WWW.NORMAGROUP.COM
The declaration of December 13, 2024, reads as follows:
With the following exception, NORMA Group SE has complied since its last declaration had been submitted on
December 15, 2023, and continues to comply, with the recommendations of the German Corporate Governance
Code as published by the Federal Ministry of Justice in the official section of the Federal Gazette (‘Bundesanzeiger’)
in the version dated April 28, 2022, published on June 27, 2022, in the Bundesanzeiger:
G.10, sentence 2:
According to recommendation G.10 sentence 2 of the German Corporate Governance Code, the members of
the Management Board should not be permitted to dispose of the long-term variable grant contributions until
after four years. The remuneration system for the Management Board provides for a long-term incentive (“LTI”)
with a four-year shareholding requirement. As a result of the end of Dr. Schneider’s and Dr. Klein’s employment
contracts, the four-year shareholding obligation of the tranches of the LTI open at the time of the end of the
respective employment contract is being reduced to one year. This means that these departing members of the
Management Board can dispose of the tranches of the LTI still outstanding at the end of their employment
contract before the end of the four-year period.
No recommendation of the German Corporate Governance Code was not applicable due to overriding statutory
provisions.
The Declaration of Conformity last issued by the Management Board and Supervisory Board of NORMA Group SE
on December 13, 2024 was amended on February 28, 2025 by updating it as follows:
Recommendation D.3 sentence 5:
In accordance with recommendation D.3, sentence 5 of the Code, the Chair of the Supervisory Board shall not
chair the Audit Committee. With effect as of 18 February 2025, the Supervisory Board of NORMA Group SE
has elected the Chair of the Audit Committee of the Supervisory Board, Ms Kerstin Müller-Kirchhofs, also as
Chair of the Supervisory Board on a transitional basis. The reason for this is that, after the previous Chair of the
NORMA Group SE – Annual Report 2024
30
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
> CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Management Board left the company, the previous Chair of the Supervisory Board, Mr Mark Wilhelms, was
appointed, with effect as of 18 February 2025, as a member and Chair of the Management Board of NORMA
Group SE on a transitional basis for a maximum of one year. Mr Wilhelms’ term of office as a member of the
Supervisory Board is suspended for the duration of his activities on the Management Board. It is planned that
Mr Wilhelms’ positions on the Management Board will end as soon as the Supervisory Board has found and
appointed a new Chair of the Management Board. Mr Wilhelms shall then resume his activities on the
Supervisory Board and once again take over as Chair of the Supervisory Board. As a result, NORMA Group SE
will again be in compliance with the recommendation D.3, sentence 5 of the Code.
The Declaration of Conformity of 13 December 2024 otherwise remains unchanged.
Published documents on remuneration and auditor’s opinion
The Remuneration Report for the last fiscal year, the auditor’s opinion, the applicable remuneration system and the
last resolution on remuneration (Annual General Meeting 2024) are publicly available on the company’s website.
: WWW.NORMAGROUP.COM.
Information on Corporate Governance practices
In addition to the statutory regulations on Corporate Governance practices, further internal regulations can be
found in the Articles of Association of NORMA Group SE and the Rules of Procedure of the Supervisory Board and
the Management Board : WWW.NORMAGROUP.COM. Further rules of conduct result from the compliance guidelines
presented below.
Compliance
NORMA Group SE’s compliance organization seeks to prevent violations of laws and other rules, in particular by taking
preventive measures. Nevertheless, if there is evidence of violations, these matters are investigated promptly and
thoroughly and the necessary consequences are taken. Findings are used to take steps to reduce the risk of future
violations. Concrete steps are defined, implemented and tracked annually in a “Compliance Action Plan.”
Group-wide compliance activities are managed by the Chief Compliance Officer of NORMA Group SE. The Chief
Compliance Officer regularly reports to the Executive Vice President Integrity and is able to report directly to the
Chairman of the Management Board if necessary. In addition to the Compliance department in place at the Group
level, there are Compliance Delegates at the regional and individual company levels. The three regional
Compliance Delegates for the EMEA, Americas and Asia-Pacific regions report to the Compliance department at
NORMA Group. In addition, each operating Group company has its own local Compliance Delegate, who reports to
the respective Regional Compliance Delegate. The Supervisory Board is responsible for monitoring the
appropriateness of the Compliance Management System.
In the current fiscal year, by establishing the “Compliance Committee,” the company formalized a body for
discussing current compliance matters and coordinating necessary measures. Permanent members of the
Compliance Committee are representatives of Compliance, Legal and Internal Audit & Risk Management. As a rule,
the Compliance Committee meets at least quarterly and, if necessary, outside of regular meetings. The compliance
organization conducts risk analyses together with the relevant units, functions and specialist departments, on the
basis of which the compliance organization identifies the need for action and initiates appropriate measures.
NORMA Group SE – Annual Report 2024
31
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
> CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Employee training courses are held regularly on selected risk areas and important current topics or developments.
In addition to training on specific focus topics, all employees worldwide are trained on the basic compliance rules
and important content of the compliance policies. Participation in these training courses is documented and
monitored. The training courses of fundamental importance, which must be completed as basic training by all
NORMA Group employees with a PC workstation, include the online training courses “Code of Conduct &
Compliance Basics” and “Anti-Corruption.” Depending on the job profile, employees must attend specific focus
training sessions (including ‘Antitrust law’). Refresher training courses are offered as required. In addition, all
employees with a PC workstation must complete the “Data Protection” Integrity training course every year.
Relevant employees are also assigned the “Information Security Basics” training course on an annual basis. In the
2024 fiscal year, all office employees were also assigned the “Speak up!” training course, which provides detailed
information on whistleblowing. For production personnel, particularly those in manufacturing areas without regular
computer access, the company provides compliance information in accessible formats such as Compliance Safety
Cards and posters in relevant languages, ensuring essential compliance tenets are effectively communicated. The
compliance organization also offers face-to-face training on an ad hoc basis, if necessary. Employees also receive
relevant, up-to-date compliance information regularly and on an ad hoc basis via various information channels, the
intranet, brochures, e-mails and notices. Key training figures are reported in the CR report.
The : COMPLIANCE GUIDELINES of NORMA Group represent an important means of communicating to employees the
Group’s understanding of compliance and demonstrating their ethical and legal obligations. All compliance
documents undergo regular review and are updated as needed to reflect new legal or social requirements,
ensuring they remain current at all times.
The compliance guidelines also include requirements in the area of : HUMAN RIGHTS (including forced and child labor,
freedom of association and anti-discrimination). A separate Code of Conduct (“Supplier Code of Conduct”) applies
to suppliers. The Supplier Code of Conduct is intended to help ensure that laws and ethical rules are also observed
within NORMA Group’s supply chain. The compliance guidelines are reviewed and updated regularly to assess the
need for changes. By establishing the “Human Rights Committee” as a sub-committee of the Compliance
Committee in the past fiscal year, the company created a dedicated forum for the targeted discussion and
assessment of potential human rights violations. The Human Rights Committee’s permanent members include
representatives from HR and Corporate Responsibility alongside members of the Compliance Committee. The
Human Rights Committee usually meets every six months and also outside of regular meetings if required.
NORMA Group encourages its employees to report violations of regulations and internal policies – including across
hierarchical levels if necessary. Employees have various reporting channels at their disposal for this purpose,
including an electronic :
WHISTLEBLOWER SYSTEM. This whistleblower system allows internal and external
whistleblowers to report suspicious cases to NORMA Group’s Compliance organization and, if necessary, to
maintain their anonymity. Additionally, NORMA Group offers other appropriate reporting channels, such as
personal reporting to NORMA Group Compliance. In addition to the central internal reporting channel (electronic or
in-person), NORMA Group offers supplementary or alternative reporting channels at all locations where required
by local laws In addition, any member of NORMA Group’s compliance organization can be contacted at any time
regarding all questions and issues related to compliance.
NORMA Group SE – Annual Report 2024
32
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
> CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
The reporting system is regularly reviewed for both suitability and appropriateness, particularly in relation to the
requirements of Directive (EU) 2019/1937 of the European Parliament and of the Council of October 23, 2019 on
the protection of persons who report breaches of Union law (the ‘Whistleblower Protection Directive’) and its
implementing legislation in the member states. The system is adapted if necessary. NORMA Group is closely
monitoring further developments with regard to the implementation in national laws by individual EU member
states in which NORMA Group also operates reporting channels, which in some cases are not in compliance with
the EU Directive. Necessary adjustments are made if required.
The members of the compliance organization investigate compliance violations. If violations of compliance rules
are discovered or weaknesses in the organization are identified, the management initiates the necessary and
appropriate measures in consultation with the compliance organization in a timely manner. These measures range,
depending on the specific individual case, for example, from targeted training measures to changes in
organizational procedures to disciplinary measures including termination of employment.
Corporate Responsibility, ESG and Climate Change
The corporate responsibility strategy and specific targets are explained in particular in the Non-financial
Statement. As part of the rising importance of Corporate Responsibility and ESG (Environmental, Social,
Governance) issues, the Supervisory Board, Management Board and employees are paying more attention than
ever to the resulting effects. NORMA Group is increasingly focusing on products and solutions dedicated to the
transformation to alternative drive systems.
The Strategy Committee deals specifically with the impacts of climate change. In addition, the development of
NORMA Group’s CO2 emissions is discussed at every Supervisory Board and Management Board meeting. The
development CO2 emissions compared to a range of targets has been a component of Management Board
remuneration at NORMA Group since 2020.
CFO Annette Stieve is responsible for Corporate Responsibility and ESG on the Management Board.
Description of the working methods of the Management Board and Supervisory Board as well as
the composition and working methods of their committees
NORMA Group SE follows the dual management system. The Management and Supervisory Boards are separate
bodies that have different functions and powers. The Management Board manages the company under its own
responsibility. The Supervisory Board appoints, advises, monitors and dismisses members of the Management
Board.
The Management Board provides the Supervisory Board with regular updates about its business policies, how the
business is developing, the position of the company and any transactions that could have a significant impact on
profitability or liquidity. The Management Board reports the key figures of the Group and the current course of
business to the Supervisory Board on a monthly basis, in particular with regard to the published guidance on the
expected development of the company. Based on the written documents that were submitted to the Supervisory
Board in advance, the members of the Management Board report in great detail on business developments and
provide an outlook on the expected development of NORMA Group at the Supervisory Board meetings. Other
recurring topics at all meetings include the monthly and quarterly figures, risk analysis and measures aimed at
minimizing any risks that were identified, reports from the chairpersons of the Audit Committee, General and
NORMA Group SE – Annual Report 2024
33
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
> CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Nomination Committee and Strategy Committee on previous meetings held and strategic projects. Further details
on the matters addressed by the Supervisory Board in 2024 can be found in the 4 SUPERVISORY BOARD REPORT. All
Management Board members participate in the Supervisory Board meetings. The Supervisory Board usually meets
without the Management Board either before or after their joint sessions.
The Chairmen of the Supervisory Board and the Management Board coordinate the collaboration of the two
boards. They also remain in regular contact between Supervisory Board meetings, typically every two weeks, and
discuss current management issues. The Chairman of the Audit Committee and the CFO also consult with each
other.
In accordance with the legal requirements, the Management Board's Rules of Procedure, and the Articles of
Association of NORMA Group SE, the Supervisory Board must approve certain important transactions before they
can be executed by the Management Board and the Group’s employees. This applies not only for measures at
NORMA Group SE itself, but also for measures at its subsidiaries. NORMA Group operates a structured global
approval system to ensure that matters requiring Supervisory Board approval are communicated to the
Management Board in a timely manner from all subsidiaries.
Management Board, regional management and SBUs
The CVs of the Management Board members on duty are posted on the company’s website : WWW.NORMAGROUP.COM.
Responsibilities of the Management Board
T007
Member of the Management Board
Responsibilities 2024
Guido Grandi
Chief Executive Officer (CEO, June 1, 2023 until February 17, 20251
Member of the Management Board, June 1, 2023 - February 17, 20251
Born in 1971
Nationality: German
Last appointed: 2023
Group Development
Group Communications
Regional Organization
Sales
Marketing
Human Resources & Integrity
Legal and M&A
Product Development
Research & Development
Divisional Organization
Dr. Daniel Heymann
Chief Operating Officer (COO) since May 1, 2023
Born in 1982
Nationality: German
Last appointed: 2023
Appointed until: April 30, 2026
Production
Purchasing
Supply Chain Management
Operational Global Excellence
Information and Communication Technology (ICT)
Quality Assurance
Environment, Health and Safety (EHS)
Project Management
Annette Stieve
Chief Financial Officer (CFO) since October 1, 2020
Born in 1964
Nationality: German
Last appointed: 2023
Appointed until: September 30, 2026
Finance & Reporting
Controlling
Treasury & Insurances
Investor Relations
Corporate Responsibility and ESG (Environment, Social, Governance)
Risk Management & Internal Auditing
1_Status of the allocation of responsibilities as at December 31, 2024 and as at the end of February 17, 2025; For further information on the change in the Executive Board announced on February 17,
2025, please refer to the section 4 SIGNIFICANT EVENTS AND DEVELOPMENTS.
NORMA Group SE – Annual Report 2024
34
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
> CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Resolutions of the Management Board are passed by simple majority. The Chairman of the Management Board
has the deciding vote if the vote is tied. However, the members of the Management Board are required to make an
effort to reach unanimous decisions. If a member of the Management Board cannot participate in a vote, their vote/
opinion will be obtained at a later date. The entire Management Board is responsible for matters of great
importance. In accordance with the rules of procedure of the Management Board, these include the following
areas: producing the Management Board reports for the purpose of informing the Supervisory Board and the
quarterly and half-yearly reports, fundamental organizational measures, including the acquisition or disposal of
significant parts of companies and strategic and business planning issues, measures related to the implementation
and supervision of a monitoring system pursuant to Section 91 (2) of the German Stock Corporation Act, issuing
the Declaration of Conformity pursuant to Section 161 (1) of the German Stock Corporation Act, preparing the
Consolidated and Annual Financial Statements and similar reports, convening the Annual General Meeting and
inquiries and recommendations by the Management Board that are to be handled and resolved by the Annual
General Meeting. In addition, every Management Board member may request that a specific issue be dealt with by
the entire Management Board.
Management Board meetings are usually held at least once a month. In addition, the Management Board meets at
short notice if required. The Management Board has not formed any committees.
Every Management Board member is obliged to inform the Supervisory Board immediately, as well as the other
members of the Management Board, of any conflicts of interest. No such conflicts of interest arose for a member of
the Management Board in 2024.
Any transactions between NORMA Group companies and Management Board members, their related parties, or
their business interests require Supervisory Board approval. No such transactions were concluded in 2024.
Any secondary activities undertaken by Management Board members also require Supervisory Board approval.
Details concerning secondary activities can be found on the company’s website. : WWW.NORMAGROUP.COM
The remuneration of the Management Board is outlined in the 4 REMUNERATION REPORT.
As part of long-term succession planning, the Supervisory Board developed candidate profiles for all three
Management Board positions with external consultants during the search for new members. The Supervisory
Board’s Rules of Procedure also stipulate that the Supervisory Board shall take diversity into account in the
composition of the Management Board.
The Management Board conducts annual talent reviews, during which measures for the development of managers
are defined, and reports to the Supervisory Board on the results of these analyses and possible candidates for
succession to the Management Board.
The age limit for members of the Management Board has been set at 65 in the Supervisory Board’s Rules of
Procedure. No member of the Management Board currently reaches this age limit; this is also not foreseeable
during the term of the current contracts. : WWW.NORMAGROUP.COM
Regional presidents represent the Group locally in the three regions EMEA, Americas and Asia-Pacific. The
presidents are each responsible for one of the strategic business units that are currently being established.
Regional headquarters are located in Singapore for the Asia-Pacific region, Auburn Hills, USA, for the Americas
region and Maintal, Germany, for the EMEA region. NORMA Group’s managers work within a matrix structure,
where they report to both a line manager and a functional manager.
NORMA Group SE – Annual Report 2024
35
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
> CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Information on the internal control system can be found in the 4 RISK AND OPPORTUNITY REPORT.
Supervisory Board: members, election, independence and length of Supervisory Board
membership
The Supervisory Board of NORMA Group SE consisted of the following members in 2024:
•
Mark Wilhelms (Chairman of the Supervisory Board)2
•
Erika Schulte (Vice Chairwoman of the Supervisory Board)
•
Dr. Markus Distelhoff
•
Rita Forst
•
Denise Koopmans
•
Kerstin Müller-Kirchhofs (since September 9, 2024)3
•
Miguel Ángel López Borrego (until June 16, 2024)
Mark Wilhelms was re-elected at the Annual General Meeting on May 16, 2024.
NORMA Group SE is not a codetermined company; therefore, worker representatives are not represented on its
Supervisory Board. All members of the Supervisory Board were elected by the Annual General Meeting and are
therefore shareholder representatives.
The Chairman of the Supervisory Board represents the Supervisory Board externally. He organizes the work of the
Supervisory Board and chairs its meetings. Supervisory Board resolutions can be adopted by simple majority, with
the Chairman having the casting vote in the event of a tie.
The objectives for the composition of the Supervisory Board include that all members are independent, no member
works for a competitor of NORMA Group, no member who is a member of the management board of a listed
company holds more than two supervisory board mandates at listed companies and no member of the
Supervisory Board has material conflicts of interest. In addition, the Supervisory Board shall pay attention to
international experience and diversity when making proposals for the election of new members.
The standard limit for membership of the Supervisory Board is twelve years. The age limit for Supervisory Board
members is 75.
These objectives were all achieved in fiscal year 2024. Denise Koopmans is Dutch. Miguel Ángel López Borrego is
a Spanish citizen. The other members of the Supervisory Board are German and typically have extensive
international experience. All members of the Supervisory Board of NORMA Group SE have been on the Supervisory
Board for less than twelve years: Rita Forst and Mark Wilhelms since 2018, Miguel Ángel López Borrego since
2021 and until 2024, Denise Koopmans and Dr. Markus Distelhoff since 2023, Kerstin Müller-Kirchhofs since 2024.
Erika Schulte has been a member of the Supervisory Board since 2013. She has been elected until the 2025
Annual General Meeting and will not stand for re-election as she has exceeded the twelve-year term limit. All
members of the Supervisory Board are also under 75 years of age.
NORMA Group SE – Annual Report 2024
36
2 Chairman of the Supervisory Board in the 2024 fiscal year and until the end of February 17, 2025; assumption of the interim CEO role with effect
from February 18, 2025; the Supervisory Board mandate is suspended during the interim CEO role for the transitional period of a maximum of one
year until February 17, 2026.
3 Court-appointed member of the Supervisory Board with effect from September 9, 2024; Member and Chairwoman of the Audit Committee since
September 20, 2024; Interim Chairwoman of the Supervisory Board since February 18, 2025.
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
> CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
All members of the Supervisory Board are independent of the company and the Management Board within the
meaning of the German Corporate Governance Code. This includes the Chairman of the Supervisory Board, who is
also the Chairman of the General and Nomination Committee, as well as the Chairman of the Audit Committee. No
member of the Supervisory Board and no close family member were previously a member of the Management
Board of NORMA Group SE or one of its predecessor companies at the time they were elected as a member of the
Supervisory Board. Furthermore, no Supervisory Board member, either directly or indirectly as a shareholder or in
an executive capacity at a non-Group company, maintained any material business relationship with NORMA
Group SE or its dependent companies in the year prior to their appointment, nor is any member a close family
member of a Management Board member.
NORMA Group SE does not have a controlling shareholder. Therefore, there are no dependencies in this regard
either. The Chairman of the Audit Committee is accordingly independent of a controlling shareholder. The skill set
for the Supervisory Board as a whole is met by the current members as a whole.
Competence profile of the Supervisory Board members and qualification matrix
T008
Mark Wilhelms4
Erika Schulte
Dr. Markus
Distelhoff
Rita Forst
Denise
Koopmans
Kerstin Müller-
Kirchhofs4
Knowledge of the
industry and
international markets, in
particular the
automotive industry, and
of NORMA Group’s
business model
Extensive
experience in the
automotive
industry, with
OEMs and
suppliers;
experience in a
multitude of
international
roles
Industrial
experience
through many
years as CIO and
head of general
administration at
an
internationally
active machine
and plant
manufacturer
Active in the
automotive
industry since
1997
Very pronounced
global
experience in the
automotive
sector
General
industrial
experience
(Offshore
Fabrication
Services,
Construction,
Electronic
Manufacturing
Services)
Many years of
experience in the
manufacturing
industry,
including
distribution
(industrial gases,
engineering
plastics,
industrial SMEs)
Knowledge of
production and sales, as
well as in research and
development in
industrial companies
Production,
sales and
development
roles at OEM;
responsible for
global after
market at a
supplier
Business
process
optimization
(including
materials
management,
production and
sales);
implementation
of SAP and CAD
systems in
design and
development at
an international
industrial
company
Several years of
experience each
in development,
sales and
production
Experience
particularly in
the areas of
research and
development,
project
management
and production
Experience in
development,
project
management,
production,
mechanical
engineering,
electronic
manufacturing
and construction
Experience with
production and
sales from a CFO
perspective in
industrial
companies
NORMA Group SE – Annual Report 2024
37
4 Competence profile of the Supervisory Board and qualification matrix based on the existing composition as of December 31, 2024.
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
> CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Competence profile of the Supervisory Board and qualification matrix (continued)
Mark Wilhelms5
Erika Schulte
Dr. Markus
Distelhoff
Rita Forst
Denise
Koopmanns
Kerstin Müller-
Kirchhofs5
Experience as an
executive at a company
or member of a
supervisory board
Former board
member of a
listed company,
managing
director of
supplier
companies,
board member
of Novem Group
SA, Kongsberg
Automotive ASA
CIO of an
industrial
company;
Managing
Director of
various
municipal
companies
Several years of
experience as a
departmental
head, business
unit head, and
chairman of the
management
board.
Former member
of the
Management
Board of Adam
Opel AG, former
Chairwoman of
the Management
Board of Opel PT
Deutschland
GmbH, and
member of
various
supervisory and
advisory boards
in Germany,
Ireland, the UK,
and Canada.
Broad
experience as
CEO and board
member of
international
listed and
private
companies
Chief Financial
Officer of an
industrial holding
company in the
Prime Standard;
CFO in
production and
distribution
companies,
acting
spokeswoman of
the management
board
Intern. professional
experience § 2 rules of
procedure
Several years
abroad in the
UK, USA, and
Belgium; multiple
years of
responsibility for
international
subsidiaries as a
board member
and managing
director
Responsibility for
international
projects (e.g., the
implementation
of SAP at all
locations of a
globally
operating
industrial
company with
60 subsidiaries
worldwide).
Several years of
professional
experience,
including five
years in the UK
and four years in
India
Stays abroad in
the USA and
Italy, leading
international
engineering
teams in a global
work
environment
Many years of
stays abroad in
the USA and
Europe.
Work experience
in international
teams as an
auditor;
responsibility for
a global
industrial group
as CFO with
manufacturing
facilities and
sales companies
in the EU, China
and North
America and
acting
chairperson of
the management
board
Knowledge of assessing
NORMA Group’s
financial position,
accounting and auditing,
(including sustainability
reporting and its audit),
as well as controlling
Long-standing
CFO role at a
listed company;
extensive
controlling
experience from
several years of
international
activity
Managing
Director of a
GmbH (limited
liability
company) and
CIO in charge of
the business
center at an
industrial
company
Several years of
experience as
Chairman of the
Management
Board/CEO
Experience in
particular as
Chairwoman of
the Management
of a German
subsidiary of
GM.
Chairwoman of
the audit
committee of
two listed
companies, CEO
role
Many years of
experience as an
auditor and CFO
of several
industrial
companies,
including listed
companies
Knowledge in the areas
of risk management, the
internal control system
and compliance
Several years of
experience in the
General
Auditor’s Office
(GAO), long-term
position as CFO,
chairman of the
audit committee
Responsibility for
occupational
safety, plant
security and
environmental
protection, as
well as CIO role
in an industrial
company
Several years of
experience as
chairman of the
management
board/CEO
Experience as an
independent
compliance
monitor and
auditor as well
as member of
audit
committees at
other companies
Experience as
Chief Legal
Officer; member
of the audit and
risk committee
Many years of
experience as an
auditor and CFO
of several
industrial
companies,
including listed
companies
NORMA Group SE – Annual Report 2024
38
5 Competence profile of the Supervisory Board and qualification matrix based on the existing composition as of December 31, 2024.
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
> CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Competence profile of the Supervisory Board and qualification matrix (continued)
Mark Wilhelms6
Erika Schulte
Dr. Markus
Distelhoff
Rita Forst
Denise
Koopmanns
Kerstin Müller-
Kirchhofs6
Knowledge of the capital
market and how it
works, including the
perspective of investors
and the requirements of
capital market and stock
exchange law
CFO of a listed
company with
experience in
IPOs and capital
increases
Long-standing
membership on
the Supervisory
Board/Audit
Committee
Several positions
in listed
companies and
experience with
M&A activities/
transactions
Experience as a
member of the
Supervisory
Board of various
listed companies
in Germany,
Ireland, the UK
and Canada
Member of the
Supervisory
Board of various
listed companies
Activity as Chief
Financial Officer
of a company
listed in the
Prime Standard
Knowledge of IT-
systems, including ERP-
systems
Multi-year ERP
experience in
operations and
rollout of new
systems across
various
locations; cloud
migration project
implementation
as the IT-
Managing
Director at
Stabilus and in
the automotive
sector
Specialized
expertise
through long-
term experience
as CIO at an
industrial
company and at
IT service
providers
Broad
experience as
ERP/SAP user,
particularly in
sales and
production
Experience with
digital
transformation
and migration
processes in the
context of
globalization
and joint venture
activities
Broad
experience with
digital
transformation
processes,
migration, etc.
Experience in
ERP/SAP
applications and
update/rollout,
particularly from
a financial
perspective
Know-how in
sustainability
Experience in
establishing ESG
frameworks,
conducting
audits, and
professional
development as
part of board-
level
responsibilities
Responsibility for
environmental
protection at an
industrial
company;
member of
WissensRegion
FrankfurtRhein-
Main
By annual audit
participation in
the role as Chief
Executive Officer
Experience as a
member of the
ESG committee
at other
companies
Experience in
construction,
logistics,
manufacturing
and media as a
Supervisory
Board member
and Chair of the
Audit Committee
Experience with
the preparation
of non-financial
reports and
introduction of
the EU
taxonomy as
CFO, since then
regular further
training
No Supervisory Board member who is not a member of the management board of a listed company has more than
five supervisory board mandates at non-Group listed companies or comparable roles. No member of the
Supervisory Board who is a member of the management board of a listed company holds more than two
supervisory board positions or performs comparable roles.
NORMA Group SE – Annual Report 2024
39
6 Competence profile of the Supervisory Board and qualification matrix based on the existing composition as of December 31, 2024
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
> CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
The positions held and other mandates on supervisory boards or comparable supervisory bodies of the members
of the Supervisory Board of NORMA Group SE exercised in fiscal year 2024 are included in the following table:
Other mandates of the Supervisory Board members T009
Supervisory Board member
Current occupation
Service period on body
Other mandates on Supervisory Boards and comparable committees
Kerstin Müller-Kirchhofs
(Interim-Chairwoman of the Supervisory
Board)1
Consultant
Court-appointed member since 2024
No positions on other boards or comparable committees
Mark Wilhelms2
Member since 2018 (office suspended since
February 18, 2025)
Until August 2024, member of the supervisory board of Novem Group SA, Luxembourg/
Vorbach, Luxembourg/Germany (listed company)
Erika Schulte (deputy chairperson)
Managing Director of Brueder Grimm
Berufsakademie Hanau GmbH and freelance
consultant3
Member since 2013
No positions on other boards or comparable committees
Rita Forst
Consultant
Member since 2018
Member of the Board of Directors (Non-Executive Director) of AerCap Holdings N.V., Dublin,
Ireland (listed company)
Member of the Advisory Board of iwis SE & Co. KG (formerly Joh. Winklhofer Beteiligungs GmbH
& Co. KG), Munich, Germany (not listed)4
Member of the Supervisory Board (Non-Executive Director) of Johnson Matthey PLC, London,
UK (listed company)
Denise Koopmans
Consultant
Member since 2023
Member of the Board of Directors (Non-Executive Director) of Cicor Technologies AG, Boudry,
Switzerland (listed company)
Member of the Supervisory Board of Royal BAM Group NV, Bunnik, Netherlands (listed
company)
Member of the Board of Directors (Non-Executive Director) of Swiss Post, Bern, Switzerland
(not listed)
Member of the Board of Directors (Non-Executive Director) of Sanoma Corporation, Helsinki,
Finland (listed company)5
Dr. Markus Distelhoff
Management Board member of
REHAU Management SE
Member since 2023
No positions on other boards or comparable committees
Miguel Ángel López Borrego
Chief Executive Officer of thyssenkrupp AG
Member from 2021 to 20246
Member of the Supervisory Board of thyssenkrupp nucera AG & Co. KGaA, Dortmund, Germany
Member of the Supervisory Board of thyssenkrupp nucera Management AG, Dortmund,
Germany
Member of the Supervisory Board of thyssenkrupp Steel, Europe AG, Duisburg, Germany
1_Court-appointed member of the Supervisory Board with effect from September 9, 2024; member and Chairwoman of the Audit Committee since September 20, 2024; Interim Chairwoman of the
Supervisory Board since February 18, 2025.
2_Chairman of the Supervisory Board in the 2024 financial year and until the end of February 17, 2025; assumed the role of interim CEO with effect from February 18, 2025; the Supervisory Board
mandate is suspended during the interim CEO role for the transitional period of a maximum of one year until February 17, 2026.
3_In addition, Managing Director of Hanau Wirtschaftsfoerderung GmbH until December 31, 2024.
4_Until December 31, 2024.
5_Until April 30, 2024.
6_Resigned from the Supervisory Board of NORMA Group as of June 17, 2024.
NORMA Group SE – Annual Report 2024
40
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
> CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
There are no consulting or other service or work contracts between the companies of NORMA Group and any
member of the Supervisory Board.
The Supervisory Board evaluates its work annually as part of a self-assessment. The last such evaluation took
place in December 2024. The Supervisory Board used a questionnaire after an external consultant had been
involved in 2022.
Transactions between companies of NORMA Group on the one hand and a member of the Supervisory Board or
persons or companies related to him or her on the other hand must be approved by the Supervisory Board in
advance. No such transactions were concluded in 2024.
Every member of the Supervisory Board is required to report conflicts of interest. Material and not merely
temporary conflicts of interest in the person of a Supervisory Board member are to lead to termination of the
mandate. There were no conflicts of interest between a Supervisory Board member and the company in fiscal year
2024.
In the fiscal year 2024, the Supervisory Board held seven meetings, each of which was attended by all members.
Details on the meetings and attendance rates of the members can be found in the 4 SUPERVISORY BOARD REPORT.
The Chairman of the Supervisory Board also holds regular discussions with investors without the Management
Board on topics that specifically concern the Supervisory Board. In 2024, the Chairman of the Supervisory Board
explained in particular the changes to the Management Board remuneration model.
Committees to the Supervisory Board: Responsibilities and membership in the 2024 financial year
The Supervisory Board has three committees: Audit Committee, General and Nomination Committee and Strategy
Committee.
The Audit Committee deals in particular with monitoring the accounting process and the effectiveness of the
internal control and risk management systems as well as with the audit of the Annual Financial Statements. With
respect to the audit of the financial statements, the committee deals in particular with the independence of the
auditor, the additional services rendered by the auditor, engaging the auditor, determining areas of audit emphasis
and agreeing to the auditor’s fees. The Audit Committee accompanies the collaboration between NORMA Group
SE and the auditors and ensures that opportunities for improvement identified during the audit are implemented
promptly. It is responsible for preparing the accounting documents and adopting the Supervisory Board’s
resolution on the Consolidated and Separate Financial Statements. Moreover, it is responsible for compliance and
reviews the adherence to statutory provisions and the internal guidelines.
In the financial year 2024 the Audit Committee consisted of Mark Wilhelms and Denise Koopmans as well as
Miguel Ángel López Borrego (Chairman) until June 16, 2024. After Miguel Ángel López Borrego left the Supervisory
Board and Audit Committee, the Audit Committee temporarily had two instead of three members and no
Chairman because the only remaining member of the Supervisory Board who is a financial expert was the
Chairman of the Supervisory Board, meaning that the requirements that the Chairman of the Supervisory Board
should not also be the Chairman of the Audit Committee but a financial expert (recommendation D3 GCGC) could
not have been met. In Kerstin Müller-Kirchhofs, the Supervisory Board was able to recruit an experienced financial
expert as a candidate. The Hanau Local Court appointed Kerstin Müller-Kirchhofs as a member of the Supervisory
Board with effect from September 9, 2024. She was subsequently elected as a member and Chairwoman of the
NORMA Group SE – Annual Report 2024
41
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
> CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Audit Committee as of September 20, 2024, and will stand for election by the shareholders at the 2025 Annual
General Meeting.
Mark Wilhelms and Miguel Ángel López Borrego as well as Kerstin Müller-Kirchhofs are independent financial
experts within the meaning of Section 100 (5) AktG. Due in particular to their many years of experience as Chief
Financial Officers and in different managing director positions, they have special knowledge and experience in the
application of accounting principles and internal control procedures, as well as sustainability reporting and its
auditing.
Seven meetings of the Audit Committee were held in 2024. Denise Koopmans was unable to attend one meeting,
but the other members attended all meetings.
The General and Nomination Committee is responsible for remuneration issues. It also prepares the Supervisory
Board’s personnel decisions regarding appointments to the Management Board and Supervisory Board. This
committee has the following specific responsibilities: Preparing Supervisory Board resolutions regarding the
conclusion, amendment and termination of contracts with members of the Management Board in accordance with
the remuneration system approved by the Supervisory Board, preparing Supervisory Board resolutions regarding
legal applications to reduce the remuneration of a Management Board member pursuant to Section 87 (2) AktG,
preparing Supervisory Board resolutions regarding the structure of the remuneration system for the Management
Board, acting as representatives of the company to Management Board members who have left the company
pursuant to Section 112 AktG, approving secondary employment and external activities for Management Board
members pursuant to Section 88 AktG, granting loans to the persons specified in Section 89 AktG (loans to
members of the Management Board) and Section 115 AktG (loans to members of the Supervisory Board),
approving contracts with members of the Supervisory Board pursuant to Section 114 AktG and proposing suitable
candidates to the Annual General Meeting when there is a vote on Supervisory Board members. In 2024, the
committee dealt in particular with the bonuses of the Management Board and executives, the Management Board
remuneration model and an adjustment to the Supervisory Board remuneration and, above all, the search for a
successor to Miguel Ángel López Borrego as a member of the Supervisory Board and Audit Committee.
In the financial year 2024 the General and Nomination Committee comprised the Chairman of the Supervisory
Board, Mark Wilhelms (Committee Chairman), as well as Erika Schulte and Rita Forst.
Five meetings of the General and Nomination Committee were held in 2024, each of which was attended by all
members.
The Strategy Committee deals in particular with NORMA Group’s long-term focus on the various end markets and
megatrends. This committee also deals with the effects of climate change on NORMA Group’s business and
sustainability topics. The committee is concerned with the international expansion of the strategic business units
Industry Applications, Water Management and Mobility & New Energy in the regions. The structures and resources
required for this are outlined. Other topics include M&A projects.
Chairwoman of the Strategy Committee is Rita Forst. Additional members are Erika Schulte and Dr. Markus
Distelhoff.
In 2024, the Strategy Committee held three meetings, each of which was attended by all members.
Further information on the meetings and work of the committees in the fiscal year can be found in the 4 SUPERVISORY
BOARD REPORT.
NORMA Group SE – Annual Report 2024
42
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
> CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Shareholders and Annual General Meeting
The shareholders exercise their co-administration and control rights at the Annual General Meeting. The Annual
General Meeting decides, among other things, on the appropriation of profits, the formal approval of the actions of
the Management Board and the Supervisory Board, the selection of the auditor, amendments to the articles of
association, and certain capital measures. Moreover, the shareholders elect the members of the Supervisory Board.
NORMA Group SE’s shares are registered shares. Each share entitles the bearer to one vote. There are no special
voting rights. Shareholders entered in the share register have the right to attend the Annual General Meeting and
to speak there on the relevant agenda items and request information on company matters. Among other rights,
they are also entitled to submit motions on the resolutions proposed by the management and to contest
resolutions of the Annual General Meeting. Details on participation in the Annual General Meeting and possibilities
to exercise voting rights, as well as other shareholder rights are explained in the respective invitation to the Annual
General Meeting and accompanying documents. NORMA Group SE announces the meeting notice and all AGM
documents on its website following their release in the Federal Gazette (Bundesanzeiger), ensuring timely access
to all required materials. Following the General Meeting, information on the number of participants and voting
results is also made available there.
The Annual General Meeting of NORMA Group SE 2024 was again held on May 16, 2024, as an in-person event in
Frankfurt am Main.
Shareholdings of the Management and Supervisory Boards
Of the total of 31,862,400 shares in NORMA Group SE, the current members of the Management Board and
Supervisory Board together held 0.04% of the shares on December 31, 2024.
Members of the Management Board and the Supervisory Board and related parties are obliged to disclose
Directors’ Dealings in NORMA Group SE shares if the value of these transactions reaches or exceeds EUR 20,000
within one calendar year. No transactions were reported to NORMA Group SE as part of Directors’ Dealings
notifications in 2024.
Security-like incentive systems
A long-term incentive program (LTI) is in place for Group executives below the Management Board level that
allows the individuals involved to participate in NORMA Group’s success in the medium term.
The main features of the remuneration of the Management Board are outlined in the 4 REMUNERATION REPORT, which is
part of the Condensed Management Report.
Targets for the share of women
The target figure for the share of women on the Supervisory Board is at least one-third of the members. For the top
two management levels of NORMA Group SE, the target for the share of women is at least 25% in each case. The
aforementioned targets for the Supervisory Board, the Management Board and the top two management levels
are each expected to apply until June 30, 2027. In the 2024 fiscal year, these targets were all achieved, or
exceeded in some cases.
NORMA Group SE – Annual Report 2024
43
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
> CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
With the court appointment of Kerstin Müller-Kirchhofs as the successor to Miguel Ángel López Borrego with effect
from September 9, 2024, there are now four (previously three) female members out of a total of six on the
Supervisory Board, meaning that the target for the Supervisory Board has been exceeded.
The Management Board of NORMA Group SE, which consists of three members, continues to include one woman,
meaning that this target has been met.
At NORMA Group SE, the first management level comprises all persons who are Executive Vice Presidents or Vice
Presidents, report directly to the Management Board, assume management responsibilities and have personnel
responsibility. As in the previous year, one in four managers at this first level is a woman, so that the target of 25%
for the first management level was also achieved. The second management level of NORMA Group SE consists of
persons who are Directors, report directly to a member of the Management Board or the first management level,
perform management tasks and have personnel responsibility. In 2024, two women were promoted to Directors in
addition to the woman who was already a Director alongside a male colleague in 2023. This means that this
group now comprises four people, 75% of whom are women. The previously mentioned target for the proportion of
women at the second management level was therefore exceeded.
Diversity concept
To date, no explicit diversity concept within the meaning of Section 289f (2) No. 6 HGB has been prepared for the
Supervisory Board and the Management Board of NORMA Group SE. The Rules of Procedure of the Supervisory
Board already stipulate that certain aspects, which the law mentions as examples for a diversity concept, are to be
taken into account when proposing candidates for elections to the Supervisory Board and appointments to
Management Board positions. Diversity is to be taken into account in both the composition of the Management
Board and in nominations for the election of Supervisory Board members. Additional requirements for the
Supervisory Board with regard to diversity already result from the objectives outlined above for the composition of
the Supervisory Board as well as the Rules of Procedure.
Information on the auditor
KPMG AG Wirtschaftsprüfungsgesellschaft (KPMG) audited the Annual Financial Statements and the
Consolidated Financial Statements of NORMA Group SE in fiscal year 2024 for the second consecutive year (for
the first time Financial Statements for fiscal year 2023, previously PricewaterhouseCoopers GmbH
Wirtschaftsprüfungsgesellschaft, Frankfurt am Main).
As part of the audit of the 2024 Financial Statements, Matthias Forstreuter served as the primary signing auditor
for the second consecutive time, while Andreas Kraus served as the secondary signing auditor for the first time.
NORMA Group SE – Annual Report 2024
44
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
11 THE MANAGEMENT BOARD
12 LETTER FROM THE
MANAGEMENT BOARD
14 NORMA GROUP ON THE
CAPITAL MARKET
23 SUPERVISORY
BOARD REPORT
> CORPORATE GOVERNANCE
REPORT AND
DECLARATION ON
CORPORATE GOVERNANCE
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
CONDENSED
MANAGEMENT
REPORT 7
46
Principles of the Group
69
Economic Report
194
Management Report of NORMA Group SE (HGB)
202
Forecast Report
210
Risk and Opportunity Report
229
Remuneration Report 2024
252
Takeover-relevant information
254
Report on Transactions with Related Parties
NORMA Group SE – Annual Report 2024
45
7 All references into the Annual Report or to websites of NORMA Group and their
contents were not subject to the statutory audit.
The TORRO worm drive hose clamp
has been manufactured at NORMA
Group's headquarters in Maintal for
more than four decades. The clamp
can be customized and is
characterized by a high belt tensile
force and an even distribution of the
clamping force.
Service Solutions for
White Goods
NORMA Group offers manufacturers of household appliances customized solutions as a
partner in its strategic business unit Industry Applications. This also includes combinations
of products already established in the market with specific measurement systems. Special
customer requirements and issues are increasingly becoming focus of business activities.
CONDENSED MANAGEMENT REPORT8
Principles of the Group
Preliminary remark
NORMA Group announced in an ad hoc announcement on November 28, 2024 that the Management Board has
decided to initiate a process to sell the global business activities of the Water Management strategic business unit.
This step was determined after an analysis and consideration of alternative options by the Management Board of
NORMA Group SE regarding the further strategic direction of the Group. The aim of the strategic measure adopted
is to focus business activities on the core business of joining products. The divestment of the Water Management
business unit is intended to free up resources and capacities for further growth in the Industry Applications
business and to strengthen the Mobility & New Energy area. The Water Management unit will remain as a third
business unit for the time being. However, the aim is to sell all international activities of this business. The outcome
and result of the sales process to be initiated are still open as at March 18, 2025, and are also influenced by
external factors.
As this Annual Report reflects the business activities in 2024, almost all of the information presented in this report
relates to the existing Group structure as at December 31, 2024. At individual, relevant points, the explanations
may be set out in more detail in relation to a possible future structure.
Business model
>> NORMA Group positions itself among the international market and technology leaders for engineered and
standardized joining and fluid-handling technology. With 25 production sites worldwide and various sales offices,
the Group has a global network and supplies more than 10,000 customers in over 100 countries. NORMA Group’s
product portfolio includes joining products and solutions for a wide range of cross-industry applications. The focus
is on innovative solutions for promising end markets by focusing on the strategically important areas of Industry
Applications as well as Mobility & New Energy and Water Management9. With its products and solutions, NORMA
Group actively supports its customers and business partners in responding to key global megatrends such as
climate change and the increasing scarcity of resources. High customer satisfaction is the foundation of NORMA
Group’s success. Customer-specific system solutions and the global availability of products with reliable quality
and delivery reliability are key to this. (ESRS [SBM-1-42a] [SBM-1-42b])<< )10
NORMA Group SE – Annual Report 2024
46
8 All references into the Annual Report or to websites of NORMA Group and their contents were not subject to the statutory audit.
9 With regard to Water Management, please refer to our comments under 4 PRELIMINARY REMARK.
10 This section is part of NORMA Group's Consolidated Non-financial Statement for the fiscal year from January 1, 2024 to December 31, 2024.
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
> PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Organizational structure
Corporate legal structure
NORMA Group SE is the parent company of NORMA Group. The Company is based in Maintal, Germany. NORMA
Group SE acts as the legal holding company for the Group. It is responsible for the strategic management of
business activities. It is also responsible for Communications, Legal and M&A, Compliance, Risk Management and
Internal Auditing.
Group-wide central management responsibilities such as information technology (IT), Treasury, Group Accounting
and Group Controlling, for example, are all based at NORMA Group Holding GmbH, a wholly owned subsidiary of
NORMA Group SE, which is also located in Maintal. Three regional management teams based in Auburn Hills
(USA), Maintal and Singapore take on specific holding tasks for the three regions EMEA (Europe, Middle East and
Africa), Americas (North, Central and South America) and Asia-Pacific (East Asia, Southeast Asia, Australia and
Oceania).
As of December 31, 2024, NORMA Group SE held direct or indirect interests in 47 companies that belong to
NORMA Group and are fully consolidated.
The following changes to the legal structure of the Group were recorded in fiscal year 2024:
NORMA Netherlands, which no longer fulfilled an active Group function, was liquidated with effect from October
23, 2024. In addition, NORMA Group acquired the Italian irrigation specialist Teco Srl and its subsidiary Teco
Irrigation USA, Inc. in fiscal year 2024. This step served the gradual expansion of regional business activities in
Water Management in Europe. The acquisition was completed on February 29, 2024.
NORMA Group SE – Annual Report 2024
47
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
> PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
NORMA Group (simplified structure under company law)1
G007
NORMA
Germany
NORMA
Serbia
NORMA
Distribution
Germany
NORMA
Polska
Craig
Assembly
(USA)
NORMA
Michigan
(USA)
NORMA
EJT (Wuxi,
China)
NORMA
Thailand
NORMA
Australia
NORMA
India
NORMA
Group DS
Polska
Groen BV
(NL)
NORMA
Czech
NORMA
Italy
R. G. Ray
(USA)
NORMA
Group
Mexico
NORMA
EJT
(Chang-
zhou),
China
NORMA
Products
Malaysia
NORMA
Korea
NORMA
Turkey
NORMA
France
NORMA
Distribution
France
NORMA
Spain
National
Diversified
Sales
(USA)
NORMA
DS Mexico
Kimplas
(India)
NORMA
Japan
NORMA
Sweden
NORMA
UK
Connectors
Verbin-
dungs-
technik
(CH)
NORMA
China2
NORMA
Brazil
NORMA
Manufac-
turing
(USA)
Kimplas
(UK)4
NORMA
Autoline
France
NORMA
Portugal3
Teco (Italy)
Teco
(USA)5
1_The figure provides an overview of the operating companies of NORMA Group. The company names correspond to the company names that are used internally. A complete list of all Group companies
and NORMA Group’s shareholdings as of December 31, 2024, can be found in the corresponding disclosure in the 4 NOTES TO THE CONSOLIDATE FINANCIAL STATEMENT.
2_NORMA China is organizationally assigned to NORMA Group Asia Pacific Holding Pte. Ltd. and under company law to NORMA
3_Lifial was renamed NORMA Portugal, Lda. effective October 4, 2024.
4_Kimplas UK is organizationally assigned to NORMA Group Holding GmbH and under company law to NORMA Group Asia-Pacific Holding Pte. Ltd.
5_Teco (USA) is organizationally assigned to NORMA Pennsylvania Inc. and under company law to NORMA Group Holding GmbH.
NORMA Group SE – Annual Report 2024
48
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
> PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Group Management
NORMA Group SE has a dual management system consisting of a Management Board and a Supervisory Board.
The Management Board manages the Company under its own responsibility and is advised and monitored by the
Supervisory Board. The Management Board members in office in the 2024 fiscal year were Guido Grandi (CEO)11,
Annette Stieve (CFO) and Dr. Daniel Heymann (COO), unchanged from December 31, 2023.
In accordance with the Articles of Association, the Supervisory Board of NORMA Group SE consists of six
independent members elected by shareholders at the Annual General Meeting. The Chairman of the Supervisory
Board was Mark Wilhelms, the Deputy Chairman of the Supervisory Board is Erika Schulte 4 CORPORATE GOVERNANCE
REPORT. The following changes were made to the composition of the Supervisory Board of NORMA Group SE in
fiscal year 2024:
At the Annual General Meeting on May 16, 2024, Miguel Ángel López Borrego, who had been a member of the
Supervisory Board since 2021 and served as interim Chairman of the Management Board from January 1, 2023 to
May 31, 2023, resigned from the Supervisory Board at his own request. Further information can be found in the
4 SUPERVISORY BOARD REPORT. He was followed by Kerstin Müller-Kirchhofs. In the third quarter of 2024, an application
was made for the court appointment of Ms. Müller-Kirchhofs as a new member of the Supervisory Board until the
election at the next Annual General Meeting in 2025. Ms. Müller-Kirchhofs holds a degree in economics and is a
certified public accountant with several years of experience in the management of industrial companies. Most
recently, she was CFO of Gesco SE, a listed holding company with several medium-sized technology companies.
Ms. Müller-Kirchhofs is a member and Chairwoman of the Audit Committee of the Supervisory Board of NORMA
Group SE. As a result, NORMA Group’s six-member Supervisory Board was once again complete. Further
information on Ms. Müller-Kirchhofs’ curriculum vitae and on the Management Board and Supervisory Board of
NORMA Group SE can be found in the following section of the website: : WWW.NORMAGROUP.COM.
After the end of the 2024 fiscal year, further changes to the composition of the Supervisory Board became
necessary following the premature departure of Chairman of the Management Board Guido Grandi, announced on
February 17, 2025, and the temporary assumption of the position of Chairman of the Management Board by the
previous Chairman of the Supervisory Board, Mark Wilhelms, for a maximum of one year. Ms. Kerstin Müller-
Kirchhofs was appointed Chairwoman of the Supervisory Board of NORMA Group for the transitional period. Mr.
Wilhelms’ Supervisory Board mandate is suspended during his position as Interim Chairman of the Management
Board. 4 SIGNIFICANT EVENTS AND DEVELOPMENTS
In addition, detailed information on the composition of the Management Board and Supervisory Board and the
allocation of responsibilities between them can be found in the 4 CORPORATE GOVERNANCE REPORT. This can be viewed
on the website : WWW.NORMAGROUP.COM and is also part of this Annual Report. The Corporate Governance Report
contains the summary Statement of Corporate Governance required by Section 289f German Commercial Code
(HGB) and Section 315d German Commercial Code (HGB), including the Declaration of Conformity pursuant to
Section 161 German Stock Corporation Act (AktG), a description of the procedures of the Management Board and
Supervisory Board, as well as relevant information on significant corporate governance practices. The declaration
on the diversity concept to be disclosed in accordance with the CSR Directive Implementation Act is also a key
component of the corporate governance report. The 4 CONSOLIDATED NON-FINANCIAL STATEMENT in accordance with
NORMA Group SE – Annual Report 2024
49
11 Mr. Guido Grandi resigned from his position on the Management Board and as Chairman of the Management Board effective February 17, 2025.
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
> PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Sections 315b and 315c German Commercial Code (HGB) is included in the Condensed Management Report of
this Annual Report.
Operative segmentation by regions
NORMA Group’s strategy is focused, among other considerations, on regional growth targets. To achieve this, the
operating business is managed and controlled in the three regional segments EMEA (Europe, Middle East and
Africa), Americas (North, Central and South America) and Asia-Pacific (East Asia, South East Asia, Australia and
Oceania). All three regions have networked regional and cross-company organizations with different functions. For
this reason, the Group’s internal management reporting and control system has a strong regional focus. Regional
and local priorities are set in the area of sales service. In the future, the dimension of the global, strategic business
units will gain in importance.
Subdivision of business activities
As of December 31, 2024, NORMA Group’s business activities were divided into the three strategic business units
Industry Applications, Water Management (both formerly the Standardized Joining Technology (SJT) distribution
channel) and Mobility & New Energy (formerly the Engineered Joining Technology (EJT) distribution channel). The
EMEA, Americas and Asia-Pacific regions function as the company’s defined reporting segments. Through this
matrix organization, NORMA Group offers its global customers in the various end markets a diversified product
portfolio. The constant focus on the strategically important areas serves to optimize the focus on the respective
specific requirements with a view to the end markets and customers.
Simplified matrix organizational structure as at December 31, 2024
G008
1_On November 28, 2024, NORMA Group announced in an ad hoc announcement that the Management Board had decided to initiate a process to sell the global business activities of the strategic business
unit Water Management.
NORMA Group SE – Annual Report 2024
50
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
> PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Products and end markets
Strategic Business Units1
G009
1_On November 28, 2024, NORMA Group announced in an ad hoc announcement that the Management Board had decided to initiate a process to sell the global business activities of the strategic business
unit Water Management.
NORMA Group markets a broad portfolio of high-quality, standardized branded products in the Industry
Applications strategic business unit and in Water Management. In addition to joining components for
infrastructure solutions and products for the sustainable energy industry and renewable energies, this also
includes numerous solutions in the field of stormwater management and landscape irrigation. In recent years, the
Group has primarily used sales representatives, dealers and importers as multipliers in addition to its own global
sales network. NORMA Group’s customers include distributors, specialized wholesalers, do-it-yourself (DIY) stores
and applications in smaller industries, and also original equipment manufacturers (OEM) customers. Business
relationships with the latter have so far largely been in the Automotive Aftermarket in the Industry Applications
unit. Since 2024, NORMA Group’s Industry Applications business unit has increasingly focused on expanding and
steadily expanding its direct business with original equipment manufacturers through customer-specific product
solutions. The ABA®, Breeze®, Clamp-All®, CONNECTORS®, FISH®, Gemi®, Kimplas®, NDS®, NORMA®, Raindrip®,
R.G.RAY®, Serflex®, Teco®, TRUSTLENE® und TORCA® brands are intended to represent technical expertise, high
quality and delivery reliability.
The strategic business unit Mobility & New Energy comprises engineered, individually customized joining
technology, and is characterized especially by close development partnerships with OEMs. NORMA Group’s
central development departments and local resident engineers work together with the customer during multi-year
project phases to develop solutions for specific industrial challenges. Due to the consistently close proximity to
customers, NORMA Group’s engineers acquire comprehensive knowledge and thus understand the different
challenges of the end markets and customers very precisely. The aim is to generate added value for customers and
contribute to their economic success. Such development partnerships result in holistic product and system
solutions that meet both customer demands for efficiency and performance and take aspects such as weight
reduction and quick assembly times into account. The Mobility sub-division is in turn divided into the two end
markets Light Vehicles (passenger cars) and Heavy Vehicles (commercial vehicles). The New Energy subdivision
combines numerous applications for Electromobility.
NORMA Group SE – Annual Report 2024
51
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
> PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
By combining the provision of high-quality standardized branded products through a global distribution network
with its expertise in developing tailor-made solutions for original equipment manufacturers (OEMs), NORMA Group
can not only achieve cross-selling effects, but also realize numerous synergies in purchasing, production, logistics
and sales. In addition, the Group benefits from significant economies of scale and scope due to the diversity of its
product range and the high volumes. This enables the Group to set itself apart from competitors that specialize
primarily in individual product groups and/or regions.
Product portfolio
NORMA Group’s products are essentially divided into the product categories FASTEN, WATER and FLUID across
all segments and in some cases across the strategically relevant business units on the basis of the technology
used in the manufacturing process.
The FASTEN division bundles a wide range of metal fastening clamps and joining elements, which are made of
unalloyed steels or stainless steel and are primarily used for joining and sealing hoses as well as metal and
thermoplastic pipes.
The WATER product range includes applications in the field of Water Management and, in particular, solutions for
stormwater management and landscape irrigation as well as a diverse portfolio of joining components for various
infrastructure solutions in the water sector.
FLUID products consist of single or multiple layer thermoplastic plug-in connectors and fluid systems which,
thanks to their special characteristics, reduce assembly times, ensure the reliable flow of liquids or gases and
occasionally replace conventional products such as elastomer hoses. NORMA Group’s FLUID products are used in
numerous thermal management systems in hybrid and electric vehicles, in inductive charging systems and in heat
pumps.
NORMA Group’s engineered joining technology is used in all applications in which pipes, tubes and other systems
need to be connected. As joining technology is used in almost every industry, NORMA Group has a wide range of
end markets. These include the automotive, commercial vehicle and aviation industries, the infrastructure and
industrial project business, shipbuilding and mechanical engineering, as well as the drinking water and irrigation
industries and agriculture. NORMA Group’s products are also increasingly being used in the consumer goods
market, for example in household appliances – and here in particular in the “white goods” application area.
Although some of NORMA Group’s joining products have a low value share relative to the customer’s end product,
they are often mission-critical in use and decisive for the quality, performance and operational reliability of the
overall system.
Group-wide compliance with high quality standards and stringent quality management therefore play a crucial
role for NORMA Group. Moreover, important parameters for success include a strong brand strategy geared
towards regional growth targets and the claim of ensuring first-class service quality and high availability of
products. NORMA Group ensures this through its global sales network.
NORMA Group SE – Annual Report 2024
52
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
> PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Market and competitive environment
NORMA Group offers products and solutions for a wide variety of different industrial applications. Thanks to the
combination of expertise in the processing of both metal and plastics, and the broad diversification of its product
portfolio, NORMA Group is able to offer its customers a comprehensive range of solutions to different problems
from a single source. This sets the Group apart from competitors who predominantly specialize in individual
product segments or regions.
With the strategic business units Industry Applications and Water Management, NORMA Group operates in a
market environment with suppliers of comparable standardized products. It differentiates itself from them in
particular through its well-established brands in the market, which are the result of a targeted brand policy geared
to the regional needs of customers. NORMA Group has also received several awards from customers for its service
quality. NORMA Group provides its retail customers with a comprehensive range of products tailored to end
customer needs in the Industry Applications strategic business unit and in Water Management.
In the Mobility & New Energy strategic business unit, and, in particular, in the area of FASTEN and FLUID, NORMA
Group operates in a highly fragmented market in which numerous specialized industrial companies are active. In
this environment, NORMA Group positions itself as a provider of customized, value-creating solutions that are the
result of long-term development partnerships, and thus geared to the customer’s specific requirements. NORMA
Group distinguishes itself from its mostly regional competitors with its international business alignment and its
cross-industry customer base, in particular. Thanks to its strong focus on innovation, NORMA Group offers its
customers products that are particularly resistant to temperature and pressure as well as optimized in terms of
weight and assembly time.
A clear structural change has been taking place in NORMA Group’s traditional core business, the automotive
industry, for a number of years. The Company positioned itself in the field of electromobility at an early stage and is
closely monitoring current developments and trends in order to be able to seize positioning opportunities
immediately. NORMA Group has a broad portfolio with customized products and system solutions for applications
in electric and hybrid vehicles. For the most part, they are manufactured at its existing production facilities and on
the same equipment on which the traditional products for gasoline and diesel vehicles are manufactured. Besides
cooling systems for cars, trucks and charging infrastructure, these also include solutions for thermal management
in batteries and media-carrying systems, fasteners and connectors for hydrogen vehicles. In this respect, the
Group believes it is well equipped for the transformation to mobility based on alternative drive systems.
NORMA Group SE – Annual Report 2024
53
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
> PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Strategy and goals
Vision and mission
NORMA Group reformulated its vision and mission statement in fiscal year 2024.
“We join forces to provide superior solutions for a sustainable future.” This vision underlines the Group’s
ambition to work together on innovative solutions for a sustainable future. The ability to adapt quickly and flexibly
to changing customer requirements as well as economic and social conditions is a key success factor here.
With the mission “Driven by passionate collaboration and global excellence, we add value as the reliable
partner for mission-critical solutions in Industry Applications, Water Management, Mobility & New Energy.”
NORMA Group focuses on building trusting relationships with stakeholders as a reliable partner, promoting
sustainability and resource efficiency with relevant mission-critical products and solutions and addressing current
global megatrends. In this way, the Group supports sustainable transformation and further development in
relevant markets.
The vision and mission are in line with the Group’s central objective: increasing value.
Increase in value
NORMA Group’s main strategic objective is achieving sustainable profitable growth for the Company. The Group
aims to achieve profitability above the industry average and efficient use of Group capital. On its way to achieving
these goals, NORMA Group pursues a stakeholder-oriented approach. This is based on the expectations of
customers with regard to innovative, reliable and value-creating solutions as well as on the financial interests of
shareholders, the needs of the workforce and the concerns of suppliers. A motivated, competent and loyal
workforce is a fundamental prerequisite for meeting the diverse requirements of external stakeholders. To this end,
NORMA Group strives to offer its employees an environment geared towards continuous growth, thus
underpinning its position as an attractive employer. At the same time, NORMA Group considers it an integral part
of its corporate responsibility to reconcile the effects of its business activities with the expectations and needs of
society. Accordingly, the principles of responsible corporate governance and sustainable action apply to all
business decisions. Therefore, the Management Board regards Corporate Responsibility (CR) – NORMA Group’s
responsibility vis-à-vis people and the environment – as an integral part of the Company’s strategy. Further
information can be found in the 4 CONSOLIDATED NON-FINANCIAL STATEMENT, section 4 SBM-1 - STRATEGY, BUSINESS MODEL AND VALUE
CHAIN.
NORMA Group’s strategy for long-term value enhancement is based on the following key objectives and strategic
measures:
NORMA Group SE – Annual Report 2024
54
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
> PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Profitable growth
NORMA Group’s primary goal is to achieve a sustained increase in the Company’s value. Therefore, the focus is on
the continuous profitable expansion of business activities. By continuously expanding application solutions for
existing customers and identifying and acquiring new customers, business activities are being steadily expanded,
thus increasingly strengthening its international presence. Making selective additions to its product portfolio,
expanding its regional presence and market position in the strategic end markets of Industry Applications, and
Mobility & New Energy are at the core of NORMA Group’s growth strategy. The Water Management unit is also to
be continued unchanged until a suitable buyer is found. In identifying its business areas, NORMA Group focuses on
markets with attractive margins, sophisticated products, strongly growing sales potential and a fragmented
competitive structure. Global megatrends such as climate change are increasing the need for low-emission
technologies.
Selective product portfolio
The technological requirements for NORMA Group’s end products are constantly changing. Increasing
environmental awareness, scarcity of resources and growing cost pressure – further intensified by the overall rise
in energy costs – play a major role in nearly every sector of industry. Furthermore, there are binding legislative
requirements that are becoming more stringent, particularly in the automotive and commercial vehicle industries,
due to stricter emission regulations or special requirements for the materials used. This is also accompanied by
increasing technological change, away from conventional combustion engines towards alternative drive
technologies such as hybrid, electric and hydrogen drives. NORMA Group’s product strategy is also influenced by
climate change and the growing density of environmental regulations in key industries. NORMA Group sees many
opportunities in this to benefit from current global megatrends on the one hand and regulatory developments on
the other. This includes the area of decarbonization. Related to this are developments in the area of the energy
transition and the application field of alternative energy generation and storage. 4 LEGAL AND REGULATORY INFLUENCING
ASPECTS These framework conditions form the starting point for the development of new products. NORMA Group
focuses on value-enhancing solutions that help its customers to reduce emissions, leakage, weight, space and
assembly time. One main focus here is also on the area of thermal management for vehicles. 4 RESEARCH AND
DEVELOPMENT With its Water Management strategic business unit and its extensive product portfolio for applications
in landscape irrigation, storm water management and infrastructure solutions in the water sector, NORMA Group
helps its customers to optimize their use of scarce resources. Innovations play an important role in meeting the
increasing customer demands that accompany each new production cycle. NORMA Group therefore invests
intensively and continuously in the development of new products and the optimization of existing processes and
systems. 4 RESEARCH AND DEVELOPMENT
Selective acquisitions to supplement organic growth
By making targeted acquisitions, NORMA Group contributes to strengthening its growth and expanding its
business. Acquisitions are therefore an important part of its long-term growth strategy. NORMA Group
continuously monitors developments in the strategic business units Industry Applications and Mobility & New
Energy and plans to contribute to their consolidation with targeted acquisitions. Since its IPO in 2011, the Group
has acquired a total of 15 companies and integrated them into the Group. The main focus of M&A activities is on
companies that contribute to realizing NORMA Group’s strategic goals, strengthening its competitive position and/
or generate synergies. Continued growth and high profitability also play an important role here. NORMA Group
has built up an established market position in the fast-growing water industry since acquiring the US water
specialist National Diversified Sales (NDS®) in fiscal year 2014. In the 2024 fiscal year, the acquisition of Teco laid
the foundation for the expansion of regional business activities in the area of Water Management in Europe.
NORMA Group SE – Annual Report 2024
55
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
> PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
The management continuously reviews strategic options to increase the value of the Company. Great potential for
profitable growth is seen in the Industry Applications area, in particular, both organically and through acquisitions.
In this context, the Company concentrates on those potential target companies that either have a high degree of fit
with the current established industrial business on the one hand and enable entry into new market segments
relevant to the future on the other. Further information can be found in the next section.
Strategic growth initiatives
The decision announced on November 28, 2024, to focus NORMA Group’s business activities on its traditional core
business of engineered joining products and to initiate the sales process for the global Water Management
business activities supports the overarching strategic goal of value creation. The resources and capacities freed up
by the sale will be used to expand the market position in the Industry Applications strategic business unit and to
strengthen Mobility & New Energy.
NORMA Group continues to drive forward selected initiatives in the individual regions and strategic business units.
In addition to the regional expansion of activities, the focus of business activities is also on entering new areas of
application. This refers, among other things, to the examples in the sections 4 RESEARCH AND DEVELOPMENT and
4 PRODUCTS AND END MARKETS.
The specific growth initiatives of the business units in NORMA Group’s Group structure as of December 31, 2024
are as follows:
Industry Applications focuses on maximizing market opportunities and profitability by sharpening its offering. In
particular, the focus here is on the transition from product supplier to solution provider, both in existing and new
markets. The direct business with original equipment manufacturers and their specific needs for highly developed
products and solutions will increasingly become the focus of business activities. The first steps in this direction
were already successfully taken in the 2024 fiscal year. 4 SIGNIFICANT EVENTS AND DEVELOPMENTS. The traditional retail
segment, i.e. sales via sales representatives and wholesalers, will remain a key pillar during the planned
transformation. This requires continued active portfolio management and a strategically oriented brand strategy.
E-commerce initiatives are also to be strengthened, thereby consolidating the retail business. The targeted use of
resources and capacities as well as flexible production facilities are crucial in order to specifically address the
individual needs of the various customers in the Industry Applications strategic business unit and thus successively
expand the division.
In the Water Management business unit, the focus is on significant growth in the global business, primarily by
concentrating on the areas of stormwater management and landscape irrigation. The aim is to address both the
private and commercial sectors in key markets worldwide. Global macro trends and the growing demand for
product and solution expertise are having a supporting effect, not least due to increasing regulation worldwide. In
addition to offering the established portfolio, the focus is therefore also on developing innovative solutions for the
water industry. The aim is to offer not only ecological but also economic benefits for customers and their specific
needs. The expansion and simultaneous increase in awareness of the brand business, which has so far been
established primarily in Americas, must be considered an essential component: The launch of the NDS® brand as
the flagship brand for Water Management solutions in the EMEA region in the fiscal year 2024 is a good example
of this.
The activities of the Mobility & New Energy business unit are to be strengthened globally. This includes optimizing
and improving positioning with regard to existing products on the market. NORMA Group is also positioning itself
accordingly in order to flexibly counter the current market uncertainties and the resulting trends with appropriate
NORMA Group SE – Annual Report 2024
56
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
> PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
measures. This requires a comprehensive understanding of constantly changing market requirements, but also
agility and flexibility in order to meet customer needs and expectations in a targeted manner. To this end,
processes and procedures are constantly being further standardized and automated and innovation is being
driven forward in line with customer expectations. The Group focuses on selected, high-margin businesses that
meet the current and future requirements of its customers. Electromobility remains a key future market for NORMA
Group, which the Company has been addressing for more than a decade. At the same time, the NORMA Group
will seek to achieve and defend a leading market position in all regions by constantly improving its cost structures.
NORMA Group therefore believes it is well positioned to benefit from future developments.
The achievement of the growth initiatives outlined here is actively supported by the “Step Up” program
implemented in mid-2023.
Strategic goals of NORMA Group
G010
MARKET LEADER FOR JOINING AND FLUID-HANDLING TECHNOLOGY
FOR EXISTING AND FUTURE MARKETS
CLIMATE CHANGE AND SCARCITY OF RESOURCES
ARE GLOBAL MEGATRENDS WHICH FORM THE BASIS FOR
NORMA GROUP’S BUSINESS MODEL
NORMA Group SE – Annual Report 2024
57
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
> PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Growth and efficiency program “Step Up”
NORMA Group established the “Step Up” growth and efficiency program in 2023. This is a program to
continuously improve the operating business in terms of operational efficiency and productivity with a view to
profitable growth. In particular, “Step Up” includes measures to implement growth plans in the strategically
important Industry Applications and Mobility & New Energy business units as well as in Water Management and
to increase operational efficiency. In particular, resources – for example in research and development – should be
deployed with the aim of achieving the best possible economic effect. The implementation of the individual
measures contained therein is continuously monitored. The needs of customers are at the center of all activities.
The measures in the area of Operational Efficiency are aimed at further improving internal and external business
processes and gearing them towards sustainable profitable growth. Among other things, the focus here is on
improving processes. To this end, the IT systems are being further optimized and globally standardized, and
complexities are being systematically reduced. NORMA Group wants to further improve its delivery capability
while keeping inventories low and further shortening response times. To achieve these goals, especially in all
functional areas of supply chain management (SCM), NORMA Group has started the SCM transformation and is
working on improving delivery services for customers, lowering supply chain costs, especially for freight, and
getting inventory levels right. To this end, the SCM organization is being further improved, employees are being
trained and supported and material and information flows in the supply chain are being optimized.
NORMA Group was already able to achieve noticeable improvements in operating efficiency in fiscal year 2024.
For example, supply chain management in the EMEA region was supported and stabilized, and processes were
introduced to sustainably improve efficiency. Product availability and the delivery service for customers have
improved. This positive development puts NORMA Group in a position to better support the sales of its products in
the future. The issue of optimizing production processes is also essential given the objective of using resources in
the production process to extract a high economic gain. The focus here is particularly on the automation of
processes for production and internal material flow. In fiscal year 2024, work was also carried out to identify
further potential for improvement. Based on this, a roadmap for automation processes in the areas of production
and logistics was defined.
Growth plans for the three strategic business units are pooled under the Growth mantle. In doing so, the alignment
in strategic business units is to be consistently implemented in the corporate organization and the business units
are to be given more autonomy. This is to promote customer centricity while growth and investment decisions are
to be made increasingly in the units. This allows opportunities to be seized more quickly and in a more targeted
manner and customer requirements to be taken into account more specifically. In concrete terms, the plan is to
generate stronger growth in the areas of Water Management and Industry Applications by gaining stable
business. In the Mobility & New Energy area, NORMA Group focuses on seizing sales opportunities in the area of
alternative drive systems, such as battery electric or hydrogen-powered vehicles, and meeting customer
requirements for stricter emission regulations with innovative products.
In terms of growth, NORMA Group also succeeded in making progress in the strategically important Industry
Applications and Mobility & New Energy business units, as well as in Water Management in the past fiscal year:
The Industry Applications business unit expanded its sales channels in the fiscal year 2024 and increased the
reach of its joining products through customized adaptations. Examples of this include an order from a household
appliance manufacturer for individualized metal clamps for dishwashers and the use of metal clamps from
NORMA Group in the cooling system of energy storage facilities in Germany. Another reference is the order from a
NORMA Group SE – Annual Report 2024
58
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
> PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
US DIY chain, which was concluded at the beginning of 2025 and is intended to drive NORMA Group’s consumer
business and localization in the USA.
In the Water Management business unit, NORMA Group laid the foundation for the expansion of regional Water
Management business activities in Europe by completing the acquisition of Teco Srl in spring 2024. NORMA Group
will continue to drive the expansion of its activities in the EMEA region and thus increase the attractiveness of the
division for potential interested parties.
Successes were also achieved with regenerative product applications in the Mobility & New Energy business unit
in 2024. This includes, for example, an order to equip a new electric car platform in India with lightweight tubes for
thermal management.
In the current reporting year, the Group also continued to work on identifying new sales potential. This also means
that NORMA Group’s teams in the strategic business units also focus on alternative applications for products
already established on the market in order to open up new product application areas. Research was also carried
out into the reduction of flow resistance and new materials for fluid components. This is in line with NORMA
Group’s commitment to always offer highly developed joining technologies tailored to the individual needs of the
customer and in doing so gain (and retain) new customers. 4 RESEARCH AND DEVELOPMENT
Financial and liquidity management objectives and strategies
NORMA Group’s objectives and strategies with regard to central finance and liquidity management are
unchanged compared to the previous year and are as follows:
I. Ensuring solvency at all times
NORMA Group’s most important financial objective is to secure its ongoing solvency in the long term. This is
ensured through sufficient operating liquidity and the maintenance of corresponding strategic liquidity reserves.
These reserves also include readily available credit lines to take advantage of short- to medium-term
acquisition opportunities.
Regular rolling liquidity planning for all major Group companies, which is analyzed and aggregated by the
centrally organized Group Treasury forms the main strategic cornerstone of NORMA Group’s financial
management. This is also a valuable tool for measuring and managing liquidity risk, particularly with regard to
current geopolitical and economic conditions.
Financing flexibility is ensured by maintaining the appropriate credit lines. These are negotiated loan
commitments that can be drawn down within a very short period of time and can subsequently compensate
peaks in required liquidity. NORMA Group has a revolving credit line as part of the syndicated bank loan. This
credit line can be drawn in various currencies and maturities up to an amount of EUR 50 million. In order to
increase flexibility, NORMA Group agreed on a further revolving credit line within the existing syndicated bank
loan of EUR 50 million in October 2021, so that a credit line of EUR 100 million in total can be drawn from.
NORMA Group uses asset-backed security (ABS), factoring and reverse factoring programs to manage
liquidity, optimize working capital and improve the predictability of cash flows.
The financing measures undertaken in fiscal year 2024 are described in detail in the explanatory notes to the
financial position. 4 FINANCIAL POSITION
NORMA Group SE – Annual Report 2024
59
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
> PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
II. Limiting financial risks
The Group Treasury division constantly identifies and assesses interest rate and currency risks and selects
suitable hedging instruments to reduce these risks. Here, not only derivative hedging instruments, but also the
appropriate foreign currency financing, are used to reduce currency risks. The overall goal is to optimize the
assets and liabilities side of the balance sheet with regard to currency risks. In addition, operating currency
risks are also reduced in the Group companies above a defined threshold by using derivative financial
instruments. Here, Group-wide liquidity planning is crucial to identifying and managing such risks.
In order to limit interest rate risks, NORMA Group aims to hold a balanced ratio of fixed and variable interest
rate instruments, either originally or with the aid of interest rate swaps. As at December 31, 2024, around 55%
(2023: 58%) of all debt instruments have variable interest rates and are not hedged by interest rate swaps. In
addition, current risk positions are monitored regularly by Group Treasury and assessed for their risk-bearing
capacity. Group Treasury initiates appropriate countermeasures if the defined risk parameters are exceeded.
Key elements of the policy on limiting financial risks are the clear definition of process responsibilities,
multistage approval processes and regular risk assessments.
III. Optimizing the Group’s internal liquidity
NORMA Group Holding manages its liquidity centrally and is responsible in particular for investing surplus
liquidity as well as for internal Group financing. The Group Treasury of the NORMA Group constantly works on
improving internal financing opportunities and bundling the Group’s liquidity in order to make it available for a
wide variety of funding purposes. This is achieved by optimizing the allocation of cash and cash equivalents in
NORMA Group Holding and at the same time ensuring the solvency of the respective individual companies at
all times. A professional treasury management system is used for this purpose that provides a daily overview
of the cash holdings of almost all subsidiaries. Regional cash pools have been installed to enable the technical
implementation of liquidity centralization. Further cash concentrations are carried out at regular intervals.
Manual pooling makes it possible to ensure an optimized cash position for all Group companies. Particular
attention must be paid to local conditions in international payment transactions.
Control system and key performance indicators
The consistent focus on the Group objectives mentioned is also reflected in the internal control system at NORMA
Group, which relies on both financial and non-financial control parameters.
Important financial control parameters
NORMA Group’s most important financial performance indicators include the following value- and growth-
oriented key figures, which have a direct impact on NORMA Group’s value creation: Group sales, adjusted EBIT
margin and net operating cash flow. These key figures lead to the NORMA Value Added (NOVA) as the primary
strategic performance indicator. NORMA Group uses these key figures to continuously monitor its success in terms
of growth, profitability, liquidity and capital efficiency.
NORMA Group SE – Annual Report 2024
60
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
> PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Important financial control parameters
G011
Group sales
As a growth-oriented company, NORMA Group attaches particular importance to profitable sales growth. The
Group seeks to achieve short- and medium-term growth above the market average. In contrast to previous years
and since the fiscal year 2024, the Group is providing an absolute range when it comes to the targeted Group
sales figure as part of its forecast. 4 FUTURE DEVELOPMENT OF THE NORMA GROUP
Due to the broad market structure in the area of joining technology, the Management Board is guided by internal
analyses as well as studies by leading economic research institutes on the development of the gross domestic
product of the respective regions and on the production and sales figures of the relevant customer industries in
developing the forecast on the expected development of sales. In addition, management is including selected
leading indicators such as customer order behavior in the trading business (formerly Standardized Joining
Technology/SJT = strategic business units “Water Management” and “Industry Applications”) and the order
backlog in the formerly Engineered Joining Technology division (EJT = strategic business unit “Mobility & New
Energy”) in its forecast.
Adjusted EBIT margin
The adjusted EBIT margin, which shows the adjusted EBIT (earnings before interest and taxes) in relation to sales,
provides information on the profitability of business activities and represents a key internal management and
evaluation indicator of the Group’s ongoing operating activities. In addition, adjusted EBIT forms the basis for the
remuneration of the Management Board and the incentives for non-pay-scale employees. In order to maintain the
Group’s profitability at a high level, NORMA Group constantly strives to optimize its company processes and
structures. In doing so, the Company focuses primarily on sustainably reducing key cost factors.
For a long-term comparison and a better understanding of the business development, NORMA Group adjusts the
operating result for certain expenses and income in connection with realized M&A transactions. Further
information can be found in the section 4 ADJUSTMENTS.
NORMA Group SE – Annual Report 2024
61
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
> PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Net operating cash flow
In order to maintain the Group’s financial independence and solvency at all times, NORMA Group is also guided by
net operating cash flow in managing the Group. This comprises the most important cash-effective items that can
be influenced by the individual business units and provides information on whether NORMA Group can finance its
operating business out of its cash flow. It is calculated on the basis of adjusted EBITDA plus changes in working
capital, less investments from operations. The main starting points for improving net operating cash flow are
therefore to increase sales, to improve the operating result (EBITDA) adjusted for special effects and to engage in
sustained value-enhancing investment activity. In addition, consistent management of working capital focusing on
continuous optimization also has a positive impact on net operating cash flow.
NORMA Value Added (NOVA)
NORMA Group’s objective is to use the capital provided to it by shareholders and lenders as efficiently as possible
in order to ensure the long-term positive development of the Group. In order to manage this, NORMA Group
determines the annual increase in value in the form of the so-called NORMA Value Added (NOVA). NOVA is
calculated from adjusted EBIT less taxes and the cost of capital. The cost of capital is defined by the weighted
average cost of capital (WACC) and the capital employed (equity plus net debt).
NOVA =
(adjusted EBIT x (1 – s)) – (WACC x capital employed)1
NORMA Value Added (NOVA)
T010
2024
2023
Adjusted EBIT1
EUR millions
92.3
97.5
Adjusted Group tax rate
%
40.8
41.3
Taxes
EUR millions
37.6
40.3
Adjusted EBIT after taxes1
EUR millions
54.7
57.2
– WACC2 x capital employed (in EUR millions)
EUR millions
93.5
100.8
NOVA
EUR millions
-38.8
-43.6
1_Adjusted for expenses in connection with acquisitions.
2_Weighted Average Cost of Capital.
Capital employed1
T011
2024
2023
Equity
EUR millions
693.4
705.4
Net debt
EUR millions
345.4
349.8
Capital employed
EUR millions
1,038.9
1,055.1
1_As of the beginning of the year.
NORMA Group SE – Annual Report 2024
62
1 The variable “s” represents the taxes.
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
> PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
The cost of capital rate is calculated on the basis of the following assumptions and calculations:
Assumptions for the calculation of WACC
T012
in %
2024
2023
Risk-free interest rate
2.50
2.75
Market risk premium
7.50
7.50
Beta factor of NORMA Group
1.55
1.65
Cost of equity rate
15.03
16.04
Borrowing cost rate after taxes
2.70
3.04
WACC after taxes
9.00
9.55
The base interest rate (risk-free interest rate) is calculated from the interest rate structure data of the Deutsche
Bundesbank (three-month average: October 1 to December 31, 2024). The market risk premium represents the
difference between the expected return on a risky market portfolio and the risk-free interest rate. NORMA Group
uses the recommendation of the Institut der Wirtschaftsprüfer in Germany (Institute of Public Auditors in Germany
(IDW)) to determine this risk premium. The beta factor represents the individual risk of a share compared to a
market index. It is first determined as the average value of the unindebted beta factors of the peer group and
subsequently adjusted to NORMA Group’s individual capital structure. The cost of equity is calculated by adding
the risk-free interest rate and the weighted country risk of NORMA Group with the product of the market risk
premium and the indebted beta factor of the peer group. The credit spread used to calculate the cost of debt was
determined on the basis of the terms of the current external financing of NORMA Group. Invested capital is
calculated from consolidated equity plus net financial debt as of January 1 of the respective fiscal year.
The financial control parameters are planned and continuously monitored in the Group, but also for the most part
at the segment and Group company levels. Deviations between planned and actual figures are tracked in the local
companies and aggregated at the regional segment level as part of the monthly analysis. Business development is
regularly forecast on the basis of the available monthly and quarterly results and assuming various scenarios.
Important non-financial control parameter
Carbon dioxide emissions
Compliance with applicable environmental protection requirements and the avoidance of environmental risks are
key priorities for NORMA Group. The company adheres to international standards and guidelines in this regard.
Since fiscal year 2023, only CO2 emissions which have also been a target figure within Management Board
remuneration for determining part of the long-term Management Board remuneration (ESG LTI) since 2020, have
been considered a key non-financial performance indicator.
The CO2 emissions for the target value were reported in the control system in accordance with the GHG Protocol
(market-based, Scope 1 and Scope 2) until the end of fiscal year 2024. Scope 1 includes only emissions from
natural gas and liquefied petroleum gas, and Scope 2 includes emissions from purchased electricity and district
heating. Only emissions related to the production sites were taken into account when recording emissions. Since
January 2022, NORMA Group has sourced electricity from renewable energies at all production sites. For this
purpose, NORMA Group purchases "Energy Attribute Certificates." These are also included in the target.2
NORMA Group SE – Annual Report 2024
63
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
> PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
The Group strives to continuously reduce these emissions. NORMA Group’s target of reducing CO2 emissions from
its production processes by 19.5% by 2024, compared to the reference year 2017, was already overachieved
considerably in 2022. In the 2024 fiscal year, CO2 emissions amounted to 4,171 t CO2eq (2023: 5.064 t CO2eq).2
Other non-financial performance indicators
Other important non-financial indicators include the Group’s innovative capacity, measured by the number of
invention applications, the problem-solving behavior of employees, expressed in defective parts per million parts
produced (parts per million/PPM), and the rate of reportable accidents at work. The detailed set of personnel and
environmental key figures as well as key figures on occupational health and safety in the Group can be found in
the 4 CONSOLIDATED NON-FINANCIAL STATEMENT.
The target figures for the financial and the non-financial control parameters for 2025 and the assumptions
underlying the forecast are presented in the 4 FORECAST REPORT.
Financial control parameters
T013
2024
2023
2022
2021
2020
Revenue
EUR millions
1,155.1
1,222.8
1,243.0
1,091.9
952.2
Adjusted EBIT1
EUR millions
92.3
97.5
99.0
113.8
45.3
Adjusted EBIT margin1
%
8.0
8.0
8.0
10.4
4.8
Net operating cash flow
EUR millions
105.4
87.3
65,3
99.8
78.3
NORMA Value Added
EUR millions
-38.8
-43.6
-27.1
16.0
– 46.4
1_Adjusted for acquisition-related costs only.
Non-financial control parameter
T014
2024
2023
2022
2021
2020
CO2 emissions1,2,3
t CO2 eq
4,171
5,064
4,8792
43,449
49,813
1_Since 2020, CO2 emissions have been a target figure for determining part of the long-term Management Board remuneration and have therefore been included in the management system.
2_The CO2 emissions for the target value are reported in accordance with the GHG Protocol (market-based, Scope 1 and Scope 2). Scope 1 includes only emissions from natural gas and liquid gas and
Scope 2 emissions from purchased electricity and district heating. When recording emissions, only emissions relating to the production sites are taken into account. Since January 2022, NORMA Group
has purchased electricity from renewable energy sources at all production sites. NORMA Group purchases “Energy Attribute Certificates” for this purpose. These are also included in the target value.
3_The methodology described in footnote 2 was used in the management system until the end of 2024 based on the forecast for CO2 emissions of “below 9,600 tons of CO2 equivalents” issued in fiscal
year 2024. The change in the calculation basis in connection with the first-time application of the European Sustainability Reporting Standards (ESRS) will be included in the 2025 Annual Report. This
means that in future annual reports, the emissions from the greenhouse gas balance in accordance with the Greenhouse Gas (GHG) Protocol initiative will be reported in the Scope 1 to Scope 3
categories for all locations worldwide in the management system.
NORMA Group SE – Annual Report 2024
64
2 The methodology presented was used in the management system until the end of 2024 based on the forecast issued in the 2024 financial year
for CO2 emissions of “below 9,600 tons of CO2 equivalents”. The change in the calculation basis in connection with the first-time application of the
European Sustainability Reporting Standards (ESRS) will be included in the 2025 Annual Report. This means that in future annual reports, the
emissions from the greenhouse gas balance in accordance with the Greenhouse Gas (GHG) Protocol initiative will be reported in the Scope 1 to
Scope 3 categories for all locations worldwide in the management system.
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
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> PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
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254 REPORT ON
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4 CONSOLIDATED
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5 FURTHER INFORMATION
Research and Development
NORMA Group’s research and development activities are aimed at identifying technological trends at an early
stage and addressing them in a targeted manner. This is intended to best support the achievement of the
Company’s strategic goals. The focus is on developing new products and system solutions in order to tap into new
markets and customer groups in the best possible way. NORMA Group assesses new technologies according to
the extent to which they help to optimize current processes, minimize the use of materials or further improve the
functionalities and sustainability of the end products. NORMA Group’s goal is to generate added value for its
customers. The focus is on innovative and high-quality solutions to the global challenges of the respective end
markets. In the 2024 fiscal year, these included the topics of digitalization, stationary energy storage systems and
hydrogen as an alternative energy source, in addition to electromobility and water management. Efficient use of
resources and environmental protection play an important role alongside specific market and customer
requirements.
As a Group function, the R&D departments equally support the strategic business units Industry Applications and
Mobility & New Energy as well as the Water Management unit. This enables optimized cross-regional cooperation
between the teams and close integration of development activities with the business development teams (sales
and application engineering). The distinct global focus of the business units enables more targeted and efficient
working on the tasks that lie ahead. At the same time, tasks and projects continue to be prioritized in line with
strategic requirements, by the Innovation Council and Global Product Management, for example.
Focus on innovations
The focus of NORMA Group’s research and development activities is on retaining and strengthening the
Company’s innovative strength. Innovative technologies, solutions and products are the foundation of NORMA
Group. The focus therefore remains on the systematic planning and implementation of new and further
development projects. The so-called Foresight Manager and Global Product Management are jointly responsible
for monitoring the strategic end markets and bundling the knowledge gained in the internal innovation
management process.
NORMA Group further continued and optimized the above-described concept of innovation, research and (product)
development in fiscal year 2024. The process from a product idea through concept development to the design
concretization phase was rethought. Interfaces to manufacturing engineering and product industrialization have
been redefined. The solutions and approaches developed have been incorporated into organizational adjustments
within the R&D teams and will also be used in subsequent years. NORMA Group aims to generate added value
through increased efficiency in product development. In detail, the consistent use of technologies such as
numerical simulation and the close exchange between product experts within the entire global R&D organization
are intended to achieve improved consistency with the help of a reduced number of interfaces and shorter
development times (“time-to-market”).
NORMA Group SE – Annual Report 2024
65
1 INTRODUCTION
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> PRINCIPLES OF THE
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69 ECONOMIC REPORT
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Numerical simulation and validation of new technologies
NORMA GROUP is committed to including future-driven technologies identified on the basis of the global
megatrends into the development and design of new products. Mathematical models and numerical simulations
play a key role in the early development phases for the efficient development and optimization of new product
concepts. In addition to theoretical-technical investigations (known as verification), the respective concepts are
also subjected to subsequent extensive physical tests (known as validation). The new perspective on the physical
mechanisms opened up by simulation improves our understanding of our products and processes. This enables
more targeted and efficient product development and optimization. This allows the required development times to
be optimized. The number of experimental optimization loops required, including the time needed for prototyping
and testing in the laboratory, can thus be reduced. The final experimental validation of new products ideally
confirms the product properties previously determined via simulation. This simulation serves to safeguard that the
investigated products, technologies, materials and manufacturing processes meet the needs of the market.
Strategic cooperation with customers and research institutions
Within the Industry Applications strategic business unit, the requirements of NORMA Group’s customers focus on
high quality, a strong brand image and the availability of products in a largely complete range at all times.
Traditionally, activities in Industry Applications addressed the retail segment in 2024. A new approach for NORMA
Group is also the increased inclusion of the individualized product aspect. The focus is shifting more strongly to
specific customer requirements. Recognizing and understanding the respective customer applications results in
potential for optimizing the existing product portfolio and also creates potential new impetus. NORMA Group also
aims to develop new product lines adapted to individual customer needs and new market requirements.
The strategic business unit Mobility & New Energy is characterized by the fact that NORMA Group works closely
with its end customers, leading research and development institutions, suppliers and other external partners.
Customer requirements can thus be incorporated directly into the development of new products and technologies.
In the 2024 fiscal year, activities focused primarily on customer-specific fluid-handling solutions. For competitive
reasons, the Company refrains from publishing the specific contents of these development partnerships.
In the business unit Water Management, NORMA Group maintains close contact with its distributors, end
customers, installers, trading and construction companies, as well as regulatory authorities, due to the wide range
of standards, varying regulatory requirements and best practices. By doing so, differentiated product solutions can
be developed to serve local market needs.
Development focuses in 2024
In the 2024 fiscal year, the focus of product development and product enhancement was determined by the trend
topics of sustainability, mobility, digitalization and globalization.
In the Industry Applications strategic business unit, the area of alternative energy generation and storage is a key
trend. The first successes were already announced in 2024. This includes, for example, the equipment for a cooling
system for an energy storage facility in Germany. NORMA Group’s products support the temperature control of
stationary batteries. Other fields of application in industry and adapted product application areas, including the
“white goods” area, were also addressed in the 2024 fiscal year. For example, NORMA Group has developed a
custom-made TORRO metal clamp for a household goods manufacturer in the USA for use in dishwashers. A new
combination of the clamp band developed and manufactured in Europe and a screw based on the Anglo-
American measurement system was designed for the order. This is an example of NORMA Group’s new approach
NORMA Group SE – Annual Report 2024
66
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
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> PRINCIPLES OF THE
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69 ECONOMIC REPORT
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to Industry Applications, which shows how new business can be established directly with manufacturers of
machinery and equipment from various industries in addition to the traditional distribution channels via
distributors. The Group’s focus is on using its development expertise to continuously acquire new customers in
relevant markets and expand its market position in the Industry Applications business in the medium term.
Thermal management of batteries and systems remains a key issue in the electromobility field within the Mobility
& New Energy strategic business unit. For example, NORMA Group is developing special line systems that are
used in thermal management systems for hybrid and electric vehicles, where they ensure even temperature
distribution in the battery and maintain the optimal operating state of the cells. The consistent use of numerical
simulation has been instrumental here in developing fluid components and systems with the lowest flow
resistances and thus maximized efficiency and resource conservation. In addition, innovations in 2024 focused on
the goal of market and technology leadership. Alongside to new product solutions, significant work was also done
on the transfer of existing product concepts between the individual strategic business units of NORMA Group. In
2024, the Company entered the new heat pump application segment and increased its business with original
equipment manufacturers. The continuous improvement of products based on the aspects of efficiency,
standardization, robustness, resource conservation and weight reduction is constantly taken into account. NORMA
Group also continues to be active in the field of fuel cells and supplies line systems and fastening elements here. In
this environment, further projects are underway to help prepare the Company’s current and new product solutions
for use in fuel cell technology. Examples of this include the development of components made from special plastic
grades that meet new customer requirements for hydrogen line systems.
In the Water Management strategic business unit, research and development activities focused on market-
oriented, innovative solutions for the efficient and sustainable use of water. The development of new products and
technologies was geared towards increasing requirements in the areas of user-friendliness, sustainability and
digitalization. Thanks to comprehensive internal expertise and close cooperation with customers, sales partners
and authorities, the existing product portfolio was adapted to market requirements and supplemented with
innovative new developments. One example of a development in the 2024 fiscal year is a reusable clamp
connector for irrigation applications, which makes an important contribution to conserving resources and reducing
plastic waste. In drainage management, the focus was on technological advances in water recovery and filtration.
New developments in the areas of underground drainage systems, flexible drainage solutions and innovative
concepts for increasing the water permeability of ground surfaces are helping to improve resilience to heavy
rainfall events and safeguard water quality in the long term. In line with NORMA Group’s sustainability goals,
further initiatives have also been launched to increase the use of recycled and environmentally friendly raw
materials in product and process design. This underscores NORMA Group’s continuous efforts to develop
innovative solutions that offer both environmental and economic benefits for its customers.
Know-how protected by patents
Its unique know-how in the field of joining technology represents a key success factor for NORMA Group.
Therefore, the Group protects its innovations through patents. A total of 719 patents and utility models were held
as of December 31, 2024 (2023: 729); the number of patents thus remained almost constant compared to the
previous year. Both in terms of the number of internal invention applications (2024: 25, 2023: 20) and in the
number of new patent applications filed (2024: 41, 2023: 28) a significant increase was recorded compared to the
previous year.
NORMA Group SE – Annual Report 2024
67
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
> PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
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202 FORECAST REPORT
210 RISK AND OPPORTUNITY
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229 REMUNERATION REPORT
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252 TAKEOVER-RELEVANT
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254 REPORT ON
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R&D Expenses
Expenditure on research and development amounted to EUR 50.8 million in 2024. (2023: EUR 44.3 million). This
corresponds to around 4.4% (2023: 3.6%) of NORMA Group’s total sales in fiscal year 2024. The capitalization
ratio, i.e., the share of own work capitalized in R&D expenses in the current reporting year was 12.9% (2023: 6.8%).
Employees in R&D
As at December 31, 2024, the Group employed 338 people in research and development (2023: 316 employees)
worldwide. This represents around 5.6% of the core workforce (2023: 5.3%).
R&D Figures
T015
2024
2023
2022
2021
2020
Employees in R&D
Number
338
316
311
343
340
R&D employee ratio
% of permanent staff
5.6
5.3
5.0
5.5
5.1
R&D expenses
EUR millions
50.8
44.3
40.6
38.0
29.0
R&D ratio
% of revenue
4.4
3.6
3.3
3.5
3.1
Invention applications
Number
25
20
21
25
22
NORMA Group SE – Annual Report 2024
68
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
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> PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
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254 REPORT ON
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4 CONSOLIDATED
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5 FURTHER INFORMATION
Economic Report
External factors of influence
Economic factors
NORMA Group is active in many different industries and regions. Seasonal and economic fluctuations in individual
countries or industries can have an impact on customer demand and the order situation of NORMA Group. At the
same time, NORMA Group is less vulnerable to temporary declines in demand in individual industries or countries
thanks to its diversified product portfolio and broad customer base.
Global economy in 2024: continued diverse burdens, not revived despite interest rate turnaround
Global economic momentum remained moderate and regionally heterogeneous in 2024. The economic gap was
particularly wide between the most important economic areas of the USA, China and Europe. The conditions for an
economic upturn were good due to lower raw material and energy costs, diminishing inflationary pressure and the
turnaround in interest rates initiated over the course of the year. However, the interest rate impetus came late –
especially in the USA – and the geopolitical environment in particular caused great uncertainty. For example,
Russia continued the war in Ukraine with the involvement of North Korea, and the conflict in the Middle East
escalated. EU sceptics gained ground in the European elections and governments in key countries (France,
Germany) were increasingly weakened. Towards the end of the year, the announcements made by Donald Trump,
who won the US presidential election in November, triggered new uncertainties worldwide. In addition, more
extreme weather events occurred in 2024 as a result of climate change. Despite all the pressures, the flow of
goods remained intact in 2024. The Kiel Institute for the World Economy (IfW) and the International Monetary Fund
(IMF) put global growth for 2024 at 3.2%, with momentum in the industrialized countries remaining subdued at
just +1.7%. In contrast, the economic output of emerging and developing countries increased by 4.2%.
Despite expansive monetary and fiscal policy, there was no real economic recovery in China. The unresolved real
estate crisis continued to dampen consumption. In addition, the high debt burden of various local governments
weighed on the economy. Fixed asset investments and industrial production grew only modestly. However, China
has significantly increased its output in the areas of mobility (cars, trains, airplanes), high-tech (computers,
communication technology) and renewable energy (solar, wind). The other Southeast Asian economies,
particularly the ASEAN-5 countries (+4.5%), grew somewhat faster than recently thanks to brisker global trade.
India, the world’s most populous country, is catching up economically and growing very dynamically in structural
terms. In 2024, the increase amounted to 6.5%. Important drivers here are population growth and urbanization.
In the US, the economy was experiencing a broad, strong upturn in 2024 (+2.8%) , stimulated by private
consumption and expansive government spending. Investment activity was also brisk, both in equipment and in
construction. In view of the dynamic domestic economy, the Fed maintained its tight monetary policy for a long
time. It only lowered interest rates in three stages in the last four months of 2024, supported by easing inflationary
pressure. However, industrial production was impacted by the weak global economy and was just below the
previous year’s level for the whole year (-0.2%). Average capacity utilization fell from 79.0% to 77.6%.
NORMA Group SE – Annual Report 2024
69
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
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(HGB)
202 FORECAST REPORT
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GDP growth rates (real) in %
T016
2024
20236
20226
World1
3.2
3.3
3.5
China2
5.0
5.4
3.1
USA3
2.8
2.9
2.5
Euro zone4
0.7
0.4
3.5
Germany5
-0.2
-0.3
1.4
1_IWF.
2_National Bureau of Statistics (NBS).
3_Bureau of Economic Analysis (BEA).
4_Eurostat.
5_Federal Statistical Office (Destatis).
6_Partially revised data.
European economy continued to stagnate in 2024
In Europe, the economy remained in poor shape in 2024 under pressure from global risks and weak export
markets. The decline in the inflation rate had a stabilizing effect, although this was mainly due to falling energy
prices. In June 2024, the European Central Bank (ECB) initiated a turnaround in interest rates. The ECB lowered the
deposit rate from 4.00% to 3.00% in a total of four steps. The British and Swiss central banks also eased their
monetary policy, and both countries experienced moderate economic growth. Domestic demand in the eurozone
was driven by private and public consumption. In contrast, the industrial economy was weak with a decline in
production output. Capacity utilization fell to an average of 76.9% in the final quarter of 2024 compared to 79.6%
at the end of the previous year. Gross domestic product rose by just 0.7% in 2024, according to data from the
Eurostat statistics office. Developments varied in the individual European countries: While France and Spain
experienced robust growth, economic development in Italy, Sweden, Finland and Hungary was below average.
Austria was in recession.
Germany’s economy stagnated again in 2024 – industry in crisis mode
Despite falling interest rates, the German economy again failed to develop any noticeable upward momentum in
2024 – for the fifth year in a row – and is in the longest period of stagnation since the Second World War. In
addition to the weak economic tailwind, the industry is undergoing profound structural change due to the very high
pressure to adapt. Digitalization, decarbonization, demographics and the global economy’s move away from
previously highly interconnected production and supply relationships pose particularly significant challenges for
the German economy. The industry is also suffering increasingly from competition from China and location-specific
disadvantages in many areas. As a result, industrial production in Germany was in an above-average downward
spiral in 2024. Capacities were underutilized in many cases. The situation continued to deteriorate steadily over
the course of 2024. In the last quarter, the average occupancy rate was only 76.1%. At the end of 2023, this figure
was 81.7% and at the end of 2022 it was 84.7%.
According to the Kiel Institute for the World Economy, uncertainty about the direction of economic policy and the
break-up of the governing coalition also inhibited the willingness to invest and thus weighed on the consumer
climate. According to the Federal Statistical Office (Destatis), the German economy shrank by 0.2% in 2024.
NORMA Group SE – Annual Report 2024
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Exchange rate fluctuations
Due to its international activities, exchange rate fluctuations have an impact on NORMA Group’s business. 4 RISK
AND OPPORTUNITY REPORT
In fiscal year 2024, NORMA Group generated around 42% of its sales in US dollars. The development of the US
dollar against the euro led to a negative effect on sales in fiscal year 2024. There were also further negative effects
from the Chinese renminbi yuan.
Industry-specific influencing factors
The industry-specific influencing factors presented below take into account a large part of the industry segments
and regional sales markets served by NORMA Group.
Mechanical engineering 2024: global downturn with few exceptions, German manufacturers in crisis
The global industrial sector lacked noticeable impetus in 2024, meaning that the recovery remained subdued
compared to the weak previous year. In the first eleven months, global industrial production (excluding
construction) rose by 1.7% (2023: +1.0%, 2022: +2.9%). The growth came from the emerging markets. In the
industrialized countries, however, production fell slightly. Overall, the willingness to invest remained low
worldwide. However, China invested heavily in metal processing, energy supply and railroad infrastructure. The
USA stimulated investment in selected key areas (semiconductors, e-vehicles, renewable energy) with
comprehensive support programs. US equipment investments rose by 3.7% overall. However, the negative trend
continued in the UK and the eurozone in 2024. Investments in machinery and equipment were down again.
After several years of lean times, the crisis in the traditionally very export-oriented German mechanical engineering
sector intensified significantly once again. The VDMA (German Engineering Federation) assumes that the industry
has now slipped into a broad-based downturn following last year’s global stagnation. According to the VDMA,
global machine sales shrank by 2% in real terms in 2024. Only a few countries stood out positively: Real machine
sales increased in India (+4%) as well as in China, Brazil and Taiwan (+2% in real terms in each case). In contrast,
real sales of machinery and equipment fell in Japan (-2%), South Korea (-2%), the USA (-3%), Canada (-6%) and
Turkey (-5%).
In Europe, the recession in the mechanical engineering sector was even more severe than in the previous year.
According to the VDMA, machine sales shrank significantly by 6% in real terms in 2024 – both in the EU and in the
eurozone and the UK. Switzerland was down 4%. Within the EU, mechanical engineering was on a downward
trend in almost all countries. The exceptions were Spain (+0%) and Portugal (+2%). The decline in sales was very
pronounced in Eastern Europe, parts of Scandinavia, Belgium (-7%) and Austria (-6%). Italy (-7%) and France
(-5%) also recorded sharp declines. According to preliminary estimates by the VDMA, production in the mechanical
engineering sector in Germany will fall by 8% in real terms in 2024 (2023: -1% in real terms).
NORMA Group SE – Annual Report 2024
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Engineering: Real change in industry sales
T017
in %
2024
2023
2022
Germany1
-8.0
-2.0
0.0
Eurozone
-6.0
-1.0
3.0
USA
-3.0
-3.0
3.0
China
2.0
2.0
2.0
World
-2.0
0.0
3.0
Source: VDMA
1_Value 2024 refers to production.
Global automotive production declining, China is pushing into the global market with new energy vehicles
The profound upheaval in the automotive industry will continue to shape the sector’s development in 2024. Electric
vehicles have become more established. According to data from S&P Global Mobility (S&P GM), 16.9 million new
energy vehicles (NEVs) were produced worldwide in 2024. This was a strong increase of 16.6%. The combined
global market share of battery electric vehicles (BEV) and plug-in hybrids (PHEV) rose to 19.1% (2023: 16.0%).
China is the dominant player here, supported by high subsidies, with shares of 65.8% and 73.5% respectively of all
BEVs and PHEVs produced worldwide, and has entered the global markets with a large number of suppliers and
models. In 2024, the USA and the EU responded with protective tariffs on imports of Chinese e-vehicles. Including
combustion engines, the entire global market grew only slightly in 2024 according to S&P GM. Sales rose by 1.7%
to 88.2 million LVs (light vehicles up to 6 tons), with the upturn in North/South America and Europe being stronger
than in Asia. Production trends, on the other hand, were contrary. Global production fell by 1.6% to 89.1 million LV.
Output in the established regions of the USA (-1.4%), Japan/South Korea (-6.5%) and Europe (-5.2%) fell in 2024.
In contrast, China (+3.0%), India (+3.5%) and Brazil (+7.8%) gained market share. The market for commercial
vehicles (commercial vehicles, trucks + buses) declined in 2024 due to the economic situation. Global production
fell by 5.0% to just over 3.4 million commercial vehicles.
The European automotive market came to a standstill in 2024. According to Global Data, 11.6 million vehicles
were sold (+0.0%). The ACEA (Association des Constructeurs Européens d'Automobiles) puts sales in Europe (EU +
EFTA + UK) at around 13.0 million cars (+0.9%) for 2024. Among the major individual markets, the UK (+2.6%) and
Spain (+7.1%) stood out. Sales were down slightly in Germany (-1.0%) and Italy (-0.5%), and even more
significantly in France (-3.2%). Across Europe, sales of petrol cars fell by 6.8% and diesel cars by 11.8%. The share
of sales accounted for by traditional combustion engines therefore fell from 48% to 43%. Demand for purely
electric cars also faltered as a result of reduced subsidies (BEV -1.3%). However, hybrid drives (PHEV and mild
hybrids [MHEV]) continued to gain ground with a combined +14.3%. According to S&P GM data, production in
Western Europe remained under significant pressure in 2024 (-8.6%), with manufacturers in Italy, France and the
UK cutting their output by double digits. Accordingly, car production in Germany declined by 1.5% and, according
to the industry association VDA, domestic car production stagnated at 4.1 million units.
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Automotive Industry: Global production and development of sales
T018
in %
2024
20232
20222
Production of light vehicles
-1.6
9.9
6.7
share of PHEV
6.2
4.3
3.3
share of BEV
12.9
11.7
9.9
Production of commercial vehicles1
-5.0
11.6
-14.3
Source: S&P Global Mobility.
1_Global Data (GD) for 2023 und 2022.
2_Partially revised date according to GD.
Construction industry 2024: Residential construction in crisis, civil engineering stabilizes and provides
impetus
The construction industry in Asia is fundamentally driven by population growth and urbanization. Short-term
factors can override this trend. India’s construction industry is growing on a stable path of 6% to 7% per year.
China’s construction sector remained divided in two in 2024. On the one hand, the real estate crisis had a massive
impact on building construction: Building construction shrank by 10.6% in nominal terms, residential construction
by 10.5%. On the other hand, massive investments were made in industrial production facilities as well as in
energy production, railroad infrastructure and water management.
Europe’s construction sector remained in a downturn in 2024. According to the industry network Euroconstruct ( a.
o. ifo Institute), the main reasons for this were a still unattractive financing environment, high real estate prices and
increased construction costs. At the same time, residential construction slipped into a pronounced crisis. 2024 was
also challenging for commercial and public building construction, which was reflected in a decline in construction
output. In turn, higher investment in transport and energy infrastructure supported civil engineering. On balance,
construction output in its 19 core European markets shrank by 2.4% in real terms according to Euroconstruct 2024
data. Regionally, the losses were pronounced in Scandinavia, France, Austria and Eastern Europe. The
construction sector has also slipped into recession in Italy, the Netherlands and the UK. In contrast, construction in
Spain, Portugal and Ireland remained in positive territory. The Swiss construction industry even managed to
reverse the trend with slight growth.
In Germany, the downward trend in the construction sector was even more pronounced. Construction investment
in 2024 again shrank significantly by 3.5% in real terms (2023: -3.4%). According to the ifo Institute, residential
construction in particular was burdened by high interest rates, a poor order situation and cancellations.
Insolvencies in the construction industry rose by double digits. According to the German Institute for Economic
Research (DIW), the total construction volume, which includes investments in existing buildings as well as new
construction, fell at an accelerated rate of 3.7% in real terms in 2024 (2023: -2.0%). While public construction
increased slightly (+1.5%), commercial construction slipped more sharply into negative territory than recently at
-3.3%. Residential construction came under even greater pressure at -5.1%. At -10.1%, new residential
construction fell even more sharply in 2024 (2023: -9.7%). In addition, investments in the housing stock for
extensions and conversions, modernization and repairs also declined (-3.2%). In 2024, this typically more
stabilizing segment accounted for 74.0% of the total construction volume in residential construction.
NORMA Group SE – Annual Report 2024
73
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Construction Industry: Development of European construction output
T019
in %
2024
20231
20221
Western Europe
-2.4
-1.5
2.3
Eastern Europe
-2.7
1.1
3.4
Europe
-2.4
-1.3
2.4
Source: Euroconstruct / ifo Institute (19 core markets in total).
1_Revised data according to Euroconstruct / ifo institute.
US construction industry 2024: unimpressed by the upswing; high investments in the water supply sector
In the USA, construction spending rose by 6.5% in nominal terms in 2024 (2023: +7.0%). Public construction
activities were once again a key driver. Government investment in the energy and water supply was significantly
increased. The latter grew by 23% in 2024. Private commercial construction also increased significantly. In
addition, investments in production facilities (+20.3%) were driven by high government incentives, among other
things. The commercial sector, which is a key growth market for NDS®, showed a 12% decline in construction
projects, according to FMI Insights. Although the Fed was late in cutting interest rates, private residential
construction returned to growth at +5.9%. However, trends within the segment developed unevenly. While the
single-family home segment recovered from last year’s downward trend, multi-family homes came under
noticeable pressure. According to analyses by the North American sector specialists from FMI Insights, the trend in
new construction in particular diverged (single-family homes +6%, multi-family homes -7%). By contrast,
expenditure on conversions, extensions and replacements (excluding repairs and modernization) increased (+9%).
According to industry experts from the Harvard Center of Joint Housing Studies (Remodeling LIRA Index), spending
on repair and renovation work, which is a key driver of sales of NDS products, fell by 1.6% in the 2024 fiscal year.
Significant events and developments
NORMA Group initiates divestment process for Water Management business
In an ad hoc announcement on November 28, 2024, NORMA Group announced a stronger strategic focus on its
core business as market leader for joining technology. Following an in-depth review of the Company’s strategic
direction, the Management Board decided to initiate a divestment process for the global business activities of the
strategic business unit Water Management. The market position of the remaining synergistic Industry Applications
and Mobility & New Energy business units is to be strengthened and the divestment of the water business is
intended to free up resources and capacities for further profitable growth in the traditional core business units.
Further information can be found in the corresponding press release at : WWW.NORMAGROUP.COM.
NORMA Group SE – Annual Report 2024
74
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Changes in the Supervisory Board of NORMA Group SE: Kerstin Müller-Kirchhofs appointed to the
Supervisory Board by the court
In the third quarter of 2024, an application was made for the court appointment of Kerstin Müller-Kirchhofs as a
new member of the Supervisory Board until the election at the next Annual General Meeting. Ms. Müller-Kirchhofs
holds a degree in economics and is a certified public accountant with several years of experience in the
management of industrial companies. Most recently, she was CFO of Gesco SE, a listed holding company with
several medium-sized technology companies. She succeeds Miguel Ángel López Borrego, who stepped down from
the Supervisory Board at his own request in May 2024. Ms. Müller-Kirchhofs is a member and Chairwoman of the
Audit Committee of the Supervisory Board of NORMA Group SE. This means that NORMA Group’s six-member
Supervisory Board is once again complete.
NORMA Group defends patent against Chinese competitor
NORMA Group won a patent lawsuit against a Chinese competitor. At the end of June 2024, the Supreme People’s
Court of the People’s Republic of China in Beijing ruled that a product from competitor Suzhou Shengnuo
Connection Technology Co. Ltd. infringes on a NORMA Group patent for an advanced worm drive hose clamp. The
competitor was prohibited from manufacturing or selling this clamp. Further information can be found in the
corresponding press release at : WWW.NORMAGROUP.COM.
NORMA Group provides clamps for cooling system of energy storage facility in Germany
NORMA Group has won a contract for V-band clamps for an energy storage facility in Germany. The customer is a
market-leading provider of flexible metal tubes and will install the clamps in the facility’s cooling system. From
summer 2024 until the end of 2028, NORMA Group will supply between 30,000 and 180,000 clamps per year to
the customer. The order has a total volume of around EUR 2.4 million. Further information is available at
: WWW.NORMAGROUP.COM.
NORMA Group wins major contract from home appliance manufacturer in the US
NORMA Group has won a major order from an industrial customer to supply almost three million dishwashers a
year with custom-made metal TORRO clamps since the fourth quarter of 2024. The customer is a leading global
manufacturer of home appliances. Further information is available at : WWW.NORMAGROUP.COM.
More specific sales forecast with the publication of the statement on the 3rd quarter of 2024
In the interim statement for the third quarter of 2024, NORMA Group had specified the sales forecast in the
previously known range towards the lower end, based on the trend forecasts in the customer industries and
markets relevant to NORMA Group and assuming continued challenging months in the rest of 2024. Taking into
account the reasons and factors outlined here as well as the current findings, the management had also specified
the target values for the adjusted EBIT margin and NORMA Value Added (NOVA). Further details on the
specifications made can be found in the section 4 COMPARISON OF TARGET AND ACTUAL VALUES section.
NORMA Group SE – Annual Report 2024
75
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Expansion of the water business in Europe
On December 21, 2023, NORMA Group signed an agreement to acquire Teco Srl, an Italian supplier of irrigation
products for the gardening, landscaping and agricultural sectors. The Company offers around 800 products,
including drippers, sprayers, valves and connecting elements. Teco’s customers are wholesalers and
manufacturers of water management systems. The acquisition serves the gradual expansion of the business in the
strategic area of Water Management in Europe and was completed on February 29, 2024.
NORMA Group’s Annual Report and Investor Relations Department honored once again
NORMA Group once again received the “FOX FINANCE Award in SILVER” for its 2023 Annual Report. In particular,
the elements of comprehensiveness, a clear and modern structure, the concrete statements on forecasts, risks and
opportunities as well as the level of detail of the information across various areas were praised. In the “Investors’
Darling” capital market competition, in which the capital market communication of Prime Standard companies is
assessed according to numerous criteria, NORMA Group took third place out of 68 companies rated in the SDAX
for 2024. NORMA Group was thus able to improve its ranking once again compared to the previous year. (2023:
Rank 7 out of 70). 4 IR WORK
Early departure of the CEO and temporary assumption of the CEO position by the Chairman of the
Supervisory Board in February 2025
The Chairman of the Management Board of NORMA Group SE, Mr. Guido Grandi, resigned from his position on the
Management Board and as Chairman of the Management Board at the end of February 17, 2025 due to strategic
differences regarding the future direction of the Company. Effective February 18, 2025, the previous Chairman of
the Management Board of NORMA Group, Mr. Mark Wilhelms, took over as Chairman of the Management Board
for a transitional period of a maximum of one year. Ms. Kerstin Müller-Kirchhofs is Chairwoman of the Supervisory
Board of NORMA Group for the transitional period. The Supervisory Board has initiated a structured search for a
new Chairman of the Management Board.
Comparison of target and actual values
NORMA Group issued a forecast on the development of the Group’s key performance indicators in fiscal year 2024
when it published its Annual Report 2023 on March 26, 2024. : ANNUAL REPORT 2023
In fiscal year 2024, NORMA Group’s performance was influenced by a variety of factors and a challenging market
environment. This included a further weakening of customer demand, especially since the second quarter of 2024,
with declining volumes in parts of the customer industries relevant to NORMA Group. In the automotive industry, in
particular, customer demand was highly volatile, which limited NORMA Group’s ability to plan.
Based on trend forecasts in the customer industries and markets relevant to NORMA Group and assuming
continued challenging months in the rest of 2024, the Management Board of NORMA Group had concretized the
sales forecast in the previously known range towards the lower end with the publication of the interim statement
for the third quarter of 2024. Since then, the Management Board has assumed Group sales of around EUR 1.2
billion for the full year 2024 (previous forecast: “Group sales in the range of around EUR 1.2 billion to around EUR
1.3 billion”). Against this backdrop, the Management Board also took a closer look at developments in the three
regional segments:
NORMA Group SE – Annual Report 2024
76
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
•
For the EMEA region, the Management since expected sales in the range of around EUR 480 million to around
EUR 500 million for the full year 2024, taking into account a continued subdued environment – particularly in
the European automotive industry (previous forecast: “Sales in the range of around EUR 500 million to around
EUR 550 million”).
•
For Asia-Pacific, the Management Board anticipated that development in the region in the fourth quarter of
2024 would be weaker than previously thought and therefore expected a lower sales figure in the 2024 fiscal
year than originally assumed. This was expected to be in the range of around EUR 140 million to around EUR
150 million (previous forecast: “Sales in the range of EUR 170 million to EUR 200 million”).
•
For the Americas region, the Management had slightly increased the lower end of the forecast range (“sales of
around EUR 530 million to around EUR 550 million)” that had been known since the publication of the 2023
Annual Report. For 2024 as a whole, the Management Board expected sales in the range of around EUR 540
million to around EUR 550 million.
Taking into account the reasons and factors outlined here as well as current findings, the Management had also
specified the target values for the adjusted EBIT margin and NORMA Value Added (NOVA).
Since then, the Management Board has expected the adjusted EBIT margin to reach around 8% in the 2024 fiscal
year, which would be at the lower end of the most recently communicated corridor (previous forecast: “around 8%
to 8.5%”).
The Management Board has assumed that NORMA Value Added would reach a value of around EUR -40 million
(previous forecast: “in the range of EUR -40 million to EUR -20 million”).
The publication of the quarterly statement for the third quarter of 2024 did not specify any further relevant key
performance indicators. The Management therefore anticipated that the net operating cash flow and the non-
financial key performance indicator of CO2 emissions would develop as last communicated in the 2023 Annual
Report - and confirmed in the interim report for the second quarter of 2024.
The table 4 TABLE T020 provides an overview of the target and actual values as well as the forecast specifications
and adjustments during the year.
Explanations of the development of the target values
With Group sales of EUR 1,155.1 million in fiscal year 2024, NORMA Group achieved the forecast figure (“Group
sales of around EUR 1.2 billion”) published in the interim statement for the third quarter of 2024 on November
5, 2024. Meanwhile, developments in the regional segments were as follows: The EMEA region recorded sales
of EUR 477.3 million and thus developed in line with expectations compared to the most recent figures. At EUR
147.4 million, the Asia-Pacific region achieved the anticipated sales level. In the Americas region, revenue
totaled EUR 530.4 million and was therefore slightly lower than recently assumed.
At 8.0%, the adjusted EBIT margin in the 2024 fiscal year was exactly in line with the expected target of
“around 8%”.
NORMA Value Added (NOVA) also developed in line with the forecast for fiscal year 2024 at EUR -38.8 million.
NORMA Group SE – Annual Report 2024
77
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Net operating cash flow reached a value of EUR 105.4 million and was thus at the upper end of the forecast
range of “around EUR 80 million to around EUR 110 million”. The main drivers of this positive development
included optimized working capital management in line with business developments and lower investments
from the operating business.
In the 2024 fiscal year, CO2 emissions totaled 4,171 tons of CO2 equivalents3,4 and thus remained well below
the target value of “below 9,600 tons of CO2 equivalents”.
Comparison of target and actual values
T020
Results 20231
March 26, 2024
November 5, 2024
Results 20241
Group sales
EUR 1,222.8
million
Group sales in the range of
around EUR 1.2 billion to
around EUR 1.3 billion
Group sales of around
EUR 1.2 billion
EUR 1,155.1 million
Sales EMEA
EUR 514.7 million
Sales in the range of around
EUR 500 million to around
EUR 550 million
Sales in the range of around
EUR 480 million to around
EUR 500 million
EUR 477.3 million
Sales Americas
EUR 534.5 million
Sales in the range of around
EUR 530 million to around
EUR 550 million
Sales in the range of around
EUR 540 million to around
EUR 550 million
EUR 530.4 million
Sales Asia-Pacific
EUR 173.6 million
Sales in the range of around
EUR 170 million to around
EUR 200 million
Sales in the range of around
EUR 140 million to around
EUR 150 million
EUR 147.4 million
Adjusted EBIT margin
8.0%
Of around 8% to 8.5%
In the range of around 8%
8.0%
NORMA Value Added
(NOVA)
EUR -43.6 million
In the range of around
EUR -40 million to around
EUR -20 million
In the range of around
EUR -40 million
EUR -38.8 million
Net operating cash flow
EUR 87.3 million
In the range of around
EUR 80 million to around
EUR 110 million
Sales in the range of around
EUR 80 million to around
EUR 110 million
EUR 105.4 million
CO2 emissions
5.064 tons of
CO2-equivalents2
Below 9,600 tons of
CO2-equivalents
No adjustments
4,171 tons of
CO2 equivalents2,3
1_Adjustments within the financial years relate exclusively to adjustments for depreciation and amortization of property, plant and equipment and intangible assets from purchase price allocations.
2_The CO2 emissions for the target value are reported in accordance with the GHG Protocol (market-based, Scope 1 and Scope 2). Scope 1 only includes emissions from natural gas and liquid gas and
Scope 2 emissions from purchased electricity and district heating. When recording emissions, only emissions relating to the production sites are taken into account. Since January 2022, NORMA Group
has purchased electricity from renewable energy sources at all production sites. NORMA Group purchases “Energy Attribute Certificates” for this purpose. These are also included in the target value.
3_The methodology described in footnote 2 was used in the management system until the end of 2024 based on the forecast for CO2 emissions of “below 9,600 tons of CO2 equivalents” issued in fiscal
year 2024. The change in the calculation basis in connection with the first-time application of the European Sustainability Reporting Standards (ESRS) will be included in the 2025 Annual Report. This
means that in future annual reports, the emissions from the greenhouse gas balance in accordance with the Greenhouse Gas (GHG) Protocol initiative will be reported in the Scope 1 to Scope 3
categories for all locations worldwide in the management system.
NORMA Group SE – Annual Report 2024
78
3 The CO2 emissions for the target value are reported in accordance with the GHG Protocol (market-based, Scope 1 and Scope 2). Scope 1 only
includes emissions from natural gas and liquid gas and Scope 2 emissions from purchased electricity and district heating. When recording
emissions, only emissions relating to the production sites are taken into account. Since January 2022, NORMA Group has purchased electricity
from renewable energy sources at all production sites. NORMA Group purchases “Energy Attribute Certificates” for this purpose. These are also
included in the target value.
4 The methodology described in footnote 3 was used in the management system until the end of 2024 based on the forecast for CO2 emissions of
“below 9,600 tons of CO2 equivalents” published in the 2024 financial year. The change in the calculation basis in connection with the first-time
application of the European Sustainability Reporting Standards (ESRS) will be included in the 2025 Annual Report. This means that in future
annual reports, the emissions from the greenhouse gas balance in accordance with the Greenhouse Gas (GHG) Protocol initiative will be reported
in the Scope 1 to Scope 3 categories for all locations worldwide in the management system.
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Earnings, assets and financial position
General statement by the Management Board on the course of business and economic situation
The global economy showed a subdued and regionally very uneven development in the 2024 fiscal year. In
Europe, and particularly in Germany, the economy and economic prospects became increasingly gloomy over the
course of the 2024 fiscal year, and there was no significant economic recovery in China either, despite government
measures. In the USA, on the other hand, the economy continued to grow in the current reporting year. Overall, the
decline in global industrial production continued, with some significant setbacks in European mechanical
engineering, the automotive sector and a persistently weak construction industry. The burdens caused by the war
in Ukraine and the conflicts in the Middle East remained unchanged. Politically, 2024 was also an unstable year.
By contrast, the lower energy price level and the central banks’ interest rate easing measures from the second half
of the year had a positive impact in the 2024 fiscal year.
In this environment, NORMA Group’s consolidated sales amounted to EUR 1,155.1 million in fiscal year 2024,
down 5.5% on the previous year (2023: EUR 1,222.8 million). Before currency effects (-0.3%) and acquisition
effects (+0.2%), the decline amounted to 5.5%. This is due to a decrease in volume. The decline in sales was
primarily triggered by the weakening of demand in NORMA Group’s key sales markets that has become apparent
since the second quarter of 2024. This primarily affected the global automotive industry, which was characterized
by highly volatile customer call-off behavior. The volume business in the Mobility & New Energy strategic business
unit thus recorded significantly lower sales in all three regions compared to the previous year. This was particularly
evident in the fourth quarter of 2024. In the Industry Applications area, sales in the past fiscal year were also down
on the same period of the previous year, driven by a persistently difficult market environment in the three regions.
In contrast, the continued stability of the Water Management business partially compensated for the decline in
sales in Mobility & New Energy and Industry Applications.
At EUR 92.3 million, the adjusted operating result – adjusted EBIT – fell short of the previous year’s figure by 5.3%
(2023: EUR 97.5 million). At 8.0%, the adjusted EBIT margin was in line with the previous year’s level (2023: 8.0%).
Despite the decline in sales, NORMA Group achieved stable profitability in fiscal year 2024. While adjusted EBIT in
fiscal year 2024 was negatively impacted by the higher expenses for employee benefits compared to the previous
year due to inflation, the higher adjusted gross margin and measures to increase efficiency in the area of supply
chain management had a positive effect on performance. This resulted in significantly lower freight costs,
particularly for special freight.
Net operating cash flow was very strong in the fiscal year at EUR 105,4 million, significantly exceeding the
previous year’s figure (2023: EUR 87,3 million). The positive development was due to optimized (trade) working
capital, partly as a result of further improved inventory management as well as good receivables management
and lower investment.
NORMA Group’s Management Board is looking ahead to 2025 with the necessary caution due to the challenges
that partly continue to prevail in the business environment. Further information on the expected development in
2025 is set out in the 4 FORECAST REPORT.
NORMA Group SE – Annual Report 2024
79
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Adjustments
Management adjusts the result for the fiscal year for certain expenses and income in connection with realized
M&A transactions in order to manage the Group’s operations. Adjustments are made in accordance with the
management approach in segment reporting. Hence, the following adjusted results reflect the Management
Board’s perspective.
In the 2024 fiscal year, adjustments for acquisition-related expenses of EUR 0.4 million (2023: EUR 0.2 million)
were made within EBITDA (earnings before interest, taxes, depreciation of property, plant and equipment and
amortization of intangible assets). These related to acquisition and integration costs in connection with the
takeover of Teco Srl on February 29, 2024. In addition, depreciation of property, plant and equipment from
purchase price allocations in the amount of EUR 0.8 million was recognized in EBITA in fiscal year 2024. (2023:
EUR 1.0 million). Also, amortization of intangible assets from purchase price allocations in the amount of
EUR 33.8 million (2023: (EUR 20.3 million) was adjusted within EBIT. The increase compared to the previous year
is due to an impairment loss recognized at an Indian subsidiary. 4 NOTES
Notional income taxes resulting from the adjustments are calculated using the tax rates of the respective local
companies concerned and taken into account in the adjusted earnings after taxes.
The following 4 TABLE T021 shows the adjusted figures in fiscal year 2024. Further information on the unadjusted
figures can be found in the disclosures in the 4 NOTES.
Adjustments1
T021
2024 adjusted
Adjustments
2024 reported
Group sales
EUR millions
1,155.1
–
1,155.1
EBITDA
EUR millions
153.5
0.4
153.1
EBITDA margin
%
13.3
–
13.3
EBITA
EUR millions
96.3
1.2
95.1
EBITA margin
%
8.3
–
8.2
EBIT
EUR millions
92.3
35.0
57.3
EBIT margin
%
8.0
–
5.0
Financial result
EUR millions
-23.3
–
-23.3
Profit for the period
EUR millions
40.9
26.1
14.8
EPS
EUR
1.28
0.82
0.46
1_Deviations may occur due to commercial rounding.
NORMA Group SE – Annual Report 2024
80
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Earnings position
Development of sales
Group sales
NORMA Group’s consolidated sales amounted to EUR 1,155.1 million in fiscal year 2024, down 5.5% on the
previous year (2023: EUR 1,222.8 million). This includes negative currency effects (-0.3%) - mainly in connection
with the Brazilian real and the Chinese renminbi – as well as positive acquisition effects (+0.2%). The decline in
sales compared to the previous year is almost entirely due to a decrease in volume. Positive price effects,
particularly in the Americas and Asia-Pacific regions, only slightly offset the decline in revenue.
The development of volumes in the current reporting period was mainly impacted by overall volatile and weaker
customer demand in key industries. This included the automotive customer business, in particular. The industrial
customer business also suffered from the persistently difficult market conditions. Both were particularly true of the
EMEA and Asia-Pacific regions, which resulted in a significant drop in sales in each region in the 2024 fiscal year.
By contrast, sales in the Americas region were almost unchanged from the previous year, as continued stable
volumes in the water business almost completely offset lower revenue in Mobility & New Energy and Industry
Applications.
Development of 2024 sales
in EUR million
G012
614.8
639.0
540.3
583.8
H1
H2
0
200
400
600
800
1000
1200
1400
2024
2023
Industry Applications: Restrained sales development in 2024 driven by the environment
Sales in Industry Applications (a customer industry within the former SJT – Standardized Joining Technology
distribution channel until the end of 2023) amounted to EUR 206.6 million in the 2024 fiscal year, down 6.4%
overall on the previous year (2023: EUR 220.7 million). Before currency effects (-0.2%), the decline amounted to
6.2% in 2024. The decline in volume due to weak market-related demand was partially offset by pricing initiatives.
NORMA Group SE – Annual Report 2024
81
1,155.1
1,222.8
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229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
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254 REPORT ON
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4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Water Management: stable sales growth in fiscal year 2024
In the 2024 fiscal year, sales revenue in the Water Management business (until the end of 2023 a customer
industry within the former SJT – Standardized Joining Technology distribution channel) amounted to EUR 299.1
million. This corresponds to an overall increase of 3.5% compared to the previous year (2023: EUR 288.9 million),
which was primarily due to good volume growth. In addition, sales from the Teco activities acquired on February
29, 2024 and included in the scope of consolidation since then (+0.9%) also had an increasing effect on revenue
development. Negative currency effects, on the other hand, only slightly reduced the sales trend (-0.1%). Excluding
the aforementioned currency and acquisition effects, growth in the 2024 fiscal year amounted to 2.8%. It should be
noted that the sales potential of the water business in the USA was affected by the occurrence of an extreme
weather event in the second half of the year, which was reflected in temporarily subdued customer demand.
Mobility & New Energy: Revenue in fiscal year 2024 below previous year’s level
The Mobility & New Energy division (until the end of 2023 the former distribution channel EJT – Engineered Joining
Technology) recorded sales revenue of EUR 649.4 million in the 2024 fiscal year, a decrease of 8.9% compared to
the same period of the previous year (2023: EUR 713.1 million5). This development is attributable to persistently
weak demand due to lower production figures for light and heavy vehicles. This also resulted in unpredictable and,
in key regions, highly volatile ordering behavior on the part of automotive industry customers. This effect was
particularly evident in the EMEA and Asia-Pacific regions in the second half of the past fiscal year. Business
performance in the Americas region was also impacted by the aforementioned fluctuations in 2024, although the
decline in sales in the Americas region was less pronounced. Taken together, this led to significant changes in
business volume in the first nine months of 2024. Negative currency effects (-0.4%) further reduced sales in
Mobility & New Energy. Adjusted for the aforementioned effects, the decline amounted to -8.6%.
Effects on Group sales1
T022
EUR millions
Share in %
Group sales 2023
1,222.8
Volume-price-mix
-66.8
-5.5
Acquisition effects
2.5
0.2
Currency effects
-3.4
-0.3
Group sales 2024
1,155.1
-5.5
1_Discrepancies in decimal places can occur due to commercial rounding.
NORMA Group SE – Annual Report 2024
82
5 Since fiscal year 2024, NORMA Group has reported sales according to the Industry Applications (IA), Mobility & New Energy (MNE) and Water
Management (WM) business segments. Until fiscal year 2023, sales were reported according to the Engineered Joining Technology (EJT) and
Standardized Joining Technology (SJT) distribution channels. MNE essentially corresponds to the EJT distribution channel reported in the previous
year. Against this backdrop, there are slight deviations from the figure of EUR 709.6 million published in the 2023 Annual Report, which
corresponds to the sales value of the former EJT distribution channel.
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Development of important customer industries
T023
Industry Applications (IA)1
Water Management (WM)1
Mobility & New Energy (MNE)2
2024
2023
2024
2023
2024
2023
Group sales (EUR millions)
206.6
220.7
299.1
288.9
649.4
713.1
Change (in %)
-6.4
3.5
-8.9
Share of sales (in %)
18
18
26
24
56
58
1_Formerly Standardized Joining Technology (SJT) distribution channel.
2_Formerly Engineered Joining Technology (EJT) distribution channel; MNE essentially corresponds to the EJT distribution channel reported in the previous year. Against this backdrop, there are slight
deviations from the figure of EUR 709.6 million published in the 2023 Annual Report, which corresponds to the sales value of the former EJT distribution channel.
Development of earnings
(Adjusted) EBIT and adjusted ROCE
Operating earnings (earnings before interest and taxes, EBIT) amounted to EUR 57.3 million in the 2024 fiscal year
and were therefore significantly below the previous year's figure (2023: EUR 76.1 million). The EBIT margin was
5.0% (2023: 6.2%).
EBIT, adjusted solely for amortization from purchase price allocations, fell by 5.3% to EUR 92.3 million in the current
reporting year, compared to EUR 97.5 million in the same period of the previous year. At 8.0%, the adjusted EBIT
margin was in line with the previous year’s level (2023: 8.0%).
Adjusted EBIT in the 2024 fiscal year was primarily impacted by the higher expenses for employee benefits
compared to the previous year due to inflation. On the other hand, the higher adjusted Gross margin compared to
the previous year and the significant reduction in freight costs, particularly for special freight, had an increasing
effect on adjusted EBIT.
Return on capital employed (ROCE) as a ratio of adjusted EBIT to average capital employed fell to 8.8 % in the
reporting period (2023: 9.3%). The year-on-year decline in ROCE was mainly due to the lower adjusted EBIT.
Return on capital employed (ROCE)
T024
2024
2023
Adjusted EBIT
EUR millions
92.3
97.5
Average capital employed
EUR millions
1,044.7
1,047.0
ROCE
%
8.8
9.3
1_Average of invested capital at the beginning of the year (Jan. 1) and invested capital at the end of the year (Dec. 31).
Key factors influencing the development of earnings
Cost of materials ratio and gross margin
In fiscal year 2024, NORMA Group’s global purchasing organization was able to achieve significant cost
reductions for some important raw materials and supplies. In particular, costs for individual raw materials and
energy were down again. 4 PURCHASING AND SUPPLIER MANAGEMENT
NORMA Group SE – Annual Report 2024
83
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Against this backdrop, the cost of materials fell by 9.0% to EUR 500.0 million in the current reporting year. (2023:
EUR 549.6 million). The cost of materials ratio (cost of materials in relation to sales) amounted to 43.3% in the
fiscal year 2024, a significant improvement on the previous year (2023: 45.0%). At 42.8%, the cost of materials
ratio in relation to total operating performance (sales revenue plus changes in inventories and other own work
capitalized) was also lower than in fiscal year 2023 (45.1%). The increase in inventories of finished goods and
work in progress of EUR 6.2 million in the 2024 fiscal year (2023: inventory reduction of EUR 8.2 million) had a
negative impact on the cost of materials ratio.
Gross profit in the 2024 fiscal year reached EUR 668.2 million, almost matching the previous year’s figure (2023:
EUR 668.0 million). The gross margin amounted to 57.8%, an improvement of 3.2 percentage points compared to
the previous year (2023: 54.6%). This development is primarily due to the disproportionately high reduction in the
cost of materials compared to sales in the past fiscal year. The increase in inventories of finished goods and work
in progress in the amount of EUR 6.2 million (2023: reduction of EUR 8.2 million) led to an increase in the gross
margin.
Personnel cost ratio
Personnel expenses amounted to EUR 337.9 million in the 2024 fiscal year, representing an increase of 5.0%
compared to the previous year (2023: EUR 321.8 million). The main reason for this development is a higher wage
level compared to the previous year due to inflation-related adjustments. Temporary inefficiencies in the EMEA
region had an additional negative impact due to higher expenses for employee benefits. The Personnel cost ratio
thus increased significantly to 29.3% in the current reporting year after 26.3% in the 2023 fiscal year.
Other operating income and expenses
The balance of other operating income and expenses amounted to EUR -176.7 million in fiscal year 2024 (2023:
EUR -192.0 million). This corresponds to an improvement of 7.9% compared to the previous year. As a percentage
of sales, the balance of other operating income and expenses was 15.3% (2023: 15.7%).
While within other operating expenses, the cost of freight (2024: EUR -29.3 million; 2023: EUR -39.3 million) – and,
in particular, in the area of special freight – as well as expenses for temporary staff and other personnel-related
expenses (2024: EUR -47.4 million; 2023: EUR -54.7 million) and currency losses from operating activities (2024:
EUR -6.6 million; 2023: EUR -9.7 million) were significantly reduced, expenses for IT and telecommunications
(2024: EUR -28.7 million; 2023: EUR -25.2 million) registered a slight increase due to additional investments in the
area of IT security and the further implementation of the roll-out of an ERP system, mainly at one location in
Germany, among other things. Other operating expenses also include costs for marketing and consulting as a
significant item (2024: EUR -19.1 million; 2023: EUR -21.2 million). 4 NOTES
Other operating income in fiscal year 2024 mainly related to foreign exchange gains from operating activities
resulting from currency fluctuations in the European region. Income from the reversal of liabilities and unused
provisions were also included. 4 NOTES
NORMA Value Added (NOVA)
NORMA Value Added (NOVA), which is also a relevant figure for the long-term remuneration of the Management
Board, amounted to EUR -38.8 million in fiscal year 2024 and thus improved compared to the previous year (2023:
EUR -43.6 million). In addition to the slightly lower adjusted tax rate compared to the previous year, lower capital
costs due to a decrease in the weighted average cost of capital (WACC) had a positive effect.
NORMA Group SE – Annual Report 2024
84
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Financial result
The financial result for the 2024 fiscal year was EUR -23.3 million, a slight deterioration compared to the previous
year (2023: EUR -22.7 million). The financial result was mainly impacted by the significantly higher net interest
expense compared to the previous year. This was due to a noticeable increase in interest expenses from liabilities
to banks. The ECB’s interest rate cuts in 2024 have already had the first positive interest rate effects, but NORMA
Group refinanced in the third quarter of 2023 by issuing a promissory note loan with a sustainability component in
the amount of EUR 120 million. This was implemented at higher interest conditions due to the general rise in
market interest rates at the time, meaning that this effect increased the net interest expense in 2024. 4 NOTES
Income taxes
In the 2024 fiscal year, there was a tax expense of EUR 19.2 million at Group level (2023: tax expense EUR 25.5
million). Measured against a pre-tax result in the amount of EUR 34.0 million (2023: EUR 53.5 million), this results
in a tax rate of 56.5% (2023: 47.8%). The increase in the tax rate in the 2024 financial year is mainly due to the
non-recognition of deferred tax assets on current losses and non-tax-deductible expenses. 4 NOTES
The adjusted tax rate in fiscal year 2024 was 40.8% (2023: 41.3%).
The reason for the persistently high (adjusted) tax rate is unrecognized deferred tax assets on losses as well as
non-allowable withholding taxes and non-deductible expenses.
Profit for the period and appropriation of profit
The net profit for the 2024 fiscal year amounted to EUR 14.8 million, which was below the figure for the previous
year (2023: EUR 27.9 million). Based on an unchanged number of shares compared to the previous year of
31,862,400, this results in earnings per share of EUR 0.46 after deduction of the result for the period for non-
controlling interests (2023: EUR 0.87).
The adjusted profit for the period amounted to EUR 40.9 million in the 2024 fiscal year. (2023: EUR 43.9 million).
After deducting the result for the period for non-controlling interests, this results in adjusted earnings per share of
EUR 1.28 (2023: EUR 1.37).
The Management Board and Supervisory Board will propose to the Annual General Meeting on May 13, 2025, that
a dividend totaling EUR 12.7 million be distributed from the commercial net profit of NORMA Group SE of EUR 44.4
million. This is equivalent to a dividend of EUR 0.40 per no-par value share entitled to a dividend. In fiscal year
2024, the proposed payout ratio amounts to 31.2% of the adjusted net profit and is thus in the corridor between
30% and 35% according to NORMA Group’s sustainable dividend strategy.
Development of sales and earnings in the segments
EMEA
External sales in the EMEA region decreased by 7.3% to EUR 477.3 million in the 2024 fiscal year (2023: EUR
514.7 million). The activities from the Teco business, which have been included in the scope of consolidation since
February 29, 2024, contributed 0.5% to the sales performance in the 2024 fiscal year. Adjusted for this effect, the
drop in sales amounted to 7.7%, mainly due to a decline in volume business.
NORMA Group SE – Annual Report 2024
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The decline in sales in the EMEA region is due to highly volatile customer demand overall, which is primarily
characterized by short-term and unpredictable shifts in ordering behavior, and thus an overall weak development
in the automotive industry. Sales at Mobility & New Energy fell by 9.2% to EUR 354.8 million in the 2024 fiscal
year. (2023: EUR 390.6 million6). Sales in Industry Applications also fell short of the previous year’s volume due to
the challenging market environment. At EUR 116.7 million, revenue was 4.1% below the previous year's level
(2023: EUR 121.6 million). In contrast, the Water Management unit more than doubled its revenue to EUR 5.8
million in the 2024 fiscal year thanks to revenue contributions from Teco (2023: EUR 2.5 million).
Overall, the EMEA region’s share of total sales nevertheless decreased slightly to around 41% in the 2024 fiscal
year (2023: 42%).
Adjusted EBIT in the EMEA region amounted to EUR 20.9 million in the 2024 fiscal year. (2023: EUR 24.3 million).
The adjusted EBIT margin was 4.1% (2023: 4.4%). The decline in profitability is due to higher personnel costs in
connection with the rise in inflation. At the same time, successful efficiency measures were implemented in the
region and significant cost savings were achieved compared to the previous year, particularly in the area of
logistics and freight.
Americas
In the Americas region, external sales amounted to EUR 530.4 million in the 2024 reporting year, falling short of
the previous year’s figure (2023: EUR 534.5 million) only slightly by 0.8%. Declining volumes (-1.0%) and slightly
negative exchange rate effects (-0.3%) were partially offset by positive price effects of 0.5%. Adjusted for the
effects described here, the decline amounted to 0.5%.
With regard to developments in relevant customer industries, the picture was mixed: The Water Management
business of the US subsidiary NDS grew compared to the previous year, despite subdued trends in some of the key
sales markets. The sales volume increased by 3.3% to EUR 266.6 million. (2023: EUR 258.1 million). In contrast, the
Industry Applications and Mobility & New Energy divisions reported a year-on-year decline in business
performance in an environment characterized by a general reluctance to invest. Sales in Industry Applications fell
by 4.7% to EUR 71.0 million. (2023: EUR 74.5 million). Revenue in the Mobility & New Energy business unit
decreased to EUR 192.8 million. (2023: EUR 201.9 million). This corresponds to a decrease of 4.5%.
The Americas region accounted for around 46% of Group sales in fiscal year 2024 (2023: 44%).
At EUR 68.3 million, adjusted EBIT in the Americas region was up on the previous year’s figure (2023: EUR 63.1
million) despite a slight overall decline in revenue. The adjusted EBIT margin for the Americas region also improved
accordingly. It reached a value of 12.7% (2023: 11.6%). Among other things, lower freight costs compared to the
previous year had a positive effect here, while ramp-up costs for production at the Lithia Springs site reduced
profitability.
NORMA Group SE – Annual Report 2024
86
6 Since fiscal year 2024, NORMA Group has reported sales according to the Industry Applications (IA), Mobility & New Energy (MNE) and Water
Management (WM) business segments. Until fiscal year 2023, sales were reported according to the Engineered Joining Technology (EJT) and
Standardized Joining Technology (SJT) distribution channels. The MNE customer industry essentially corresponds to the EJT distribution channel
reported in the previous year. Against this backdrop, there are slight deviations from the figure of EUR 388.1 million published in the 2023 Annual
Report, which corresponds to the sales value of the former EJT distribution channel in the EMEA region.
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Asia-Pacific
At EUR 147.4 million, external sales in the Asia-Pacific region in the 2024 fiscal year were down 15.1% on the
previous year (2023: EUR 173.6 million). This includes slightly negative translation effects (-1.1%). Adjusted for this
effect, the decline in sales amounted to 13.9%, mainly due to a significant drop in business volumes, while
successful sales price adjustments marginally mitigated the decline.
The main reason for the decline in sales was the lack of economic momentum in the core market of China. This
primarily affected the industrial business and thus the Industry Applications and Mobility & New Energy business
units. In particular, the difficult environment and short-term changes in market expectations led to highly volatile
ordering behavior on the part of customers in the automotive sector. Against this backdrop, revenue in the Mobility
& New Energy business unit reached a level of EUR 101.9 million in the 2024 fiscal year, down 15.6% on the
previous year (2023: EUR 120.6 million). In Industry Applications, the decline in sales was even more pronounced
with a drop of 23.1%. Revenue amounted to EUR 19.0 million after EUR 24.6 million in fiscal year 2023. In the
Water Management area, revenue also declined (2024: EUR 26.6 million), but the decline in sales (-6.1%)
compared to the previous year (2023: EUR 28.3 million) was not quite as sharp.
The Asia-Pacific region’s share of Group revenue in the 2024 fiscal year fell to 13%. (2023: 14%).
Adjusted EBIT for the Asia-Pacific region decreased to EUR 14.1 million in fiscal year 2024. (2023: EUR 19.9
million). With the significantly lower level of sales, the adjusted EBIT margin fell to 8.7% in the reporting year
(2023: 10.8%). While inflexibility in connection with the weak sales trend led to higher personnel costs,
implemented cost-saving measures and realized efficiency gains supported the margin.
NORMA Group SE – Annual Report 2024
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Sales by segment
G013
41 %
46 %
13 %
EMEA
Americas
Asia-Pacific
Development of segments
T025
EMEA
Americas
Asia-Pacific
2024
2023
Δ in %
2024
2023
Δ in %
2024
2023
Δ in %
Total segment sales
EUR millions
505.6
546.6
-7.5
537.7
543.8
-1.1
161.7
185.1
-12.6
External sales
EUR millions
477.3
514.7
-7.3
530.4
534.5
-0.8
147.4
173.6
-15.1
Contribution to Group sales
%
41
42
n / a
46
44
n / a
13
14
n / a
Adjusted EBIT1
EUR millions
20.9
24.3
-13.8
68.3
63.1
8.2
14.1
19.9
-29.5
Adjusted EBIT margin1, 2
%
4.1
4.4
n / a
12.7
11.6
n / a
8.7
10.8
n / a
1_Adjusted for expenses in connection with acquisitions. 4 ADJUSTMENTS; deviations in the decimal places may occur due to commercial rounding.
2_In relation to segment sales.
NORMA Group SE – Annual Report 2024
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Asset position
Assets
Total Assets
Total assets amounted to EUR 1,436.6 million as of December 31, 2024, a decrease of 3.8% compared to the
previous year (Dec 31, 2023: EUR 1,493.3 million).
Asset and capital structure
in EUR millions
G014
Assets
901
891
409
437
127
165
Non-current assets
Current assets
Liquid assets
0
200
400
600
800
1,000
1,200
1,400
1,600
2024
2023
Liabilities
721
693
456
524
260
276
Equity
Non-current liabilities
Current liabilities
0
200
400
600
800
1,000
1,200
1,400
1,600
2024
2023
Non-current assets
Non-current assets amounted to EUR 900.7 million at December 31, 2024. Compared to the previous year’s reporting
date (Dec 31, 2023: EUR 890.9 million) this corresponds to an decrease of 1.1%. The goodwill included in this figure
increased by 4.0% to EUR 410.4 million due to additions in connection with the Teco acquisition and positive currency
effects from the USD (Dec 31, 2023: EUR 394.8 million). In contrast, other intangible assets fell by 11.0% to
EUR 150.5 million (December 31, 2023: EUR 169.0 million). The primary reason for the change compared to the previous
year was scheduled depreciation in the 2024 fiscal year and an additional impairment loss of EUR 13.6 million. In
contrast, property, plant and equipment increased by 3.5% to EUR 319.0 million (December 31, 2023: EUR 308.4 million).
In the fiscal year 2024, a total of EUR 53.4 million (2023: EUR 61.3 million) was invested in fixed assets (property, plant
and equipment and intangible assets, excluding leases). NORMA Group’s investing activities in fiscal year 2024 thus
resulted in an investment ratio of 4.6% (2023: 5.0%). The investments mainly related to the locations in the USA, the
Czech Republic, Serbia, China, the UK and Germany. 4 PRODUCTION AND LOGISTICS
Non-current assets accounted for 62.7% of total assets as of the reporting date in 2024 (Dec 31, 2023: 59.7%).
4 NOTES
NORMA Group SE – Annual Report 2024
89
1,437
1,493
1,437
1,493
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Current assets
Current assets amounted to EUR 535.9 million as at December 31, 2023, and were thus 11.0% below the level on
the previous year’s reporting date (Dec 31, 2023: EUR 602.4 million). The decline was primarily due to a reduction
(-23.0%) in cash and cash equivalents. They amounted to EUR 127.1 million as at December 31, 2024
(December 31, 2023: EUR 165.2 million). This was due to the unscheduled repayment of bank credit lines in the
amount of EUR 48.1 million in fiscal year 2024. In addition, there was a significant reduction in trade receivables
compared to the previous year in line with the business development. A reduction in overdue receivables also had
a reducing effect. Against this backdrop, trade receivables and other receivables amounted to EUR 159.4 million as
at December 31, 2024. This corresponds to a decrease of 13.6% compared to the previous year’s figure (December
31, 2023: EUR 184.5 million).
At 37.3%, current assets as a percentage of total assets decreased slightly compared to the previous year’s
reporting date (Dec 31, 2023: 40.3%).
(Trade) working capital
(Trade) working capital (inventories plus receivables less payables, in each case mainly trade payables) amounted
to EUR 236.5 million as of December 31, 2024, an increase of 2.4% compared to the previous year’s reporting date
(Dec 31, 2023: EUR 230.9 million). The working capital ratio (trade working capital in relation to sales) was 20.5%
as of December 31, 2024 (Dec 31, 2023: 18.9%)
Liabilities
Equity ratio
NORMA Group’s consolidated equity amounted to EUR 721.4 million as of December 31, 2024, an increase of
4.0% compared to the previous year (Dec. 31, 2023: EUR 693.4 million). The consolidated equity ratio reached a
level of 50.2% as of the reporting date of fiscal year 2024 (Dec 31, 2023: 46.4%). While the dividend payment
made in 2024 totaling EUR 14.3 million (2023: EUR 17.5 million) reduced equity, currency effects from the
translation of foreign business operations – particularly in connection with the US dollar – and the profit for the
period of EUR 14.8 million increased equity.
Net debt
Net debt (financial liabilities including derivative hedging instruments in the amount of EUR 0.8 million less cash
and cash equivalents) amounted to EUR 329.2 million at the end of December 2024, resulting in a change of 4.7%
or EUR 16.3 million compared to the previous year (December 31, 2023: EUR 345.4 million). Current interest
expenses in the fiscal year and additions to lease liabilities as part of newly concluded leases had an increasing
effect on net debt. This was offset by net cash inflows from operating activities of EUR 137.0 million, net cash
outflows from the procurement and sale of non-current assets of EUR -63.5 million and from the payment of
dividends of EUR -14.3 million. Cash-neutral net currency effects from foreign currency loans, cash and cash
equivalents, and lease liabilities and other financial liabilities had an increasing impact on net debt.
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Financial liabilities
NORMA Group’s financial liabilities fell by 10.6% to EUR 456.3 million as of the reporting date in 2024 (Dec 31,
2023: EUR 510.6 million). The main reason for the change compared to the previous year was a decrease in loan
liabilities due to repayments in the amount of EUR 66.8 million (2023: EUR -5.2 million). Repayments in the current
reporting year primarily relate to an unscheduled repayment of syndicated loans (EUR 48.1 million) and scheduled
repayments of promissory note loans (EUR 18.0 million). On the other hand, the increase in liabilities from ABS and
factoring in other financial liabilities and exchange rate effects – primarily on liabilities in US dollars – increased
financial liabilities. 4 NOTES
Gearing (net debt in relation to equity) was unchanged at 0.5 as of the reporting date in 2024 (2023: 0.5).
Leverage (net debt excluding hedging derivatives in relation to adjusted EBITDA for the past twelve months)
improved to 2.1 as at December 31, 2024 (December 31, 2023: 2.2). The leverage relevant for the financing
agreements was also lower as at the reporting date of December 31, 2024 at 2.1 (Dec 31, 2023: 2.2)
Assets not recognized in the balance sheet
NORMA Group’s trademark rights and patents to the brands it holds as well as customer relationships, if acquired
externally, are recognized in the balance sheet under intangible assets. However, important influencing factors for
a successful business are also the awareness and reputation of these brands among customers and their trust in
NORMA Group products. The trustful customer relationships based on NORMA Group’s long-established
distribution network are equally important. In addition, NORMA Group’s workforce makes an important contribution
to the Company’s success with its extensive experience and specific expertise, so that the knowledge gained over
many years in the areas of research and development and project management is also seen as a competitive
advantage. The values listed are not recognized individually in the balance sheet, but are partly reflected in
goodwill and other assets.
NORMA Group SE – Annual Report 2024
91
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Financial position
Financing measures
NORMA Group constantly monitors risks from changes in exchange and interest rate changes and limits them,
among other ways, by using derivative hedging instruments. Furthermore, NORMA Group generally strives to
achieve a diversification of its financing instruments in order to reduce risks. This also includes the prolongation of
repayment obligations and an even distribution of the maturity profile. Most of the supply and service relationships
between individual currencies are hedged at matching maturities over the course of the year.
NORMA Group had successfully refinanced its bank credit lines most recently in fiscal year 2019, thus creating
further financial security and even greater flexibility for the future. The credit agreement has a total volume of
initially EUR 300 million, including a revolving facility of EUR 50 million and a flexible accordion facility. An
additional EUR 50 million revolving facility was agreed under the existing credit agreement in October 2021. The
refinancing was concluded with a banking syndicate consisting of ten international banks. In addition, a
sustainability component links the financing conditions to NORMA Group’s commitment in the area of corporate
responsibility. In 2024, as in the previous year, NORMA Group was able to achieve a positive sustainability scoring,
which enabled further savings with regard to the credit margin to be realized. After exercising the two extension
options from the syndicated loan agreement in fiscal years 2020 and 2021, all components of the loan agreement
will be available to NORMA Group through at least the end of 2026. In addition, NORMA Group issued a
promissory note loan – also with a sustainability component – in August 2023 for general corporate financing and
to create further financial freedom. The promissory note with a total volume of EUR 120 million was issued in
tranches with three, five and seven years as well as fixed and variable interest components. This ensures
maximum financing flexibility.
The commercial paper program, which has been in place since 2019 and is used for short-term liquidity
management, was not used as at the reporting date of 31 December 2024 (31 Dec. 2023: EUR 0 million). The
revolving credit facilities were also not drawn down as at December 31, 2024 (December 31, 2023: EUR 0 million).
Promissory note loan tranches from 2013 and 2014 in the amount of EUR 18 million were also repaid as
scheduled and bank credit lines in the amount of EUR 48.1 million were repaid unscheduled. The promissory note
loan from 2013 was thus repaid in full. NORMA Group’s gross debt (liabilities to banks) fell significantly from EUR
456 million on December 31, 2023, to EUR 397.7 million at the end of 2024.
NORMA Group uses interest rate hedges to hedge interest rate risks that could arise from the external financing
components. As of December 31, 2024, the average interest rate of the gross debt (excluding derivatives) was
4.62%. The maturity profile of NORMA Group, based on the promissory note loans II (2014), III (2016) and IV
(2023) as well as the syndicated bank loan (2019), as of December 31, 2024 was as shown in figures G015 and
G016. As of the 2024 balance sheet date, NORMA Group is not subject to any financial covenants contained in
loan agreements: net debt in relation to adjusted Group EBITDA) more. However, due to a link to the level of
financing costs, this key figure is still part of the financing agreements and is continuously monitored.
Concrete future financing steps depend on the current changes in the financing markets and potential acquisition
opportunities.
NORMA Group SE – Annual Report 2024
92
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Maturity profile by financial instrument
in EUR millions
G015
208.4
27.0
41.5
38.0
55.5
26.5
0.2
0.2
0.4
0.1
Syndicated Credit Line
Promissory Note II
Promissory Note III
Promissory Note IV
Bilateral loan
2025
2026
2027
2028
2029
2030
0.0
50.0
100.0
150.0
200.0
250.0
300.0
350.0
400.0
Maturity profile by currency
in EUR millions
G016
27.0
170.7
0.2
55.9
0.1
26.5
117.4
EUR
USD
2025
2026
2027
2028
2029
2030
0.0
50.0
100.0
150.0
200.0
250.0
300.0
NORMA Group SE – Annual Report 2024
93
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Cash flow
Net operating cash flow
In fiscal year 2024, NORMA Group generated net operating cash flow (adjusted EBITDA less changes in working
capital and investments from operations) of EUR 105.4 million (2023: EUR 87.3 million). The main driver was a
positive development in the area of working capital management. Net operating cash flow in the current reporting
period was also boosted by lower investments from the operating business compared to the same period of the
previous year.
Cash flow from operating activities
Cash flow from operating activities increased significantly to EUR 137.0 million in fiscal year 2024 (2023:
EUR 118.9 million). It mainly includes changes in inventories, trade receivables and other assets as well as trade
payables and other liabilities that are not attributable to investing or financing activities. Overall, there was a
positive development in working capital. The cash flow from operating activities also includes payments for share-
based remuneration, non-cash expenses from the currency translation of external financing liabilities and non-
cash interest expenses. Detailed information on the components mentioned here can be found in the 4 NOTES.
Cash flow from investing activities
The net cash outflow from investing activities amounted to EUR 63.5 million in fiscal year 2024 (2023: EUR 59.8
million). It mainly includes net payments for the acquisition of Teco as well as outflows for the acquisition of
intangible assets and property, plant and equipment, including for the expansion and modernization of production
sites. Detailed information on the investments made in the three regional segments in the 2024 fiscal year can be
found in the section 4 PRODUCTION AND LOGISTICS.
Cash flow from financing activities
The cash outflow from financing activities increased by 97.0% to EUR 114.1 million in the 2024 fiscal year (2023:
EUR 57.9 million). This was primarily due to higher net loan payments compared to the previous year as a result of
scheduled repayments of promissory note loans totaling EUR 18.0 million as well as an unscheduled repayment of
syndicated bank credit lines in the amount of EUR 48.1 million and increased interest payments. In contrast, fewer
dividends were distributed to the shareholders of NORMA Group SE in fiscal year 2024 compared to the previous
year (2023: EUR 14.3 million; 2023: EUR 17.5 million).
NORMA Group SE – Annual Report 2024
94
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Production and logistics
NORMA Group produces and sells more than 40,000 products and has 25 production sites worldwide. In addition,
it has a network of numerous distribution, sales and competence centers that enable it to supply its customers in
the respective regions on time.
Production and capacity utilization
The degree of capacity utilization of NORMA Group’s production and distribution sites varies between the global
sites. In the countries where NORMA Group’s business is still being established, the capacity utilization of the
production plants can still be increased in some cases. Forward-looking investment decisions there ensure that
sufficient space is available for the flexible expansion of production. In the industrialized countries and markets in
which NORMA Group already has a long-standing market position, production space and capacities are largely
fully utilized. NORMA Group’s goal here is to optimize production processes by increasing efficiency in such a way
that additional capacities are created where possible within the existing area.
The capacity utilization of the production facilities can be varied according to customer demand and the order
situation. Several different products with various specifications can be manufactured using the current production
lines within the individual product categories by performing minor retooling measures. This allows production to be
aligned with current customer demand.
In the 2024 fiscal year, the war in Ukraine also meant that no deliveries were made to Russia and Belarus as a
result of the foreign trade laws that were enacted. The ongoing war in the Gaza Strip and Lebanon and the
conflicts in the Red Sea did not lead to any relevant supply bottlenecks or delivery difficulties in the 2024 fiscal
year. The effects of these conflicts on the supply chains are continuously monitored, supported by digital risk
warning systems. The longer transport times are compensated for by extensive advance planning of the container
transports concerned between Europe and Asia.
Production capacities optimized, expanded and partially automated in fiscal year 2024
NORMA Group invested in various areas of its business activities in fiscal year 2024.
In the EMEA region, investments mainly related to the further expansion of production for fluid and tube systems,
particularly in the Electromobility division. In addition, capacity for clamp production was expanded at various
locations. The modernization and further development of production facilities and tool concepts also played a key
role in the EMEA region.
The Americas region focused its investment activities on the further expansion of production capacities in the
Water Management area, among other things. The automation of production facilities and the modernization of
infrastructure were also relevant areas of investment. Investments were also made in the Americas region to build
up production capacity and tools for a product innovation in Mobility & New Energy. The modernization of
production processes and tools for connector elements and clamp production was also a key topic.
In the Asia-Pacific region, investments primarily related to the expansion of capacity for the localization of clamp
production in the Chinese market. The focus there was also on an automated internal supply warehouse as well as
testing and validation capacities.
NORMA Group SE – Annual Report 2024
95
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
In the 2024 fiscal year, investments were made in optimizing and automating production workflows and
processes. The focus was on production as well as physical logistics and warehousing.
The following table provides an overview of the most significant investments in the current reporting year.
Key investments in 2024
T026
Region
Country
City
Investment
EMEA
Serbia
Subotica
Further expansion of new production capacities in the field of fluid systems for a
leading European automotive manufacturer
Creation of production capacities in the area of tube systems, particularly in the field
of e-mobility for various new orders from the automotive sector
United Kingdom
Newbury
Significant capacity expansion for an existing order in the area of clamp production
for a leading German car manufacturer
Modernization, automation and further development of production facilities and
tooling concepts in addition to the expansion of capacity in the area of clamp
production
Czech Republic
Hustopeče
Expansion and modernization of production capacities in the area of clamp
production, as well as optimization of warehouse management
Germany
Maintal
Modernization of a fully automated production line in the area of clamp
manufacturing
Poland
Pilica
Construction of fully automated assembly systems in the field of connector systems
Creation of fully automated production capacities and tooling for a new product
development as part of a global order from a leading automotive manufacturer
Americas
USA
St. Clair,
Michigan
Creation of production capacities and tools in the field of electromobility for a product
innovation
Modernization and automation of production systems and tooling for connector
elements
Lithia Springs,
Georgia
Creation of production capacities at the new site for Water Management
Lindsay,
California
Expansion of production capacities in the Water Management unit and
modernization of infrastructure
Automation of production facilities in the Water Management business
Lake Orion,
Michigan
Automation of packaging technology in the distribution area
Mexico
Juarez
Automation in the area of clamp production
Tijuana
Modernization and automation of production capacities for clamp production
Asia-Pacific
China
Changzhou
Increase of capacity to enable localization in the area of clamp production for the
Chinese market
Establishment of a fully automated intralogistics warehouse
Qingdao
Development of fully automated production capacities and tooling for a new product
development as part of a global order from a leading automotive manufacturer
Significant expansion of fully automated production capacities and tools for new
business in the field of tube systems for various leading automotive manufacturers in
China and Germany
Wuxi
Development of internal testing and validation capacities in the field of fluid systems
NORMA Group SE – Annual Report 2024
96
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
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4 CONSOLIDATED
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5 FURTHER INFORMATION
Continuous optimization of the entire value chain
At NORMA Group, all internal process steps in the value chain are constantly examined for optimization potential.
The Global Operational Excellence Management System is an important tool for meeting this objective. This
system is used to analyze existing processes, identify potential for improvements, introduce the appropriate
measures for implementation and realize cost saving projects. As a result, many processes have already been
automated and standardized in recent years, so that significant economies of scale have been achieved.
NORMA Group has been implementing the NORMA Group Production System (NPS) at all of its production plants
worldwide since 2014. The goal of the NPS is to increase operational performance, safety, delivery reliability and
quality at the plants and to identify and realize further cost savings. NORMA Group uses a “toolbox” of lean
methods for this purpose. These include the 5S methodology, the daily Gemba walk, setup time optimization using
SMED (Single Minute Exchange of Die) and TPM (Total Productive Maintenance). As part of the SCM
transformation at NORMA Group, these and other tools, such as Kanban, are also being introduced in logistics.
Furthermore, a standardized problem-solving process ensures that internal and external customer complaints are
processed more quickly and effectively.
Customer proximity and a secure supply chain
In order to keep its supply chain costs as low as possible, NORMA Group strives to keep the value chain as short
as possible and avoid intermediate steps that do not add value via other NORMA Group sites. The goal is to
manufacture close to the customer, which not only leads to an optimization of working capital and supply chain
costs, but also minimizes delivery risks, reduces negative effects on the environment and ensures the higher
flexibility that is increasingly being demanded. The value of short and direct delivery routes is essential. This
became clear again in 2024. The ongoing geopolitical tensions and the associated short-term fluctuations in
availability and demand are the main influencing factors here. Consequently, capacity bottlenecks at ports and the
resulting shortage of sea containers, sea transports in particular kept posing new challenges for the logistics of
internationally operating companies, including NORMA Group. The Company remains committed to reacting
flexibly to fluctuating customer demand at all times despite longer transit times. This also includes the “Step Up”
program implemented in mid-2023. In the 2024 fiscal year, for example, targeted measures were implemented to
achieve efficiencies in supply chain management throughout the EMEA region. The availability of products also
improved significantly once more. This positive development puts NORMA Group in a position to better support the
sales of its products in the future.
Despite the demand for short logistics routes, cross-border deliveries are often unavoidable for NORMA Group in
order to meet customers’ needs and requirements at all times. Optimized and secure customs processes are
therefore indispensable. For this reason, NORMA Group participates in various customs trade partnership
programs in the US and the EU, for example. Through supply chain security programs, in particular the Authorized
Economic Operator (AEO) and Customs Trade Partnership against Terrorism (C-TPAT), which are part of the
global Compliance Program, NORMA Group strives to ensure a legally compliant supply chain. By conducting
regular audits of all its business partners, the Company is able to rule out the supply of legally sanctioned third
parties. In addition, internal organizational instructions and regular reviews ensure compliance with the relevant
statutory export control regulations.
NORMA Group SE – Annual Report 2024
97
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
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RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Purchasing and supplier management
The procurement costs of materials, goods and services have a significant impact on NORMA Group’s earnings
position. By managing all procurement activities efficiently and selecting the proper suppliers, Purchasing can
make a significant contribution to the success of the Group. The main task here is to optimize the services
purchased and minimize costs by taking Group-wide economies of scale into account.
Global purchasing organization
NORMA Group's purchasing activities are divided into four superordinate product groups:
•
Steel and metal components
•
Technical granulates, plastic and rubber products
•
Standard plastics, components and commodities
•
Capital goods, non-production materials and services
With its existing expertise in the product groups, the purchasing organization supports the strategic business units
Industry Applications, Mobility & New Energy and the Water Management business. In addition to this operational
structure, there is a division into segments, i.e. the EMEA, Asia-Pacific and Americas regions. This matrix
organization enables a centralized control by the respective experts of the product groups and the simultaneous
integration of the knowledge of the regional or local purchasing teams concerning specific local market conditions.
NORMA Group thus ensures professional purchasing management and the achievement of competitive prices for
goods and services. Digital procurement solutions support the global organization in its work and thereby enable
efficient reporting.
Development of material prices
In fiscal year 2024, the cost of materials amounted to EUR 500.0 (2023: EUR 549.6 million), which corresponds to
a share of 43.3% (2023: 45.0%) of sales. The cost of materials ratio thus improved noticeably compared to the
previous year. 4 EARNINGS POSITION Among other things, lower costs for some of the raw materials relevant to NORMA
Group had a positive effect. The positive effects are the result of ongoing optimizations and renegotiations by the
global purchasing organization. These represent a key strand of measures within the “Step Up” program. On the
other hand, the generally high level of transportation costs due to the tense geopolitical situation and higher
energy costs at the end of the year had an increasing effect on the cost of materials in the current reporting period.
Detailed information on this can be found in the following sections.
The purchasing volume used for internal management purposes and adjusted for currency effects amounted to
EUR 479.4 million. (2023: EUR 537.1million). EUR 330.0 million of this amount (2023: EUR 377.9 million) and thus
69% (2023: 71%) was attributable to the purchase of production materials.
NORMA Group’s continuous focus on strategic sourcing, procurement efficiency and market adaptability has been
instrumental in minimizing risks and taking advantage of opportunities in the volatile environment.
NORMA Group SE – Annual Report 2024
98
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
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(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
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4 CONSOLIDATED
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5 FURTHER INFORMATION
Steel and metal components
In fiscal year 2024, the supply of raw materials (steel and wire) and metal components to the global production
sites was very good, bar a few, limited exceptions. Lower capacity utilization at supply plants in many areas,
coupled with a decline in demand in key industry segments, led to falling prices and very good material availability,
particularly in the EMEA region and to a certain extent also in China. Geopolitical crises – in particular, the war in
Ukraine – had no significant impact on the availability of materials in the metals sector in the 2024 fiscal year. A
normalization of energy prices in Europe meant that no inflation surcharges were levied, with the exception of the
established alloy surcharges for stainless steels.
In the annual price negotiations for fiscal year 2024 in the EMEA region, significant reductions in contract prices
(basic purchase price for stainless steel without alloy surcharges) could be achieved for the first time in years in the
stainless steel segment, which is an important material group for NORMA Group.
By contrast, price negotiations in the Americas region were once again much more difficult. The USA’s
protectionist trade policy continued to have an impact, meaning that only minor positive price changes were
achieved despite intensive efforts.
In the Asia-Pacific region – and particularly in China – lower purchase prices for stainless steel products were
achieved in negotiations. However, it should be noted that price reductions in the negotiations there were less
significant than in EMEA. It should also be noted that the alloy surcharges are included in the price agreements
there.
In the EMEA and Americas region, prices of the newly agreed monthly alloy surcharges (price components include
nickel, scrap and ferrochrome prices) developed inconsistently on closer inspection. Austenitic materials (the main
cost driver is the alloying element nickel) rose in the first half of the year. This was initially followed by a
predominantly falling price trend for nickel from the second half of 2024 onwards – as illustrated by the example of
the material 1.4301 in Germany in chart G017. Ferritic materials (figure G018) were almost stable with little
variation in 2024. Here, prices followed the main cost drivers ferrochrome and scrap.
Overall, it should be noted that alloy surcharges remained at a relatively high level in the current reporting year.
NORMA Group SE – Annual Report 2024
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1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
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(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
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254 REPORT ON
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Development of nickel prices and the alloy surcharge 1.4301
G017
Alloy surcharges of flat production 1.4301 X5CrNi18-10 Europe (Outokumpu) in EUR (from USD), LHS
Nickel LME in EUR (from USD), RHS
Jan.
2024
Feb.
Mar.
Apr.
May
Jun.
Jul.
Aug.
Sep.
Oct.
Nov.
Dec.
2024
1,900
2,000
2,100
2,200
2,300
2,400
2,500
2,600
13,000
14,000
15,000
16,000
17,000
18,000
19,000
20,000
NORMA Group was only able to reduce the purchase prices for metal components used in the Americas region in a
few cases for fiscal year 2024. In contrast, purchase prices in the EMEA region were reduced slightly in line with
commodity prices. However, it should be noted that increased energy and labor costs as well as packaging and
transport costs continued to counteract substantial price reductions.
In the product group of surface-finished non-stainless steels and cold-rolled strip, purchase prices were reduced
slightly over the course of the year, in line with a decline in demand in many industrial segments.
NORMA Group SE – Annual Report 2024 100
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GROUP
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2024
252 TAKEOVER-RELEVANT
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254 REPORT ON
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5 FURTHER INFORMATION
Development of alloy surcharges 1.4016
G018
Alloy surcharges of flat production 1.4301 X5CrNi18-10 Europe (Outokumpu) EUR, LHS
Jan.
2022
Jul.
2022
Jan.
2023
Jul.
2023
Jan.
2024
Jul.
2024
Jan.
2025
900
1,000
1,100
1,200
1,300
1,400
Technical granulates, plastic and rubber products
After the Ukraine war had a lasting impact on 2023, particularly in the first and second quarters – and the EMEA
region, in particular, was confronted with volume shortages and high energy prices – the availability and price
situation improved significantly in the second half of 2023.
This trend continued in the first quarter of 2024. Depending on the material, the prices were updated with slight
increases or decreases. Thanks to long-term base price agreements with strategic suppliers, NORMA Group was
able to maintain the price level of the first quarter of 2024 for the most part throughout 2024. Minor adjustments
resulted from the change in some input raw materials and gas prices.
The improved price and supply situation for granules also led to falling prices for plastic components in some
cases, although these were still influenced by higher energy and gas prices in the 2024 fiscal year compared to the
period before the war in Ukraine.
In contrast to the improved volume availability of technical granules, the rubber products product group continued
to be negatively impacted by the war in Ukraine throughout the 2024 fiscal year. Since the outbreak of the war, it
has led to a massive shortage of key raw materials for rubber components and the associated high price pressure,
which continued throughout 2024.
NORMA Group SE – Annual Report 2024 101
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Standard plastics, components and commodities in the Water Management area
Despite economic pressure and geopolitical tensions—particularly the war in Ukraine and the conflict in the Middle
East—the raw material price environment for standard plastics, components, and merchandise in the Water
Management business remained relatively stable. This was particularly true in NORMA Group's key markets—
including the US and Asia-Pacific.
The stability of raw material costs paired with effective cost management enabled NORMA Group to maintain
competitive procurement spending in Water Management in the 2024 reporting year and to provide decisive
support to the business despite difficult market conditions in 2024 and amid continued cost pressure from
customers.
Purchasing turnover in 2024 by material groups
G019
12 %
14 %
14 %
9 %
6 %
4 %
2 %
7 %
32 %
Metal components
Steel, Wire
Granulates
Plastic parts
Rubber moulded parts
Others
Electronic components
AS (Stainless flat & wire)
Indirect Material (MRO)
Energy market 2024
Energy prices remained susceptible to market signals and geopolitical developments. Although prices declined
overall in 2024, the effects of the US presidential elections and the aforementioned geopolitical factors in the
Middle East and Ukraine caused prices to rise again at the end of the year to levels comparable with the third
quarter of 2023.
NORMA Group SE – Annual Report 2024 102
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
However, macroeconomic and geopolitical factors were not the only drivers of this volatility. The switch to
renewable energies, whose generation is naturally volatile, was met with existing, less flexible industrial structures
and a demand that could only be adapted to a limited extent. The volatility in the interplay between generation
and consumption increased, particularly in times of low availability of renewable energies.
NORMA Group met these challenges with a long-term strategy that focuses on the opportunities presented by the
energy transition while minimizing the risks of strong price fluctuations. Flexible contract models that combine the
security of long-term agreements with the advantages of spot electricity trading played a central role here. In
addition, in-house electricity generation and green electricity contracts (PPAs) were evaluated and implemented.
With this focus, NORMA Group will remain well positioned to meet the requirements of a changing energy market
in the future.
Supplier management and structure
The purchasing organization of the NORMA Group continuously monitors the performance of suppliers. The annual
supplier screening is a key instrument in this respect. This involves the use of globally uniform criteria from the
areas of quality, logistics, sustainability and commercial aspects. The relevant departments are involved in the
assessments at the local level. The evaluation process is mapped using e-procurement software. Besides the
annual supplier performance evaluation, supplier risks were monitored continuously using automated risk
management software. This helps the purchasing organization to maintain a constant overview of resilience in the
supply chain and to initiate the necessary measures early on.
The focus of NORMA Group’s supplier selection is a balance of supplier consolidation to reduce complexity and
avoiding strong dependencies. This balance is continuously optimized by the purchasing department. The current
supplier base is as follows: In fiscal year 2024, 31.4% (2023: 34.6%)of the purchasing volume was attributable to
NORMA Group's top 10 suppliers. The top 50 suppliers accounted for around 63.0% (2023: 65.2%) of production
material sales in the amount of EUR 330.0 million. (2023: EUR 377.9 million), which corresponds to EUR 208.0
million. (2023: EUR 247.2 million).
NORMA Group SE – Annual Report 2024 103
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3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
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OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Workforce
Decentralized organization, jointly lived company culture
The employees of NORMA Group make a significant contribution to the success of the Group. For this reason,
personnel management and development play an important role.
NORMA Group’s personnel management is organized on a decentralized basis. This reflects the international
nature of the Company. The decentralized organization allows the individual sites to adapt flexibly to local
conditions at any time and to contribute their specifications in a targeted manner, particularly with regard to
regional expertise in human resources development and recruiting. One of the main tasks of human resources
management is to ensure the availability of specialist and managerial staff on an ongoing basis. The goal here is
also to recruit as many specialized employees that the Company needs as possible from our own junior staff and
thus to become less dependent on the external labor market. The targeted training and development of its own
workforce is therefore an integral part of NORMA Group’s human resources strategy.
To promote a uniform company culture, NORMA Group has formulated central guiding principles and standardized
company values that reflect the fundamental convictions of the Company. These guiding principles are
communicated and lived at all sites.
Development of the workforce figures
As of December 31, 2024, NORMA Group employed 7,594 people across the Group (core workforce including
temporary workers). Compared to the previous year’s reporting date (December 31, 2023: 8,005), the number of
employees fell by 5.1%. 6.041 employees were attributable to the core workforce (Dec 31, 2023: 5,994). The
number of temporary employees at the end of December 2024 was 1,553 (Dec 31, 2023: 2,011). This results in a
share of temporary workers in the total workforce of around 21% (previous year: around 25%).
NORMA Group SE – Annual Report 2024 104
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2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
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RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Development of personnel figures
G020
6,306
6,664
7,667
8,865
8,521
8,790
8,203
8,707
8,005
7,594
5,121
5,450
6,115
6,901
6,523
6,635
6,191
6,175
5,994
6,041
1,185
1,214
1,552
1,964
1,998
2,155
2,012
2,532
2,011
1,553
Core workforce
Temporary staff
2015
2016
2017
2018
2019
2020
2021
2022
2023
2024
0
2,000
4,000
6,000
8,000
10,000
>>Workforce by regions
Workforce by regions
T027
2024
share in %
2023
share in %
EMEA
3,430
45
3,365
42
Americas
1,462
19
1,422
18
Asia-Pacific
1,149
15
1,207
15
Core workforce by regions
6,041
80
5,994
75
EMEA
291
4
491
6
Americas
863
11
1,010
13
Asia-Pacific
399
5
510
6
Temporary workers by regions
1,553
20
2,011
25
Total workforce
7,594
100
8,005
100
(ESRS [[SBM-1-40iii])<<7
NORMA Group SE – Annual Report 2024 105
7 This section is part of NORMA Group's Consolidated Non-financial Statement for the fiscal year from January 1, 2024 to December 31, 2024.
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
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5 FURTHER INFORMATION
As at December 31, 2024, the total number of employees (permanent staff and temporary workers) consisted of
4,022 direct (2024: 4,444) and 1,390 indirect employees (2024: 1,396) and 2,182 salary recipients (2024: 2,165).
While direct employees are people involved in the manufacturing process, indirect employees are people from
production-related areas, such as the quality department. The group of salaried employees is primarily assigned to
administrative functions.
Breakdown of employees by group
G021
53%
29%
18%
Direct employees
Salaried employees
Indirect employees
Detailed information on NORMA Group’s workforce can be found in the chapter 4 CONSOLIDATED NON-FINANCIAL
STATEMENT
NORMA Group SE – Annual Report 2024 106
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OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
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4 CONSOLIDATED
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5 FURTHER INFORMATION
Marketing
NORMA Group’s long-term marketing strategy is based on the following goals in order to further increase
awareness of NORMA Group’s products worldwide, increase product sales, strengthen customer relationships and
in doing so contribute to the Group’s growth:
•
Building a strong brand image for NORMA Group
•
Focus on digital marketing strategy
•
Focusing on marketing activities
•
Optimizing the brand portfolio
•
Optimization of the marketing instruments used
•
Achieving a better understanding of market needs
In order to be able to focus on its end markets and customers as much as possible, NORMA Group tailors all of its
marketing activities to address local market conditions and consumer habits in its respective regions and markets.
The marketing departments of the strategic business units are responsible for implementing the various activities
and synchronizing them with NORMA Group’s operational goals.
Marketing focus in 2024
The main marketing activities in fiscal year 2024 included:
•
Ongoing development of the future brand strategy and brand architecture
•
The further development of the Digital Commerce Strategy 2025: It focused on defining NORMA Group’s new
web ecosystem with the aim of unifying and standardizing its digital presence and creating a trusted and
simplified source of information for our existing and potential customers
•
Global alignment and optimization of marketing tools and suppliers
•
Further expansion, standardization and enrichment of the product information management (PIM) platform and
the digital assets management (DAM) platform as the basis for further digitalization activities and reliable
information for customers
•
Expansion of digital communication channels with relevant, customized content for customers and introduction
of awareness and lead generation campaigns
•
Optimization of the product portfolio and introduction of new products in order to offer a complete portfolio that
covers the needs of its customers
•
Development of specific marketing initiatives aimed at new business areas and markets with high potential
•
Participate in events, trade shows and organize TechDays to strengthen the Company’s relationships with its
current customers and create new business opportunities
NORMA Group SE – Annual Report 2024 107
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2 TO OUR SHAREHOLDERS
3 CONDENSED
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GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Marketing expenses in 2024
In the 2024 fiscal year, marketing expenditure totaled EUR 6.2 million. (2023: EUR 6.2 million). In relation to
revenue, marketing costs amounted to around 0.5% in the 2024 fiscal year, as in the previous year (2023: 0.5%).
Marketing expenses in 2024 by segment
G022
17%
65%
10%
8%
EMEA
Americas
Asia-Pacific
Group
NORMA Group SE – Annual Report 2024 108
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3 CONDENSED
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GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Consolidated Non-financial Statement
General Disclosures
In accordance with Sections §§ 315b und 315c HGB NORMA Group is obliged to prepare a consolidated non-
financial statement for NORMA Group in the combined group management report. The following contents
represent the consolidated non-financial statement for the fiscal year 2024 for NORMA Group. In this chapter, all
information refers to the ESRS 2, unless otherwise specified.
The non-financial group statement relates to the period from January 1 to December 31, 2024.
In accordance with Section 289d HGB, the consolidated non-financial statement was prepared based in part on
the first set of the European Sustainability Reporting Standards (ESRS) as a framework.
The following information, which would be reportable according to the result of the double materiality assessment,
was not included in the non-financial Group reporting:
S1-6 Characteristics of the company’s employees
S1-9 Diversity metrics
S1-10 Adequate wages
S1-16 Compensation metrics (pay gap and total compensation)
NORMA Group SE – Annual Report 2024 109
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3 CONDENSED
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GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Preliminary remark
NORMA Group announced in an ad hoc announcement on November 28, 2024 that the Management Board has
decided to initiate a process to sell the global business activities of the Water Management strategic business unit.
This step was determined after an analysis and consideration of alternative options by the Management Board of
NORMA Group SE regarding the further strategic direction of the Group. The aim of the strategic measure adopted
is to focus business activities on the core business of fastening products. The spin-off of the Water Management
division is intended to free up resources and capacities for further growth in the Industry Applications divisions and
to strengthen the Mobility & New Energy division.
The Water Management division will remain as a third business unit for the time being. However, the aim is to sell
all international activities of this business. The outcome and result of the sales process to be initiated are still open
as at December 31, 2024 and are also influenced by external factors.
As this Annual Report reflects the business activities in 2024, almost all of the information presented in this report
relates to the existing Group structure as at December 31, 2024. At individual, relevant points, the explanations
may be set out in more detail in relation to a possible future structure.
Basis for Preperation
The basis for the preparation of non-financial reporting is the scope of consolidation of NORMA Group SE, i.e. all
domestic and foreign companies, so that production sites as well as distribution, sales and competence centers
and administrative buildings are included in the reporting. Where individual chapters deviate from this for certain
facts and data, this is explicitly disclosed in the chapters.
BP-1 General basis for preparation of the consolidated non-financial statement
[BP-1-5a] The consolidated non-financial statement of NORMA Group SE (“NORMA Group”, “the company”) for
the 2024 fiscal year is made for the entire scope of consolidation. [BP-1-5bi] [BP-1-5bii] The basis for the
consolidated non-financial statement of NORMA Group is the scope of consolidation of the Consolidated Financial
Statements (see the chapter 4 NOTE 4 – SCOPE OF CONSOLIDATION). [BP-1-5c] The consolidated non-financial statement
also covers the upstream and downstream value chain. As part of the materiality analysis, material impacts, risks
and opportunities in the value chain were identified. The policies, measures and targets defined by NORMA Group
cover various areas:
Employees of NORMA Group suppliers are considered in the upstream value chain. Customers, consumers and
end users are considered in the downstream value chain. The own workforce includes both NORMA Group
employees and employees of service providers who carry out activities on the company premises. In addition,
affected communities and municipalities, especially those close to the production sites, are involved. By taking this
approach, NORMA Group wants to ensure that sustainable principles are integrated and implemented and that all
relevant stakeholders are analyzed. When disclosing metrics, NORMA Group refers to its own business activities
for the 2024 fiscal year. [BP-1-5d] No information on intellectual property, know-how, or the results of innovations
in orientation with European Sustainability Reporting Standards (ESRS) 1 Section 7.7 has been omitted from the
consolidated non-financial statement. [BJ14] [BP-1-5e] The exemption from disclosure of pending developments
or matters under negotiation in accordance with Articles 19a (3) and 29a (3) of Directive 2013/34/EU was not
used.
NORMA Group SE – Annual Report 2024 110
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3 CONDENSED
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GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
BP-2 Disclosures in relation to specific circumstances
[BP-2-9a] [BP-2-9b]
Assessment of the value chain: [BP-2-10a, b, c] The descriptions of the disclosed data on NORMA Group’s
upstream and downstream value chain can be found in the reporting on metrics in the topic-specific chapters. The
parameters used to estimate the individual value chain data are also specified and described in detail in the
reporting on metrics in the topic-specific chapters. [BP-2-10d] In addition, information on the estimation
uncertainty and planned measures to improve accuracy in the future were also included there.
[BP-2-11a] The sources of each estimate used and the uncertainties in the results are disclosed in the topic-
specific chapters. This makes it transparent which factors contribute to the uncertainties in the quantitative key
figures and monetary amounts. In addition, the assumptions and judgments made in assessing the sources of
estimation and the uncertainty of the results are defined. [BP-2-11b] Information about the sources of
measurement uncertainty for each applicable quantitative measure and monetary amount is also disclosed in the
respective topic-specific chapter. The assumptions and assessments made when measuring each quantitative
metrics and each monetary amount are also presented there.
[BP-2-13a][BP-2-13b][BP-2-13c] As this is the first year in which NORMA Group is preparing reporting in
orientation with the European Sustainability Reporting Standards (ESRS) and introducing new metrics, this makes
comparability with the previous sustainability reporting in accordance with Sections 315b and 315c in conjunction
with Sections 289b to 289e HGB more difficult. Compliance with the requirements of the ESRS is in line with
NORMA Group’s self-image of ensuring precise and future-oriented sustainability reporting. It offers an
opportunity for further development and ensures future comparability.
[BP-2-14a] [BP-2-14b] [BP-2-14c]
Disclosures arising from other legislation or generally accepted sustainability reporting statements [BP-2-15]
NORMA Group has included information from additional reporting standards in the consolidated non-financial
statement. In detail, the following standard was used: Global Reporting Initiative.
Incorporation by reference [BP-2-16] NORMA Group has incorporated information by reference to supplement the
requirements. For a number of topics, the following list of ESRS requirements and the specific data points
mandated by a disclosure requirement is provided, incorporated by reference.
References to the Management Report and
Remuneration Report
T028
Disclosure obligation
Reference
4 REMUNERATION REPORT
ESRS [GOV-3-29a-e]
4 WORKFORCE BY REGION
ESRS [SBM-1-40aiii]
4 BUSINESS MODEL
ESRS [SBM-1-42a] [SBM-1-42b]
[MDR-T-77b] In addition to the assurance by the appointed auditor, the metrics reported in the 2024 fiscal year
are not validated by any other external body responsible for quality assurance. If validation is carried out in
individual cases, this will be reported at the appropriate point. In addition, NORMA Group uses all phase-in options
in the first voluntary year of application of the CSRD, with the exception of the health and safety indicators
according to ESRS S1-14.
NORMA Group SE – Annual Report 2024 111
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GROUP
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(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
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5 FURTHER INFORMATION
Governance
GOV-1 The role of the administrative, management and supervisory bodies
[GOV-1-21a] The Management Board of NORMA Group consists of three members, while the Supervisory Board
consists of six members. [GOV-1-21b] As NORMA Group is not subject to co-determination, there are no employee
representatives on the Supervisory Board. [GOV-1-21c] The members of the Management Board have the
necessary experience and expertise to manage the company independently. The Supervisory Board contributes in-
depth knowledge of the relevant sectors, products and geographical regions of the company, which ensures that it
performs its supervisory function competently and appropriately.
GOV-1-21 Sustainability expertise on the Supervisory Board T029
Persons
Expertise in the area of sustainability
Mark Wilhelms
Experience in establishing ESG frameworks, conducting audits, and professional development as part of
board-level responsibilities
Erika Schulte
Responsibility for environmental protection at an industrial company; member of Wissensregion
FrankfurtRheinMain
Dr. Markus Distelhoff
By annual audit participation in the role as Chief Executive Officer
Rita Forst
Experience as a member of the ESG committee at other companies
Denise Koopmanns
Experience in construction, logistics, manufacturing and media as a Supervisory Board member and Chair of
the Audit Committee
Kerstin Müller-Kirchhofs
Experience with the preparation of non-financial reports and introduction of the EU taxonomy as CFO, since
then regular further training
[GOV-1-21d] In the 2024 fiscal year, NORMA Group’s three-member Management Board consisted of one-third
women and two-thirds men. At the end of the 2024 fiscal year, the Supervisory Board had a gender distribution of
two-thirds female and one-third male. This reflects the gender diversity on our Management Board and
Supervisory Board in a ratio of 1:1.
[GOV-1-21e] All members of the Supervisory Board are independent of the company and the Management Board
within the meaning of the German Corporate Governance Code (GCGK). According to the GCGC, a Supervisory
Board member is independent if there are no material and lasting personal or business relationships with the
company, its Management Board or a controlling shareholder. [GOV-1-22a] The CFO is responsible for monitoring
sustainability-related impacts, risks and opportunities on the Management Board and performs this task as part of
the Sustainability Steering Committee.
[GOV-1-22b; GOV-1-22c(i) + (ii)] Due to the growing importance of corporate responsibility and ESG
(environmental, social, governance), these topics are becoming increasingly important in the work of the
Supervisory Board, Management Board, and employees. The Strategy Committee regularly deals with the impacts
of climate change during the fiscal year, in particular, while the development of NORMA Group’s GHG emissions is
specifically addressed in Supervisory Board and Management Board meetings.
Under the leadership of the Management Board member responsible for Corporate Responsibility and ESG, the
Sustainability Steering Committee was established to deal with sustainability-related topics within NORMA Group.
NORMA Group SE – Annual Report 2024 112
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229 REMUNERATION REPORT
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254 REPORT ON
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Oversight of the Steering Committee is the responsibility of the CFO as a member of the Management Board, and
Vice President (VP) Investor Relations and Corporate Social Responsibility. Other members of the Steering
Committee include Executive Vice President Group Finance & Tax, Executive Vice President Human Resources,
Executive Vice President / General Counsel Legal / M&A, Vice President Integrity, Vice President Quality & EHS, and
Executive Vice President Group Purchasing & Supply Chain Management. The Steering Committee meets every six
weeks and manages and is responsible for sustainability topics in line with the targets and measures defined by
the Management Board within topic-specific working groups. The Steering Committee also makes management
decisions, sets targets, and defines future-oriented strategies. The members of the operational working groups
meet regularly during the fiscal year to drive forward the issues within their specialist areas. The Corporate
Responsibility team provides advice and support to the specialist departments and promotes the sustainability-
related guidelines of the Management Board and the Steering Committee. The Corporate Responsibility Team
reports regularly to the Steering Committee within the fiscal year on the current status of the project plan and
provides decision-making support. In addition, the respective specialist departments monitor the impacts, risks,
and opportunities.
[GOV-1-22c(iii)] Currently, NORMA Group has only partially implemented specific controls and procedures to
manage and monitor sustainability impacts, risks, and opportunities. To date, only risks have been considered in
risk management. Further information on integration into risk management is described in the chapter 4 4 IRO-1
PROCESS IRO. The company is still in the early stages of this process. The first step was to identify the impacts, risks,
and opportunities. In the coming fiscal years, the subsequent processes will be developed and implemented on an
ongoing basis. In the future, the impacts, risks, and opportunities will be reviewed once a year and reassessed if
necessary. In addition, a materiality analysis is carried out every three to five years or as required due to changes
in the business model, for example, in order to take a holistic view of the impacts, risks, and opportunities and
adjust them if necessary. Further information on the materiality analysis process can be found in the chapter 4 IRO-1
PROCESS.
[GOV-1-22d] The responsible Management Board members monitor the implementation of the defined targets
with regard to material impacts, risks, and opportunities of the operational working groups. NORMA Group’s
specialist departments report regularly to the respective Management Board department during the fiscal year. For
example, there is continuous reporting to the responsible COO of NORMA Group in the areas of environment,
health and safety, and quality. The departments are responsible for documenting the progress of their work over
the course of the fiscal year. The Corporate Responsibility team also regularly informs the Sustainability Steering
Committee about the progress made in implementing the CSRD and the EU taxonomy during the fiscal year.
[GOV-1-23a] NORMA Group’s Management Board and Supervisory Board have the necessary expertise to
monitor sustainability issues effectively. The Supervisory Board evaluates its work annually as part of a self-
assessment, in which an external consultant may also be consulted. The presentation of the expertise required for
sustainability issues is shown in the matrix 4 GOV-1-21 SUSTAINABILITY EXPERTISE ON THE SUPERVISORY BOARD. The evaluation
process includes a systematic analysis of existing skills and experience gained during the fiscal year. Possible gaps
in knowledge can be closed through targeted training and the use of external experts. In March 2024, the
Supervisory Board took part in specialized ESG training. [G1-GOV-1-5a] The Integrity department is also
responsible for corporate governance and is assigned to the Chief Executive Officer’s area of responsibility. The
Vice President Integrity reports directly to the Chief Executive Officer of NORMA Group. [G1-GOV-1-5b] The
expertise of the Supervisory Board with regard to aspects of corporate governance is described in the matrix
4 GOV-1-21 SUSTAINABILITY EXPERTISE ON THE SUPERVISORY BOARD. [GOV-1-23b] The sustainability expertise of the
Management Board and Supervisory Board is also relevant for assessing the material impacts, risks, and
opportunities within NORMA Group. Within the Sustainability Steering Committee, the CFO and chairpersons of
the relevant specialist areas are assigned to various working groups according to their respective areas of
NORMA Group SE – Annual Report 2024 113
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(HGB)
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REPORT
229 REMUNERATION REPORT
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254 REPORT ON
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5 FURTHER INFORMATION
expertise. For example, the Executive Vice President Human Resources is responsible for “Own Workforce” and all
matters relating to human rights. This structured division is intended to ensure focused and competent handling of
the respective subject areas.
GOV-2 Information provided to and sustainability matters addressed by the undertaking’s administrative,
management and supervisory bodies
[GOV-2-26a+b] The CFO is informed about the current status of the specialist areas at the six-weekly meetings of
the Sustainability Steering Committee. At the same time, regular reports are submitted to the Supervisory Board by
the responsible departments during the fiscal year. The material impacts, risks, opportunities, and the
implementation of due diligence and the results and effectiveness of guidelines, measures, metrics, and defined
targets are communicated. The Audit Committee is informed about ESG issues at least twice a year by the Vice
President Corporate Social Responsibility.
[GOV-2-26a+b] Under the leadership of NORMA Group’s CFO, a Steering Committee meets every six weeks to
discuss sustainability issues, among other things. The committee is informed by the Corporate Responsibility
department about material sustainability-related impacts, risks, and opportunities as well as the implementation of
due diligence and the results and effectiveness of concepts, measures, and defined targets. Based on this, the
Steering Committee makes all necessary sustainability-related decisions. The Corporate Responsibility department
also reports regularly to the Supervisory Board of NORMA Group on sustainability issues during the fiscal year.
This also includes information on the material impacts, risks, and opportunities. The Audit Committee is informed
about ESG issues at least twice a year by the Vice President Corporate Social Responsibility. The Management
Board and Supervisory Board also consider the impacts, risks, and opportunities with regard to the company’s
sustainable business strategy and when making decisions on material transactions. Compromises in connection
with these impacts, risks and opportunities have not yet been taken into account in the 2024 fiscal year.
[GOV-2-26c] In the 2024 fiscal year, the Steering Committee dealt with the material impacts, risks and
opportunities. A detailed overview can be found in the chapter 4 IRO-1 PROCESS IRO.
GOV-3 Integration of sustainability-related performance in incentive schemes
[GOV-3-29a-e] A detailed overview of the inclusion of sustainability-related benefits in the incentive system can
be found in the 4 REMUNERATION REPORT 2024.
NORMA Group SE – Annual Report 2024 114
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GOV-4 Statement on due diligence
[GOV-4-33] The following overview explains how and where the application of the key aspects and steps of the
due diligence process is reflected in the consolidated non-financial statement:
Statement on due diligence
T030
Core elements of due diligence
Reference within the consolidated non-financial statement
A) Embedding due diligence in governance, strategy and business model
4 GOV-2 Information provided to and sustainability matters addressed by the undertaking’s
administrative, management and supervisory bodies
4 GOV-3 Integration of sustainability-related performance in incentive schemes
B) Engaging with affected stakeholders in all key steps of the due
diligence
4 GOV-2 Information provided to and sustainability matters addressed by the undertaking’s
administrative, management and supervisory bodies
4 SBM-2 Interests and views of stakeholders
4 IRO-1 Description of the processes to identify and assess material impacts, risks and
opportunities
4 S1-2 Procedures for involving own workers and employee representatives in relation to
impacts
4 IRO-S2-2 Processes for engaging with workers value chain workers about impacts
4 S3-2 Processes for engaging with affected communities about impacts
C) Identifying and assessing adverse impacts
4 S3-2 Processes for engaging with affected communities about impacts
4 G1-3 Prevention and detection of corruption and bribery
D) Taking actions to address those adverse impacts
4 E1-3 Actions and resources in relation to climate change policies
4 E2-2 Actions and resources related to pollution
4 E3-2 Actions and resources related to water
4 E5-2 Actions and resources related to resources use and circular economy
4 S1-3 Processes to remediate negative impacts and channels for own workers to raise concerns
4 S1-4 Taking action on material impacts on own workforce, and approaches to mitigating
material risks and pursuing material opportunities related to own workforce, and
effectiveness of those actions
4 S2-3 Processes to remediate negative impacts and channels for value chain workers to raise
concerns
4 S2-4 Taking action on material impacts on value chain workers, and approaches to
managing material risks and pursuing material opportunities related to value chain
workers, and effectiveness of those action
4 S3-3 Processes to remediate negative impacts and channels for affected communities to
raise concerns
4 S3-4 Taking action on material impacts on affected communities, and approaches to
managing material risks and pursuing material opportunities related to affected
communities, and effectiveness of those actions
E) Tracking the effectiveness of these efforts and communicating
4 E1-3 Actions and resources in relation to climate change policies
4 E2-2 Actions and resources related to pollution
4 E3-2 Actions and resources related to water
4 E5-2 Actions and resources related to resources use and circular economy
4 S1-3 Processes to remediate negative impacts and channels for own workers to raise
concerns
4 S1-4 Taking action on material impacts on own workforce, and approaches to mitigating
material risks and pursuing material opportunities related to own workforce, and
effectiveness of those actions
4 S2-3 Processes to remediate negative impacts and channels for value chain workers to raise
concerns
4 S2-4 Taking action on material impacts on value chain workers, and approaches to
managing material risks and pursuing material opportunities related to value chain
workers, and effectiveness of those action
4 S3-3 Processes to remediate negative impacts and channels for affected communities to
raise concerns
4 S3-4 Taking action on material impacts on affected communities, and approaches to
managing material risks and pursuing material opportunities related to affected
communities, and effectiveness of those actions
NORMA Group SE – Annual Report 2024 115
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(HGB)
202 FORECAST REPORT
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GOV-5 Risk management and internal controls over sustainability reporting
[GOV-5-36a] Risk management at NORMA Group is an integral part of corporate governance, both at Group
management level and in the individual companies and functional areas. NORMA Group also has an internal
control system for non-financial processes and Group-wide activities. Due to the heterogeneous process
landscape and the high rate of change in the requirements for non-financial information, the maturity level of the
non-financial internal control system does not yet correspond to that of the (Group) financial internal control
system. It aims to ensure the security and reliability of sustainability reporting and compliance with all legal
requirements and internal guidelines. The Management Board of NORMA Group is responsible for maintaining an
effective risk and opportunity management system. The Supervisory Board is responsible for monitoring the
effectiveness of the Group’s risk management system.
The procedures and methods for preparing the sustainability report are partially integrated into NORMA Group’s
risk management process and internal control system. The risks that exist in the context of sustainability reporting
are identified by Corporate Responsibility, which is the responsible specialist department, and described within the
risk management system. Corporate Responsibility has also developed internal controls and measures to minimize
these risks. The identified risks and controls/measures are described in more detail below. The sustainability report
is also audited with limited assurance by the external auditors. The non-financial metrics that are relevant to the
remuneration of the Management Board are audited with reasonable assurance as part of the audit of the
financial statements.
[GOV-5-36b] The approach of the internal control and risk management system with regard to the Group
accounting process is explained in detail in the risk and opportunity report (see the chapter 4 RISK AND OPPORTUNITY
REPORT). The sustainability reporting process is based on the existing approach to risk assessment as part of the risk
management system. Risks that arise in the context of sustainability reporting are recorded within the risk
management system and follow the methodology of the entire risk management process.
[GOV-5-36c] The following main risks relating to sustainability reporting were identified as part of the financial risk
assessment carried out:
•
Reporting does not fully comply with regulatory requirements and standards (e.g. EU taxonomy, CSRD)
•
Incompleteness and accuracy of the data
•
Time of availability of the information
Internal controls and measures have been developed to minimize these risks:
As part of sustainability reporting, checklists developed by NORMA Group must be worked through to ensure
complete and consistent sustainability reporting. In order to avoid errors, the process for preparing sustainability
reporting texts is based on the separation of responsibilities and functions or competencies as well as plausibility
checks as part of the reporting process. The individual sections of the report in relation to the text are prepared by
the responsible departments and then consolidated, applying the principle of dual control.
[GOV-5-36d] The results of the risk assessment and internal controls throughout the sustainability reporting
process are integrated into the relevant internal functions and procedures by the respective relevant departments.
For example, Corporate Responsibility conducts a final review to ensure that all material data points required by
the ESRS have been considered in both reporting and data collection.
NORMA Group SE – Annual Report 2024 116
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(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
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INFORMATION
254 REPORT ON
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RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
[GOV-5-36e] The CFO is responsible for preparing the sustainability report. The CFO and the relevant specialist
departments are regularly informed about the content and progress of the report every six weeks as part of the
Steering Committee. If material risks arise or if the internal controls reveal potential risks, the Steering Committee is
informed at an early stage. The Audit Committee and Supervisory Board also deal with the sustainability report for
NORMA Group. The Supervisory Board is informed of the contents of the sustainability report by the Management
Board and reviews it. The final report is submitted to the Audit Committee and the Supervisory Board of NORMA
Group for review. If the Supervisory Board has no further adjustment requests or queries following its review,
approval is granted.
Strategy
SBM-1 Strategy, business model and value chain
[Introduction SBM-1-39] NORMA Group considers itself one of the leading international market and technology
leaders in advanced and standardized connection and fluid handling technology, as well as water management
solutions. With its 25 production sites and numerous sales offices, the Group has a global network through which
it supplies more than 10,000 customers in over 100 countries with over 40,000 high-quality products and
solutions. [SBM-1-40ai][SBM-1-40aii][SBM-1-AR14] Detailed information on the product portfolio, key markets
and customer groups can be found in the section 4 SELECTIVE PRODUCT PORTFOLIO. [SBM-1-40aiii] In addition, a
breakdown of the workforce by region can be found in the section 4 WORKFORCE BY REGION. [SBM-1-40iii]
[SBM-1-40e][SBM-1-40f] NORMA Group pursues individual topic-specific sustainability targets. These are
described in more detail in the following environmental, social and governance chapters. There are currently no
sustainability targets in connection with NORMA Group’s products, services or customer groups.
[SBM-1-40g] NORMA Group’s vision “We join forces to provide superior solutions for a sustainable future” reflects
the anchoring of sustainability in the company’s own strategy. This vision underlines the ambition to work together
on innovative and sustainable solutions for a future-proof world. NORMA Group also pursues the mission “Driven
by passionate collaboration and global excellence, we add value as the reliable partner for mission-critical
solutions in industry applications, water management, mobility & new energy.” Several core elements of the
mission reflect the fact that sustainability is an integral part of the strategic orientation: “Passionate collaboration”
stands for building trusting relationships with colleagues, business partners and local communities. NORMA Group
understands “global excellence” to mean the promotion of sustainability and resource efficiency. “Mission-critical
solutions” focus on current global megatrends such as resource scarcity and climate change in the markets
relevant to NORMA Group. With “add value,” the company supports sustainable transformation, and as a “reliable
partner” it is committed to compliance and good corporate governance, which shows that sustainability is an
integral part of its strategic orientation.
However, NORMA Group also faces future challenges, especially in the area of CO₂ reduction for its products and
the introduction of a product carbon footprint. These challenges require measures to improve CO₂ emissions over
the entire product life cycle. As a concrete measure, NORMA Group plans to develop a roadmap that defines
specific mechanisms for action.
[SBM-1-42a] [SBM-1-42b]
At the core of NORMA Group’s business model is the ability to adapt quickly and flexibly to changing customer
requirements as well as economic and social conditions. The targeted training and development of employees, and
NORMA Group SE – Annual Report 2024 117
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3 CONDENSED
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> ECONOMIC REPORT
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OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
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254 REPORT ON
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RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
the utilization of their potential are the decisive keys to innovative strength and corporate success. A detailed
description of the business model can be found in the chapter 4 BUSINESS MODEL. There, the input factors such as raw
materials, technology and human resources are described, the interaction of further processing is explained, and
the resulting products and their benefits for customers, investors and other stakeholders are shown.
[SBM-1-42c] The central building blocks of NORMA Group’s value chain are human resources, i.e. employees of
NORMA Group itself as well as employees of upstream or downstream companies. NORMA Group takes account
of the most important value chains in its business activities: In the upstream value chain, employees of NORMA
Group suppliers are considered for this purpose. Supplier groups from the areas of steel and metal components,
granulates and plastics, among others, are particularly relevant. Further explanations can be found in the chapter
4 PURCHASING AND SUPPLIER MANAGEMENT. Customers, consumers and end users are considered in the downstream value
chain. Customer groups in the Mobility & New Energy and Industry Applications SBUs are particularly relevant. The
own workforce includes both NORMA Group employees and employees of service providers who carry out
activities on the company premises. In addition, affected communities and municipalities, especially those close to
the production sites, are involved. By taking this approach, NORMA Group wants to ensure that sustainable
principles are integrated and implemented along these parts of the value chain and that all relevant stakeholders
are analyzed.
SBM-2 Interests and views of stakeholders
[Introduction SBM-2-43-44] NORMA Group sees itself as a transparent and open company and pursues a
stakeholder-oriented approach. The company specifically seeks exchange with its internal and external
stakeholders. These include experts and local stakeholders. In this way, NORMA Group aims to ensure continuous
dialog with relevant stakeholders and promote a proactive improvement process as part of its commitment to
sustainability. This is applied throughout the Group.
[SBM-2-45a] NORMA Group’s most important stakeholders include employees, customers, suppliers, shareholders
and financial market players as well as experts from the media, academia and politics. NORMA Group also
regularly engages in dialog with civil society groups such as NGOs during the fiscal year. NORMA Group is also in
contact with associations, trade unions, analysts, communities near the site as well as people from science and
politics. The company views it as part of its responsible corporate governance to ensure transparency regarding
stakeholder interests and the impacts of its business activities on these groups, while appropriately incorporating
these considerations into material decision-making processes. An open dialog with stakeholders and a clear
understanding of their expectations are particularly important when shaping the company’s strategic direction and
identifying material future topics for NORMA Group. To this end, the stakeholder perspective was considered in the
materiality analysis in accordance with the ESRS. Selected internal experts for the respective ESG topics (e.g.
QEHS specialist department for environment and health and occupational safety and quality) were consulted in
order to identify and assess impacts, risks and opportunities relating to environmentally and socially relevant
topics. [S1-SBM-2-12] As a central stakeholder group, the interests, viewpoints and rights of its own employees
play a decisive role in shaping the company’s business model and strategic direction. NORMA Group’s corporate
culture is intended to promote open communication and encourage employees to contribute to the further
development of the business. This is a core component of the “Join Forces” corporate vision. Particular emphasis is
placed on material aspects of corporate culture, working conditions and fundamental values such as diversity,
inclusion and full respect for human rights, which are firmly embedded in the corporate philosophy and form the
foundation for long-term success and sustainability. Continuous dialog with employees is important for success; it
shapes both the business model and the strategic direction. A large number of local and global initiatives, such as
the employee survey, ensure a continuous exchange of information.
NORMA Group SE – Annual Report 2024 118
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3 CONDENSED
MANAGEMENT REPORT
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GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
[S2-SBM-2-9][S2-SBM-2-AR4][S3-SBM-2-7] NORMA Group is also aware of the impact of its business activities
on workers along the entire value chain and on affected communities. The workforce in the upstream processes is
seen as a key stakeholder group that can be significantly influenced by the company’s activities. NORMA Group
suppliers who sign the Supplier Code of Conduct, i.e. in particular the preferred suppliers, commit to respect and
uphold human rights.
Additionally, the management team and investor relations representatives hold discussions with institutional
investors, financial analysts and private shareholders throughout the year. The company’s goal is to maintain
consistent, transparent and reliable communication with both private and institutional investors. The traditional
communication formats include, on the one hand, legally required mandatory components such as Quarterly
Statements, Half-year and Annual Reports, investor presentations and announcements. In doing so, the company
regularly informs its shareholders during the fiscal year about the strategic and business development of the
Group. At the same time, NORMA Group’s Investor Relations team is focusing on expanding the digital information
offering, for example through the online Annual Report, and providing new, target group-oriented communication
formats.
NORMA Group involved the various internal and external stakeholders in determining the material impacts, risks
and opportunities as part of the materiality analysis. Further information can be found in the chapter 4 IRO-1 PROCESS IRO
[in the referenced text: SBM-2-45b]. [SBM-2-45c].
[SBM-2-45d] NORMA Group’s management and supervisory bodies are informed about the views and interests of
stakeholders affected by our sustainability-related impacts through selected internal and external formats. As part
of the “Sustainability Management @ NORMA Group” program, reports are submitted to the CFO and the line
managers of the relevant departments every six weeks as part of the Steering Committee. In addition, a Corporate
Responsibility Report has been published annually in the past.
Impact, Risk and Opportunity management
The double materiality assessment was carried out in accordance with the European Sustainability Reporting
Standards (ESRS). The materiality analysis and the identified impacts, risks and opportunities also meet or exceed
the requirements of Section 289c HGB, meaning that no further material impacts, risks and opportunities within
the meaning of Section 289c HGB were identified in addition to the following material topics.
IRO-1 - Description of the processes to identify and assess material impacts, risks and opportunities
[Introduction IRO-1-51-52] In order to identify material impacts, risks and opportunities (IROs) of NORMA Group, a
double materiality assessment was carried out in accordance with the European Sustainability Reporting
Standards as part of the consolidated non-financial statement for the 2024 fiscal year. The process used to
identify the impacts, risks and opportunities and assess their materiality is explained below. The consolidated
results of the materiality analysis can be found in chapter 4 SBM-3 IRO STRATEGY.
Materiality was assessed through a process aimed at identifying, assessing, prioritizing and monitoring both
potential and actual impacts on society and the environment, as well as risks and opportunities that may in turn
impact NORMA Group’s financial performance, cash flows, access to finance or cost of capital. Within the double
materiality assessment process, the entire scope of consolidation of NORMA Group was taken into account (see
4 BP-1 GENERAL INFORMATION). [G1-IRO-1-6] In particular, NORMA Group also considered the entire scope of
consolidation when identifying material impacts, risks and opportunities in connection with corporate governance.
NORMA Group SE – Annual Report 2024 119
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3 CONDENSED
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(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
The process of identifying material impacts, risks and opportunities in connection with corporate governance ran
parallel to the process of the overall materiality analysis.
[IRO-1-53a][IRO-1-53bi-iv] [IRO-1-53ci-ii]
To determine the material report content, NORMA Group has drawn up a list of sustainability aspects based on the
sub-topics from the ESRS and supplemented these with company-specific aspects and topics from other
regulations such as the Global Reporting Initiative (GRI). Based on this, a total of 46 sub-topics were defined,
which were categorized according to overarching sustainability aspects and then divided into the three fields of
action “Environment,” “Social” and “Governance.” The list serves as a basis for identifying the positive and negative
as well as actual and potential impacts arising from NORMA Group’s business activities and relationships along
the value chain. In addition, material risks and opportunities were identified. As part of the process to identify and
assess IROs, all business areas and activities of NORMA Group were considered. The material topics were
assigned to the relevant stages of the value chain. Due to the homogeneous business model and comparable risk
profile, there was no disaggregation by business unit or geographical region, for example. [IRO-1-53g] NORMA
Group used internal and external stakeholders to identify and evaluate IROs. This was to ensure that the defined
value chain stages and relevant sources were considered. [E2-IRO-1-11a][E3-IRO-1-8a][E5-IRO-1-11a] As part
of the materiality analysis, NORMA Group did not systematically analyze its sites and business activities with
regard to local issues of environmental pollution, water resources, resource use and circular economy, nor did it
carry out an assessment of assets and activities. Instead, these analyses were carried out at Group level. The
Water Framework Directive was not taken into account here. [E4-IRO-1-17] Furthermore, the materiality analysis
revealed that no material impacts, risks or opportunities were identified in relation to biodiversity and ecosystems.
[SBM-2-45b] [IRO-1-53biii]
To ensure that the views and interests of stakeholders are taken into account in the process of conducting the double
materiality assessment, 14 relevant stakeholder groups consisting of internal and external stakeholders were identified in
preparation for the materiality analysis. Internal stakeholders include experts from the areas of Corporate Responsibility,
Quality, Environment and Health & Safety (QEHS) and Integrity, who were able to provide key perspectives and input on
the identified environmental, social and governance areas on behalf of their departments.
External stakeholders include customers, suppliers, shareholders and financial market players, non-profit
organizations, local communities, trade unions, national human rights institutions, environmental organizations,
lawyers and external consultants.
As part of the analysis, NORMA Group actively involved both internal and external stakeholder groups in the assessment
process of the identified impacts, risks and opportunities. Internal stakeholders in particular played a central role in the
assessment of these factors. This evaluation was carried out through structured integration in a two-stage process:
•
Qualitative interviews: In the first phase, qualitative interviews were conducted to identify the relevant impacts,
risks and opportunities in the environmental, social and governance areas. These interviews served to gain an
in-depth understanding of the respective topics and their implications. The qualitative interviews were
conducted with the internal stakeholder groups.
•
Written query for quantitative evaluation: In the second phase, a written survey was conducted in which
internal and external stakeholders quantitatively assessed the previously identified impacts, risks and
opportunities. This assessment was based on an impact scale and a financial scale developed using the ESRS.
This enabled a uniform classification and weighting of the identified factors.
NORMA Group SE – Annual Report 2024 120
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3 CONDENSED
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(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Internal stakeholders were interviewed based on their expertise or randomly, either on all identified environmental
topics or on all identified social and governance topics.
NORMA Group also involved external stakeholders in the evaluation process by means of subject-specific
questionnaires. The potential impact of the individual topics was assessed. In relation to the internal stakeholders,
only a few external stakeholders participated on a voluntary basis. In order to achieve meaningful and practically
relevant results, external stakeholders were not consulted to identify impacts, risks and opportunities.
[IRO-1-53bi-iv] [IRO-1-53ci-ii]
To assess and prioritize the identified IROs, they were classified into positive or negative, actual and potential
impacts, as well as risks and opportunities. Dependencies and interrelationships between impacts, risks and
opportunities were not explicitly considered in the materiality analysis. Various time horizons were considered for
the assessment: a short-term observation period of less than one year, a medium-term observation period of up to
five years and a long-term period of more than five years. The short and medium-term periods were considered
together when evaluating and prioritizing the IROs. The time horizon used is consistent with the time horizons
defined in ESRS 1 section 6.4.
To assess the materiality of each identified (potential and actual) negative impact, the factors of scale, scope and
irremediable character of the impact were used, which together determine the severity of the impact. All three
factors were rated on a four-point scale, with 4 being the most significant (1 = ”very low negative impact” to 4 =
”very high negative impact”). In addition to the severity, potential impacts were assessed on the basis of their
likelihood, also using the four-point scale. In the case of potential negative impacts on human rights, the severity of
the impact takes precedence over the likelihood. The materiality of potential social impacts was therefore assessed
solely on the basis of severity. The assessment of the materiality of each identified (potential and actual) positive
impact was carried out in parallel. However, only the factors of scale and scope and, where applicable, likelihood
were considered here.
When assessing the materiality of financial effects, the likelihood and magnitude of the financial effects of the
identified risks and opportunities were evaluated. Analogous to the assessment of impacts, scales of 1 to 4 were
used (1 = ”very unlikely” to 4 = ”very likely”).
The average values for each question were calculated in order to analyze all responses and identify the material
topics. The assessment of the respective specialist department was weighted twice in order to recognize their
expertise in the respective area. The material topics were identified on the basis of these average values and using
the ESRS methodology. An assessment of an impact or financial effect of a topic that meets the materiality threshold
is a material impact, a material risk or a material opportunity. The materiality threshold was a value of 2.50.
[E1-IRO-1-20a] [E1-IRO-1-20bi-bii] [E1-IRO-1-20ci-cii], [E1-IRO-1-AR11a-d],[E1-IRO-1-AR9a-b]
[E1-IRO-1-AR12a-d], [E1-IRO-1-AR13a-d], [E1-IRO-1-AR15], [E1-IRO-1-21]
In accordance with the requirements of the conformity criteria within the EU taxonomy, a climate risk and
vulnerability analysis was carried out in relation to the economic activities CCM 3.18 and CCM 5.1. The
assessment of physical climate risks was carried out on the assumption that most of the economic activities of
NORMA have an expected lifespan of more than ten years.
NORMA Group SE – Annual Report 2024 121
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> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
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4 CONSOLIDATED
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5 FURTHER INFORMATION
To enable an economic approach, the Corporate Responsibility department carried out an analysis of the largest
percentage taxonomy-eligible revenue shares from the 2023 fiscal year and selected three Water Management
companies and two companies with the highest revenue shares from eMobility products.
To determine the climate risks, coordinates of the selected locations were used to determine possible climate risks
at the location. Potential climate risks were evaluated using a climate excellence tool. The evaluation was carried
out in accordance with the precautionary principle. For example, the IPCC high emissions scenario SSP5-8.5 was
used to determine the climate-related risks that pose a threat to the economic activities of NORMA. The climate
model projections used in the latest IPPC assessment report (AR6) for the (SSP5-8.5) scenario were used to
determine which hazards will have a material impact on NORMA’s individual sites and operations.
The potential climate risks were then validated in interviews with the site managers and other experts and existing
mitigation measures, such as drainage systems for flood risks, were queried and documented.
Due to the existing and suitable remedial measures at the selected locations in the USA, China, India, Poland and
Malaysia, no new measures were defined and no adaptation plan was developed, as no need for this was
identified.
Beyond the climate risk and vulnerability analysis described above, no further analyses were carried out in
connection with climate risks in the 2024 fiscal year. The climate scenarios used are not taken into account in the
financial statements. The existing processes are to be expanded over the next few years.
[IRO-1-53e in conjunction with IRO-1-53ciii] The identified impacts, opportunities and risks are currently not
integrated into the general risk management process and the assessment of NORMA Group’s overall risk profile.
The company is still in the initial phase of this implementation process. In the following fiscal years, NORMA Group
will consider integrating the impacts, opportunities and risks into the existing risk management system. The
identified sustainability-related risks are not prioritized in comparison to other risks. [IRO-1-53f]
[IRO-1-53d] The impacts, risks and opportunities classified as material were reviewed and subsequently validated
by top management and the CFO via the Steering Committee. The Steering Committee and the working groups of
the sustainability management program were involved in the validation process. The result and the list of all IROs
can be found in the section 4 SBM-3 MATERIAL IROs. The review and confirmation of the results by the Steering
Committee is part of NORMA Group’s internal control process.
[IRO-1-53b] [IRO-1-53h] The results of the double materiality assessment and the assessment of the key IROs are
revalidated annually and the double materiality assessment process is repeated if necessary, for example in the
event of changes to the business model. In the future, interfaces to other relevant processes such as the risk
management process or other due diligence processes of the various specialist departments will be integrated into
the process. The up-to-dateness of the material IROs is reviewed during the current reporting year, with internal
experts and the respective specialist departments evaluating the IROs. If necessary, the results and affected IROs
are adjusted accordingly and approved by the Steering Committee and therefore also the CFO. NORMA Group has
changed the materiality assessment process compared to the previous reporting period 2023. In the previous
reporting year 2023, the requirements of the German Commercial Code (HGB) and the GRI Standards were used
as the methodological basis for the single materiality (assessment). Due to the requirements of the HGB and the
ESRS, NORMA Group has carried out a double materiality assessment in accordance with the ESRS for the current
2024 fiscal year.
NORMA Group SE – Annual Report 2024 122
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> ECONOMIC REPORT
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(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
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254 REPORT ON
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4 CONSOLIDATED
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5 FURTHER INFORMATION
SBM-3 Material impacts, risks and opportunities and their interaction with strategy and business model
[SBM-3-48g] In 2024 fiscal year, the first voluntary year of application of the CSRD, NORMA Group conducted the
double materiality assessment according to ESRS to identify material impacts, risks and opportunities. The
implementation of the materiality analysis is discussed in the chapter 4 IRO-1 PROCESS IRO, which describes the
process for identifying and assessing the material impacts, risks and opportunities. NORMA Group is aware of the
material impacts, risks and opportunities that its business activities may have on the environment, people and the
economy. [SBM-3-48ciii] It is currently evident that the material impacts, risks and opportunities are of significant
importance for NORMA Group’s sustainable business development in both the short and medium term. The
material impacts, risks and opportunities identified as part of the materiality analysis are summarized in the
following table:
[SBM-3-48a]
Material IROs
T031
ESRS E1 Climate change and energy
IMPACTS
Type of impact
NORMA Group has a negative impact on the environment through the emissions, energy consumption and waste
generated in its production processes and business areas.
negative; actual
The emissions caused by the production and transportation processes in NORMA Group’s supply chain have a negative
impact on the environment.
negative; actual
NORMA has a negative impact on climate change and energy supply through its production sites, as some of them are
located in climate risk areas.
negative; actual
NORMA has a positive impact on climate change and energy through implemented projects and processes, e.g. good
reporting structures, use of renewable energies, charging stations for electric vehicles.
positive; actual
NORMA Group has a positive impact on the environment through its business model and strategy, which focuses on
innovative energy and water management.
positive; actual
NORMA has a potentially positive impact on climate change and energy supply by implementing additional projects, such
as the expansion of solar installations.
positive; potential
NORMA has a positive impact on climate change and energy supply by expanding green activities as part of its business
model and strategy, e.g. by expanding water management in EMEA.
positive; actual
RISKS
Possible non-compliance of regulatory requirements with regard to energy management or a failure to achieve targets for
reducing emissions result in financial risks for NORMA Group due to fines or loss of sales as a result of reputational
damage.
Any necessary adjustments to production processes can result in high costs for the procurement of new production
materials or machines as well as structural adjustments.
Possible damage to production facilities as a result of environmental influences can result in lost sales due to production
interruptions or costs due to necessary repairs.
OPPORTUNITIES
The development of innovative products and the adaptation of production processes with a focus on energy efficiency are
creating opportunities for NORMA Group, such as customer acquisition and good reputation.
NORMA Group SE – Annual Report 2024 123
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3 CONDENSED
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46 PRINCIPLES OF THE
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> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
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INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Material IROs (continued)
ESRS E2 Pollution
IMPACTS
Type of impact
NORMA’s production processes have a negative impact in the area of microplastics through their use within
manufacturing processes.
negative; actual
NORMA has a positive influence on the formation of microplastics by complying with the relevant guidelines, processes
and regulations.
positive; actual
ESRS E3 Water resources
IMPACTS
Type of impact
NORMA has a negative impact on water consumption through its production processes and production sites, e.g. through
water consumption in water risk areas.
negative; actual
NORMA has a negative impact on water consumption through its supply chain and its impact through production and
transportation.
negative; actual
By complying with environmental guidelines, NORMA Group has a positive impact on water use.
positive; actual
By developing innovative products and water-conserving production processes, NORMA Group has a positive impact on
the resource-conserving use of water.
positive; actual
ESRS E5 Circular economy (waste)
IMPACTS
Type of impact
NORMA has a positive influence on waste management through compliance with its guidelines and reporting systems.
positive; actual
NORMA has a positive impact on the amount of waste because the products are of high quality; for example, the low rate
of defective parts leads to a low amount of waste.
positive; actual
NORMA has a positive impact on waste management through the projects it has implemented (recycling processes for
cardboard, plastics and metal).
positive; actual
ESRS E5 Resource inflows, including use of resources
IMPACTS
Type of impact
NORMA Group has a negative impact on resource inflow and consumption through its production processes and the
associated use of resources and energy.
negative; actual
NORMA Group has a negative impact on the inflow and use of resources through its products, their use over the entire life
cycle and their disposal.
negative; actual
NORMA Group has a positive impact on resource inflow and utilization by complying with regulations and existing
policies.
positive; actual
NORMA has a positive impact on the inflow and consumption of resources by improving products, e.g. through the
durability of products, which leads to a long life cycle and lower consumption of resources.
positive; actual
ESRS S1 – Own Workforce (working conditions)
IMPACTS
Type of impact
NORMA Group improves working conditions by implementing defined principles and standards as well as framework
conditions such as company agreements.
positive; actual/
potential
By implementing various projects (e.g. Job-Bike, H&S projects, collective bargaining in some plants), NORMA Group is
improving the working conditions of its own workforce and increasing employee satisfaction.
positive; actual/
potential
NORMA Group SE – Annual Report 2024 124
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3 CONDENSED
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GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Material IROs (continued)
ESRS S1 – Equal treatment and opportunities for all
IMPACTS
Type of impact
NORMA Group promotes diversity and equal treatment within its own workforce and offers needs-based jobs for people
with disabilities.
positive; actual
ESRS S1 – Human rights
IMPACTS
Type of impact
NORMA Group strengthens compliance with human rights by implementing guidelines such as the Code of Conduct (CoC)
and a whistleblower system.
positive; actual
OPPORTUNITIES
NORMA has a financial opportunity through Own Workforce Human Rights by investing in this issue, maintaining a good
image, complying with laws/regulations and attracting investors, customers and employees.
ESRS S2 – Workers in the value chain (working conditions)
IMPACTS
Type of impact
The relocation of production facilities to selected lower-cost countries with lower standards of working conditions can
worsen the working conditions of employees in the value chain due to a lack of control.
negative; potential
ESRS S2 – Equal treatment and opportunities for all
IMPACTS
Type of impact
Inadequate implementation of guidelines and controls in the supply chain affects the equal treatment of workers in the
value chain.
negative; actual/
potential
ESRS S2 – Human rights
IMPACTS
Type of impact
Inadequate implementation of guidelines and controls in the supply chain adversely affects the human rights of workers in
the value chain.
negative; actual
ESRS S3 – Affected communities
IMPACTS
Type of impact
NORMA Group’s environmentally harmful production and logistics processes adversely affect the conditions for
neighboring communities.
negative; actual
The payment of taxes, job creation, reliable employment, donations and sponsorship have a positive impact on affected
communities.
positive; actual
NORMA Group supports the affected communities by meeting local requirements and committing to quality and safety.
positive; actual
ESRS G1 – Business conduct (corporate culture)
IMPACTS
Type of impact
NORMA Group improves the corporate culture by promoting employee satisfaction and motivation.
positive; actual
OPPORTUNITIES
NORMA Group’s corporate culture improves employee retention, reduces employee turnover costs and increases
productivity.
The corporate culture enables NORMA Group to improve business relationships and strengthen the corporate image,
which leads to greater customer confidence.
NORMA Group SE – Annual Report 2024 125
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OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Material IROs (continued)
ESRS G1 – Corruption and bribery
IMPACTS
Type of impact
NORMA has a positive impact on corruption and bribery through processes aimed at adhering to strict ethical and
compliance standards and appropriate training.
positive; actual
Company-specific: Information security
IMPACTS
Type of impact
NORMA Group has a negative impact on the security and protection of employee and customer information due to region-
specific differences in the implementation of regulations and data protection.
negative; potential/
actual
NORMA Group can potentially have a negative impact on data protection in the value chain due to a lack of influence.
negative; potential
Through processes and measures aimed at compliance with data protection and information security regulations, as well
as appropriate training and engagement against cyber risks, NORMA reduces vulnerability to them and builds trust.
positive; actual
Through continuous improvement and risk management of NORMA Group’s information security processes, such as
improvements in risk prevention, certification, system expansion and control of software and equipment usage, NORMA
improves the company’s information security.
positive; actual
OPPORTUNITIES
NORMA has a financial opportunity through information security by improving certifications and systems that improve
trust, reduce vulnerabilities and attract investment.
Company-specific: Product quality
IMPACTS
Type of impact
NORMA Group improves product quality and safety through high standards and optimized processes.
positive; actual
By using recycled material and ensuring security of supply in some areas, NORMA improves its own product quality as it
offers environmental and accessibility benefits.
positive; actual
OPPORTUNITIES
NORMA Group has the opportunity to increase sales and profitability through improved product quality and market
adaptation.
NORMA Group SE – Annual Report 2024 126
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2 TO OUR SHAREHOLDERS
3 CONDENSED
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46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Climate change
[SBM-3-48a] The topic of climate change affects NORMA Group’s own business activities as well as the upstream
and downstream stages of the value chain. [SBM-3-48b][SBM-3-48h] The identified impacts, risks and
opportunities on this topic influence NORMA Group’s business model and corporate strategy by continuously
adapting the technological requirements for end products to meet increasing environmental awareness. In
particular, the new legal requirements, such as stricter emission regulations and the technological shift towards
alternative drive technologies such as hybrid, electric and hydrogen drives, represent material framework
conditions that influence NORMA Group’s product development. [SBM-3-48b] Information on the measures
NORMA Group is taking to respond to this influence can be found in the chapter 4 E1 CLIMATE CHANGE. [SBM-3-48ci]
NORMA Group has a negative impact on climate change and energy supply through its production processes,
supply chains and the geographical location of its production sites, as this generates emissions, waste and other
environmentally harmful effects and some sites are located in climate risk areas. However, NORMA Group also has
positive impacts through various environmentally friendly projects and processes, such as the use of renewable
energy or of charging stations for electric vehicles, and improved energy and water management. [SBM-3-48cii]
The identified impacts are related to NORMA Group’s corporate strategy and business model, as NORMA Group is
a manufacturing company. [SBM-3-48civ] The impact of climate change motivates NORMA Group to tap market
potential and strengthen its competitiveness in the long term through innovative technologies, sustainable
production processes and the development of environmentally friendly products. These ambitions are set out in the
sustainability goals, for example. NORMA Group’s own activities and business relationships (e.g. through
suppliers) have an impact on climate change. [E1-SBM-3-18] The material climate-related risks are climate-related
physical risks and climate-related transition risks. [SBM-3-48d] In the fiscal year, the material risks, such as the
necessary adjustment of production processes, and opportunities, for example customer acquisition and good
reputation, in the area of climate change can influence NORMA Group’s financial position, earnings position and
cash flows. [SBM-3-48e]
Pollution
[SBM-3-48a][SBM-3-48b][SBM-3-48h] Pollution is another material sustainability-related topic for NORMA
Group’s own business activities. The identified impacts influence NORMA Group’s business model and corporate
strategy in that NORMA Group contributes to combating climate change through the sale of products such as e-
mobility products while also generating sales. In addition, the value chain is also influenced, which is why NORMA
Group conducts a Conflict Minerals Survey in Purchasing at least once a year and has anchored conflict raw
materials, among other things, within the Supplier Code of Conduct. [SBM-3-48b] The chapter 4 E2 POLLUTION shows
the measures NORMA Group is taking in response to this influence. [SBM-3-48ci] NORMA Group causes actual
negative impacts through its production processes, e.g. through the use of microplastics as granulate as a
preliminary product of NORMA end products or through the generation of waste. At the same time, it contributes
to reducing environmental impacts by continuously improving its production processes and products.
[SBM-3-48civ] NORMA Group contributes to environmental impacts through its own activities and business
relationships (e.g. through suppliers). [SBM-3-48cii] This is related to NORMA Group’s corporate strategy and
business model, as NORMA Group is a manufacturing company. [SBM-3-48d][SBM-3-48e] The challenges of
pollution motivate NORMA Group to contribute to the reduction of emissions and waste through processes,
products and technology, which is reflected in the reduction of pollution in the sustainability targets.
NORMA Group SE – Annual Report 2024 127
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2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Water resources
[SBM-3-48b][SBM-3-48h] The impacts identified in the area of water resources influence NORMA Group’s
business model and corporate strategy by contributing to combating water scarcity and generating revenue
through the sale of products. [SBM-3-48a][SBM-3-48b] The impacts relate to NORMA Group’s own business
activities. A description of the measures with which the company responds to the influences described can be
found in the chapter 4 E3 WATER RESOURCES. [SBM-3-48ci] NORMA Group has a negative actual impact on water
consumption through its production processes and supply chain, especially in water risk areas. At the same time, it
contributes positively to water use through the reuse of water in production and products that minimize water
consumption. [SBM-3-48civ] NORMA Group contributes to the impacts on water resources through its own
activities and business relationships (e.g. through suppliers). [SBM-3-48cii] This is related to NORMA Group’s
corporate strategy and business model, as NORMA Group is a manufacturing company. [SBM-3-48d]
[SBM-3-48e]. NORMA Group drives the responsible and efficient use of water resources to reduce the impact on
them. This applies to the development and production of products. The products are also used to optimize the
efficiency of water, for example as a cooling medium to improve flow efficiency. In this context, it should be noted
that NORMA Group announced in the 2024 fiscal year that the Water Management division is to be sold in the
future.
Waste management and circular economy
[SBM-3-48a] The topics of waste management and circular economy are relevant for the company’s own business
activities as well as for the upstream and downstream stages of the value chain. [SBM-3-48b][SBM-3-48h] The
identified impacts influence the value chain and NORMA Group’s decision-making by promoting the reduction of
waste in production. [SBM-3-48b] Details on the measures NORMA Group takes to respond to these impacts are
described in the chapter 4 E5 CIRCULAR ECONOMY. [SBM-3-48ci] NORMA Group has an actual positive impact on waste
management and resource inflow through its high-quality products and recycling projects, while its production
processes and product life cycle have a negative impact on resource inflow and consumption. In addition, there is a
potential positive impact from improving production processes and reusable packaging, which can help minimize
waste. [SBM-3-48civ] NORMA Group contributes to the impact through its own activities and business
relationships (e.g. through suppliers) in the area of waste management and circular economy. [SBM-3-48cii] This is
related to NORMA Group’s corporate strategy and business model, as NORMA Group is a manufacturing
company. [SBM-3-48d][SBM-3-48e] Efficient waste management and the integration of circular economy
principles are intended to increase NORMA Group’s resource efficiency. The reduction of waste is just as much a
part of excellence in production as, for example, the regranulation of waste for reintroduction into the production
process as an element of the circular economy.
NORMA Group SE – Annual Report 2024 128
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3 CONDENSED
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46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Own workforce
[SBM-3-48a][SBM-3-48h] NORMA Group’s own workforce is also a material sustainability issue for NORMA
Group’s own operations. [S1-SBM-3-13][SBM-3-48b][SBM-3-48cii] The actual and potential impacts on NORMA
Group’s own workforce identified in the materiality assessment are linked to the company’s strategy and business
model. Furthermore, these impacts are of crucial importance for the adjustment of the strategy, as NORMA Group
wants to remain an attractive employer in the future. Current employees and future employees should have an
increased identification with and loyalty to NORMA Group and contribute to the company’s success with the
resulting commitment. Objectives derived from the corporate strategy include employer branding objectives to
increase attractiveness in an external context, particularly for potential new employees. This also results in the
opportunity identified as material, which is also linked to the strategy and business model. [SBM-3-48b] The
chapter 4 S1 OWN WORKFORCE describes the measures NORMA Group is taking to address these influences.
[SBM-3-48d]
[S1-SBM-3-14a] As part of its reporting, NORMA Group considers all of its own workforce who are potentially
materially affected by the company’s impacts. The employees and external workers concerned are differentiated,
for example, according to the type of work activity, such as production and administration. This includes all
employees, including temporary and permanent employees, students, interns, trainees and on-call workers as well
as leased staff, including the self-employed. [S1-SBM-3-14b]
[SBM-3-48ci][SBM-3-48civ][S1-SBM-3-14c + 15 + 16] The material positive impacts identified in the materiality
analysis result, among other things, from measures aimed at compliance with the principles and standards defined
by NORMA Group, as well as framework conditions such as company agreements or local and global initiatives.
These should contribute to improving working conditions by promoting equal treatment and equal opportunities, as
well as ensuring that the human rights of the company’s own employees are respected. All employees, including
the self-employed, who fall within the definition of the company’s own workforce, can benefit from these effects.
All positive impacts and identified opportunities relate to the entire workforce.
[S1-SBM-3-14d] The identified financial opportunity relevant to NORMA Group’s business, resulting from the
impact and dependencies of its own workforce, is that NORMA Group invests in this topic, maintains a good
image, establishes compliance measures and attracts investors, customers and employees.
[S1-SBM-3-14e] NORMA Group does not record any material impacts on its own workforce as a result of
transition plans to reduce negative environmental impacts and achieve greener and climate-neutral operations.
The company wants to ensure that its measures to improve environmental sustainability do not adversely affect
the working conditions of its employees.
[S1-SBM-3-14f + g] NORMA Group has not identified any significant risks related to forced labor and child labor in
the course of its operations. NORMA Group is committed to preventing forced and child labor by introducing
Group-wide standards for working conditions, and establishing measures to comply with global regulations.
NORMA Group SE – Annual Report 2024 129
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3 CONDENSED
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GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Workers in the value chain
[SBM-3-48a][SBM-3-48h][S2-SBM-3-10a][S2-SBM-3-10b][SBM-3-48b]
The
workers
in
NORMA
Group’s
upstream value chain are materially influenced by its activities and are therefore considered a key stakeholder
group. Their interests, views and rights have a significant influence on NORMA Group’s business model, which is
reflected in the implementation of Group-wide guidelines such as the Supplier Code of Conduct and the Code of
Conduct. [SBM-3-48b] Further details on how NORMA Group deals with these influences can be found in the
chapter 4 S2 WORKERS IN THE UPSTREAM VALUE CHAIN. [SBM-3-48cii] The identified actual and potential negative impacts
on these workers are related to NORMA Group’s corporate strategy and business model, as NORMA Group as a
manufacturing company is dependent on upstream value creation to realize its own value creation.
[SBM-3-48d][SBM-3-48e]
[S2-SBM-3-11a] The identified material and potential negative impacts of NORMA Group on workers in the value
chain primarily relate to the upstream value chain. NORMA Group strives to reduce potentially negative impacts on
workers in the upstream value chain through purchasing regulations. This includes, for example, refraining from
sourcing resources from conflict regions. Compliance with the necessary sourcing standards is also taken into
account for suppliers. This includes all persons who are active in this value chain, regardless of a direct contractual
relationship with the company. This includes all employees who are or could be significantly affected by NORMA
Group’s activities. This includes both the impacts that the company causes or contributes to directly and those that
result from its business relationships in connection with its own activities, products or services. All workers who are
not part of the “own workforce” are included. [S2-SBM-3-11b] NORMA Group has not identified a significant risk
of child labor or forced labor among workers in the upstream value chain.
[SBM-3-48ci][SBM-3-48civ][S2-SBM-3-11c] The impacts identified as material in the materiality analysis are
widespread/systemic. These impacts are not limited to individual incidents or specific business relationships. [S2-
SBM-3-11d][S2-SBM-3-11e]
[S2-SBM-3-12] As part of the materiality analysis, NORMA Group has identified workers in the upstream supply
chain who could potentially or actually be negatively affected. An understanding of why certain workers may be at
greater risk was developed. Supplier risks are monitored by NORMA Group’s purchasing department. The process
supports the purchasing organization in continuously keeping an eye on resilience in the supply chain and initiating
the necessary measures in good time. [S2-SBM-3-13]
Affected communities
[SBM-3-48a][SBM-3-48h][SBM-3-48b][SBM-3-48cii][S3-SBM-3-8a][S3-SBM-3-8b]
The
actual
impacts
on
affected communities identified in the materiality analysis are not related to NORMA Group’s business model.
Furthermore, these impacts do not contribute to the adjustment of the business model. [SBM-3-48b] Further
information can be found in the chapter 4 S3 AFFECTED COMMUNITIES. [S3-SBM-3-9a] The communities affected by
NORMA Group’s business activities include communities, cities and individuals located in the vicinity of a NORMA
Group site. [S3-SBM-3-10] NORMA Group has also identified the main types of communities negatively impacted
by its operations as part of the materiality assessment. This includes communities that live near NORMA locations,
especially
production
sites.
For
example
these
include
residents.
[S3-SBM-3-11]
[S3-
SBM-3-9b][SBM-3-48ci][SBM-3-48civ] The impacts identified as material in the materiality analysis are
widespread/systemic. These impacts are not limited to individual incidents or specific business relationships.
[SBM-3-48d][SBM-3-48e]
NORMA Group SE – Annual Report 2024 130
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2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
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GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Business conduct
[SBM-3-48a][SBM-3-48b][SBM-3-48h] Business conduct is a material sustainability-related topic for NORMA
Group’s own business activities. The identified impacts have an influence on NORMA Group’s business model,
corporate strategy and decision-making. [SBM-3-48b] NORMA Group has developed measures to respond to
these impacts. These are described in the chapter 4 G1 GOVERNANCE. [SBM-3-48ci] NORMA Group has a positive
impact on corporate culture by promoting employee satisfaction and motivation and by providing a legal and
compliance framework. [SBM-3-48civ] NORMA Group contributes to the impact through its own activities and
business relationships (e.g. through suppliers) in the area of corporate governance. [SBM-3-48cii] This is linked to
NORMA Group’s corporate strategy and business model, as the company states in our vision “We join forces to
provide superior solutions for a sustainable future.” [SBM-3-48d] By establishing the vision NORMA Group’s
management strengthens the strategic focus on a sustainable and resilient business model, combining long-term
economic success with environmental and social responsibility. This is also demonstrated by the commitment to
the sustainability goals. In the fiscal year, the material opportunities, such as strengthening business relationships
and reducing employee turnover costs, in the area of corporate governance may affect NORMA Group’s financial
position, earnings position and cash flows. [SBM-3-48e]
Information security
[SBM-3-48a][SBM-3-48b][SBM-3-48h] NORMA Group considers information security to be a material company-
specific issue that is relevant to its own business activities. The identified impacts and opportunities influence
NORMA Group’s value chain in that the use of information security contributes to more efficient information
procurement and decisions can thus be better prepared. [SBM-3-48b] Information on the measures NORMA Group
is taking to respond to the impact can be found in the chapter 4 INFORMATION SECURITY. [SBM-3-48ci] NORMA Group
has both positive and negative impacts in the area of information security. [SBM-3-48civ] NORMA Group
contributes to the impact through its own activities and business relationships (e.g. through suppliers) in the area
of information security. [SBM-3-48cii] This is not yet related to NORMA Group’s corporate strategy and business
model. [SBM-3-48d] In the fiscal year, the main opportunities, such as improving certifications and enhancing trust,
in the area of information security may affect NORMA Group’s financial position, earnings position and cash flows.
[SBM-3-48e]
Product quality
[SBM-3-48a]
Product
quality
is
highly
relevant
for
NORMA
Group’s
own
business
activities.
[SBM-3-48b][SBM-3-48h] The identified impacts and opportunities on this company-specific topic influence
NORMA Group’s value chain and corporate strategy by NORMA Group striving for reliable product quality.
[SBM-3-48b] Measures with which NORMA Group responds to the impacts can be found in the chapter 4 PRODUCT
QUALITY. [SBM-3-48ci] NORMA Group has a positive impact on product quality through high safety standards and
the longevity of its products as well as through environmentally friendly practices such as the use of recycled
materials and ensuring security of supply. [SBM-3-48civ] NORMA Group contributes to the impact through its own
product quality activities. [SBM-3-48cii] This is linked to NORMA Group’s corporate strategy and business model,
as we as a manufacturing company place the highest value on product quality. [SBM-3-48d] In the fiscal year, the
material opportunity, improvement of product quality and market adaptation, in the area of product quality can
influence NORMA Group’s financial position, earnings position and cash flows. [SBM-3-48e]
NORMA Group SE – Annual Report 2024 131
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Resilience and scenario analyses
[SBM-3-48f] [E1-SBM-3-19a-c] [E1-SBM-3-AR6] [E1-SBM-3-AR7a-c] [E1-SBM-3-AR8a-b]
NORMA Group did not assess the resilience of its strategy and business model in the 2024 fiscal year as part of a
resilience analysis according to ESRS.
IRO-2 – Disclosure requirements in ESRS covered by the company’s consolidated non-financial statement
[IRO-2-56] An index of all disclosure requirements that NORMA Group has followed in preparing this statement
can be found here: 4 BP-2-16 REFERENCES TO THE MANAGEMENT REPORT. The following table lists all data points resulting from
other EU legislation and indicates where they can be found in this consolidated non-financial statement and
whether they have been identified as material by NORMA Group.
Data points in relation to EU legislation
T032
Disclosure requirement
and related data point
SFDR reference1
Pillar 3 reference2
Benchmark regulation
reference3
EU Climate
Law
reference4
Number of
pages/
materiality
ESRS 2 GOV-1
Board's gender diversity
paragraph 21 (d)
indicator no. 13 in Annex
1 table 1
Commission Delegated
Regulation (EU)
2020/1816(5), Annex II
ESRS 2 GOV-1
Percentage of board
members who are
independent paragraph
21 (e)
Delegated Regulation
(EU) 2020/1816, Annex II
ESRS 2 GOV-4
Statement on due
diligence paragraph 30
indicator no. 10 in Annex
1 table 3
ESRS 2 SBM-1
Involvement in activities
related to fossil fuel
activities paragraph 40
(d) i
indicator no. 4 table 1 in
Annex 1
Article 449a Regulation
(EU) No 575/2013;
Commission
Implementing Regulation
(EU) 2022/2453(6)Table
1: Qualitative information
on Environmental risk and
Table 2: Qualitative
information on Social risk
Delegated Regulation
(EU) 2020/1816, Annex II
Not
applicable
ESRS 2 SBM-1
Involvement in activities
related to chemical
production paragraph 40
(d) ii
indicator no. 9 in
Annex 1 table 2
Delegated Regulation
(EU) 2020/1816, Annex II
Not
applicable
ESRS 2 SBM-1
Involvement in activities
related to controversial
weapons paragraph 40
(d) iii
indicator no. 14 in
Annex 1 table 1
Delegated Regulation
(EU) 2020/1818(7), Article
12(1) Delegated
Regulation (EU)
2020/1816, Annex II
Not
applicable
NORMA Group SE – Annual Report 2024 132
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Data points in relation to EU legislation (continued)
ESRS 2 SBM-1
Involvement in activities
related to cultivation and
production of tobacco
paragraph 40 (d) iv
Delegated Regulation
(EU) 2020/1818, Article
12(1) Delegated
Regulation (EU)
2020/1816, Annex II
Not
applicable
ESRS E1-1
Transition plan to reach
climate neutrality by
2050 paragraph 14
Regulation
(EU)
2021/1119,
Article 2(1)
ESRS E1-1
Undertakings excluded
from Paris-aligned
Benchmarks paragraph
16 (g)
Regulation (EU) No
575/2013; Commission
Implementing Regulation
(EU) 2022/2453 Template
1: Banking book-Climate
Change transition risk:
Credit quality of
exposures by sector,
emissions and residual
maturity
Delegated Regulation
(EU) 2020/1818,
Article12.1 (d) to (g), and
Article 12.2
ESRS E1-4
GHG emission reduction
targets paragraph 34
indicator no. 4 in
Annex 1 table 2
Article 449a
Regulation (EU) No
575/2013; Commission
Implementing Regulation
(EU) 2022/2453 Template
3: Banking book – Climate
change transition risk:
alignment metrics
Delegated Regulation
(EU) 2020/1818, Article 6
ESRS E1-5
Energy consumption from
fossil sources
disaggregated by sources
(only high climate impact
sectors) paragraph 38
indicator no. 5 in
Annex 1 table 1 and
indicator no. 5 in
Annex 1 table 2
ESRS E1-5 Energy
consumption and mix
paragraph 37
indicator no. 5 in
Annex 1 table 1
ESRS E1-5
Energy intensity
associated with activities
in high climate impact
sectors paragraphs 40 to
43
indicator no. 6 in
Annex 1 table 1
ESRS E1-6
Gross Scope 1, 2, 3 and
Total GHG emissions
paragraph 44
indicators no. 1 and 2 in
Annex 1
Table 1
Article 449a; Regulation
(EU) No 575/2013;
Commission
Implementing Regulation
(EU) 2022/2453 Template
1: Banking book – Climate
change transition risk:
Credit quality of
exposures by sector,
emissions and residual
maturity
Delegated Regulation
(EU) 2020/1818, Article
5(1), 6 and 8(1)
NORMA Group SE – Annual Report 2024 133
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Data points in relation to EU legislation (continued)
ESRS E1-6
Gross GHG emissions
intensity paragraphs 53
to 55
indicator no. 3 table 1 in
Annex 1
Article 449a Regulation
(EU) No 575/2013;
Commission
Implementing Regulation
(EU) 2022/2453 Template
3: Banking book – Climate
change transition risk:
alignment metrics
Delegated Regulation
(EU) 2020/1818, Article
8(1)
ESRS E1-7
GHG removals and
carbon credits paragraph
56
Regulation
(EU)
2021/1119,
Article 2(1)
ESRS E1-9
Exposure of the
benchmark portfolio to
climate-related physical
risks paragraph 66
Delegated Regulation
(EU) 2020/1818, Annex II
Delegated Regulation
(EU) 2020/1816, Annex II
Phase-in
ESRS E1-9
Disaggregation of
monetary amounts by
acute and chronic
physical risk paragraph
66 (a)
ESRS E1-9
Location of significant
assets at material
physical risk paragraph
66 (c).
Article 449a Regulation
(EU) No 575/2013;
Commission
Implementing Regulation
(EU) 2022/2453
paragraphs 46 and 47;
Template 5: Banking
book - Climate change
physical risk: Exposures
subject to physical risk.
Phase-in
ESRS E1-9 Breakdown of
the carrying value of its
real estate assets by
energy-efficiency classes
paragraph 67 (c).
Article 449a Regulation
(EU) No 575/2013;
Commission
Implementing Regulation
(EU) 2022/2453
paragraph 34; Template
2:Banking book -Climate
change transition risk:
Loans collateralised by
immovable property -
Energy efficiency of the
collateral
Phase-in
ESRS E1-9
Degree of exposure of the
portfolio to climate-
related opportunities
paragraph 69
Delegated Regulation
(EU) 2020/1818, Annex II
Phase-in
ESRS E2-4
Amount of each pollutant
listed in Annex II of the E-
PRTR Regulation
(European Pollutant
Release and Transfer
Register) emitted to air,
water and soil, paragraph
28
indicator no. 8 in
Annex 1 table 1 indicator
no. 2 in
Annex 1 table 2
indicator no. 1 in
Annex 1 table 2 indicator
no. 3 in
Annex 1 table 2
ESRS E3-1
Water and marine
resources paragraph 9
indicator no. 7 in
Annex 1 table 2
NORMA Group SE – Annual Report 2024 134
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Data points in relation to EU legislation (continued)
ESRS E3-1
Dedicated policy
paragraph 13
indicator no. 8 in
Annex 1 table 2
ESRS E3-1
Sustainable oceans and
seas paragraph 14
indicator no. 12 in
Annex 1 table 2
ESRS E3-4
Total water recycled and
reused paragraph 28 (c)
indicator no. 6.2 in
Annex 1 table 2
ESRS E3-4
Total water consumption
in m3 per net revenue on
own operations
paragraph 29
indicator no. 6.1 in
Annex 1 table 2
ESRS 2 – SBM-3 – E4
Paragraph 16 letter (a)i
indicator no. 7 in
Annex 1 table 1
Not material
ESRS 2 – SBM-3 – E4
Paragraph 16 (b)
indicator no. 10 in
Annex 1 table 2
Not material
ESRS 2 – SBM-3 – E4
Paragraph 16 (c)
indicator no. 14 in
Annex 1 table 2
Not material
ESRS E4-2
Sustainable land /
agriculture practices or
policies paragraph 24 (b)
indicator no. 11 in
Annex 1 table 2
Not material
ESRS E4-2
Sustainable oceans / seas
practices or policies
paragraph 24 (c)
indicator no. 12 in
Annex 1 table 2
Not material
ESRS E4-2
Policies to address
deforestation paragraph
24 (d)
indicator no. 15 in
Annex 1 table 2
Not material
ESRS E5-5
Non-recycled waste
paragraph 37 (d)
indicator no. 13 in
Annex 1 table 2
ESRS E5-5
Hazardous waste and
radioactive waste
paragraph 39
indicator no. 9 in
Annex 1 table 1
ESRS 2 SBM3 – S1
Risk of incidents of forced
labour paragraph 14 (f)
indicator no. 13 in
Annex I Table 3
ESRS 2 SBM3 – S1 Risk
of incidents of child
labour paragraph 14 (g)
indicator no. 12 in
Annex I Table 3
ESRS S1-1
Human rights policy
commitments paragraph
20
indicator no. 9 in
Annex I table 3 and
indicator no. 11 in Annex I
table 1
NORMA Group SE – Annual Report 2024 135
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Data points in relation to EU legislation (continued)
ESRS S1-1
Due diligence policies on
issues addressed by the
fundamental International
Labor Organisation
Conventions 1 to 8,
paragraph 21
Delegated Regulation
(EU) 2020/1816, Annex II
ESRS S1-1
Processes and measures
for preventing trafficking
in human beings
paragraph 22
indicator no. 11 in
Annex I Table 3
ESRS S1-1
Workplace accident
prevention policy or
management system
paragraph 23
indicator no. 1 in
Annex I Table 3
ESRS S1-3
Grievance/complaints
handling mechanisms
paragraph 32 (c)
indicator no. 5 in
Annex I Table 3
Whistleblowe
r System
NORMA
Group
ESRS S1-14
Number of fatalities and
number and rate of work-
related accidents
paragraph 88 (b) and (c)
indicator no. 2 in
Annex I Table 3
Delegated
Commission Regulation
(EU) 2020/1816, Annex II
ESRS S1-14
Number of days lost to
injuries, accidents,
fatalities or illness
paragraph 88 (e)
indicator no. 3 in
Annex I Table 3
ESRS S1-16
Unadjusted gender pay
gap paragraph 97 (a)
indicator no. 12 in
Annex I table 1
Delegated Regulation
(EU) 2020/1816, Annex II
ESRS S1-16
Excessive CEO pay ratio
paragraph 97 (b)
indicator no. 8 in
Annex I Table 3
ESRS S1-17
Incidents of
discrimination paragraph
103 (a)
indicator no. 7 in
Annex I Table 3
ESRS S1-17 Non-respect
of UNGPs on Business
and Human Rights and
OECD paragraph 104 (a)
indicator no. 10 in
Annex I table 1 and
indicator no. 14 in Annex I
table 3
Delegated Regulation
(EU) 2020/1816, Annex II
Delegated Regulation
(EU) 2020/1818 Art 12
(1)
ESRS 2 SBM3 – S2
Significant risk of child
labour or forced labour in
the value chain
paragraph 11 (b)
indicators no. 12 and 13
in Annex I
Table 3
NORMA Group SE – Annual Report 2024 136
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Data points in relation to EU legislation (continued)
ESRS S2-1
Human rights policy
commitments paragraph
17
indicator no. 9 in
Annex 1 table 3 and
indicator no. 11 in Annex
1 table 1
ESRS S2-1 Policies
related to value chain
workers paragraph 18
indicators no. 11 and 4 in
Annex 1 table 3
ESRS S2-1 1Non-respect
of UNGPs on Business
and Human Rights
principles and OECD
guidelines paragraph 19
indicator no. 10 in
Annex 1 table 1
Delegated Regulation
(EU) 2020/1816, Annex II
Delegated Regulation
(EU) 2020/1818, Art 12
(1)
ESRS S2-1
Due diligence policies on
issues addressed by the
fundamental International
Labor Organisation
Conventions 1 to 8,
paragraph 19
Delegated Regulation
(EU) 2020/1816, Annex II
ESRS S2-4
Human rights issues and
incidents connected to its
upstream and
downstream value chain
paragraph 36
indicator no. 14 in
Annex 1 table 3
ESRS S3-1
Human rights policy
commitments paragraph
16
indicator no. 9 in
Annex 1 table 3 and
indicator no. 11 in Annex
1 table 1
ESRS S3-1
Non-respect of UNGPs on
Business and Human
Rights, ILO principles or
and OECD guidelines
paragraph 17
indicator no. 10 in
Annex 1 table 1
Delegated Regulation
(EU) 2020/1816, Annex II
Delegated Regulation
(EU) 2020/1818, Art 12
(1)
ESRS S3-4
Human rights issues and
incidents paragraph 36
indicator no. 14 in
Annex 1 table 3
ESRS S4-1 Policies
related to consumers and
end-users paragraph 16
indicator no. 9 in
Annex 1 table 3 and
indicator no. 11 in Annex
1 table 1
Not material
ESRS S4-1
Non-respect of UNGPs on
Business and Human
Rights and OECD
guidelines paragraph 17
indicator no. 10 in
Annex 1 table 1
Delegated Regulation
(EU) 2020/1816, Annex II
Delegated Regulation
(EU) 2020/1818, Art 12
(1)
Not material
ESRS S4-4
Human rights issues and
incidents paragraph 35
indicator no. 14 in
Annex 1 table 3
Not material
NORMA Group SE – Annual Report 2024 137
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Data points in relation to EU legislation (continued)
ESRS G1-1
United Nations
Convention against
Corruption paragraph 10
(b)
indicator no. 15 in
Annex 1 table 3
ESRS G1-1
Protection of whistle-
blowers paragraph 10 (d)
indicator no. 6 in
Annex 1 table 3
Not
applicable
ESRS G1-4
Fines for violation of anti-
corruption and anti-
bribery laws paragraph
24 (a)
indicator no. 17 in
Annex 1 table 3
Delegated Regulation
(EU) 2020/1816, Annex II)
ESRS G1-4
Standards of anti-
corruption and anti-
bribery paragraph 24 (b)
indicator no. 16 in
Annex 1 table 3
1_Regulation (EU) 2019/2088 of the European Parliament and of the Council of 27 November 2019 on sustainability-related disclosures in the financial services sector (OJ L 317 of Dec. 9, 2019, p. 1).
2_Regulation (EU) No. 575/2013 of the European Parliament and of the Council of June 26, 2013 on prudential requirements for credit institutions and investment firms and amending Regulation (EU) No.
648/2012 (Capital Requirements Regulation) (OJ. L 176 of June 27, 2013, p. 1).
3_Regulation (EU) 2016/1011 of the European Parliament and of the Council of June 8, 2016 on indices used as benchmarks in financial instruments and financial contracts or to measure the performance
of investment funds, and amending Directives 2008/48/EC and 2014/17/EU and Regulation (EU) No. 596/2014 (OJ. L 171 of June 29, 2016, p. 1).
4_Regulation (EU) 2021/1119 of the European Parliament and of the Council of June 30, 2021 establishing the framework for achieving climate neutrality and amending Regulations (EC) No 401/2009 and
(EU) 2018/1999 (“European Climate Law”) (OJ. L 243 of July 9, 2021, p. 1).
5_Commission Delegated Regulation (EU) 2020/1816 of July 17, 2020 supplementing Regulation (EU) 2016/1011 of the European Parliament and of the Council as regards the explanation in the
benchmark statement of how environmental, social and governance (ESG) factors are reflected in each benchmark provided and published (OJ. L 406 of Dec. 3, 2020, p. 1).
6_Commission Implementing Regulation (EU) 2022/2453 of November 30, 2022 amending the implementing technical standards laid down in Implementing Regulation (EU) 2021/637 as regards the
disclosure of environmental, social and governance risks (OJ. L 324 of Dec. 19, 2022, p. 1).
7_Commission Delegated Regulation (EU) 2020/1818 of July 17, 2020 supplementing Regulation (EU) 2016/1011 of the European Parliament and of the Council as regards minimum standards for EU
Climate Transition Benchmarks and EU Paris-aligned Benchmarks (OJ. L 406 of Dec. 3, 2020, p. 17).
NORMA Group SE – Annual Report 2024 138
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Environment
Climate Change
E1-5 Energy consumption and mix
[E1-5-AR34][E1-5-37][E1-5-38] NORMA Group’s energy consumption in the 2024 fiscal year amounted to:
Energy consumption and mix
T033
2024
(1) Fuel consumption from coal and coal products (MWh)
0
(2) Fuel consumption from crude oil and petroleum products (MWh)
3,823
(3) Fuel consumption from natural gas (MWh)
18,019
(4) Fuel consumption from other fossil sources (MWh)
0
(5) Consumption of purchased or acquired electricity, heat, steam, and cooling from fossil sources (MWh)
74,349
(6) Total fossil energy consumption (MWh) (calculated as the sum of lines 1 to 5)
96,191
Share of fossil sources in total energy consumption (%)
75
(7) Total energy consumption from nuclear sources (MWh)
4,589
Share of consumption from nuclear sources in total energy consumption (%)
4
(8) Fuel consumption for renewable sources, including biomass (also comprising industrial and municipal waste of
biologic origin), biofuels, biogas, renewable hydrogen, etc. (MWh)
0
(9) Consumption of purchased or acquired electricity, heat, steam, and cooling from renewable sources (MWh)
24,103
(10) The consumption of self-generated non-fuel renewable energy (MWh)
3,557
(11) Total renewable energy consumption (MWh) (calculated as the sum of lines 8 to 10)
27,660
Share of renewable sources in total energy consumption (%)
22
Total energy consumption (MWh) (calculated as the sum of lines 6, 7 and 11)
128,440
[E1-5-39] NORMA Group generated a total of 25,694 MWh of energy in the 2024 fiscal year. Of this, 21,842 MWh
comes from non-renewable resources and 3,852 MWh from renewable sources.
[MDR-M-77a][MDR-M-77c][MDR-M-77d] The energy data required for this is systematically recorded at all
NORMA Group sites. The data is based on information from external sources such as energy source delivery
volumes from the respective energy suppliers and internal measurement data. If no actual data is available at the
time of the survey, NORMA Group uses extrapolation logic to a limited extent. The estimates mainly relate to office
space and logistics centers rented by NORMA Group from third parties. In such cases, direct access to billable
consumption values is not possible. In order to obtain the closest approximate statement possible on energy
consumption, a specific energy consumption per square meter is determined separately for office and logistics
space. This specific consumption value is based on a mathematically calculated reference location for office and
logistics centers. For office space 0.31 MWh per square meter and for logistics centers 0.03 MWh per square
meter applies. The consumption values of the sites without directly billable energy consumption are determined
and reported on the basis of these parameters. The estimate includes a share of 0.54 % of total energy
consumption.
NORMA Group SE – Annual Report 2024 139
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Energy intensity based on net revenue
[E1-5-40][E1-5-41] The calculated energy intensity of NORMA Group corresponds to the total energy consumption
in relation to net sales from activities in high climate impact sectors. [E1-5-AR36][E1-5-42][MDR-T-77a] NORMA
Group assumes that all business activities fall into these high climate impact sectors, as it does not operate any
activities in non-climate imapct sectors. The following high climate impact sectors were identified: Manufacture of
plastic products (C222000), manufacture of plastic plates, sheets, tubes and profiles (C222100), manufacture of
fabricated metal products (C250000), surface treatment and heat treatment; mechanical n.e.c. (C256000), surface
treatment and heat treatment (C256100), manufacture of screws and rivets (C259400), manufacture of other
fabricated metal products n.e.c. (C259900), manufacture of other parts and accessories for motor vehicles
(C293200), water supply (E360000), wastewater disposal (E370000), construction of roads (F421100). On this
basis, energy intensity is calculated using total energy consumption and net sales. [E1-5-43][E1-5-AR38a] The
amount of net revenue from activities in high climate impact sectors corresponds to EUR 1,155,128 thousand and
can be directly reconciled with the information from the annual financial statements in the chapter 4 CONSOLIDATED
STATEMENT OF COMPREHENSIVE INCOME.
Total energy consumption per net revenue (in MWh/EUR thousand)
T034
2024
Total energy consumption per net revenue associated with activities in high climate impact sectors
0.111
E1-6 Gross Scopes 1, 2, 3 and Total GHG emissions
[E1-6-46][E1-6-47] There were no material changes within NORMA Group and its upstream and downstream
value chain during the reporting period.
[E1-6-AR48] NORMA Group’s GHG emissions are shown in the following table.
[E1-6-48a][E1-6-48b][E1-6-49a][E1-6-49b][E1-6-51][E1-6-52a][E1-6-52b]
NORMA Group SE – Annual Report 2024 140
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3 CONDENSED
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> ECONOMIC REPORT
194 MANAGEMENT REPORT
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(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
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INFORMATION
254 REPORT ON
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RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
GHG emissions (in tCO2eq)
T035
2024
Scope 1 GHG emissions
Gross Scope 1 GHG emissions
5,163
Percentage of Scope 1 GHG emissions from regulated emission trading schemes (in %)
0
Scope 2 GHG emissions
Gross location-based Scope 2 GHG emissions
45,523
Gross market-based Scope 2 GHG emissions
30,794
Significant Gross Scope 3 GHG emissions
Total Gross indirect (Scope 3) GHG emissions
1,066,280
1 Purchased goods and services
774,295
2 Capital goods
4,332
3 Fuel and energy-related activities
9,233
4 Upstream transportation and distribution
27,805
5 Waste generated in operations
4,470
6 Business traveling
4,296
7 Employee commuting
6,913
9 Downstream transportation
6,042
10 Processing of sold products
5,452
11 Use of sold products
0,2
12 End-of-life treatment of sold products
223,441
Total GHG emissions
Total GHG emissions (location-based)
1,116,965
Total GHG emissions (market-based)
1,102,236
[MDR-M-77a][E1-6-AR39b][E1-6-AR45d][E1-6-AR40] NORMA Group determines and records its greenhouse gas
balance in accordance with the Greenhouse Gas (GHG) Protocol initiative in the categories Scope 1 to Scope 3 for
all sites worldwide. There is no operational control beyond the financial scope of consolidation. The emission
factors from “UK Government GHG Conversion Factors for Company Reporting” (DEFRA) are used for Scope 1
emissions and those published by the VDA (German Association of the Automotive Industry) for emission factors in
the fuels sector. Scope 2 emissions can be calculated in two ways: location-based and market-based. In the
location-based calculation methodology, energy consumption is calculated using average country-specific
emission factors from the International Energy Agency (IEA). In the market-based calculation method, emissions
are calculated using individual emission factors of the energy providers themselves. If there is no emission factor
for market-based approaches, the location-based emission factors are used based on the requirements of the
GHG Protocol. This methodology is intended to ensure that all relevant emissions are recorded and calculated
correctly. Depending on the category, different sources of emission factors are used for Scope 3 emissions,
including factors from the IEA, Sphera Managed LCA Content Databases, Supply Chain Greenhouse Gas Emission
NORMA Group SE – Annual Report 2024 141
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Factors v1.3 by NAICS-6. [E1-6-AR39c] Greenhouse gas emissions include CO2, CH4, N2O, HFCs, PFCs, SF6 and
NF3. [MDR-M-77a][MDR-M-77c][MDR-M-77d] NORMA Group’s methodology and assumptions for calculating
emissions are based on specific scaling and calculations. The emission factor for N2O is calculated on the basis of
incineration. The basis for calculating emissions is therefore the emission factor per unit of fuel. The same applies
to CH4 and CO2, scaled from sample measurements by chimney sweeps. HFCs and PFCs are calculated on the
basis of the solvent content in operating materials. In addition, the Emission Trading Scheme is not relevant for
NORMA, as confirmed by consultation with regional directors.
[E1-6-AR46d] NORMA Group has identified its significant Scope 3 categories based on the criteria of the GHG
Protocol Corporate Value Chain (Scope 3) Accounting and Reporting Standards. The following categories were
identified as significant:
Cat. 1 – Purchased goods and services
Cat. 2 – Capital goods
Cat. 3 – Fuel and energy-related emissions
Cat. 4 – Transportation and distribution (upstream)
Cat. 5 – Waste from business activities
Cat. 6 – Business trips
Cat. 7 – Commuting of employees
Cat. 9 – Transportation and distribution (downstream)
Cat. 10 – Processing of products sold
Cat. 11 – Use of products sold
Cat. 12 – Disposal of products sold at the end of their service life
[MDR-M-77a][MDR-M-77c][MDR-M-77d]
NORMA Group SE – Annual Report 2024 142
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2 TO OUR SHAREHOLDERS
3 CONDENSED
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> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
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RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Calculation methods for determining Scope 3 emissions: T036
Scope 3 category
Method
Cat. 1 – Purchased
goods and services
Calculated on the basis of the average-based and expenditure-based method. Source of the emission factors is
Sphera MLC Databases for goods and Supply Chain GHG EmissionFactors_v1.3 according to NAICS-6 for
services
Goods: The activity data was clustered and then assigned to the product groups. The items were allocated to
corresponding emission factors in relation to the product group.
Services: The emissions for purchased services were determined on the basis of a distribution key in the same
ratio as for purchased goods.
Cat. 2 – Capital goods
Calculated on the basis of the expenditure-based method
Emission factors: Supply Chain Greenhouse Gas Emission Factors v1.3 by NAICS-6
As the emission factors used refer to USD 2022 (kg CO2eq/USD22), the data in EUR 2024 was converted to its
corresponding value in USD 2022, taking into account the respective inflation and exchange rates.
Cat. 3 – Fuel and
energy-related
emissions
Calculated using the average-based method with reference to the input parameters of Scope 1 and 2
Emission factors: Sphera MLC database
Cat. 4 – Transportation
and distribution
(upstream)
Calculated using the distance-based method
Emission factors: Sphera MLC database
EMEA and APAC:
The allocation between category 3.4 and category 3.9 is based on an average ratio of “valid Incoterm facility” per
region.
The activity data is based on assumptions about the weight, route and packaging quantities stored in the system,
but not on actual measurements of the transport weight, the routes actually used and the associated distances. In
addition to the route, the means of transportation (truck, plane or ship) can then be estimated based on the
distance and route.
AMER:
Real activity data is used for the regions around North, Central and South America.
Cat. 5 – Waste from
business activities
Calculated using the average-based method on the basis of waste generation per type of waste
Emission factors: Sphera MLC database
Cat. 6 – Business trips
Calculated using the distance-based method
Emission factors: Sphera MLC database
The distance and mode of transport were specified for each data point. The sum of journeys per mode of transport
was calculated for each region, then the emission factor was applied.
Cat. 7 – Commuting of
employees
Calculated on the basis of the average method, taking into account the average distance traveled per mode of
transport
Emission factors: Sphera MLC database
The number of working days and the number of home office days in a calendar year are determined on the basis
of national regulations and local contracts and are not based on actual values.
The average commuting distances per region and per mode of transport (car, public transport, bicycle and on foot)
were determined using desktop research and are based on statistical data.
NORMA Group SE – Annual Report 2024 143
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3 CONDENSED
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> ECONOMIC REPORT
194 MANAGEMENT REPORT
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(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
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RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Calculation methods for determining Scope 3 emissions:
Scope 3 category
Method
Cat. 9 – Transportation
and distribution
(downstream)
Calculated using the distance-based method
Emission factors: Sphera MLC database
see description Cat. 4 Transportation and distribution (upstream)
Cat. 10 – Processing of
products sold
Calculated on the basis of the average-based method
Emission factors: Sphera MLC database
Actual energy consumption for products sold is not known. Definition for energy consumption is determined per
division and product group based on the product characteristics.
The energy was only taken into account for the assembly of the product and not for additional operations to
prepare the product installation. The energy in watts for assembling the products was estimated using technical
data, technological experience or estimates in the worst-case scenario per business unit and then per product
description.
Cat. 11 – Use of
products sold
Calculated on the basis of the number of products sold, taking into account the following input parameters:
NORMA product consumes no energy during its use of 4 items called irrigation timer:
2 rechargeable AA batteries: Power consumption during the estimated 5-year service life per timer, estimated
energy consumption per timer and year (0.788 Wh/year/timer)
Emission factors: Sphera MLC database
Only direct emissions are taken into account. Indirect emissions in the life cycle phase are voluntary and are not
reported.
Cat. 12 – End-of-life
treatment of products
sold
Calculated on the basis of source data for category 1 of Scope 3 using physical units of purchased items. Emission
factors: Sphera MLC database. It is assumed that all purchased materials are incorporated into finished products
that are treated as waste at the end of their life. Weight and material were calculated using direct weight data or
extrapolated from the CO2 emissions of category 1. The waste treatment method has been mapped taking into
account the material purchased and its destination as a finished product or application.
[E1-6-AR39c] The Scope 3 categories were determined in accordance with the GHG Protocol and include CO2,
CH4, N2O, HFCs, PFCs, SF6 and NF3. [E1-6-AR46hi] The scope is consistent with the financial scope of
consolidation, so that all consolidated units of the Group are taken into account. [MDR-M-77b] The systems used
for the calculation are already part of regular internal audits. [E1-6-AR46g] The data is mainly based on secondary
data. Almost 0 % of emissions are determined using primary data obtained directly from suppliers or other
partners in the value chain.
NORMA Group SE – Annual Report 2024 144
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3 CONDENSED
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OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
[E1-6-AR46i] The following categories were not included in the balance sheet:
Excluded Scope 3 emissions: T037
Scope 3 category
Method
Cat. 8 – Rented or
leased properties
Due to the definition of operational control, emissions from rented and leased properties are already included in
NORMA Group’s Scope 1 and Scope 2 emissions. This category is therefore excluded.
Cat. 13 – Rented and
leased properties
This category is excluded as NORMA Group does not rent or lease any properties.
Cat. 14 – Franchise
This category is excluded as franchises are not part of NORMA Group’s business model.
Cat. 15 – Investments
This category is excluded as NORMA Group has no investments that fall under category 3.15 in the reporting year.
Investments in machinery and equipment are included in category 2.
[E1-6-AR43][E1-6-AR45][E1-6-AR46] NORMA Group discloses biogenic CO2 emissions from the incineration or
biodegradation of biomass, if available. For the 2024 fiscal year, NORMA Group did not generate any GHG
emissions from Scope 1, 2 and 3 in this regard. In addition, emissions of other greenhouse gases (such as CH4 and
N2O) and CO2 emissions that occur in the life cycle of biomass and are not attributable to incineration or
biodegradation (such as greenhouse gas emissions from the processing or transportation of biomass) are included
in the calculation of regular Scope 3 greenhouse gas emissions.
[E1-6-AR53c] For the calculation of GHG intensity based on net revenue, NORMA Group has included total GHG
emissions in the numerator, while total net revenue of EUR 1,155,128 thousand is included in the denominator.
Greenhouse gas intensity on the basis of net revenue
[E1-6-AR54][E1-6-53][E1-6-54] NORMA Group’s GHG emission intensity is shown in the following table. The
greenhouse gas intensity figure includes the total GHG emissions in tons of CO2 equivalent per net revenue. Net
income can be found in the following section of the annual report: 4 CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
[MDR-M-77a][MDR-M-77c][MDR-M-77d] The following methodology was used to calculate the key figure: Total
GHG emissions in tons of CO2 equivalent divided by total net revenue. No significant assumptions were made.
GHG emissions intensity per net revenue
T038
2024
Total GHG emissions (location-based) per net revenue (in tCO2eq/EUR)
0.001
Total GHG emissions (market-based) per net revenue (in tCO2eq/EUR)
0.001
E1-7 GHG removals and GHG mitigation projects financed through carbon credits
In the 2024 fiscal year, NORMA Group will not carry out any projects to reduce or eliminate greenhouse gases that
are financed through carbon credits.
NORMA Group SE – Annual Report 2024 145
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2 TO OUR SHAREHOLDERS
3 CONDENSED
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GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
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(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
E1-8 Internal carbon pricing
NORMA Group does not currently apply any internal CO2 pricing.
E1-2 Policies related to climate change mitigation and climate change adaptation
[MDR-P-65a][MDR-P-65b][MDR-P-65c][MDR-P-65d][MDR-P-65e][MDR-P-65f][E1-2-24][E1-2-25] NORMA
Group is aware of the positive and negative impact of its actions on climate change as well as the associated risks
and opportunities. On the one hand, negative impacts on climate change result from production processes or the
transportation of NORMA Group’s products through GHG emissions, among other things. Selected NORMA Group
production sites are also located in climate risk areas. On the other hand, NORMA Group’s business activities in the
area of energy and water management, among other things, have a positive impact on climate change. Potential
risks of climate change for NORMA Group include potential environmental disasters that jeopardize the supply
chain or production processes, possible fines, loss of reputation or retrofitting due to the consequences of climate
change. On the other hand, anchoring this topic in the business strategy also offers opportunities, particularly in
the form of customer acquisition and retention, by selling products that counteract climate change.
In 2018, NORMA Group developed an environmental concept as part of the environmental strategy to expand and
strengthen its environmental management activities and to manage the material impacts, risks and opportunities.
The concept relates to NORMA Group’s own business activities and the upstream value chain, but not to the
identified impacts, risks and opportunities along the downstream value chain. The focus is on climate, water and
waste generation. The strategy comprises three different levels of action: The focus is on managing the company’s
own processes, the second level comprises impact measurement along the entire value chain, while the third level
addresses pilot projects. This three-stage approach allows NORMA Group to focus on processes that can be
directly influenced while addressing the impacts along the supply chain and in the use phase of the products.
NORMA Group has defined and implemented principles for its environmental management system. These
principles include compliance with local and national regulations and laws. In addition, regular exchanges are held
with relevant stakeholder groups during the fiscal year in order to take their concerns on environmental issues into
account.
In addition, NORMA Group sets ambition levels, monitors their achievement and reports on them to local, regional
and global management. Another focus is on the continuous improvement of environmental management
systems, with the ambition to reduce water and energy consumption, reduce the carbon footprint, use resources
more efficiently, minimize waste and prevent pollution. Promoting environmental awareness among employees is
also a key concern, which is implemented through cooperative leadership and effective communication. NORMA
Group attaches great importance to communicating its environmental objectives and actions clearly and
transparently to its stakeholders, for example through the Supplier Code of Conduct. Under the Supplier Code of
Conduct, NORMA Group requires its suppliers to, among other things, maintain an effective environmental policy,
comply with required environmental permits, properly treat wastewater and solid waste, monitor and control air
emissions, minimize waste and promote recycling, and produce in an environmentally responsible manner to avoid
harmful environmental impacts. Responsibility for the environmental management systems and the associated
issues relating to climate, water and waste management at the individual production sites lies with the
Environment, Occupational Health and Safety department, which is represented at all sites. At a global level, this
department reports to the Chief Operating Officer. NORMA Group has established an environmental management
system at each production site to ensure that environmental incidents are prevented or, in the event of an incident,
effectively managed and their impacts adequately addressed. NORMA Group has laid down the principles for its
NORMA Group SE – Annual Report 2024 146
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3 CONDENSED
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194 MANAGEMENT REPORT
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(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
environmental management system in a global environmental guideline. The guideline was adopted in the 2020
fiscal year by the Chief Operating Officer and the Vice President for Quality, Environment, Occupational Health and
Safety. The policy is publicly available on the website for potentially affected stakeholders.
The commitments currently focus on climate change mitigation and energy efficiency. Climate change adaptation,
the management of physical climate risks and the use of renewable energies are not yet covered by the
commitments.
E1-4 Targets related to climate change mitigation and climate change adaptation
[E1-4-32][MDR-T-80][E1-4-33] In 2018, NORMA Group developed a target to reduce greenhouse gas emissions
at its production sites. When setting its climate target, NORMA Group followed the recommendations of the
Science Based Targets initiative (SBTi). The target was further tightened in the 2020 fiscal year, aiming for a
reduction in greenhouse gas emissions of approximately 19.5 % by the end of 2024 compared to 2017, which
corresponds to a target value of 42,000 tons of GHG emissions in 2024. The target is also part of the executive
compensation framework at NORMA Group. The following applied to the remuneration-related target: The GHG
emissions for the target value are reported in orientation with the GHG Protocol (market-based, Scope 1 and
Scope 2). In the event of acquisitions, disposals and changes to the general business model, the target is reviewed
for necessary adjustments. Scope 1 includes only emissions from natural gas and liquefied petroleum gas (LPG),
while Scope 2 covers emissions from purchased electricity and district heating. When recording emissions, only
emissions relating to the production sites are taken into account. [E1-4-34f] [E1-4-AR30a] Since January 2022,
NORMA Group has sourced electricity from renewable energies at all production sites. NORMA Group purchases
“Energy Attribute Certificates” for this purpose. These are also included in the target value and have contributed to
the achievement of the target. The target was reached at the end of 2024.
[E1-4-32][MDR-T-80][E1-4-33] A target to reduce greenhouse gas emissions has also been set for the 2025 fiscal
year in order to manage the material climate-related impacts, risks and opportunities. The goal is to avoid 1,000
tons of GHG emissions in the 2025 fiscal year by implementing actions. The target applies to NORMA Group’s
production sites and distribution centers. [E1-4-34b] The stated 1,000 tons of GHG emissions refer to both Scope 1
and Scope 2 emissions combined. In addition, the target applies throughout the 2025 fiscal year. The effects of
individual actions are therefore calculated for the year as a whole, regardless of when they are implemented
within the year.
[E1-4-34e] The targets for reducing greenhouse gas emissions are not scientifically sound and are not compatible
with limiting global warming to 1.5 °C.
With the help of the target, NORMA Group wants to promote focused actions to reduce greenhouse gas emissions
and make the ambition levels of the individual sites transparent. In this way, NORMA Group aims to reduce its
negative impact and at the same time increase its positive impact on the climate by reducing Scope 1 and Scope 2
emissions.
No communicable, measurable and results-oriented climate change targets have been implemented beyond the
2025 fiscal year. NORMA Group is currently establishing appropriate processes to develop and implement targets
with regard to the impacts and opportunities related to climate change. Therefore, the target for the 2025 fiscal
year is a bridging target that supports NORMA’s basic level of ambition to counteract climate change while
allowing time to develop a long-term roadmap.
NORMA Group SE – Annual Report 2024 147
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3 CONDENSED
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194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
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4 CONSOLIDATED
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5 FURTHER INFORMATION
E1-3 Actions and resources in relation to climate change policies
[E1-3-28][E1-3-29a][MDR-A-68a][MDR-A-68b][MDR-A-68c] NORMA Group took the following actions in the
2024 fiscal year to achieve the climate-related targets set: Installation of photovoltaic systems at the NORMA sites
in Newbury, Pune, Juarez, Nashik and Lifial. This means that the action is covered within the company’s own
business activities and relates to the reduction of Scope 1 and 2 emissions. The actions were implemented in the
2024 fiscal year. The total capacity of the photovoltaic systems is approx. 1.5 GW. Minor investments were made
for this purpose.
[E1-3-29b] The results of the climate change mitigation actions are the use of green energies and thus also the
reduction of GHG emissions. The amount of green energy provided by the plants amounted to 3,852 MWh in 2024.
E1-1 Transition plan for climate change mitigation
[E1-1-16][E1-1-17] NORMA Group is currently working on a transition plan for climate change mitigation, which
will not be completed in the 2024 fiscal year. There were no material current or planned operating expenses or
capital expenditures related to the transition plan for climate change mitigation.
Pollution
E2-4 Microplastics
The following table shows the amount of microplastics used by NORMA Group in the 2024 fiscal year.
[E2-4-28b][E2-4-AR21][E2-4-AR26][E2-4-AR27][MDR-T-77a][MDR-T-77c] [MDR-T-77d]
Microplastics (in t)
T039
Microplastics used
36,526
[E2-4-30] NORMA Group defines microplastics as small plastic particles that are less than 5 mm in size.
Microplastics are sourced or used in products and leave NORMA Group’s facilities as emissions, products or as a
component of products and services.
To determine the relevant key figure, NORMA Group records the quantity of plastic granulate purchased
worldwide. It is assumed that the quantity procured in the fiscal year corresponds to the quantity actually used.
E2-1 Policies related to pollution
[E2-1-14][E2-1-15a][E2-1-15b][E2-1-15c] NORMA Group has an environmental concept to address the positive
and negative impacts of its activities in the area of pollution in the form of microplastics. The use of microplastics,
i.e. granules smaller than 5 mm, in some production processes has a negative impact. At the same time, the
company is helping to minimize the need for microplastics by introducing guidelines and processes to comply with
environmental regulations and continuously improving products and production processes. No material risks and
opportunities in connection with pollution were identified.
NORMA Group SE – Annual Report 2024 148
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3 CONDENSED
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(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
The environmental concept includes the company’s principles with regard to pollution, including its prevention and
reduction. NORMA Group has established an environmental management system at each production site to
ensure that, among other things, pollution incidents are prevented. If there is an incident, individual mitigating
actions are defined and implemented to minimize the negative impact. NORMA Group has laid down the principles
for its environmental management system in a global environmental guideline. Detailed information on NORMA
Group’s overarching environmental concept can be found in the chapter 4 E1-2 POLICIES RELATED TO CLIMATE CHANGE
MITIGATION AND CLIMATE CHANGE ADAPTATION.
E2-3 Targets related to pollution
[E2-3-23][E2-3-24][E2-3-25][MDR-T-72][MDR-T-81] NORMA Group has not yet set any specific, measurable
targets for combating pollution in the form of microplastics, as the focus is currently on data collection.
E2-2 Actions and resources related to pollution
[E1-3-28][E1-3-29][MDR-A-62] NORMA Group is working on the development and implementation of suitable
actions and resources analogous to the future development of a target in the area of pollution in the form of
microplastics.
Water and marine resources
E3-4 Water consumption
[E3-4-28a] NORMA Group measures its water consumption in order to monitor and track the defined targets and
the effectiveness of the actions. NORMA Group’s total water consumption in the 2024 fiscal year amounted to
167,106 m3. [E3-4-28e][E3-4-AR29][MDR-M-77a][MDR-M-77c][MDR-M-77d] The data basis for this information
is based on the consumption values of the individual sites.
In order to obtain the closest approximate statement possible on water consumption, a specific water consumption
per employee is calculated separately for office and logistics space. These specific consumption values are based
on a mathematically calculated reference location for office and logistics centers. For office space, 2.06 m3 per
employee and for logistics centers 7.79 m3 per employee applies. Fresh water consumption was determined on the
basis of this parameter for those sites that were unable to report directly billable water consumption. The estimate
includes a share of 1.46 % of total fresh water consumption, regardless of area of water stress.
[E3-4-28b] Water consumption in area at water risks and high water scarcity (“high-water stress areas”)
amounted to 105,545 m3.
[E3-4-28c] NORMA Group’s total recycled and reused water amounts to 6,050 m3. [E3-4-28e][E3-4-AR29][MDR-
M-77a][MDR-M-77c][MDR-M-77c] The reported quantities and data were determined using our own
measurement technology by calculating differential quantities.
[E3-4-28d] NORMA Group’s total stored water amounts to 1,457 m3. It is not possible to state the changes in the
amount of storage compared to the last fiscal year, as the data was collected for the first time in the 2024 fiscal
year. [E3-4-28e][E3-4-AR29][MDR-M-77a][MDR-M-77c][MDR-M-77c] The key figure for stored water
corresponds to the planned size of the water reservoir and is reported by the sites that have corresponding water
reservoirs.
NORMA Group SE – Annual Report 2024 149
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[E3-4-29] NORMA Group’s water intensity is 0.15 m3 per EUR thousand of revenue and is calculated from the total
water consumption in its own operations per sales revenue. Further information on the calculation of net sales can
be found in 4 CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME.
E3-1 Policies related to water and marine resources
[E3-1-11] NORMA Group has an environmental concept to address the positive and negative impacts of its
activities in the area of water resources. NORMA Group’s water consumption within its own production processes
and processes in the supply chain has a negative impact on the water resources available in water risk areas. At
the same time, it promotes sustainable water use with its own products from the Water Management division. By
implementing appropriate internal processes and guidelines, the company also promotes a resource-conserving
approach. No material risks and opportunities in connection with water resources were identified.
[E3-1-12a][E3-1-12b][E3-1-12c][E3-1-13][E3-1-14] The global environmental concept includes the company’s
principles with regard to water resources. It is of great importance for NORMA Group, as some NORMA Group
sites are located in area of very high-water stress. The Aqueduct Water Risk Atlas was used to identify these
areas. With regard to water resources, the principles of the environmental concept include the conservation of
water resources and compliance with all national and local regulations. These principles apply to all NORMA sites
worldwide. At the same time, NORMA Group strives to promote the careful use of water resources by reusing
water and minimizing water consumption as part of its Water Management division through product design. The
principles of the environmental concept with regard to water resources are anchored in NORMA Group’s
environmental management system and set out in a global environmental guideline. Detailed information on
NORMA Group’s overarching environmental concept can be found in the chapter 4 E1-2 POLICIES RELATED TO CLIMATE
CHANGE MITIGATION AND CLIMATE CHANGE ADAPTATION.
E3-3 Targets related to water and marine resources
[E3-3-22] NORMA Group has set a target for the 2024 fiscal year related to water resources to address the
identified material impacts. [MDR-T-80b][MDR-T-80d][MDR-T-80e] Water consumption, i.e. the total amount of
water used by production facilities, should be limited to a maximum of 139.7 liters per EUR thousand of revenue
within the fiscal year. [E3-3-23a][E3-3-23b][E3-3-23c][MDR-T-80a][MDR-T-80c] The target was valid for all
NORMA Group production sites for the 2024 fiscal year. With regard to water resources, the principles of the
environmental concept include the conservation of water resources and compliance with national and local
regulations. There is therefore a connection between the goal and the environmental concept. [MDR-T-80f] The
background to the objective was to ensure a steady reduction in water consumption based on past water
consumption. [MDR-T-80g] The target is not based on scientific findings. [MDR-T-80h] NORMA Group did not
involve any stakeholders in setting the target. [E3-3-24][E3-3-25] The defined target is voluntary. No ecological
thresholds or company-specific breakdowns were taken into account when setting the targets. [MDR-T-80j]
NORMA Group measures target achievement using a defined key figure to measure water consumption. Further
information can be found in the chapter 4 E3-4 WATER AND MARINE RESOURCES. The target was not achieved in the 2024
fiscal year.
The target was further developed for the 2025 fiscal year: In 2025, water consumption should amount to a
maximum of 142.0 liters per EUR thousand of revenue. All other details and characteristics of the target
correspond to the 2024 target.
NORMA Group SE – Annual Report 2024 150
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E3-2 Actions and resources related to water and marine resources
[E3-2-17][MDR-A-68a][MDR-A-68b][MDR-A-68c][MDR-A-69][E3-2-19] In order to achieve the targets set,
NORMA Group has not yet defined specific and group-driven actions and resources for areas at water risk,
including area of high-water stress. These processes and actions are currently being implemented at individual
location level. To promote the positive effects and mitigate the negative impacts, NORMA Group is currently
establishing appropriate Group-wide processes to develop, implement and track well-founded actions.
Resources use and circular economy
E5-4 Resource inflows - Products and materials
[E5-4-30] NORMA Group purchases materials and services in the following product groups: Steel, wire, metal
components, granulates, plastic parts, molded rubber parts, electrical components and indirect material.
[E5-4-31] The following table presents information on NORMA Group’s resource inflows in the 2024 fiscal year:
Information on resource inflows
T040
Information on the materials used to manufacture NORMA Group's products and services
during the reporting period
in kg
in %
[E5-4-31a] Overall total weight of products and technical and biological materials used
80,669,692
100
[E5-4-31b] Percentage of biological materials (and biofuels used for non-energy purposes) used to
manufacture the undertaking’s products and services (including packaging) that is sustainably
sourced
256,361
0.3
[E5-4-31c] Weight in both absolute value and %, of secondary reused or recycled components,
secondary intermediary products and secondary materials used to manufacture the undertaking’s
products and services (including packaging)
25,954,023
32.2
[E5-4-31b] NORMA Group does not use a certification system for the information on the percentage of biological
materials. Upon specific request, the supplier informs NORMA Group of the proportion of biological materials used.
NORMA Group receives a certificate as proof of this. The percentage share results from the relation to NORMA
Group’s total resource inflows.
[MDR-M-77a][E5-4-32][E5-4-AR25] The information used to calculate the key figures is based on local ERP
systems at the locations, which are consolidated at Group level in a central purchasing information system. The
classification into technical and biological materials is primarily based on product specifications. If no information is
available, the classification is based on the expertise of NORMA Group’s commodity managers. Euro pallets are
excluded from the calculation as they are permanently reused.
NORMA Group SE – Annual Report 2024 151
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NORMA Group does not currently have any primary data for recording secondary materials. The following
assumptions are made to determine the key figure:
•
According to the raw material suppliers, 83 % of stainless steel products are made from recycled material.
•
According to our own specifications, packaging materials, in particular cardboard packaging, consist of 70 %
recycled material.
•
A conservative approach is assumed for all other material groups, so that a recycling rate of 0 % is attributed.
E5-5 Resource outflows - Waste
[E5-5-37] The following table shows the total amount of waste generated by NORMA Group’s own activities in the
2024 fiscal year.
Total waste volume (in t)
T041
Total amount of waste generated
11,742
Total amount of hazardous waste diverted from disposal
221
i._preparation for reuse
1
ii. recycling
15
iii. other recovery operations
205
Total amount of non-hazardous waste diverted from disposal
8,043
i._preparation for reuse
128
ii. recycling
7,833
iii. other recovery operations
82
Total amount of hazardous waste for disposal
514
i._incineration
147
ii. landfill
4
iii. other disposal operations
362
Total amount of non-hazardous waste for disposal
2,969
i._incineration
846
ii. landfill
2,044
iii. other disposal operations
79
Total amount of non-recycled waste
3,478
Total percentage of non-recycled waste (%)
29.6
A specific waste volume is determined in order to obtain the closest approximate statement possible about the
waste volume. This must be determined separately for office space and logistics centers, as the reference values
differ. For office space, 900 grams per employee and per working day (220 days) are assumed. The absolute
volume of waste has been scaled on this basis. The basis for the logistics centers is a specific waste volume for a
mathematically calculated reference location. On the basis of this key figure, the volume of waste was determined
for the locations that could not report any directly billable waste. The estimate includes a share of 5.34 % in
relation to the absolute amount of waste.
NORMA Group SE – Annual Report 2024 152
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[E5-5-38] NORMA Group’s waste contains the following materials: Metal waste, plastic waste from the production
of products, cardboard waste and wood waste from logistics processes and residual waste.
[E5-5-39] NORMA Group generated 734.53 tons of hazardous waste. The classification of waste is carried out by
each NORMA Group site. No radioactive waste is produced.
[E5-5-40][MDR-M-77a] The data basis for NORMA Group’s waste management is based on invoices and waste
disposal certificates/weighing slips. The scope includes all NORMA Group sites worldwide. The local waste
management practices are part of the ISO 14001 certification. As there are no global waste classifications,
classification is carried out at each site in accordance with local rules and regulations. The data on the types of
recycling also comes from the disposal companies. The majority of NORMA Group’s waste is recycled, which is due
to the nature of production, for example by using pure metal waste and black parts from injection molding
machines, which have a high recyclability. [MDR-M-77c][MDR-M-77d]
E5-5 Resource outflows - Others
[E5-5-35][E5-5-AR26] NORMA Group’s products and materials are partly designed according to circular economy
principles: durability, reusability, reparability and recyclability. The resource outflows can be broken down
according to NORMA Group’s three main business segments: fluid systems, fastening systems and water
management.
a) Fluid systems
[E5-5-36a] For the durability of fluid systems, NORMA products are generally designed to last as long as the
service life of the end product in which the NORMA product was installed. This means that the durability of the
NORMA product depends on the durability of the actual end product. The reason for this is that NORMA Group
develops its products in such a way that they fulfill and meet specific customer requirements and are therefore
best suited for the corresponding end product.
[E5-5-36b] Fluid systems are not repairable, as NORMA Group’s basic recommendation to its customers is to
replace the entire NORMA product instead of repairing it. NORMA Group’s products are less complex than the
products of its end customers. As a result, repairability is very limited and, due to the design principle of surviving
the service life of their customers' applications, repair is not intended.
[E5-5-36c] NORMA Group’s fluid systems products are theoretically 60 % recyclable. In principle, the recycling of
NORMA products is organized by their respective customers, e.g. at the end of their service life. To simplify
disposal for customers, NORMA Group identifies the materials used in its products. Depending on the materials
and fluid systems used, different methods can be used for recycling, from mechanical recycling to chemical
recycling. Within fluid systems, NORMA Group distinguishes between multi-layer and single-layer pipes. Multi-
layer pipes make up 35 % of Fluid systems and are not commercially recyclable due to their composition. Single-
layer pipes make up 60 % of Fluid systems are basically recyclable.
NORMA Group SE – Annual Report 2024 153
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b) Fastening systems
[E5-5-36a] For the durability of fastening systems, NORMA products are generally designed to last as long as the
service life of the end product in which the NORMA product was installed. This means that the durability of the
NORMA product depends on the durability of the actual end product. The reason for this is that NORMA Group
develops its products in such a way that they fulfill and meet specific customer requirements and are therefore
best suited for the corresponding end product.
[E5-5-36b] Fastening systems are not repairable, as NORMA Group’s basic recommendation to its customers is to
replace the entire NORMA product instead of repairing it. NORMA Group’s products are less complex than the
products of its end customers. As a result, repairability is very limited and, due to the design principle of surviving
the service life of their customers' applications, repair is not intended.
[E5-5-36c] NORMA Group’s products in the area of fastening systems are theoretically 100 % recyclable due to
their recyclable individual components. In this product group, too, the recycling of the products is organized by the
respective customer. Fastening products are made from various types of steel (structural steel, stainless steel) and
aluminum. Steel and aluminum can generally be 100 % recycled. It is standard industry procedure to collect steel
and melt it down for reuse. Few components of the fastening products are made of rubber, which in turn is also
fully recyclable.
c) Water management products
[E5-5-36a] When it comes to the durability of water management products, NORMA products are generally long-
lasting and last for decades. These products are guaranteed for 1–7 years.
All products are designed and manufactured to withstand installation and use by the consumer over an extended
or long-term life cycle. These extended or long-term system life cycles range from 3 to 10+ years. The product
warranty is at least 1 year up to a maximum of 7 years under the intended applications and normal operating
conditions.
[E5-5-36b] Water management products are generally repairable. The majority of products are designed and
manufactured with repairable and/or replacement components, such as gaskets, fasteners (screws, bolts, nuts),
lids, caps, connectors/adapters, grates. In addition, one product development criterion is a “backward
compatibility” element to support the retrofitting of existing products with new product designs.
[E5-5-36c] NORMA Group’s water management products are generally 100 % recyclable due to their material
composition. In most cases, the original products can be mechanically dismantled in one step to ensure the
recycling of the individual plastic components.
NORMA Group SE – Annual Report 2024 154
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E5-1 Policies related to resources use and circular economy
[E2-1-14][E5-1-AR9]
NORMA Group has an environmental concept to address the positive and negative impacts of its activities in the
area of resource use and the circular economy. No material risks and opportunities were identified in connection
with the use of resources and the circular economy. The concept relates to NORMA Group’s own business
activities and the upstream value chain, but not to the identified impacts, risks and opportunities along the
downstream value chain. Among other things, the environmental concept includes the company’s principles with
regard to waste generation as a key indicator for the efficient use of raw materials. The reduction or avoidance of
waste is managed in accordance with the environmental management systems at each NORMA Group production
site. NORMA Group does not take the waste hierarchy into account. NORMA Group has laid down the principles
for its environmental management system in a global environmental guideline. Detailed information on NORMA
Group’s overarching environmental concept can be found in the chapter 4 E1-2 POLICIES RELATED TO CLIMATE CHANGE
MITIGATION AND CLIMATE CHANGE ADAPTATION. NORMA Group collects data on the volume of both hazardous and non-
hazardous waste. Depending on the type of waste, NORMA Group employs different recycling methods. Plastic
waste is reintroduced into the manufacturing process as far as possible, depending on the type of plastic and
reasonable costs. A certain portion of the resulting plastic waste is regranulated.
NORMA Group already uses recycled and bio-based plastic materials. For example, NORMA Group actively
contributes to reducing waste through the targeted use of reusable packaging. [E5-1-15a][E5-1-15b] In addition,
NORMA Group’s environmental concept is currently not yet geared towards abandoning the use of primary
materials or increasing the use of secondary resources, nor towards the sustainable procurement and use of
renewable resources.
E5-3 Targets related to resources use and circular economy
[E5-3-23] NORMA Group has set itself targets for the 2024 fiscal year in connection with resource use and the
circular economy in order to mitigate the identified material impacts. [MDR-T-80a][MDR-T-80b][MDR-
T-80d][MDR-T-80e] The aim was to limit NORMA Group’s metal and plastic waste to a maximum of 7.4 kg per
EUR thousand of revenue within the 2024 fiscal year. [MDR-T-80a][MDR-T-80c] The target was valid for all
NORMA Group production sites for the 2024 fiscal year. [E5-3-24] The target thus focuses on parts of the resource
outflows: metal and plastic waste, and thereby targets waste management. A commitment in NORMA Group’s
environmental concept is the efficient use of raw materials and the reduction of waste. The defined target, which is
measured using the waste generation indicator for the two types of waste, puts this principle into concrete terms.
[MDR-T-80f] The background to the objective was to ensure a steady reduction in the volume of waste on the
basis of past waste volumes. [MDR-T-80g] The target is not based on scientific findings. [MDR-T-80h] NORMA
Group did not involve any stakeholders in setting the target. [E5-3-25] The defined targets relate to the production
phase and are voluntary. [E5-3-26] No ecological thresholds or company-specific breakdowns were taken into
account when setting the targets. [MDR-T-80j] NORMA Group monitors the target using defined key figures.
Further information can be found in the chapter 4 E5-5 RESOURCE OUTFLOWS – WASTE. The target was reached in 2024.
The target was further developed for the 2025 fiscal year: In 2025, metal and plastic waste should amount to a
maximum of 7.15 kg per EUR thousand of revenue. All other details and characteristics of the target correspond to
the 2024 target.
NORMA Group SE – Annual Report 2024 155
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3 CONDENSED
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E5-2 Actions and resources related to resources use and circular economy
[E5-2-19][MDR-A-68a][MDR-A-68b][MDR-A-68c][MDR-A-68d][MDR-A-69] In order to achieve the targets set,
NORMA Group has not yet defined specific and Group-driven actions and provision of remedial actions. The
processes and actions are currently being implemented at individual location level. To promote the positive
impacts, NORMA Group is currently in the process of establishing appropriate Group-wide processes to develop,
implement and track sound actions.
EU Taxonomy
The EU Taxonomy Regulation is a key element of the European Commission’s action plan to redirect capital flows
towards a more sustainable economy. As a classification system for environmentally sustainable economic
activities, the EU Taxonomy represents an important step towards achieving carbon neutrality by 2050 in line with
the EU’s objectives. We report below on the following environmental objectives:
Climate-related environmental objectives:
1) Climate change mitigation
2) Climate change adaptation
Non-climate-related environmental objectives:
1) Sustainable use and protection of water and marine resources
2) Transition to a circular economy
3) Pollution prevention and control
4) Protection and restoration of biodiversity and ecosystems
In the 2024 reporting year, NORMA Group’s economic activities are examined and reported on in respect of their
taxonomy eligibility and taxonomy conformity (“alignment”) regarding to the climate-related and non-climate-
related environmental objectives.
Taxonomy eligibility is met if a company’s economic activities are described in the Climate Delegated Act or the
Environmental Delegated Act. An economic activity is also considered taxonomy-aligned if it makes a substantial
contribution to at least one of the climate-related and non-climate-related environmental objectives, complies with
minimum social safeguards such as human rights and does not significantly harm the other climate-related and
non-climate-related environmental objectives (“do no significant harm”). Economic activities that are not covered
by the EU Taxonomy and are therefore not relevant according to the EU Taxonomy are identified in the delegated
acts as generally non-taxonomy-eligible.
Based on the procedure established in the 2023 reporting year for identifying NORMA Group’s taxonomy eligible
and taxonmy aligned economic activities, the following economic activities were identified in the 2024 reporting
year, and the key financial figures were calculated in accordance with the requirements of the EU Taxonomy:
NORMA Group SE – Annual Report 2024 156
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Taxonomy-eligible economic activities of NORMA Group
The following sections present the identified and taxonomy eligible economic activities of NORMA Group.
Climate-related environmental objectives:
NORMA Group has identified the following economic activities as defined in Annex I of the Delegated Act of the EU
Taxonomy (EU 2021/2139) as climate-related environmental objectives. The “Climate change mitigation” objective
is relevant for NORMA Group; the requirements of the “Climate change adaptation” objective are not met.
Economic activity 3.18 Manufacture of automotive and mobility components
Economic activity 3.18 refers, among other things, to the “Manufacture of automotive and mobility components.”
NORMA Group’s activities in the manufacture of electromobility products (connectors, dry brake valves and flex
systems) meet this activity description. Certain products can only be installed and used in electric vehicles. NORMA
Group’s products are designed to mitigate climate change through their use in electric vehicles and the associated
zero-emission automotive and mobility systems and components. Overall, the manufacturing processes thus
correspond to economic activity 3.18 described in Annex 1 of the Delegated Act of the EU Taxonomy (2021/2139)
in the version adopted on November 21, 2023. The activity is considered to be a separate business activity.
Taxonomy-eligible turnover; CapEx and OpEx are reported in this regard.
Economic activity 5.1 Construction, extension and operation of water collection, treatment and supply
systems
Economic activity 5.1 is defined by the EU as: “Construction, extension and operation of water collection, treatment
and supply systems.” In the Water Management product area, NORMA Group manufactures systems that are
used to collect and distribute water, and in some cases also to treat it. The “Drip Irrigation” product area comprises
solutions for efficient irrigation and the “Flow Management” product area includes a variety of valves and
couplings for a wide range of irrigation and wastewater applications. In both areas, the aim is to find joining
solutions for treating and draining wastewater. Overall, the manufacturing processes thus correspond to economic
activity 5.1 described in Annex 1 of the Delegated Act of the EU Taxonomy (2021/2139). The activity is considered
to be a separate business activity. Taxonomy-eligible turnover, CapEx and OpEx are reported in this regard.
Economic activity 6.5 Transport by motorbikes, passenger cars and light commercial vehicles
Economic activity 6.5 is defined by the EU as: “The purchase, financing, hiring, leasing and operation of vehicles of
categories M1, N1, both covered by Regulation (EC) No 715/2007 of the European Parliament and of the Council,
or L (two- and three-wheeled vehicles and four-wheeled vehicles).” The leasing of company cars by employees
can be assigned to this category. Overall, the activities of NORMA Group thus correspond to economic activity 6.5
described in Annex 1 of the Delegated Act of the EU Taxonomy (2021/2139). This activity is classified as an
ancillary activity. Additions to property, plant and equipment, and expenses from short-term leases arise in
connection with company car leasing for employees. Taxonomy-eligible CapEx and OpEx are reported in this
regard.
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Economic activity 7.2 Renovation of existing buildings
Economic activity 7.2 is defined by the EU as: “Construction and civil engineering works or preparation thereof.”
NORMA Group fulfills the description of economic activity 7.2 “Renovation of existing buildings” with its renovation
work on buildings and can assign itself to the economic activity of Annex 1 of the Delegated Act of the EU
Taxonomy (EU 2021/2139) in the reporting year 2023. This activity is classified as an ancillary activity. The
taxonomy-eligible CapEx is reported in this regard.
With regard to renovation activities on existing buildings, activity 3.2 of the non-climate-related environmental
objective “Sustainable use and protection of water and marine resources” was also taken into consideration and
examined. Investment expenditure can be allocated to both activity CCM 7.2 and activity CE 3.2. NORMA sees the
more significant contribution in CCM 7.2. When allocating expenditure to the objectives, the amount under both
objectives is shown, as required by the EU Commission.
Non-climate-related environmental objectives:
NORMA Group has identified the following economic activities as defined in Annex I of the Delegated Act of the EU
Taxonomy (EU 2023/2486) as non-climate-related environmental objectives. The non-climate-related objective
“Sustainable use and protection of water and marine resources” is relevant for NORMA Group; the requirements of
the other three environmental objectives are not met.
Economic activity 2.3 “Sustainable urban drainage systems (SUDS)”
Economic activity 2.3 “Sustainable urban drainage systems (SUDS)” is defined by the EU as: “Construction,
extension, operation and renewal of urban drainage systems facilities that mitigate pollution and flood hazards
due to discharges of urban runoff and improve the urban water quality and quantity, by harnessing natural
processes, such as infiltration and retention.” NORMA Group’s activities for the production of “Stormwater product
solutions” fulfill this activity description in the sections “Construction, expansion and renovation of facilities.” This
product category aims to increase the amount of water that can be used and to protect drinking water from
contamination. Overall, the manufacturing processes thus correspond to economic activity 2.3 described in the
Annex of the Environmental Delegated Act of the EU Taxonomy (EU 2023/2486). The activity is considered to be a
separate business activity. Taxonomy-eligible turnover; CapEx and OpEx are reported in this regard.
Changes from the previous year
In the 2024 reporting year, new revenue-generating economic activities were identified based on a different data
collection methodology. Until now, they fell below the materiality threshold and are therefore not shown separately
in this year's report.
Taxonomy-aligned economic activities of NORMA Group
The requirements of an alignment, such as the fulfilment of the technical assessment criteria (substantial
contribution and “do no significant harm” criteria) and the minimum safeguards, are still not fully met.
NORMA Group SE – Annual Report 2024 158
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Performance indicators according to EU Taxonomy
The following section presents Group turnover, capital expenditures (CapEx) and operating expenses (OpEx) for
the reporting period 2024, broken down into taxonomy-aligned, taxonomy-eligible as well as non-taxonomy-
aligned and non-taxonomy-eligible components.
Turnover KPI (Key Performance Indicator) definition
The taxonomy-aligned share of Group turnover is defined as the share of net turnover in the reporting year 2024
derived from products and services related to taxonomy-aligned economic activities (numerator) divided by net
turnover (denominator) (Total turnover correspond to turnover from 4 CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME).
2024 [denominator]). The taxonomy-eligible share of Group turnover is defined as the share of net turnover in the
reporting year 2024 derived from products and services related to taxonomy-eligible economic activities
(numerator) divided by net turnover in 2024 (denominator).
For NORMA Group, this numerator results from turnover of certain products of the strategic business unit Mobility
& New Energy, which can only be installed in electric vehicles (economic activity CCM 3.18), and from turnover of
certain products of the strategic business unit Water Management (economic activity CCM 5.1, WTR 2.3). An
analysis of the Water Management products was carried out in relation to the NORMA Group sites NDS (USA),
Malaysia and Kimplas (India), as the relevant Water Management products are manufactured at these sites. As
the system can only evaluate turnover by product category on a gross basis, i.e. without taking subsequent
discounts etc. into account, an imputed key was used to calculate the percentage difference between the gross
and net turnover of the respective entities to calculate the taxonomy-eligible net turnover.
In order to further improve data collection, a third method was established in the 2024 financial year to allocate
sales to appropriate economic activities. Sales were filtered according to customer market segments and
additional sectors in the New Energy and Aviation sectors were allocated. They were not reported in the 2024
reporting year owing to the materiality threshold applied.
The denominator corresponds to NORMA Group’s total net turnover in the fiscal year 2024 from the income
statement. When calculating turnover, it was ensured that no turnover was recorded twice by clearly allocating
the products to the respective activity.
Proportion of turnover / Total turnover
T042
Proportion of turnover / Total turnover
Objectives
taxonomy-aligned
per objective
taxonomy-eligible
per objective
Climate Change Mitigation (CCM)
— %
12.4 %
Climate Change Adaptation (CCA)
— %
— %
Water (WTR)
— %
13.6 %
Circular Economy (CE)
— %
— %
Pollution (PPC)
— %
— %
Biodiversity (BIO)
— %
— %
NORMA Group SE – Annual Report 2024 159
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Turnover-Key-Performance-Indicator (KPI)
T043
Turnover FY 2024: Template 1 Nuclear and fossil gas related activities
Row
Nuclear energy related activities
1
The activity carries out, funds or is exposed to research, development, demonstration and deployment of innovative
electricity generation facilities that produce energy from nuclear processes with minimal waste from the fuel cycle.
No
2
The activity carries out, funds or is exposed to construction and safe operation of new nuclear installations to produce
electricity or process heat, including for the purposes of district heating or industrial processes such as hydrogen
production, as well as their safety upgrades, using best available technologies.
No
3
The activity carries out, funds or is exposed to safe operation of existing nuclear installations that produce electricity or
process heat, including for the purposes of district heating or industrial processes such as hydrogen production from
nuclear energy, as well as their safety upgrades.
No
Row
Fossil gas related activities
4
The activity carries out, funds or is exposed to construction or operation of electricity generation facilities that produce
electricity using fossil gaseous fuels.
No
5
The activity carries out, funds or is exposed to construction, refurbishment, and operation of combined heat/cool and
power generation facilities using fossil gaseous fuels.
No
6
The activity carries out, funds or is exposed to construction, refurbishment and operation of heat generation facilities
that produce heat/cool using fossil gaseous fuels.
No
Information of the following tables in relation to turnover, CapEx and OpEx
(a) The code consists of the abbreviation of the relevant objective to which the economic activity can make a
significant contribution and the number of the section of the activity in the relevant Annex that covers the
objective; for example, the activity “Reforestation” would have the following code: CCM 1.1. If activities can make
a significant contribution to more than one objective, the codes for all objectives should be indicated. For
example, if the company reports that the activity “Construction of new buildings” makes a significant
contribution to climate protection and the circular economy, the code would read as follows: CCM 7.1./CE 3.1.
(b) The abbreviations in the tables have the following meaning:
•
Y – Yes, taxonomy-eligible and taxonomy-aligned activity regarding the relevant environmental objective
•
N – No, taxonomy-eligible activity, but non-taxonomy-aligned regarding the relevant environmental objective
•
N/EL – not eligible, i.e., non-taxonomy-eligible activity regarding the relevant environmental objective
NORMA Group SE – Annual Report 2024 160
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
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46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
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OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
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252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
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RELATED PARTIES
4 CONSOLIDATED
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5 FURTHER INFORMATION
Turnover-Key-Performance-Indicator (KPI)
T044
Financial year 2024
Year
Substantial contribution criteria
Economic Activities (1)
Code (a) (2)
Turnover in
TEUR (3)
Proportion
of
Turnover,
year 2024
(4)
Climate
Change
Mitigation(5)
Climate
Change
Adaptation
(6)
Water (7)
Pollution (8)
Circular
Economy (9)
Biodiversity
(10)
Text
Currency
%
Y; N;
N/EL (b) (c)
Y; N;
N/EL (b) (c)
Y; N;
N/EL (b) (c)
Y; N;
N/EL (b) (c)
Y; N;
N/EL (b) (c)
Y; N;
N/EL (b) (c)
A. Taxonomy-eligible activities
A.1. Environmentally sustainable activities (taxonomy-aligned)
Turnover of environmentally sustainable
activities (taxonomy-aligned) (A.1)
Of which Enabling
— %
— %
— %
— %
— %
— %
— %
Of which Transitional
— %
— %
A.2 Taxonomy-eligible but not environmentally sustainable activities (non-taxonomy-aligned activities) (g)
EL; N/EL (f)
EL; N/EL (f)
EL; N/EL (f)
EL; N/EL (f)
EL; N/EL (f)
EL; N/EL (f)
3.18 Manufacture of
automotive and mobility
components
CCM 3.18
22,881
2.0 %
EL
N/EL
N/EL
N/EL
N/EL
N/EL
5.1 Construction, extension
and operation of water
collection, treatment and
supply systems
CCM 5.1
120,620
10.4 %
EL
N/EL
N/EL
N/EL
N/EL
N/EL
2.3 Sustainable urban
drainage systems (SUDS)
WTR 2.3
156,684
13.6 %
N/EL
N/EL
EL
N/EL
N/EL
N/EL
Turnover of taxonomy-eligible but not
environmentally sustainable activities (non-
taxonomy-aligned activities) (A.2)
300,185
26.0 %
12.4 %
— %
13.6 %
— %
— %
— %
A. Turnover of taxonomy-eligible activities
(A.1+A.2)
300,185
26.0 %
12.4 %
— %
13.6 %
— %
— %
— %
B. Non-taxonomy-eligible activities
Turnover of non-taxonomy-eligible activities
854,943
74.0 %
Total
1,155,128
100.0%
NORMA Group SE – Annual Report 2024 161
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
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46 PRINCIPLES OF THE
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> ECONOMIC REPORT
194 MANAGEMENT REPORT
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202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
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252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
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4 CONSOLIDATED
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5 FURTHER INFORMATION
Turnover-Key-Performance-Indicator (KPI) (continued)
DNSH-criteria
(“Do no significant harm”) (h)
Economic Activities (1)
Climate
Change
Mitigation
(11)
Climate
Change
Adaptation
(12)
Water (13)
Pollution
(14)
Circular
Economy
(15)
Biodiversity
(16)
Minimum
Safeguards
(17)
Proportion
of
taxonomy-
aligned
(A.1.)
or -eligible
(A.2.)
turnover,
year 2023
(18)
Category
enabling
activity
(19)
Category
transitional
activity (20)
A. Taxonomy-eligible activities
A.1. Environmentally sustainable activities (taxonomy-aligned)
Turnover of
environmentally
sustainable activities
(taxonomy-aligned) (A.1)
N
N
N
N
N
N
N
— %
Of which Enabling
N
N
N
N
N
N
N
— %
E
Of which Transitional
N
N
N
N
N
N
N
— %
T
A.2 Taxonomy-eligible but not environmentally sustainable activities (non-taxonomy-aligned activities) (g)
3.18 Manufacture of
automotive and mobility
components
2.1 %
5.1 Construction, extension
and operation of water
collection, treatment and
supply systems
9.5 %
6.13 Infrastructure for
personal mobility, cycle
logistics
0.3 %
2.3 Sustainable urban
drainage systems (SUDS)
12.5 %
Turnover of taxonomy-eligible but not environmentally sustainable activities (non-taxonomy-aligned activities) (A.2)
24.5 %
A. Turnover of taxonomy-eligible activities (A.1+A.2)
24.5 %
In the reporting year 2024, a slight increase in the taxonomy-eligible shares was achieved compared to the reporting year 2023. The key figures remain essentially stable.
NORMA Group SE – Annual Report 2024 162
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
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46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
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210 RISK AND OPPORTUNITY
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229 REMUNERATION REPORT
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252 TAKEOVER-RELEVANT
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254 REPORT ON
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4 CONSOLIDATED
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5 FURTHER INFORMATION
Capex KPI definition
The CapEx KPI is defined as the share of taxonomy-aligned capital expenditure (CapEx) in the numerator, which is
broken down into three categories (a-c) as defined by the EU, divided by total Group CapEx (see the corresponding
additions to property, plant and equipment and intangible assets before depreciation, amortization and
impairment losses and remeasurements excluding goodwill) under 4 GOODWILL AND OTHER INTANGIBLE ASSETS and
4 DEVELOPMENT OF PROPERTY, PLANT AND EQUIPMENT for the reporting year 2024 as a denominator.
The total CapEx of category (c) was calculated on the basis of the CapEx requests approved for the reporting year
by allocating the CapEx requests to an economic activity. These are the activities CCM 3.18, CCM 6.5, CCM 7.2.
In addition to the direct allocation of capitalized costs, the imputed turnover key “Technical machine equipment”
was used to determine CapEx in relation to activity CCM 3.18 on a pro rata basis.
To calculate CapEx in relation to the taxonomy-eligible Water Management products, an imputed turnover key
was applied to the capitalized costs of the Water Management sites and allocated to CCM 5.1, CCM 6.13 and
WTR 2.3. A report was created in the accounting system and corresponding formulas were stored to avoid
accounting for investments twice.
Proportion of CapEx / Total CapEx
T045
Proportion of CapEx / Total CapEx
Objectives
Taxonomy-aligned
per objective
Taxonomy-eligible
per objective
Climate Change Mitigation (CCM)
— %
17.2 %
Climate Change Adaptation (CCA)
— %
— %
Water (WTR)
— %
11.1 %
Circular Economy (CE)
— %
0.5 %
Pollution (PPC)
— %
— %
Biodiversity (BIO)
— %
— %
NORMA Group SE – Annual Report 2024 163
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
CapEx-Key-Performance-Indicator (KPI)
T046
CapEx FY 2024: Template 1 Nuclear and fossil gas related activities
Row
Nuclear energy related activities
1
The activity carries out, funds or is exposed to research, development, demonstration and deployment of innovative
electricity generation facilities that produce energy from nuclear processes with minimal waste from the fuel cycle.
No
2
The activity carries out, funds or is exposed to construction and safe operation of new nuclear installations to produce
electricity or process heat, including for the purposes of district heating or industrial processes such as hydrogen
production, as well as their safety upgrades, using best available technologies.
No
3
The activity carries out, funds or is exposed to safe operation of existing nuclear installations that produce electricity or
process heat, including for the purposes of district heating or industrial processes such as hydrogen production from
nuclear energy, as well as their safety upgrades.
No
Row
Fossil gas related activities
4
The activity carries out, funds or is exposed to construction or operation of electricity generation facilities that produce
electricity using fossil gaseous fuels.
No
5
The activity carries out, funds or is exposed to construction, refurbishment, and operation of combined heat/cool and
power generation facilities using fossil gaseous fuels.
No
6
The activity carries out, funds or is exposed to construction, refurbishment and operation of heat generation facilities
that produce heat/cool using fossil gaseous fuels.
No
CapEx category a)
CapEx category a) is defined according to the EU as capital expenditures “related to assets or processes that are
associated with taxonomy-aligned economic activities;” As NORMA Group cannot report taxonomy-aligned
activities in the reporting year 2024, no taxonomy-aligned CapEx is reported. However, we have reported on our
taxonomy-eligible activities CCM 3.18, CCM 5.1, WTR 2.3.
CapEx category b)
CapEx category b) is defined by the EU as capital expenditures as “part of a plan to expand taxonomy-aligned
economic activities or to allow taxonomy-eligible economic activities to become taxonomy-aligned.” No such
investments were made in the reporting year 2024.
CapEx category c)
CapEx category c) is defined according to the EU as capital expenditures related to the purchase of products and
services from taxonomy-aligned economic activities and individual measures that enable the target activities to
become low-carbon or lead to greenhouse gas reductions. As NORMA Group has not yet been able to identify any
taxonomy-aligned activities among third parties in this reporting year, taxonomy-aligned CapEx cannot be
reported. However, we have reported on our taxonomy-eligible activities CCM 7.2.
NORMA Group SE – Annual Report 2024 164
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
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46 PRINCIPLES OF THE
GROUP
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202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
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4 CONSOLIDATED
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5 FURTHER INFORMATION
CapEx-Key-Performance-Indicator (KPI)
T047
Financial year 2024
Year
Substantial contribution criteria
Economic Activities (1)
Code (a) (2)
CapEx in
TEUR (3)
Proportion
of
CapEx, year
2024 (4)
Climate
Change
Mitigation(5)
Climate
Change
Adaptation
(6)
Water (7)
Pollution (8)
Circular
Economy (9)
Biodiversity
(10)
Text
Currency
%
Y; N;
N/EL (b) (c)
Y; N;
N/EL (b) (c)
Y; N;
N/EL (b) (c)
Y; N;
N/EL (b) (c)
Y; N;
N/EL (b) (c)
Y; N;
N/EL (b) (c)
A. Taxonomy- eligible activities
A.1. Environmentally sustainable activities (taxonomy-aligned)
CapEx of environmentally sustainable
activities (taxonomy-aligned) (A.1)
— %
— %
— %
— %
— %
— %
— %
Of which Enabling
— %
— %
— %
— %
— %
— %
— %
Of which Transitional
— %
— %
A.2 Taxonomy-eligible but not environmentally sustainable activities (non-taxonomy-aligned activities) (g)
EL; N/EL (f)
EL; N/EL (f)
EL; N/EL (f)
EL; N/EL (f)
EL; N/EL (f)
EL; N/EL (f)
3.18 Manufacture of
automotive and mobility
components
CCM 3.18
2,423
3.8 %
EL
N/EL
N/EL
N/EL
N/EL
N/EL
5.1 Construction, extension
and operation of water
collection, treatment and
supply systems
CCM 5.1
6,225
9.6 %
EL
N/EL
N/EL
N/EL
N/EL
N/EL
2.3 Sustainable urban
drainage systems (SUDS)
WTR 2.3
7,189
11.1 %
N/EL
N/EL
EL
N/EL
N/EL
N/EL
6.5 Transport by motorbikes,
passenger cars and light
commercial vehicles
CCM 6.5
2,163
3.3 %
EL
N/EL
N/EL
N/EL
N/EL
N/EL
7.2 / 3.2 Renovation of existing
buildings
CCM 7.2/
CE 3.2
319
0.5 %
EL
N/EL
N/EL
N/EL
N/EL
N/EL
CapEx of taxonomy-eligible but not
environmentally sustainable activities (not
taxonomy-aligned activities) (A.2)
18,318
28.4 %
17.2 %
— %
11.1 %
— %
— %
— %
A. CapEx of taxonomy-eligible activities
(A.1+A.2)
18,318
28.4 %
17.2 %
— %
11.1 %
— %
— %
— %
B. Non-taxonomy-eligible activities
CapEx of non-taxonomy-eligible activities
46,275
71.6 %
Total
64,593
100%
NORMA Group SE – Annual Report 2024 165
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210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
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4 CONSOLIDATED
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5 FURTHER INFORMATION
CapEx-Key-Performance-Indicator (KPI) (continued)
DNSH-criteria
(“Do no significant harm”) (h)
Economic Activities (1)
Climate
Change
Mitigation
(11)
Climate
Change
Adaptation
(12)
Water (13)
Pollution
(14)
Circular
Economy
(15)
Biodiversity
(16)
Minimum
Safeguards
(17)
Proportion
of
taxonomy-
aligned
(A.1.)
or -eligible
(A.2.)
CapEx,
year 2023
(18)
Category
enabling
activity
(19)
Category
transitional
activity (20)
A. Taxonomy-eligible activities
A.1. Environmentally sustainable activities (taxonomy-aligned)
CapEx of environmentally
sustainable activities
(taxonomy-aligned) (A.1)
N
N
N
N
N
N
N
— %
Of which Enabling
N
N
N
N
N
N
N
— %
E
Of which Transitional
N
N
N
N
N
N
N
— %
T
A.2 Taxonomy-eligible but not environmentally sustainable activities (non-taxonomy-aligned activities) (g)
3.18 Manufacture of
automotive and mobility
components
4.1 %
5.1 Construction, extension
and operation of water
collection, treatment and
supply systems
14.2 %
6.13 Infrastructure for
personal mobility, cycle
logistics
0.5 %
2.3 Sustainable urban
drainage systems (SUDS)
18.2 %
4.1 Electricity generation
using solar photovoltaic
technology
0.9 %
6.5 Transport by motorbikes,
passenger cars and light
commercial vehicles
1.8 %
7.2 / 3.2 Renovation of existing
buildings
0.4 %
7.3 Installation, maintenance
and repair of energy efficiency
equipment
0.3 %
CapEx of taxonomy-eligible but not environmentally sustainable activities (not taxonomy-aligned activities) (A.2)
40.3 %
A. CapEx of taxonomy-eligible activities (A.1+A.2)
40.3 %
In the reporting year 2024, a decrease in taxonomy-eligible shares was evident compared to the reporting year 2023. This is due to lower taxonomy-eligible investment costs.
NORMA Group SE – Annual Report 2024 166
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4 CONSOLIDATED
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5 FURTHER INFORMATION
OpEx KPI definition
The OpEx KPI is defined as the share of taxonomy-aligned operating expenses (OpEx), which is broken down into
three categories (a-c) in accordance with the EU definition (see more detailed explanation in the following
sections). Direct, non-capitalized expenses, in particular for research and development, building renovation
measures, short-term leasing and maintenance and repairs, are to be included in the denominator and
proportionately in the numerator. Based on the relevance analysis, account mapping was carried out and the OpEx
for category (c) comprising was verified by manual queries. This concerns the activity CCM 6.5.
In order to determine the OpEx in relation to the activity CCM 3.18, the operating expenses for the maintenance of
production equipment were also taken into account on a pro rata basis using the imputed turnover key in addition
to the allocation of the calculated average R&D costs.
To calculate the OpEx in relation to the taxonomy-eligible Water Management products, an imputed turnover key
was applied to the capitalized costs of the Water Management sites and allocated to CCM 5.1, CCM 6.13 and
WTR 2.3. A report was created in the accounting system and corresponding formulas were stored to avoid
accounting for investments twice.
Proportion of OpEx / Total OpEx
T048
Proportion of OpEx / Total OpEx
Objectives
Taxonomy-aligned
per objective (“Alignment”)
Taxonomy-eligible
per objective
(“Eligibility”)
Climate Change Mitigation (CCM)
— %
19.9 %
Climate Change Adaptation (CCA)
— %
— %
Water (WTR)
— %
6.5 %
Circular Economy (CE)
— %
— %
Pollution (PPC)
— %
— %
Biodiversity (BIO)
— %
— %
NORMA Group SE – Annual Report 2024 167
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
OpEx-Key-Performance-Indicator (KPI)
T049
OpEx FY 2024: Template 1 Nuclear and fossil gas related activities
Row
Nuclear energy related activities
1
The activity carries out, funds or is exposed to research, development, demonstration and deployment of innovative
electricity generation facilities that produce energy from nuclear processes with minimal waste from the fuel cycle.
No
2
The activity carries out, funds or is exposed to construction and safe operation of new nuclear installations to produce
electricity or process heat, including for the purposes of district heating or industrial processes such as hydrogen
production, as well as their safety upgrades, using best available technologies.
No
3
The activity carries out, funds or is exposed to safe operation of existing nuclear installations that produce electricity or
process heat, including for the purposes of district heating or industrial processes such as hydrogen production from
nuclear energy, as well as their safety upgrades.
No
Row
Fossil gas related activities
4
The activity carries out, funds or is exposed to construction or operation of electricity generation facilities that produce
electricity using fossil gaseous fuels.
No
5
The activity carries out, funds or is exposed to construction, refurbishment, and operation of combined heat/cool and
power generation facilities using fossil gaseous fuels.
No
6
The activity carries out, funds or is exposed to construction, refurbishment and operation of heat generation facilities
that produce heat/cool using fossil gaseous fuels.
No
OpEx category a)
OpEx category a) is defined by the EU as operational expenditures “related to assets or processes associated with
taxonomy-aligned economic activities, including training and other human resource adaptation requirements and
direct non-capitalized costs that represent research and development.” Since NORMA Group cannot report any
taxonomy-aligned activities in 2024, no taxonomy-aligned OpEx is reported. However, we have reported on our
taxonomy-eligible activities CCM 3.18, CCM 5.1 and WTR 2.3.
OpEx category b)
OpEx category b) is defined by the EU as operational expenditures that are part of a OpEx plan to expand
taxonomy-aligned economic activities or enable taxonomy-eligible economic activities to become taxonomy-
aligned. No such operating expenses were incurred in the reporting year 2024.
OpEx category c)
OpEx category c) is defined by the EU as operational expenditures “related to the purchase of output from
taxonomy-aligned economic activities and to individual measures enabling the target activities to become low-
carbon or to lead to greenhouse gas reductions as well as individual building renovation measures as identified in
the delegated acts.” As NORMA Group has not yet been able to identify any taxonomy-aligned activities among
third parties in this reporting year, taxonomy-aligned OpEx cannot be reported. However, we have reported on our
taxonomy-eligible activity CCM 6.5.
NORMA Group SE – Annual Report 2024 168
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2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
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RELATED PARTIES
4 CONSOLIDATED
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5 FURTHER INFORMATION
OpEx-Key-Performance-Indicator (KPI)
T050
Financial year 2024
Year
Substantial contribution criteria
Economic Activities (1)
Code (a) (2)
OpEx in
TEUR (3)
Proportion
of
OpEx, year
2024 (4)
Climate
Change
Mitigation(5)
Climate
Change
Adaptation
(6)
Water (7)
Pollution (8)
Circular
Economy (9)
Biodiversity
(10)
Text
Currency
%
Y; N;
N/EL (b) (c)
Y; N;
N/EL (b) (c)
Y; N;
N/EL (b) (c)
Y; N;
N/EL (b) (c)
Y; N;
N/EL (b) (c)
Y; N;
N/EL (b) (c)
A. Taxonomy-eligible activities
A.1. Environmentally sustainable activities (taxonomy-aligned)
OpEx of environmentally sustainable
activities (taxonomy-aligned) (A.1)
— %
— %
— %
— %
— %
— %
— %
Of which Enabling
— %
— %
— %
— %
— %
— %
— %
Of which Transitional
— %
— %
A.2 Taxonomy-eligible but not environmentally sustainable activities (non-taxonomy-aligned activities) (g)
EL; N/EL (f)
EL; N/EL (f)
EL; N/EL (f)
EL; N/EL (f)
EL; N/EL (f)
EL; N/EL (f)
3.18 Manufacture of
automotive and mobility
components
CCM 3.18
10,463
13.9 %
EL
N/EL
N/EL
N/EL
N/EL
N/EL
5.1 Construction, extension
and operation of water
collection, treatment and
supply systems
CCM 5.1
3,783
5.0 %
EL
N/EL
N/EL
N/EL
N/EL
N/EL
2.3 Sustainable urban
drainage systems (SUDS)
WTR 2.3
4,854
6.5 %
N/EL
N/EL
EL
N/EL
N/EL
N/EL
6.5 Transport by motorbikes,
passenger cars and light
commercial vehicles
CCM 6.5
694
0.9 %
EL
N/EL
N/EL
N/EL
N/EL
N/EL
OpEx of taxonomy-eligible but not
environmentally sustainable activities
(non-taxonomy-aligned activities) (A.2)
19,793
26.4 %
19.9 %
— %
6.5 %
— %
— %
— %
A. OpEx of taxonomy-eligible activities
(A.1+A.2)
19,793
26.4 %
19.9 %
— %
6.5 %
— %
— %
— %
B. Non-taxonomy-eligible activities
OpEx of non-taxonomy-eligible activities
55,238
73.6 %
Total
75,031
100.0 %
NORMA Group SE – Annual Report 2024 169
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
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4 CONSOLIDATED
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5 FURTHER INFORMATION
OpEx-Key-Performance-Indicator (KPI) (continued)
DNSH-criteria
(„Do no significant harm“) (h)
Economic Activities (1)
Climate
Change
Mitigation
(11)
Climate
Change
Adaptation
(12)
Water (13)
Pollution
(14)
Circular
Economy
(15)
Biodiversity
(16)
Minimum
Safeguards
(17)
Proportion
of
taxonomy-
aligned
(A.1.)
or -eligible
(A.2.)
OpEx,
year 2023
(18)
Category
enabling
activity
(19)
Category
transitional
activity (20)
A. Taxonomy-eligible activities
A.1. Environmentally sustainable activities (taxonomy-aligned)
OpEx of environmentally
sustainable activities
(taxonomy-aligned) (A.1)
N
N
N
N
N
N
N
— %
Of which Enabling
N
N
N
N
N
N
N
— %
E
Of which Transitional
N
N
N
N
N
N
N
— %
T
A.2 Taxonomy-eligible but not environmentally sustainable activities (non-taxonomy-aligned activities) (g)
3.18 Manufacture of
automotive and mobility
components
4.1 %
5.1 Construction, extension
and operation of water
collection, treatment and
supply systems
3.8 %
6.13 Infrastructure for
personal mobility, cycle
logistics
0.1 %
2.3 Sustainable urban
drainage systems (SUDS)
4.8 %
6.4 Operation of personal
mobility devices, cycle logistics
0.2 %
6.5 Transport by motorbikes,
passenger cars and light
commercial vehicles
0.7 %
OpEx of taxonomy-eligible but not environmentally sustainable activities (non-taxonomy-aligned activities) (A.2)
13.6 %
A. OpEx of taxonomy-eligible activities (A.1+A.2)
13.6 %
In the reporting year 2024, a strong increase in the taxonomy-eligible shares was achieved compared to the reporting year 2023. This was due, among other things, to the increased number of R&D customer projects in the area of eMobility.
NORMA Group SE – Annual Report 2024 170
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
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4 CONSOLIDATED
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5 FURTHER INFORMATION
Social
Own workforce
NORMA reports information and data for areas of its own workforce in orientation to the ESRS. On the one hand,
this is due to the limited availability of data, in particular the lack of granularity of the data as required by the ESRS.
Secondly, there are systems in place that do not meet the reporting requirements of the ESRS, as their introduction
in the past was not aimed at reporting. NORMA is working consistently to improve data quality and availability in
the 2025 fiscal year so that it can be reported in accordance with the ESRS in the future. We do this not only to
comply with legal requirements, but also in particular because it is important to us as a Group to provide our
internal and external stakeholders with complete and accurate information. Nevertheless, NORMA is already in a
position to report individual information and data, so the following available information is disclosed in accordance
with the ESRS. The information is always given in the employee headcount. If there is a deviation from this
definition or if the information is stated differently, this will be disclosed.
S1-8 Collective bargaining coverage and social dialog
[S1-8-60a] NORMA Group recognizes the important role of collective bargaining agreements in shaping the
working and employment conditions of its employees. 43.0 % of temporary and permanent employees are covered
by collective agreements, which corresponds to 3,284 employees worldwide. The collective agreements are
negotiated locally and therefore vary according to country-specific requirements.
[S1-8-60b] Collective bargaining agreements have been negotiated for 713 employees in the European Economic
Area, which corresponds to 9.0 %. As this information is only to be reported for countries in which NORMA Group
has significant employment, defined as sites with at least 50 employees covering at least 10% of the total
workforce, only the collective agreements for Germany can be reported in this context.
[S1-8-63a] With regard to social dialog, 9.0 % of NORMA Group employees worldwide are represented by
workers’ representatives. This figure is given for the countries in the European Economic Area in which NORMA
Group employs at least 50 employees who make up at least 10% of the total workforce.
[S1-8-63b] NORMA Group has an agreement with its employees regarding representation by a European Works
Council, a Societas Europaea Works Council or a Societas Cooperativa Europaea Works Council.
NORMA Group SE – Annual Report 2024 171
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
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OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
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254 REPORT ON
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Collective bargaining coverage and social dialog
T051
Collective bargaining coverage
Social dialog
coverage rate
Employees - EEA
(for countries with > 50 employees
representing > 10 % of total
employees)
Employees - Non-EEA
(estimate for regions with > 50
employees representing > 10 % of
total employees)
Workplace representation (EEA only)
(for countries with > 50 employees
representing > 10 % of total employees
0-19 %
Poland
n.a.
Poland
20-39 %
n.a.
40-59 %
n.a.
60-79 %
n.a.
80-100 %
Germany
n.a.
Germany
S1-14 Health and safety metrics
[S1-14-88a + MDR-M 77] NORMA Group is committed to maintaining a robust health and safety management
system to ensure the well-being of its workforce. At the end of the fiscal year, 87.3 % of employees were covered
by the health and safety management system in accordance with ISO 45001, based on the total number of
employees at that time.
In addition, 98.6 % of employees in the manufacturing plants are covered by the ISO 45001 management system.
[S1-14-88b] NORMA Group recorded zero fatalities as a result of work-related injuries last year.
This figure includes all reported fatalities at all NORMA sites worldwide. In addition to employees, external workers
such as individual contractors or other persons working on the company premises under the supervision of the
company are also included.
Within NORMA Group, cases are recorded using a standardized local data collection system. This survey makes it
possible to record all fatalities across all locations and consolidate them at Group level. In addition, the
Environment, Health and Safety department is obliged to report fatal accidents to the local authorities.
[S1-14-88c+d] In addition, a total of 77 recordable work-related accidents were registered in the last fiscal year,
which corresponds to a rate of 4.97.
NORMA Group takes both injuries and illnesses into account when documenting recordable accidents, as incidents
that lead to an injury or illness are defined as accidents. Reporting is carried out separately for the rates of
reportable injuries and reportable illnesses.
The rate of recordable injuries in the last fiscal year is 4.97, while the rate of recordable work-related illness is 0.
This indicator includes all locations of the legal entities (subsidiaries) of NORMA Group. The number of reportable
incidents refers to work-related injuries or illnesses that can lead to death, days lost, reduced ability to work,
transfer to another job, medical treatment beyond first aid or unconsciousness. This includes significant injuries or
illnesses that are diagnosed by a physician or other licensed health care professional, even if they do not result in
the above consequences.
NORMA Group SE – Annual Report 2024 172
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
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4 CONSOLIDATED
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5 FURTHER INFORMATION
The rate of recordable injuries and illnesses is calculated by dividing the total number of recordable cases by the
total working hours and then multiplying by one million.
[S1-14-88e] NORMA Group also reports on the number of days lost by its employees due to work-related injuries
and work-related illnesses as well as the number of days lost due to fatalities as a result of such incidents. A total
of 1,730 lost days were counted in the 2024 fiscal year.
The calculation of days lost is based on the first and last full day of absence and includes calendar days. This
means that days on which the person concerned is not scheduled to work, as well as weekends and public
holidays, also count as days lost. The local health and safety authority monitors and reports the days lost, taking
into account the first and last full day of absence.
This indicator is monitored and recorded by the local health and social services, which document the days lost for
each recordable accident. In exceptional cases, the exact number of days lost for certain incidents may not be
immediately known. A preliminary estimate is made by the Health and Social Services Department.
S1-17 Human rights-related incidents, complaints and severe impacts
[S1-17-103a] During the reporting period, NORMA Group registered zero confirmed incidents of discrimination
based on gender, race or ethnic origin, nationality, religion or belief, disability, age, sexual orientation or other
grounds, including harassment, through its whistleblower system.
[S1-17-103b] In addition, NORMA Group received zero complaints related to human rights through internal
complaints mechanisms that are independent of the incidents mentioned above. Complaints related to human
rights refer to complaints regarding labor rights, freedom of association, forced labor, child labor, working
conditions and occupational safety.
[S1-17-104a] NORMA Group identified zero confirmed cases of severe human rights violations in which the United
Nations Guiding Principles, the International Labor Organization Declaration or the OECD Guidelines were violated.
[MDR-77] With regard to the number of incidents, all human rights violations reported by internal or external
sources via NORMA Group’s whistleblower system and assessed by the Human Rights Committee as actual or
severe human rights violations are taken into account. The Human Rights Committee categorizes and assesses
the severity of the individual complaints on the basis of key questions. Since 2024, NORMA Group Integrity has
also obtained a confirmation of completeness from relevant departments to ensure that all relevant complaints
have been submitted to the whistleblower system. The information received is processed within NORMA Group
and can be examined by external bodies on a case-specific basis beyond the legal requirements.
[MDR-77] NORMA Group’s legal counsels collect information from the CFOs of the regions who report on fines and
convictions of each entity. This information is then consolidated by the legal department for the entire Group. Fines
are allocated to the reporting year in which the decision became legally binding, although the possibility that
reporting persons may conceal fines cannot be ruled out. The information received is processed exclusively within
NORMA Group and is not validated by external bodies beyond the legal requirements.
[S1-17-103c] In connection with the reported cases of human rights violations and discrimination, the fines,
sanctions and compensation for these incidents and complaints amounted to a total of zero euros.
NORMA Group SE – Annual Report 2024 173
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
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5 FURTHER INFORMATION
[S1-17-104b] In connection with severe incidents relating to human rights violations, fines, penalties and
compensation totaled zero euros.
S1-1 Policies related to the company's own workforce
[S1-1-19] NORMA Group has adopted policies and statements to effectively manage the material impacts
associated with its own workforce. At the heart of these efforts are the Code of Conduct, the Human Rights
Commitment Statement and the policies on Human Rights, Diversity and Inclusion. These policies are specifically
tailored to the needs and rights of the employees and apply to all employees. NORMA Group has not identified any
material risks and negative impacts in connection with its own workforce. Nevertheless, identifying, assessing and
actively managing potential risks remains a key task in the area of human rights.
[MDR-P 65a-f] Human Rights Commitment Statement
NORMA Group is aware of the responsibility that arises from its global business activities and is committed to
conducting its business in an ethical and socially responsible manner, as well as taking responsibility for its own
workforce.
In the Human Rights Commitment Statement, NORMA Group points out that any form of violation of human rights
is categorically rejected. NORMA Group is committed to the prevention of slavery and human trafficking within its
own business activities and requires all business partners to refrain from violating human rights and to work
towards this in their own value chain. If violations become known, NORMA Group gives its business partners the
opportunity to remedy them as quickly as possible. The business relationship is then reassessed and termination of
the contract is considered.
Responsibility for implementing the requirements set out in the statement lies with the relevant departments and
all members of NORMA Group.
With this statement, NORMA Group commits to complying with the Modern Slavery Act 2015 (Transparency in
Supply Chains) Regulations 2015, the Universal Declaration of Human Rights and the International Labor
Organization's Declaration on Fundamental Principles and Rights at Work.
The publication of the statement is intended to ensure that NORMA Group transparently informs all potentially
affected stakeholders and those involved in the implementation.
[MDR-P 65a-f] Human Rights
With a clear focus on employees, NORMA Group introduced a Human Rights Policy in the 2024 fiscal year to
ensure that all employees and external partners respect and promote human rights in line with global standards
and ethical practices. It is designed to ensure that potential human rights risks within the company’s operations
are identified and mitigated, and to promote a positive working environment, leading to greater employee
satisfaction, retention and fair treatment of all stakeholders.
The Management Board and local management bear overall responsibility for the topic of human rights and
support the implementation of the policy and the measures derived from it.
The publication of the policy is intended to ensure that all potentially affected interest groups and those involved in
its implementation are informed transparently.
NORMA Group SE – Annual Report 2024 174
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
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5 FURTHER INFORMATION
[MDR-P 65a-f] Diversity & Inclusion
The Diversity & Inclusion policy underlines the belief that diverse teams bring different perspectives and ideas to
the table, thus promoting creativity and innovation. NORMA Group strives for active inclusive environments to
foster diverse viewpoints and make effective decisions.
The Management Board and local management bear overall responsibility for the topic of diversity and inclusion
and support the implementation of the policy and the measures derived from it.
The publication of the policy is intended to ensure that all potentially affected interest groups and those involved in
its implementation are informed transparently.
[MDR-P 65a-d] The Code of Conduct is described in detail in the chapter 4 G1 GOVERNANCE.
[S1-1-20a-c] The Human Rights, Diversity & Inclusion policies introduced by NORMA Group in the fiscal year focus
on the observance and protection of human rights, the promotion of equal opportunities, diversity and inclusion as
well as the labor rights of all employees. The Code of Conduct, the Human Rights Commitment Statement and the
policies on Human Rights and Diversity & Inclusion set out NORMA Group’s position on these issues, particularly
with regard to its own employees.
NORMA Group underlines its commitment by firmly rejecting any form of human rights violations and does not
tolerate any violations. The aim is to safeguard human rights and identify potential violations at an early stage in
order to protect the rights of all employees, including their labor rights.
NORMA Group maintains a continuous dialog with its own employees through direct contact or the respective
managers. This exchange is also promoted through employee surveys and close cooperation with employee
representatives and trade unions. Its guidelines define clear measures and sanctions under labor law in order to
exclude, minimize or completely eliminate potential human rights violations as far as possible.
[S1-1-21] NORMA Group’s values are in line with the ten principles of the UN Global Compact, the United Nations
Guiding Principles on Business and Human Rights and the International Labor Organization's Declaration on
Fundamental Principles and Rights at Work. This is reflected, among other things, in efforts to uphold fair working
conditions, eliminate discrimination and combat corruption. NORMA Group strictly rejects human rights violations
as described in the Universal Declaration of Human Rights and the Declaration of the International Labor
Organization.
[S1-1-22] NORMA Group emphasizes in its policies that human trafficking, forced and compulsory labor and child
labor are not tolerated under any circumstances within its own workforce.
[S1-1-24a-c] NORMA Group is currently developing a strategy to combat discrimination and harassment and to
promote equal opportunities, diversity and inclusion. These efforts are firmly anchored in the Code of Conduct, the
Human Rights Commitment Statement and the Human Rights and Diversity & Inclusion Guidelines. The content of
this guideline addresses both aspects of discrimination, including harassment based on race, skin color and
gender, and the promotion of equal opportunity and diversity. They are intended to make it possible to express any
form of political opinion, national affiliation or social origin.
NORMA Group respects the respective national laws, but there are no specific Group-wide obligations regarding
inclusion or positive measures for particularly vulnerable groups.
NORMA Group SE – Annual Report 2024 175
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3 CONDENSED
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46 PRINCIPLES OF THE
GROUP
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(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
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252 TAKEOVER-RELEVANT
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254 REPORT ON
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5 FURTHER INFORMATION
[S1-1-24d] By complying with the requirements set out in the Human Rights and Diversity & Inclusion policies and
conducting voluntary training for employees, NORMA Group works to prevent and reduce discrimination and to act
appropriately when incidents occur. In addition, the promotion of diversity and integration is to be actively
supported in the future in order to establish an inclusive, respectful and equal working environment in the long
term. For example, mandatory diversity and inclusion training for all employees and managers will be carried out in
the 2025 fiscal year on the basis of the newly introduced guidelines in order to raise awareness throughout the
organization.
S1-1 Policies related to health and safety
[S1-1-23 + MDR 65a+e] NORMA Group pursues a Group-wide approach to health and safety policy. All
production sites are required to have a management system certified in accordance with ISO 45001:2018.
NORMA Group has also implemented an occupational health and safety policy. This policy requires managers to
create a safe working environment for all employees and other stakeholders.
[MDR-P 65c] The Chief Operations Officer of NORMA Group and the Vice President Quality and Environment,
Health and Safety are responsible for implementing the policy.
[MDR-P 65b] The policy takes all employees into account.
[MDR-P 65f] By publishing the policy, NORMA Group wants to ensure that all potentially affected stakeholders
and those involved in its implementation are informed transparently.
S1-2 Processes for engaging with own workers and workers’ representatives about impacts
[S1-2-27a+b] NORMA Group takes the perspectives of its employees into account by actively incorporating their
insights and opinions into the decision-making process. Engagement is measured every two years as part of the
global employee survey. Employee engagement reflects the involvement and enthusiasm of employees in their
work and workplace. Some of the key metrics that are monitored are participation rate, overall average,
engagement percentage and approval percentage. In addition to employee engagement, NORMA Group aims to
understand employee needs, identify opportunities for improvement and translate feedback into feasible action
plans at the global, regional and local levels.
Based on the results, improvement measures are required in the areas that are below average or below what is
expected, which are determined by the managers at department and company level in a workshop. Workshops
and training courses are conducted by providers and employees of the HR department.
The defined action points are monitored, analyzed and evaluated. From 2024, the employee survey will be
conducted every two years; previously it took place every three years.
[S1-2-27c] The operational responsibility for ensuring that employees are involved in the survey and that the
results are actively incorporated into NORMA Group’s approach lies with Human Resources.
The resources used for the global survey include EUR 90,000 in costs in the 2024 fiscal year and the manpower of
one full-time employee. The measures resulting from the survey are defined, managed and reviewed at site level.
NORMA Group SE – Annual Report 2024 176
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3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
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OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
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4 CONSOLIDATED
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5 FURTHER INFORMATION
NORMA Group is also actively committed to occupational health and safety, including through safety committees
in which local managers, non-executive employees and production employees working on an hourly basis
participate. This exchange is intended to ensure that the knowledge gained is directly integrated into NORMA
Group’s working methods. In addition, regular safety training and awareness campaigns are carried out during the
fiscal year to further raise awareness of safety issues.
S1-3 Processes to remediate negative impacts and channels for own workers to raise concerns
[S1-3-32a] During the reporting period, NORMA Group has not identified any confirmed negative impacts related
to working conditions, equal treatment and equal opportunities or other labor-related rights within its own
workforce through its whistleblower system.
Nevertheless, NORMA Group focuses on minimizing potentially fatal incidents and high-risk incidents involving
employees and external workers, among other things with regard to occupational health and safety. In the event of
such incidents, detailed root cause analyses are carried out on site and immediate remedial measures are initiated
and followed up in order to eliminate the underlying risk factors in the long term. Thanks to these safety
precautions, the frequency of such incidents has already been reduced. Nevertheless, NORMA Group continues to
focus increasingly on high-risk sites and uses the Safety Top Focus Program to further minimize potential negative
impacts on the workforce.
[S1-3-32b] In addition, each NORMA Group production site has implemented a value-based monitoring program
that actively involves workers in identifying and resolving potential safety issues that could lead to injury or illness.
As soon as risks are identified, measures are immediately taken and implemented to minimize the identified safety
risks for employees and external workers.
[S1-3-32b] NORMA Group has also implemented processes and procedures that enable employees to report their
concerns, worries or needs. This also includes the possibility of addressing them directly or submitting complaints
anonymously via the whistleblower system. Further information on the whistleblower system is provided in the
chapter 4 G1 GOVERNANCE. Another way of directly addressing issues is for employees to take part in the Employee
Engagement Survey, which is usually conducted every two years.
[S1-3-32b] These channels are established by NORMA Group itself and through participation in third-party
mechanisms.
[S1-3-32c+e+33] As part of its whistleblower system, NORMA Group has established a procedure to ensure that
complaints related to employee matters are handled carefully and that issues raised are followed up and
monitored. For NORMA, the use of channels and structures is an indicator that they are known and trusted.
However, NORMA does not systematically survey relevant stakeholders on effectiveness and awareness. NORMA
Group adheres to strict guidelines designed to prevent any form of retaliation against individuals, including
employee representatives, who use the whistleblower system. Further detailed information on the procedures and
monitoring can be found in the chapter 4 G1 GOVERNANCE.
[S1-3-32d] Internal training and various communication measures such as the intranet, posters and additional
information materials ensure that these channels are known and accessible in the workplace.
NORMA Group SE – Annual Report 2024 177
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
S1-5 Targets related to managing material negative impacts, advancing positive impacts, and managing
material risks and opportunities
[MDR-T 81] In the current fiscal year, no measurable results-oriented targets for working conditions, equal
opportunities or occupational health and safety have yet been implemented. NORMA Group is currently in the
process of establishing appropriate processes to develop and implement targets with regard to the impacts and
opportunities related to its workforce.
S1-4 Taking action on material impacts on own workforce, and approaches to mitigating material risks and
pursuing material opportunities related to own workforce, and effectiveness of those actions
[S1-4-38a+b] A wide range of measures are implemented in the area of occupational health and safety. As the
materiality analysis did not identify any material negative impacts in terms of occupational health and safety,
these measures are aimed at strengthening the positive effects and opportunities.
[S1-4-38c + 40 + 43] NORMA Group has implemented various measures to strengthen health and safety in the
workplace. Safety committees, which consist of local managers, non-executive employees and production
employees working on an hourly basis, regularly coordinate safety training, awareness campaigns and safety
toolbox topics during the fiscal year. As part of job safety analyses carried out by the environment, health and
safety managers at the respective local sites, risks are also identified, assessed and, if necessary, measures are
implemented and monitored according to the risk level of the workplace. In addition, managers operate a value-
based safety program that actively engages workers in identifying and reporting safety issues that could
potentially lead to injury or illness. As soon as risks are identified, measures are immediately taken and
implemented to minimize the identified safety risks for employees and external workers. These preventive
measures make it possible to invest specifically in new safety technologies to avoid accidents at work. The scope
of the measures described includes legal entities where there is a higher risk of occupational accidents.
[S1-4-38d] NORMA Group continuously conducts analyses and assessments to ensure the effectiveness of its
measures to promote the safety and health of workers. This is achieved by continuously monitoring internal safety
indicators, which include both leading and lagging indicators. Examples of lagging indicators include reportable
accidents and near misses, while leading indicators include the results of VBS audits and safety training. A key
component is obtaining and maintaining ongoing ISO 45001 certification and conducting internal and external ISO
45001 audits to ensure compliance with and the effectiveness of safety standards. After each reportable incident,
NORMA Group reviews the corrective actions through analysis and applies the lessons learned. These processes
enable NORMA Group to identify and implement targeted measures to promote positive impacts on the workforce.
[S1-4-39] [S1-4-41]
[MDR-A-62] In addition to the occupational health and safety measures mentioned above, NORMA Group has
planned further measures that are managed and monitored at Group level. To promote the positive impacts,
NORMA Group is in the process of establishing appropriate processes to further develop and implement sound
measures. In the 2025 fiscal year, measures will be initiated to implement the adopted guidelines in the areas of
“Human Rights” and “Diversity and Inclusion,” such as mandatory training and awareness programs for all
employees and managers. In addition, the existing process for performance-related salary determination will be
further developed. NORMA Group also aims to ensure that its own business processes do not have a negative
impact on employees through measures aimed at complying with local laws and corresponding labor and
occupational health and safety regulations and local provisions.
NORMA Group SE – Annual Report 2024 178
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
[S1-4/40] A Human Rights Committee was established in the 2024 fiscal year in the area of human rights and
discrimination in relation to the company’s own workforce. Further information on this can be found in the chapter
4 G1 GOVERNANCE.
Workers in the (upstream) value chain
S2-6 Share of preferred suppliers who have signed the Supplier Code of Conduct
[2-MDR-M-77a][2-MDR-M-77b][2-MDR-M-77c][2-MDR-M-77d] NORMA Group has defined a company-specific
metric to address the potential impact related to workers in the upstream value chain. This shows the proportion of
preferred suppliers who have signed the Supplier Code of Conduct. In the 2024 fiscal year, this share is 100 %.
To determine a preferred supplier, NORMA Group has developed a catalog of criteria that includes aspects such as
competitiveness, transparent cost structures and delivery conditions. NORMA Group’s fundamental endeavor is to
ensure that its suppliers understand the Supplier Code of Conduct and confirm compliance with the Supplier Code
of Conduct by signing it in order to enter into long-term contractual relationships. The measurement of this key
figure is not externally validated.
S2-9 Interests, views and rights of workers upstream in the value chain that could be materially affected by
the company
S2-1 Policies related to value chain workers
[S2-1-16][S2-1-AR10][S2-1-AR11][MDR-P-65] NORMA Group wants to take responsibility along the entire value
chain and is aware of the actual and potential negative impact on workers in the value chain. The material impacts
identified in the materiality analysis relate exclusively to workers in the upstream value chain. NORMA Group has
not identified any risks or opportunities. Nevertheless, it remains a key task to identify, assess and actively manage
potential risks in relation to the workers in the value chain.
Further details on the materiality analysis process can be found in the chapter 4 IRO-2 GENERAL REQUIREMENTS. NORMA
Group has introduced the Supplier Code of Conduct to address negative impacts on workers in the upstream value
chain and with regard to working conditions, equal treatment and equal opportunities as well as human rights.
Suppliers who sign the Supplier Code of Conduct, i.e. in particular the preferred suppliers, undertake to respect and
comply with human rights. This Code of Conduct is intended to ensure that both laws and ethical standards are
complied with throughout NORMA Group’s supply chain. The globally applicable Supplier Code of Conduct sets out
NORMA Group’s expectations for its suppliers regarding sustainable business practices in the areas of human
rights, occupational safety, health, environment and business integrity. With regard to human rights, the Code is
guided by the standards of the International Labor Organization, the Universal Declaration of Human Rights, the
UN Global Compact and the SA8000 standard. The Supplier Code of Conduct was introduced in the 2014 fiscal
year. It was last updated in the 2023 fiscal year to take into account the requirements contained in the Supply
Chain Due Diligence Act. Furthermore, the Code of Conduct is applied as described in the chapter 4 G1 GOVERNANCE.
Compliance with the Human Rights Commitment Statements is also taken into account accordingly. Further
information on this can be found in the chapter 4 S1 OWN WORKFORCE. The aforementioned guidelines are reviewed
and updated as required. As a rule, workers in the upstream value chain is also taken into account where
applicable. [MDR-P-65a] Overall responsibility lies with the Management Board, while monitoring is carried out by
the Human Resources, Corporate Responsibility, Integrity, Legal and Purchasing departments.
NORMA Group SE – Annual Report 2024 179
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
[S2-1-17a][S2-1-17b][S2-1-17c] Due to the size and complexity of the value chain, human rights violations cannot
be completely ruled out. NORMA Group has only limited influence on compliance with the minimum standards
beyond its direct business partners. If the company learns that business partners are committing or tolerating
human rights violations, NORMA Group gives its business partners the opportunity to remedy this as quickly as
possible. The business relationship is then reassessed and termination of the contract is considered. Indications of
potential human rights violations are investigated. To this end, potential violations must be reported to NORMA
Group Compliance as part of a defined reporting process. These are submitted to the Human Rights Committee for
further analysis and evaluation. Further information on this process can be found in the chapter 4 G1 GOVERNANCE.
NORMA Group expects its suppliers to conduct their business in compliance with applicable laws, ethical
principles, human rights and standards for occupational safety and environmental protection. The Purchasing
department has therefore integrated social and environmental sustainability aspects into its processes and
organization, including in the Purchasing Manual, which describes the key processes and procedures that serve as
a framework for the global organization. The Supplier Code of Conduct reflects this self-conception and is guided
by the standards of the International Labor Organization, the Universal Declaration of Human Rights, the UN
Global Compact, and the SA8000 standard with regard to human rights. Approval of the Supplier Code of Conduct
is a binding criterion in the catalog of requirements for the selection of new suppliers and is monitored by the
Purchasing department. Further information on consent can be found in the chapter 4 S2 WORKERS IN THE UPSTREAM
VALUE CHAIN. [S2-1-18] The Supplier Code of Conduct, the Code of Conduct and the Human Rights Commitment
Statement are commitments of NORMA Group that contain, among other things, declarations on human rights and
clarify the company’s position in this regard. NORMA Group positions itself against human trafficking, forced labor
and child labor in the value chain, among other things.
[S2-1-19][S2-1-AR14] NORMA Group’s commitments regarding workers in the value chain are in line with the ten
principles of the UN Global Compact, the United Nations Guiding Principles on Business and Human Rights and
the International Labor Organization's Declaration on Fundamental Principles and Rights at Work. In the 2024
fiscal year, zero incidents of non-compliance with the UN Guiding Principles on Business and Human Rights, the
ILO Declaration on Fundamental Principles and Rights at Work or the OECD Guidelines for Multinational
Enterprises concerning employees in the value chain were reported in the upstream value chain.
S2-2 Processes for engaging with value chain workers about impacts
[S2-2-22][S2-2-23] [S2-2-24]
In the 2024 fiscal year, NORMA Group has not implemented a comprehensive process to engage with workers in
the value chain.
NORMA Group SE – Annual Report 2024 180
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
S2-3 Processes to remediate negative impacts and channels for value chain workers to raise concerns
[S2-3-27][S2-3-28][S2-3-29] NORMA Group is aware of its actual and potential negative impact on workers in
the upstream value chain. Inadequate implementation of guidelines and controls in the supply chain may
compromise the equal treatment of workers and human rights in the value chain. Suppliers who sign the Supplier
Code of Conduct undertake to comply with the requirements set out in the Supplier Code of Conduct. NORMA
Group has a whistleblower system that serves as a reporting mechanism and offers workers in the value chain the
opportunity to report specific incidents and violations. For NORMA Group, the use of channels and structures is an
indicator that they are known and trusted. However, NORMA does not systematically survey relevant stakeholders
on effectiveness and awareness. These reports are followed up and appropriate measures are taken if necessary.
Further information on the whistleblower system can be found in the chapter 4 G1 GOVERNANCE.
S2-5 Targets related to managing material negative impacts, advancing positive impacts, and managing
material risks and opportunities
[S2-5-41][S2-5-42][MDR-T-72][MDR-T-81a][MDR-T-81b] In addition, NORMA Group has not yet defined any
measurable, results-oriented targets with regard to workers in the value chain.
S2-4 Taking action on material impacts on value chain workers, and approaches to managing material risks
and pursuing material opportunities related to value chain workers, and effectiveness of those actions
[S2-4-32][S2-4-33][S2-4-34] [S2-4-35] [S2-4-36][S2-4-37][S2-4-38] [MDR-A-62]
Currently, NORMA Group has not implemented any specific measures related to workers in the value chain and no
future measures are defined or planned. The reason for this is that NORMA Group proactively carried out an initial
external risk analysis as part of the introduction of the German Supply Chain Due Diligence Act in 2023, which
took into account both country and industry risks with regard to human rights. The result showed no increased risk
for NORMA Group’s supplier base.
Affected communities
S3-1 Policies related to affected communities
For NORMA Group, respect for human rights forms the binding foundation for all corporate activities. As part of
responsible corporate governance, NORMA Group is committed to protecting human rights along the entire value
chain. NORMA Group therefore attaches great importance to protecting local communities that could be affected
by the impact of business activities at various locations, especially in the vicinity of production sites.
[MDR-P][S3-1-16a][S3-1-AR9][S3-1-16b][S3-1-16c] NORMA Group categorically rejects the violation and
restriction of human rights in any form. The company is committed to the Universal Declaration of Human Rights,
as well as to the core labor standards of the International Labour Organization (ILO).
NORMA Group SE – Annual Report 2024 181
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
NORMA Group’s commitment to human rights is also reflected in its Code of Conduct. As part of the revision of the
Code of Conduct in the 2020 fiscal year, a dedicated section on human rights was introduced to further emphasize
NORMA Group’s position on this matter. Detailed information on the Code of Conduct can be found in the chapter
4 G1 GOVERNANCE. The Code of Conduct encompasses the approach of respecting human rights throughout the entire
supply chain. Among other things, NORMA Group exerts influence on local communities and people in the regions
close to its sites and is aware of their material impact.
NORMA Group’s business activities have a positive impact on society, including economic contributions such as
taxes, creating and securing jobs, making donations, sponsoring charitable organizations and projects, and
complying with local regulations. NORMA Group thus contributes to the communities through various projects and
investments. This includes NORMA Help Day, for example, which was introduced at the Maintal site in 2014 and
has been offered at all international sites since 2015. Participation is voluntary, but more than 700 NORMA Group
employees take part every year. Numerous NGOs benefit from the contributions made worldwide and projects that
are organized regionally. In the 2024 fiscal year, there were numerous diverse projects across the sites. For
example, employees in Brazil visited a facility for people with disabilities to give them a special day on site, while in
Serbia a kindergarten was visited for a day. In the Czech Republic, support was provided in the renovation of the
local swimming pool and in Malaysia, clean-up work was carried out on a public road.
NORMA Group is also involved in its social project NORMA Clean Water to find a solution to the challenges of
water, sanitation and hygiene. Today, the NORMA Clean Water project can look back on a partnership of several
years with children’s aid organization Plan International Deutschland, which implements projects in the respective
countries. In the 2024 fiscal year, the health and nutrition of children and their families in the target regions was
further improved. In addition, the water supply was further expanded and information on health and hygiene
practices was provided in the communities. In this project phase, there was an even stronger focus on food
security and combating malnutrition. The communities were therefore supported in planting vegetable gardens
and informed about balanced nutrition in workshops.
NORMA Group is in selective dialog with affected stakeholders, such as representatives of municipalities and cities
near the site. In addition, affected parties can report incidents at any time via NORMA Group’s whistleblower
system, which will then be investigated. Detailed information on the whistleblower system can be found in the
chapter 4 G1 GOVERNANCE.
[S3-1-17] [S3-1-AR10] NORMA Group’s values are in line with the ten principles of the UN Global Compact
(UNGC), as well as the United Nations Guiding Principles on Business and Human Rights (UNGP) and the
Declaration on Fundamental Principles and Rights at Work of the International Labor Organization (ILO). If
NORMA Group employees violate these values and this has a negative impact on affected communities, targeted
training, changes in organizational processes, disciplinary measures or even termination of employment may
follow after a case-by-case assessment. During the 2024 fiscal year, NORMA Group die not receive any reports of
violations of the principles mentioned in this section.
NORMA Group SE – Annual Report 2024 182
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
S3-2 Processes for engaging with affected communities about impacts
[S3-2-24] In the 2024 fiscal year, NORMA Group did not introduce a comprehensive procedure for engaging with
the affected communities. However, NORMA Group is in selective exchange with affected stakeholders, such as
representatives of municipalities and cities in the vicinity of the site. The materiality analysis led to an indirect
exchange with some mayors, such as the location in Serbia, on the material topics. In addition, the management at
the Maintal site discusses overarching topics with the mayors at least once a year.
S3-3 Processes to remediate negative impacts and channels for affected communities to raise concerns
[S3-3-29] NORMA Group has a whistleblower system as a reporting mechanism to offer affected communities,
among others, the opportunity to report specific incidents and violations. These reports are followed up and
appropriate measures are implemented if necessary. For NORMA, the use of channels and structures is an
indicator that they are known and trusted. However, NORMA does not systematically survey relevant stakeholders
on effectiveness and awareness. Further information on the whistleblower system can be found in the section
4 G1 GOVERNANCE. There are currently no other channels, although personal contacts have been appointed at many
NORMA locations in addition to the electronic systems.
S3-5 Targets related to managing material negative impacts, advancing positive impacts, and managing
material risks and opportunities
[MDR-T 81a] [MDR-T 81b] NORMA Group has not set any measurable result-oriented targets for the affected
communities and does not plan to define such targets in the near future. This is because NORMA Group believes
that the existing concepts are sufficient to manage the relevant sustainability-related impacts, risks and
opportunities in this area.
S3-4 Taking action on material impacts on affected communities, and approaches to managing material
risks and pursuing material opportunities related to affected communities, and effectiveness of those actions
[MDR-A-62] NORMA Group has currently not implemented any concrete measures directly related to affected
communities. No future measures are currently defined or planned in this regard. This is because NORMA Group is
pursuing the reduction of GHG emissions at its production sites as part of the material topic addressed in the
chapter 4 E1 CLIMATE CHANGE, thereby simultaneously mitigating the negative impacts on affected communities.
NORMA Group SE – Annual Report 2024 183
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Governance
Business Conduct
G1-4 Confirmed incidents of corruption or bribery
[G1-4-24a] NORMA Group takes a stand against corruption and bribery and reports transparently on confirmed
incidents. In the 2024 fiscal year, there were no convictions and no fines for violations of corruption and bribery
regulations. These key figures are collected by the legal department, which obtains information from the CFOs of
the individual companies. These report on fines and convictions of the individual companies, which are then
consolidated across the Group. The fines are allocated to the reporting year in which the decisions became legally
binding. One limitation is that reporting persons may not fully disclose fines. The information collected is processed
internally within NORMA Group and is not subject to any additional validations by external bodies that go beyond
the legal requirements. [G1-4-24b] To prevent bribery and corruption, NORMA Group has introduced an anti-
bribery and anti-corruption policy that contains detailed procedures and standards as described in the chapter
4 G1 GOVERNANCE.
G1-1 Corporate culture and business conduct policies
[G1-1-9] NORMA Group’s corporate culture is based on the corporate vision and mission and is further defined by
the corporate values (Core Values). By integrating the corporate values into training courses for employees and
line managers and embedding them in HR processes, they form the guiding principles for the further development
of the corporate culture.
NORMA Group’s vision is based on committed collaboration and excellent global performance that creates
sustainable solutions. The company promotes teamwork, values diversity and relies on transparent communication
to build trusting relationships. The focus is on efficiency, continuous improvement, sustainability and resource
conservation, supported by digitalization and automation while complying with global quality standards.
NORMA Group’s mission is to be a reliable partner, exceeding customer expectations with efficient solutions and
building long-term relationships. Sustainable growth is to be driven by innovation and the highest quality
standards in order to solve customers' challenges.
The mission, vision and corporate values are intended to promote employee loyalty to the company, but also to
increase the perception and attractiveness of NORMA Group as an employer.
NORMA Group SE – Annual Report 2024 184
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
[G1-1-10a] This understanding of NORMA Group’s values forms the basis for business policy decisions and
measures. In particular, the global focus of the company makes worldwide implementation and compliance with
codes of conduct especially important. Compliance frameworks define rules clearly and transparently. NORMA
Group’s central guidelines include:
•
the Code of Conduct
•
the Whistleblower Protection Guideline
•
the Whistleblower System
•
the Anti-corruption Guideline and
•
the Supplier Code of Conduct.
The guidelines are related to the positive impacts and opportunities identified as material. NORMA Group has a
positive impact on corporate culture through training and a solid legal compliance framework that improves
employee recruitment and retention as well as the corporate image.
Compliance with guidelines also had a positive impact in the area of corruption and bribery. No material risks were
identified. These guidelines are regularly reviewed and updated in order to meet the relevant requirements.
The Management Board of NORMA Group is responsible for maintaining an effective compliance management
system. Group-wide compliance activities are coordinated by NORMA Group’s Integrity Director. This person
reports to the Vice President Integrity and, if necessary, directly to the Chairman of the Management Board. In
addition to the central Compliance department at Group level, there are also Local Compliance Delegates at
regional level in the EMEA, Americas and Asia-Pacific regions, as well as in all individual operating companies. The
Local Compliance Delegates report to the respective Regional Compliance Delegates, who in turn report to
NORMA Group’s central Compliance department.
Every member of NORMA Group’s compliance organization is available to answer questions and concerns about
compliance. The Compliance department works closely with the company’s own legal department to continuously
integrate new or changed legal requirements into the compliance risk analyses and the compliance program. In
addition, coordination takes place with Internal Audit in order to take current developments into account. With the
founding of the Compliance Committee, a body was formally established in which current compliance issues are
discussed and necessary measures are coordinated. Permanent members of the Compliance Committee are
representatives of Compliance, Legal and Internal Audit & Risk Management. The Compliance Committee
generally meets at least quarterly and on an ad hoc basis if necessary. With the Human Rights Committee, a
format has also been established in which potential violations of human rights are discussed. In addition to the
members of the Compliance Committee, representatives from Human Resources and Corporate Responsibility are
permanent members of the Human Rights Committee. The Human Rights Committee usually meets every six
months and on an ad hoc basis as required.
NORMA Group SE – Annual Report 2024 185
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
> ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
The effectiveness of the compliance organization established by the Management Board is monitored by the
Supervisory Board of NORMA Group, which is informed of compliance-related matters as needed.
[G1-1-10g] To ensure the effectiveness of NORMA Group’s compliance management system, all employees must
be familiar with the relevant legal requirements as well as the internal compliance guidelines. The goal is for all
employees of NORMA Group to be familiar with the applicable compliance rules, as well as the relevant contact
persons and reporting channels. The basis for this is NORMA Group’s compliance training, which is mainly carried
out in the form of online training and, if necessary, as classroom training. The training courses to be completed are
assigned to employees according to their job and responsibility profile. In these training courses, employees are
given specific guidance on how to behave in accordance with the compliance guidelines. They then have the
opportunity to apply and test their knowledge on the basis of practical questions and case studies. The
fundamental training courses, which are mandatory as basic training for all NORMA Group employees with a PC
workstation, include the online courses “Code of Conduct & Compliance Basics” and “Anti-corruption.” Depending
on the area of activity, specific focus training, such as “Antitrust and Competition Law,” may also be required.
Employees’ knowledge is continuously updated and deepened through refresher training. In the 2024 fiscal year,
the “Speak Up!” training course was rolled out with important information on whistleblowing. For non-commercial
employees, especially in the production area, who generally do not have a PC workstation, for example,
compliance safety cards or posters are made available in all relevant languages and clearly communicate the most
important compliance topics. Training requirements are reviewed where necessary, while an internal reporting
system documents the progress and status of compliance training. Compliance-relevant topics are also
communicated via various communication channels, such as posters, brochures, compliance safety cards with
compact summaries of key compliance topics, emails and intranet articles.
[MDR-P-65] Code of Conduct
NORMA Group’s Code of Conduct is a document that summarizes the ethical and legal standards expected of
employees and managers in their dealings with each other and with third parties. It provides a guide for behavior
and decision-making in the professional environment and helps to promote a positive, respectful and law-abiding
work environment. NORMA Group expects its employees to conduct themselves at all times in accordance with its
corporate values and commitment to ethical behavior. In addition, they are expected to conduct NORMA Group’s
business at all times in accordance with applicable national, regional, local and foreign laws and NORMA Group’s
internal guidelines. The Code of Conduct covers topics such as personal integrity, corporate integrity, human rights
and the handling of NORMA Group’s assets. In the event of suspected violations of the Code of Conduct, NORMA
Group employees can contact Human Resources, Management or the Compliance Organization. They also have
access to reporting channels through which they can provide information – anonymously if they wish.
[MDR-P-65] Whistleblower system
[G1-1-10ci] NORMA Group encourages its employees to report violations of regulations and internal guidelines –
including across hierarchical levels if necessary. Employees have various reporting channels at their disposal for
this purpose, including an electronic whistleblower system. This whistleblower system allows internal and external
whistleblowers to report suspicious cases to NORMA Group’s Compliance organization and, if necessary, to
maintain their anonymity. Additionally, NORMA Group offers other appropriate reporting channels, such as
personal reporting to NORMA Group Compliance. In addition to the central internal reporting channel, which can
be accessed electronically or in person, NORMA Group provides supplementary or alternative reporting channels
at all locations where local laws require them. Additionally, every member of NORMA Group’s compliance
organization can be contacted regarding any questions or issues related to compliance.
NORMA Group SE – Annual Report 2024 186
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Both the suitability and adequacy of the reporting system are regularly reviewed by NORMA Group Compliance –
for example, with regard to the requirements of Directive (EU) 2019/1937 of the European Parliament and of the
Council of October 23, 2019 on the protection of persons reporting breaches of Union law (commonly known as
the Whistleblower Protection Directive) as well as the respective implementing laws of the member states, for
example. The system is adapted if necessary. In view of the partial contradictions between the national
implementation laws and the EU Directive in certain member states where NORMA Group also operates reporting
channels, NORMA Group is closely monitoring further developments. Necessary adjustments are made if required.
[G1-1-10e] The Compliance Organization investigates reports of compliance violations. The procedures and
protective measures for whistleblowers are detailed in the Whistleblower Protection Guideline. This is publicly
accessible both on the intranet and on NORMA Group website and is aimed at both internal and external potential
whistleblowers.
[G1-1-11][G1-1-10cii] NORMA Group’s Whistleblower Protection Guideline is committed to protecting
whistleblowers who act in good faith from retaliation, dismissal, demotion and other forms of retaliation, ensuring
that whistleblowers are not subject to labor, disciplinary, criminal or civil sanctions and that they are protected
from retaliation for reporting. Any form of discrimination against whistleblowers will not be tolerated and NORMA
Group will take necessary measures to ensure the safety and protection of whistleblowers. Discriminatory
behavior towards whistleblowers is strictly prohibited and will be prosecuted through disciplinary measures.
The suitability and adequacy of the reporting system are reviewed on a case-by-case basis, particularly with
regard to the requirements of Directive (EU) 2019/1937 of the European Parliament and of the Council of October
23, 2019 on the protection of persons reporting breaches of Union law (commonly known as the Whistleblower
Protection Directive) as well as the respective implementing laws of the member states, for example. If necessary,
adjustments are made to ensure that all requirements are always met.
In light of the partially divergent implementation of the directive into national laws in certain member states where
NORMA Group also operates reporting systems, the company is closely monitoring developments. If necessary,
adjustments are made to ensure legal compliance and the protection of whistleblowers. [G1-1-10d]
[MDR-P-65] Supplier Code of Conduct
NORMA Group strives to fulfill its responsibility along the entire value chain and therefore expects its suppliers to
act in accordance with the Supplier Code of Conduct. This means that suppliers must conduct their business in
strict compliance with the law and ethical principles. In addition, they should respect human rights and comply
with the applicable standards in the areas of occupational safety and environmental protection. Further details can
be found in the chapter 4 S2 WORKERS IN THE UPSTREAM VALUE CHAIN.
[MDR-P-65] Anti-corruption Guideline
NORMA Group attaches the utmost importance to complying with its anti-corruption obligations in accordance
with applicable legal requirements. Corruption promotes poverty, hunger, disease and crime and hinders economic
and social development by preventing societies and individuals from realizing their full potential. It is also an
obstacle to the rule of law and fair market practices, which NORMA Group and other responsible companies make
an indispensable foundation for their actions.
NORMA Group has therefore established the Anti-corruption Guideline as a sub-guideline of the Code of Conduct
and thus an elementary component of the Compliance Management System. The aim of the guideline is to prevent
NORMA Group SE – Annual Report 2024 187
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corrupt behavior and establish clear rules of conduct. It is intended to strengthen confidence in the integrity of the
organization and avoid legal risks from corrupt practices. The guideline provides basic knowledge about
corruption, corruption risks and risky transactions as well as NORMA Group’s measures to reduce corruption risks.
This guideline applies throughout the Group. It contains binding requirements regarding the granting and
acceptance of benefits in the context of business relationships with third parties (i.e. persons who are not
employed by NORMA Group). The guideline explicitly defines prohibited practices and specifies which benefits are
subject to a mandatory prior check and therefore require approval.
NORMA Group employees and external third parties can anonymously report any actual or alleged misconduct in
relation to NORMA Group via the whistleblower system. A report must not lead to disadvantages for the reporting
person. NORMA Group’s compliance organization follows up on indications of compliance violations. [G1-1-10b]
NORMA Group is currently unable to state whether the Anti-corruption Guideline is fully compliant with the United
Nations Convention against Corruption. A detailed reconciliation is to be carried out in the coming fiscal year.
NORMA Group has not developed a plan to revise the guideline. [G1-1-10h] The functions within NORMA Group
that are most vulnerable to corruption and bribery include commercial employees.
G1-3 Prevention and detection of corruption and bribery
[G1-3-18a] NORMA Group has implemented procedures to prevent, detect and appropriately deal with incidents
of corruption and bribery. These procedures include an Anti-corruption Guideline that defines clear guidelines and
behavior. This is supplemented by mandatory training for all commercial employees. In addition, violations can be
reported to NORMA Group Compliance via the defined reporting channels – also anonymously. Detailed
information on this can be found in the chapter 4 G1 GOVERNANCE.
[G1-3-18b] Suspicious cases are handled by NORMA Group Compliance, which decides on further action on a
case-by-case basis and, if necessary, with the involvement of the Compliance Committee. Where appropriate and
necessary, the specific investigation of suspected cases may be delegated by NORMA Group Compliance to
Internal Audit or external third parties.
[G1-3-18c] If necessary, indications of compliance violations are discussed by the Compliance Committee in
accordance with the criteria defined in the Compliance Committee Charter and a decision is made on how to
proceed. The reporting channels are defined and fixed – irrespective of the actual implementation of an
investigation. NORMA Group Compliance reports exclusively to the Management Board member responsible for
this area.
In addition to defined regular reporting, the criteria for any ad hoc reporting to the Management Board member
responsible for the area are also defined. The Compliance Committee decides whether ad hoc reporting is required
if defined materiality thresholds are potentially exceeded.
[G1-3-20] NORMA Group ensures that its guidelines are accessible and understandable to all relevant parties:
Employees can view the compliance guidelines at any time on the intranet site. The Code of Conduct is attached to
the employment contracts and is covered in the compliance training sessions. The guidelines are available in up to
eleven languages to ensure global comprehensibility.
Interested stakeholders can transparently view the compliance guidelines on the NORMA website.
Suppliers receive the Supplier Code of Conduct as part of onboarding and updates to ensure that they understand
and comply with NORMA Group’s standards.
NORMA Group SE – Annual Report 2024 188
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[G1-3-21a] NORMA Group’s training curriculum also covers the topics of corruption and bribery. Basic corruption is
already covered in the e-learning on the Code of Conduct. The “Anti-Corruption” training course provides more
detailed and in-depth coverage of the subject matter. The training content is closely aligned with the underlying
Code of Conduct and Anti-corruption Guideline. All commercial employees are obliged to complete the two training
courses. Additional training and updates are offered as required to keep knowledge up to date. The “Gifts &
Invitations” brochure is also available on the intranet site and contains important information on handling gifts,
invitations and other benefits.
[G1-3-21b] These training programs are designed to cover 100 % of the employees in the functions identified by
NORMA Group Compliance as being at risk with regard to corruption. In the 2024 fiscal year, 96.0 % of the
corresponding training courses were completed. NORMA employees in the “salaried” employee class have been
classified as high-risk roles. [G1-3-21c] Training is mandatory for all employees in the “salaried” employee class,
including managers and members of the Management Board. In addition, members of the Compliance
Organization receive special onboarding training, which also includes anti-corruption content.
Information Security
Completion rate of ‘Information Security’ training per year and employee, taking into account the TISAX-
certified locations
[MDR-M-75][MDR-M-76][MDR-M-77] NORMA Group uses a company-specific metric to measure the progress of
the defined targets in the area of information security. This metric records the ratio of completed e-learning
courses on information security in relation to the total number of enrolments. Completion of the e-learning course is
mandatory for all commercial employees who work for a company within the scope of TISAX certification. In the
2024 fiscal year, 88.0 % of the corresponding training courses were completed.
Policies in relation to Information Security
[MDR-P-65] The company relies on resilient and secure systems, processes and procedures to continuously
guarantee the confidentiality, integrity and availability of information – information security is therefore a central
foundation for all business activities and operational security. NORMA Group pursues an active safety culture that
is promoted through training and employee involvement. The company is aware of its positive and negative
impacts as well as the opportunities that arise. NORMA Group has a negative impact on the security and
protection of employee and customer information due to region-specific differences in the implementation of
regulations and data protection. On the other hand, transparent and application-oriented regulations, training and
continuous improvement and risk management are positive. There is also an opportunity to reduce the probability
of damage occurring and its impact by systematically and effectively strengthening the information security
management system in the long term, thereby not only minimizing financial losses but also creating trust among
stakeholders. NORMA Group maintains an information security management system (ISMS) that is based on the
requirements of the “Trusted Information Security Assessment Exchange” (TISAX) standard of the German
Association of the Automotive Industry (VDA) as well as other recognized best practices and international
standards (e.g. ISO 27001). This ISMS aims to ensure information security through systematic planning,
implementation, maintenance, review and continuous improvement.
NORMA Group SE – Annual Report 2024 189
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The structure and elements of the ISMS are defined by the Information Security Guideline, which was approved by the
CEO in 2024. This guideline forms the basis for the strategic orientation and operational measures in the area of
information security. It defines the key principles, objectives and rules that control the implementation and continuous
improvement of the ISMS. The guideline – like the ISMS as a whole – aims to ensure that all relevant security aspects are
integrated into daily processes. NORMA Group has not identified any material risks in this context.
The Information Security Guideline applies to NORMA Group and all subsidiaries as well as to all employees,
including executives, managers, temporary workers and freelancers, and relevant external parties such as partners
and suppliers. The Management Board and local management bear overall responsibility for information security
and support the implementation of the guideline and the measures derived from it.
Targets related to managing material impacts, advancing positive impacts, as well as to risks and
opportunities
[MDR-T-79][MDR-T-80] NORMA Group has defined clear targets for information security, which are anchored in
the information security management system. The Group Information Security Officer makes the guidelines
available to relevant employees and external partners, e.g. via the intranet page, the website or by email.
In order to demonstrably and verifiably introduce the standards of the information security management system at
relevant NORMA Group sites, the units defined as relevant provide evidence in accordance with the TISAX
standard and have an external audit carried out. The certification requirements and scope are closely coordinated
with the customer.
In addition, the aim is for 100 % of commercial employees in the units defined as relevant to successfully complete
the “Information Security Basics” e-learning course each year. NORMA Group monitors and measures progress in
achieving the targets.
Taking action on material impacts on value chain workers, and approaches to managing material risks and
pursuing material opportunities related to value chain workers, and effectiveness of those actions
[MDR-A-68][MDR-A-69] NORMA Group has implemented targeted measures to achieve its information security
goals and actively manage both risks and opportunities in the area of information security. Although no material
risks were identified in the area of information security in accordance with the definition of materiality, it remains a
key task of information security to identify, assess and actively manage potential risks. As part of the
conceptualization of information security, risks were identified according to the assessment criteria defined at the
time. The measures already underway and implemented may have resulted in no further material risks being
identified in the 2023 materiality analysis. The following measures are implemented in the area of information
security: The process for auditing in accordance with the TISAX standard of the German Association of the
Automotive Industry (VDA) includes careful preparation and implementation of the necessary steps. As part of the
information security management system, threats and risks are analyzed in detail and measures are taken to
mitigate or eliminate them. Continuous monitoring and review of information security takes into account IT
infrastructure, processes, technologies and structures, among other things. The respective activities are carried out
in coordination between NORMA Group Information Security and NORMA Group IT, among others. The aim of this
approach is to provide effective protection against security breaches and to safeguard the integrity of the
company’s assets. In addition, rules of conduct and structural improvements are implemented to mitigate risks
such as cyber attacks or natural disasters. The Group Information Security Officer continuously monitors the status
of information security and the measures implemented to ensure the protection of confidentiality, integrity and
availability.
NORMA Group SE – Annual Report 2024 190
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(HGB)
202 FORECAST REPORT
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254 REPORT ON
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Product Quality
Key figures on product quality
[MDR-M-75][MDR-M-76][MDR-M-77]
NORMA Group uses two metrics to measure the progress of the defined targets: The number of confirmed
defective parts per year (survey for the production sites) and the number of accepted monthly customer complaints
(survey for the production sites and distribution sites).
Number of defective parts per million parts produced (ppm: parts per million)
The first metric measures the number of confirmed defective parts per million parts delivered. The metric is
calculated by dividing the number of confirmed defective parts by the total number of parts delivered and
multiplying by one million. In the 2024 fiscal year, NORMA Group’s parts per million value was 3.2. Accordingly,
NORMA Group has achieved the target value of less than 4.5 defective parts per million in the 2024 fiscal year.
This key figure is recorded continuously and reported to the Management Board on a monthly basis. At the same
time, root cause analyses and countermeasures are initiated at plant level. As an established key performance
indicator in the automotive industry, the parts per million value is used to measure quality performance. In addition,
the quality indicator is audited and verified annually by an accredited International Automotive Task Force registrar
and therefore externally validated.
Number of customer complaints
The second key figure relates to customer complaints. These complaints are an important key figure in the
automotive industry for measuring quality performance and record the complaints per month and business unit.
Customer complaints are recorded at the point of origin. If the cause of the complaint is due to the manufacturing
process, it is counted at the production site; if the problem is due to shipping, packaging or logistics errors, it is
recorded at the distribution center. The customer reports the complaint to the supplying business unit of NORMA
Group. The calculation method for this indicator is based on the number of accepted complaints reported in a
calendar month divided by the number of production and distribution sites. To avoid double counting, a complaint
is only counted for the location that caused it. Customer complaints are not subject to any limits and are reviewed
and validated annually as part of the International Automotive Task Force audits and thus validated externally. In
the 2024 fiscal year, the number of customer complaints accepted by NORMA Group was 2.8. NORMA Group
achieved the target value of 5.0 customer complaints on average.
Policies regarding product quality
[MDR-P-65] Product quality is the top priority in NORMA Group’s divisions. Since the products can be functionally
critical for the direct customers as connecting elements of various individual parts, even a single malfunction can
impair the function and safety of the entire application. This is why NORMA Group and its brands focus on
maximum reliability in order to maintain and further strengthen customer confidence in its products and services.
The quality of the products and the fulfillment of customer requirements are closely linked.
In the 2020 fiscal year, the Chief Operating Officer and the Vice President for Quality, Environment, Health and
Safety adopted a Group-wide quality guideline that applies to the entire company. This underlines NORMA
Group’s understanding of management and its commitment to the following principle: NORMA Group pursues a
zero-defect mindset, which means that NORMA Group strives to make no mistakes in production and business
NORMA Group SE – Annual Report 2024 191
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processes. Constant improvements are supported by the NORMA Business System, which continuously promotes
the further development of all processes. Compliance with relevant standards and legal requirements is another
important principle of the quality guideline. Decisions are made at all levels of the company on the basis of data by
monitoring the two key performance indicators “number of defective parts” and “number of customer complaints”
and using them as the basis for decisions. In addition, minor investments are made in technologies to ensure
process capability.
The quality guideline is publicly accessible to all interested stakeholders and highlights the positive impacts and
opportunities for NORMA Group. The company’s actions have a positive impact on product quality thanks to its
high quality and safety standards. This quality offers financial opportunities to increase sales and profitability. No
material risks were identified in connection with product quality.
Targets related to addressing material negative impacts, promoting positive impacts and dealing with
material risks and opportunities
[MDR-T-79][MDR-T-80] To ensure the quality of its products, NORMA Group has set itself two clear and
measurable targets for the 2024 fiscal year. In terms of product output, the target is a number of defective parts of
less than 4.5 parts per million. The measurement is carried out in “parts per million” (PPM). With regard to
customer feedback, the aim is to ensure that the number of customer complaints does not exceed an average of
5.0 per month and business unit. Both target values are validated and defined annually, tracked on a monthly
basis and reported to the COO during the operational (OPS) review. The targets were adopted by NORMA Group’s
Management Board for the 2024 fiscal year.
Targets have also been formulated for the 2025 fiscal year. The target for the number of defective parts is less
than 4.3 parts per million. The target for customer feedback in the 2025 fiscal year is an average of less than 4.8
per month and business unit.
Taking actions regarding material impacts and approaches to managing material risks and exploiting
material opportunities related to product quality, as well as the effectiveness of these actions and
approaches
[MDR-A-68][MDR-A-69] NORMA Group implemented several targeted actions in the 2024 fiscal year to achieve
the product quality targets set and to ensure that the positive impacts and opportunities continue in the future.
One of the actions implemented with regard to product quality is the implementation of QASQ-it at NORMA
production sites. This platform consists of several modules that enable NORMA Group to track the process
capability index (Cpk) of processes, the timeliness of production part approval process (PPAP) submissions to
customers and the handling of complaints. In this way, NORMA Group will further improve its agility towards
customers and further increase customer satisfaction. This introduction will take the next two to three years and a
special team will focus on it.
NORMA Group SE – Annual Report 2024 192
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(HGB)
202 FORECAST REPORT
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REPORT
229 REMUNERATION REPORT
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Global Reporting Initiative (GRI) and UN Global Compact
The reported information within the consolidated non-financial statement in conjunction with other information
from the annual report was prepared in accordance with Section 289d of the German Commercial Code (HGB)
based in part on the first sentence of the European Sustainability Reporting Standards (ESRS) as a framework. It
also offers an orientation to GRI Standards within the consolidated non-financial statement. The GRI Content Index
can be found on NORMA Group’s website: : WWW.NORMAGROUP.COM8a) This information in footnote a) is additional
information that is not part of the consolidated non-financial statement.
This report also serves as a Communication on Progress for the implementation of the ten principles of the UN
Global Compact. References to the Global Compact principles have been integrated into the GRI Content Index.
Contents of the consolidated non-financial statement
T052
Mandatory information according to HGB
Reconciliation in report content/material topics
Business model
Strategy, business model and value chain
Environmental issues
Climate Change
Pollution
Water and marine resources
Resource use and circular economy
Labor issues
Own workforce
Social issues
IRO management
Affected communities
Respect for human rights
Own workforce
Workers in the upstream value chain
Affected communities
Combating corruption and bribery
Corporate policy
Presentation of risks
See corresponding subchapters
SBM-3 48a
Correlations to the Consolidated Financial Statements
consolidated non-financial statement, EU Taxonomy, GRI and UN Global
Compact
Additional company-specific topics
Product quality
Information security
Concepts including the due diligence processes applied
E1 Climate change
E2 Pollution
E3 Water and marine resources
E5 Resource use and circular economy
S1 Own workforce
S2 Workers in the upstream value chain
S3 Affected communities
G1 Business conduct
Information security
Product quality
NORMA Group SE – Annual Report 2024 193
8 a) This additional information contains the GRI Content Index for the 2024 fiscal year.
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Condensed Management Report of NORMA Group SE (HGB)
General information
NORMA Group SE is the parent company of NORMA Group. Its headquarters are located at Edisonstrasse 4,
Maintal, Germany, and the Company is registered in the commercial register of Hanau under the number HRB
94473. NORMA Group SE is a capital market-oriented corporation within the meaning of Section 264d of the
German Commercial Code (HGB) and is therefore to be considered a large corporation within the meaning of
Section 267 (3) sentence 2 HGB.
NORMA Group SE acts as the formal legal holding of NORMA Group. In addition to holding investments, the
management of the Group’s own brand rights is the main task of NORMA Group SE. NORMA Group SE generates
income from the profit transfers and distributions of its subsidiaries and from the granting of licenses to affiliated
companies that depends on the results that the subsidiaries actually achieve. Furthermore, it is responsible for
Strategy, Human Resources, Legal and M&A, Compliance, Internal Auditing and Risk Management as well as
communicating with the Company’s important target audiences, in particular the capital market and shareholders.
The Management Report of NORMA Group SE and the Group Management Report of NORMA Group have been
combined in accordance with Section 315 (5) HGB in conjunction with Section 298 (2) HGB. The Annual Financial
Statements of NORMA Group SE and the Consolidated Financial Statements as well as the Condensed
Management Report, which have been issued with an unqualified audit opinion by the KPMG AG
Wirtschaftsprüfungsgesellschaft, Frankfurt/Main, will be simultaneously filed for publishing in the company
register.
Business development
The business performance of Norma Group SE essentially corresponds to that of the Group and is described in
detail in the chapter 4 ECONOMIC REPORT.
The result of NORMA Group SE determined in accordance with the German Commercial Code (HGB) is mainly
influenced by the business development and the results of the affiliated companies. These are mainly reflected in
the income from dividends and profit transfers as well as currency effects, allocations from license management
and the interest result.
Key financial control parameters with regard to the individual company NORMA Group SE are earnings before
taxes and retained earnings to ensure the ability to pay dividends on an ongoing basis. For this reason, NORMA
Group monitors and optimizes the ability of its subsidiaries to pay dividends. This is of particular relevance as the
adjusted consolidated net income is the decisive factor for the amount of the dividend distribution to the
shareholders. NORMA Group aims for a payout ratio of approx. 30% to 35% of the adjusted consolidated net
income.
Earnings before taxes amounted to EUR 31,376 thousand in the reporting year (2023: EUR 9,488 thousand).
Earnings before taxes developed much more strongly than forecast despite the loss absorption of EUR -19,252
thousand (2023: EUR -8,510 thousand) by NORMA Group Holding GmbH. This is due to much higher dividend
income from the subsidiary NORMA Pennsylvania Inc. in the amount of EUR 69,726 thousand (2023: EUR 34,681
thousand).
NORMA Group SE – Annual Report 2024 194
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Taking into account the profit carried forward of EUR 12,962 thousand (2023: EUR 19,244 thousand) and the net
profit for the fiscal year 2024 in the amount of EUR 31,443 thousand (2023: EUR 8,056 thousand) this results in
retained earnings of EUR 44,405 thousand as at December 31, 2024 (2023: EUR 27,300 thousand).
Earnings position
Income statement for the period from January 1 to December 31, 2024
T053
in EUR thousands
2024
2023
1. Sales revenue
5,413
5,805
2. Other operating income
14,090
16,136
3. Personnel expenses
-6,842
-6,151
4. Amortization of intangible assets and depreciation of property, plant and equipment
-52
-56
5. Other operating expenses
-23,380
-25,836
6. Income from investments
69,726
34,681
7. Income from loans of financial assets
0
191
8. Other interest and similar income
1,275
1,287
9. Expenses from profit and loss transfer agreements
-19,252
-8,510
10. Interest and similar expenses
-9,602
-8,059
11. Earnings before tax
31,376
9,488
12. Taxes on income and earnings
67
-1,432
13. Earnings after taxes / net income for the year
31,443
8,056
14. Profit carried forward from the previous year
12,962
19,244
15. Retained earnings
44,405
27,300
At EUR 5,413 thousand, the Company generated EUR 392 thousand lower sales from license fees for the NORMA
Group brand (2023: EUR 5,805 thousand).
Sales by Region
T054
in EUR thousands
2024
2023
Americas
1,568
1,649
Asia-Pacific
818
988
EMEA
3,027
3,168
Total Sales
5,413
5,805
Other operating income fell to EUR 14,090 thousand in 2024 (2023: EUR 16,136 thousand), in particular due to the
decline in income from currency translation (EUR 17 thousand; 2023: EUR 1,193 thousand) and the lower prior-
period income in the amount of EUR 138 thousand (2023: EUR 225 thousand). The latter mainly result from the
reversal of provisions. The item also included income in the amount of EUR 13,340 thousand (2023: EUR 14,560
thousand) for licenses used by subsidiaries but held by other Group companies. In this case, the Company
assumed the distribution of the license income.
NORMA Group SE – Annual Report 2024 195
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
> MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Compared to the previous year, employee benefits expenses increased by EUR -691 thousand from EUR -6,151
thousand to EUR -6,842 thousand. The change was mainly due to additional staff. The average number of
employees in the reporting year was 31 (2023: 25 employees). In addition, reference is made to the separate
disclosure of Management Board remuneration in the 4 REMUNERATION REPORT.
Other operating expenses in the amount of EUR -23,380 thousand (2023: EUR -25,836 thousand) included in
particular expenses for license fees in the amount of EUR -13,340 thousand (2023: EUR -14,560 thousand), which
are distributed by the Company to the subsidiaries as license holders. The decrease in expenses was mainly due to
lower consulting expenses (M&A consulting, services of NORMA Group Holding GmbH, legal advice) in the amount
of EUR -1,837 thousand (2023: EUR -2,068 thousand). In addition, expenses from currency translation fell to
EUR -56 thousand compared to the previous year (2023: EUR -1,292 thousand).
In the reporting year income from investments resulting from a dividend distribution of NORMA Pennsylvania, Inc.
amounted to USD 75,000 thousand (EUR 69,726 thousand; 2023: USD 38,000 thousand or EUR 34,681
thousand).
Due to the existing profit and loss transfer agreement with the subsidiary NORMA Group Holding GmbH, a loss
from profit and loss transfer in the amount of EUR -19,252 thousand (2023: EUR -8,510 thousand) were offset.
This was due, in particular, to significantly higher write-downs on financial assets of NORMA Group Holding
GmbH in the amount of EUR -25,847 thousand (2023: EUR -7,995 thousand). Further information can be found in
the presentation of sales and earnings performance in the EMEA segment of the Condensed Group Management
Report. 4 SEGMENT DEVELOPMENT EMEA
In the 2024 reporting year, there was no income from loans of financial assets (2023: EUR 191 thousand), as the
loans had been repaid. Other interest and similar income fell by EUR 12 thousand to EUR 1,275 thousand (2023:
EUR 1,287 thousand) mainly due to lower interest receivables from NORMA Group Holding GmbH. Interest and
similar expenses increased by EUR -1,543 thousand from EUR -8,059 thousand to EUR -9,602 thousand, in
particular, due to the new promissory note loan issued in 2023.
Earnings before taxes increased by EUR 21,888 thousand to EUR 31,376 thousand (2023: EUR 9,488 thousand).
Income taxes for NORMA Group SE amounted to EUR 67 thousand (2023: EUR -1,432 thousand) and mainly
relate to tax income from previous years, in particular, due to transfer price adjustments within the Group. Earnings
after taxes amounted to EUR 31,443 thousand in the reporting year (2023: EUR 8,056 thousand).
The Annual Financial Statements as of December 31, 2024, show net profit of EUR 44,405 thousand (2023: EUR
27,300 thousand). It will be proposed to the Annual General Meeting on May 13, 2025 that a total of EUR -12,745
thousand be distributed as a dividend for the 2024 fiscal year and that EUR 31,660 thousand be carried forward
to new account. Subject to the approval of the 2025 Annual General Meeting, this will result in a cash dividend of
EUR 0.40 per share.
NORMA Group SE – Annual Report 2024 196
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
> MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Asset and financial positions
Assets
T055
in EUR thousands
Dec 31, 2024
Dec 31, 2023
A. Fixed assets
I. intangible assets
0
1
II. property, plant and equipment
96
120
III. financial assets
1. shares in affiliated companies
425,449
425,449
2. loans to affiliated companies
0
2,000
Total fixed assets
425,545
427,570
B. Current assets
I. receivables and other assets
136,305
126,036
II. credit balances with banks
372
524
Total current assets
136,677
126,560
C. Prepaid expenses
55
122
Total assets
562,276
554,252
Equity and liabilities
T056
in EUR thousands
Dec 31, 2024
Dec 31, 2023
A. Equity
I. subscribed capital
31,862
31,862
II. capital reserve
216,601
216,601
III. retained earnings
45,000
45,000
IV. unappropriated profit
44,405
27,300
Total shareholders’ equity
337,868
320,763
B. Provisions
1. provisions for pensions and similar obligations
3,561
3,643
2. provisions for taxes
2,300
3,237
3. other provisions
3,482
3,452
Total provisions
9,343
10,332
C. Liabilities
1. liabilities to banks
191,712
209,804
2. trade payables
484
313
3. liabilities to affiliated companies
22,743
12,909
4. other liabilities
126
131
Total liabilities
215,066
223,157
Total liabilities and shareholders’ equity
562,276
554,252
Conditional capital EUR 3,186 thousand (2023: EUR 3,186 thousand)
NORMA Group SE – Annual Report 2024 197
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
> MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
The asset and capital structure of NORMA Group SE is strongly influenced by the holding function of the Company
within the Group.
Total assets increased by EUR 8,024 thousand compared to the previous year to EUR 562,276 thousand (2023:
EUR 554,252 thousand).
The assets side of the balance sheet amounted to EUR 425,449 thousand as at the balance sheet date (2023:
EUR 427,449 thousand) from financial assets. Shares in affiliated companies remained unchanged from the
previous year at EUR 427,449 thousand. Loans to affiliated companies decreased by EUR 2,000 thousand to
EUR 0 thousand compared to the previous year. This is due to repayments from NORMA Group Holding GmbH in
the amount of EUR 2,000 thousand.
In addition, at EUR 134,265 thousand as at December 31, 2024, receivables from affiliated companies were EUR
9,329 thousand higher than in the previous year (2023: EUR 124,936 thousand). The share of total assets rose
accordingly from 22.5% in the previous year to 23.9% in the reporting year. This included, in particular, higher
receivables from NORMA Group Holding GmbH in the amount of EUR 127,135 thousand (2023: EUR 115,247
thousand) from the cash pool agreement. Trade receivables had the opposite effect: These decreased from EUR
9,524 thousand in the previous year to EUR 6,971 thousand.
In addition to cash and cash equivalents in the amount of EUR 372 thousand (2023: EUR 524 thousand), NORMA
Group SE held the above-mentioned credit balances from the cash pool with the subsidiary NORMA Group
Holding GmbH in the amount of EUR 127,135 thousand (2023: EUR 115,247 thousand).
Equity increased from EUR 320,763 thousand to EUR 337,868 thousand in the reporting year. The increase of EUR
17,105 thousand resulted from the net profit of EUR 31,443 thousand generated in the 2024 fiscal year and,
conversely, from the dividend distribution of EUR -14,338 thousand. At 60.1%, the equity ratio was slightly above
the previous year’s level (2023: 57.9%). Retained earnings remained unchanged from the previous year at EUR
45,000 thousand.
Pension provisions decreased to EUR 3,561 thousand (2023: EUR 3,643 thousand), mainly due to the updated
actuarial assumptions.
The 2018 G reference tables by Prof. Dr. Klaus Heubeck were used as the basis for calculation. In the year under
review, the average market interest rate of the past ten years of 1.90% p. a. (2023: 1.82% p. a.) set by the
Deutsche Bundesbank was used as a basis. In accordance with Section 253 (2) Sentence 2 German Commercial
Code (HGB), a residual term of 15 years was assumed. The salary and pension trend amounted to 0.0% and 2.0%
respectively(2023: 0.0% and 2.2% respectively) and no fluctuation was assumed.
At EUR 3,482 thousand, other provisions were EUR 30 thousand higher than in the previous year (2023:
EUR 3,452 thousand).
On the liabilities side, liabilities to banks decreased by EUR -18,092 thousand to EUR 191,712 thousand (2023:
EUR 209,804 thousand), in particular, due to the repayment of promissory note loans in the amount of EUR 18,000
thousand.
Liabilities to affiliated companies increased by EUR 9,834 thousand to EUR 22,743 thousand in the reporting year
(2023: EUR 12,909 thousand), mainly due to the higher liability from profit transfer to NORMA Group Holding
GmbH in the amount of EUR 19,252 thousand (2023: EUR 8,510 thousand).
NORMA Group SE – Annual Report 2024 198
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
> MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Financial position
Due to its function as the ultimate holding company of NORMA Group, the financial position of NORMA Group SE
is significantly dependent on the financial position of its direct and indirect subsidiaries. In this context, the NORMA
Group SE financial requirements for the performance of its Group-wide functions and the maintenance of its ability
to pay dividends are mainly covered by the funds received in the course of the IPO, the promissory note loans
raised, revolving credit lines and commercial papers, ongoing profit transfers and distributions as well as royalties
from its subsidiaries. There is a profit and loss transfer agreement with NORMA Group Holding GmbH, which also
has cash inflows from its subsidiaries.
The external financing of NORMA Group as well as the intra-Group financing of the Group companies were also
carried out via external banks as well as NORMA Group Holding GmbH and other foreign Group companies.
In the reporting year, the Company repaid promissory note loans in the amount of EUR 18,000 thousand as
scheduled (2023: EUR 56,032 thousand). To refinance this and for general corporate financing, the Company
placed a new promissory note loan in the amount of EUR 120,000 thousand in the previous year.
In addition, NORMA Group SE together with NORMA Group Holding GmbH has a Senior Facilities Agreement with
a bank consortium including comprehensive credit lines. The loan agreement has an initial total volume of
EUR 300,000 thousand. This includes a revolving facility of EUR 50,000 thousand and a flexible accordion facility.
The primary objective of NORMA Group SE’s financial management is to ensure liquidity for ongoing business
operations at all times. Cash and cash equivalents amounted to EUR 372 thousand at the end of 2024 (2023:
EUR 524 thousand). In addition, NORMA Group SE has assets from the cash pool with the subsidiary NORMA
Group Holding GmbH in the amount of EUR 127,135 thousand (2023: EUR 115,247 thousand).
As of the 2024 balance sheet date, NORMA Group has met all key figures contained in the loan agreements
(financial covenants: net debt in relation to adjusted Group EBITDA). Due to the solid financial position of NORMA
Group SE and its direct and indirect subsidiaries, the Company was able to meet its due obligations at all times
during the fiscal year.
NORMA Group SE – Annual Report 2024 199
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
> MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Overall statement of the Management Board
In the reporting year, NORMA Group SE generated, taking into account the net profit for the year of EUR 31,443
thousand (2023: EUR 8,056 thousand) retained earnings of EUR 44,405 thousand (2023: EUR 27,300 thousand).
As expected, it was thus possible to ensure the ability to distribute the profit.
NORMA Group SE remains committed to a sustainable dividend policy with a payout ratio of approximately 30%
to 35% of the adjusted consolidated net income (adjusted for expenses and income related to acquisitions),
provided that the economic situation permits this.
Opportunities and risks
NORMA Group SE acts as the holding company that manages NORMA Group. Its development as well as its risks
and opportunities therefore mainly depend on the business development of the companies affiliated with the
Group. NORMA Group SE is integrated into the Group-wide opportunity and risk management system. For detailed
information, please refer to the chapter Group Opportunity and Risk Management. The description of the internal
control system for NORMA Group required under Section 289 (4) of the German Commercial Code (HGB) is also
provided there.
NORMA Group SE generates its income mainly from license, profit and loss transfer and investment income of its
direct and indirect subsidiaries. Due to its holding function, NORMA Group SE is therefore exposed to the risk of
receiving lower investment income as a result of declining profits of the subsidiaries or lower licensing income as a
result of lower sales of the NORMA Group companies. In case of increasing profits or higher sales revenues of the
subsidiaries, NORMA Group SE will receive higher investment income or higher license income.
In the coming fiscal year as well, geopolitical conflicts and wars as well as economic sanction measures could
continue to have a negative impact on the global economy and – directly or indirectly – on NORMA Group’s
business activities. This could have a major impact on global supply chains, which could lead to a reduction in
sales in the affected markets and to increased energy and raw material prices.
Due to the solid financial position of the NORMA Group companies and the possibility to control distributions of the
subsidiaries, the opportunities and risks in connection with investment and license income are assessed as
“possible” with a moderate positive effect on earnings.
NORMA Group SE – Annual Report 2024 200
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
> MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Forecast and outlook
For fiscal year 2025, NORMA Group SE expects a slight increase in license income for the subsidiaries’ brands and
the NORMA Group brand compared to 2024. The expenses from licenses for the Group subsidiaries as license
holders are also expected to be slightly higher accordingly. The Management Board of NORMA Group assumes
that employee benefits expenses and other cost factors will also increase slightly compared to previous years.
However, this forecast is made under the assumption that no significant negative effects will arise in connection
with geopolitical conflicts and wars as well as economic sanctions in the course of 2025 that could lead to a
severe weakening of the global economy and significant pressure on NORMA Group’s business development. The
potential influencing factors in connection with external risk factors from armed conflicts or climate change are
discussed in the 4 FORECAST REPORT of the Group.
Taking into account an expected profit and loss transfer from NORMA Group Holding GmbH at the previous year's
level, similar expected dividend income from the subsidiaries as in 2024 and a slightly positive interest result for
2025, a slightly higher profit before taxes is expected compared to 2024.
The Annual Financial Statements as of December 31, 2024, show net profit of EUR 44,405 thousand. A proposal
will be made to the Annual General Meeting on May 13, 2025 to distribute EUR 12,745 thousand of this as a
dividend for the 2024 fiscal year and to carry forward EUR 31,660 thousand to new account. In this context, it is
assumed that the retained earnings and the Company’s ability to pay dividends will continue to be secured.
NORMA Group SE – Annual Report 2024 201
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
> MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Forecast Report
Macroeconomic and industry-specific conditions
The macroeconomic perspective presented here, which takes into account the diverse industrial segments and
regional sales markets served by NORMA Group, forms the basis of NORMA Group’s forecast and outlook for the
fiscal year 2025.
Global economy 2025: still subdued and risky, USA pushes protectionism
The global economy is likely to remain under pressure from trouble spots and major uncertainties in 2025.
Although the chances of an easing of tensions in the Middle East improved at the beginning of the year, setbacks
cannot be ruled out. In addition, the war in Ukraine continues. New sources of conflict could also emerge, including
in Asia (North Korea, China/Taiwan). The greatest economic risk lies in the looming trade war. The newly formed
US government has announced the introduction of punitive tariffs against Mexico, Canada and China. Counter-
reactions from the countries affected are to be expected and an expansion or escalation of the conflict cannot be
ruled out. Such a trade war would currently have unforeseeable negative consequences for the global economy. In
addition, the potential for fiscal policy stimulus is low due to the high level of debt in many countries. An easing of
consumer prices and a continued easing of monetary policy, particularly in Europe, should have a positive effect.
According to the ifo Institute, this would boost consumer demand and investment in industrialized countries. In its
January 2025 Update, the International Monetary Fund (IMF) assumes that the global economy will grow by 3.3%
in 2025, i.e. at a similarly moderate rate as in 2023 and 2024. Compared to the fall forecast (+3.2%), this outlook
is, therefore, somewhat more confident. While the industrialized countries are expected to increase their economic
output by 1.9% in 2025, the developing and emerging countries are set to expand by 4.2%, according to the IMF.
China’s expansive fiscal and monetary policy measures should have a positive impact on growth in 2025.
However, domestic demand is likely to remain subdued due to the unresolved crisis in the real estate sector, while
the Chinese economy should continue to be supported by lively exports in 2025, according to the ifo Institute.
Exports are expected to be redirected to other markets in response to US protectionism. The economy in Southeast
Asia is closely linked to value creation in China. The ASEAN-5 countries in particular could benefit from production
relocations in response to a trade war between the USA and China. The IMF is therefore forecasting brisk growth
of +4.6% in these countries in 2025. India’s economic expansion also remains very dynamic (+6.5%).
According to the ifo Institute, the USA has not yet reached the turning point of the economic boom. Meanwhile, the
economic policy announced by the Trump administration is causing great uncertainty. On the one hand, fiscal
policy is likely to remain expansionary in 2025. However, the introduction of massive punitive tariffs on imports
from key trading partners and stricter measures to curb migration are expected to slow growth, according to the
Kiel Institute. As a result, inflation is likely to approach the Fed’s target only slowly in 2025, reducing the scope for
further interest rate cuts by the Fed. Taken together, development in the US is likely to remain on the upswing in
2025. Growth is expected to remain robust (+2.7%).
NORMA Group SE – Annual Report 2024 202
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
> FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
In Europe, with the current economic weakness and in view of a further easing of consumer prices, central banks
are expected to loosen their monetary policy in 2025. Although this should gradually improve financing conditions,
it can be assumed that the industrial economy will only pick up speed again at a slower pace. This is due to the
subdued level of investment, which is forecast to gradually pick up again. It can also be assumed that the economy
will be burdened by numerous uncertainties – including the threat of trade conflicts with the USA and China as
well as structural problems in the industry. Economic momentum in Europe is therefore likely to remain moderate in
2025 despite a slight upturn. The IMF is currently forecasting growth of 1.0% in the eurozone. It is to be expected
that the German economy will continue to lack noticeable impetus from abroad in 2025. Although the domestic
economy is expected to pick up on the back of slightly higher private consumer demand, investment is expected to
remain sluggish – albeit not as much as in 2024. In addition to structural problems and the threat of trade disputes,
international crises are also a negative factor preventing a noticeable economic recovery in Germany.
This macroeconomic outlook forms the basis of NORMA Group’s forecast and outlook for the fiscal year 2025.
Forecast for GDP growth (real)1
T057
in %
2024
2025e
2026e
World
3.2
3.3
3.3
USA
2.8
2.7
2.1
China2
5.0
4.6
4.5
Euro zone3
0.7
1.0
1.4
Germany
-0.2
0.3
1.1
1_IWF.
2_National Bureau of Statistics (NBS) for 2024.
3_Eurostat for 2024.
The environment for NORMA Group’s key customer industries remains challenging
Assuming that there is no further escalation in the trouble spots or an outbreak of further geopolitical conflicts, that
supply chains are not disrupted again and that the central banks continue to loosen their monetary policy, it can be
assumed that the prospects for NORMA Group’s key customer industries should gradually improve over the course
of 2025. However, the environment remains very challenging and characterized by unusually high volatility in light
of the looming trade conflicts.
Mechanical engineering
Long-term investment requirements in industrialized countries are determined by three major structural factors.
These are protectionism, decarbonization and digitalization. The global economy is already changing as a result of
decoupling. To put it simply, established global partnerships are being broken up in favor of regional, small-scale
solutions. This creates new alliances. The threat of trade disputes with the USA could significantly reinforce the
trend towards establishing new value chains in individual economic areas or countries in 2025. This in turn
requires strategic investments independent of the cycle. Furthermore, the goal of an emission-free economy can
only be achieved through a far-reaching transformation. This requires substantial investment in new production
processes and technologies. After all, the field of artificial intelligence (AI) is driving the digitalization of industry
with rapidly growing application possibilities and thus investments in modern machines and smart technologies.
The long-term prospects for mechanical engineering are therefore promising from a structural perspective.
NORMA Group SE – Annual Report 2024 203
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
> FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
In the short term, with the global economy once again experiencing only subdued momentum in 2025 and the high
geopolitical risks, there is little cyclical impetus for the industrial economy and a noticeable revival in willingness to
invest. In addition, capacities are often very underutilized. Nevertheless, the prospects for mechanical engineering
are gradually brightening again. With the expectation of further moderate interest rate cuts, the financing
environment should tend to improve in 2025. The industry association VDMA therefore expects the sector to
recover slightly. Global machine sales are expected to increase by 1% in real terms in 2025. The emerging markets
of China (+2%) and India (+5%) are expected to continue to grow. The industry environment is also improving in
the USA (+1%). In Europe, an upturn is expected above all in the UK (+1%) and Switzerland (+3%). In contrast,
France (+0%), Italy (-1%) and Germany (-2%) are not yet showing any signs of growth in 2025. Against this
backdrop, the eurozone is not yet back on track for expansion with a real decline in sales of 1%.
Engineering: real change in industry sales
T058
in %
2023
2024
2025e
Euro zone
-1.0
-6.0
-1.0
USA
-3.0
-3.0
1.0
China
2.0
2.0
2.0
World
0.0
-2.0
1.0
Source: VDMA
Automotive industry
In the short term, the outlook for the automotive industry is twofold. Further falls in interest rates are likely to have
a positive impact over the course of 2025. In contrast, the introduction of high tariffs on imports of cars and car
parts from Europe and China announced by the USA represents an immense burden that could lead to turbulence
and a high level of uncertainty. The industry experts at S&P Global Mobility (S&P GM) have based their forecast on
the assumption that the new tariffs will take effect from mid-2025 and are designed to be permanent. On this
basis, S&P GM forecasts that global car sales will only increase moderately by 1.7% to 89.6 million light vehicles
(up to 6 tons) in 2025. The analysts at Global Data (GD) are somewhat more optimistic (+3.2% to 91.4 million LV).
The forecasts for production are mixed, but the tenor is predominantly cautious. While GD expects a slight
increase of 1.8% for 2025, S&G GM forecasts that the production level will decrease slightly (-0.4%) to 88.7 million
LV. Output in China, Japan, South Korea and Mexico is expected to stagnate. Higher production in India (+3.8%)
and Brazil (+3.4%) is to be offset by further declines in the USA (-3.0%), Canada (-8.1%) and Western Europe
(-5.7%). S&P GM also expects to see significant cuts in car production in the UK (-13.6%), Spain (-13.7%) and Italy
(-8.2%). A countermovement is being priced in for France (+8.2%) after the recent slump. In contrast, car
production in Germany is expected to remain under pressure with a forecast 4.11 million units (-2.3%). In contrast
to passenger vehicles, the short-term outlook for the global commercial vehicle market (commercial vehicles, trucks
+ buses) is positive. There are signs of a recovery in 2025. According to the S&P GM forecast, global production will
increase by 9.5% to more than 3.7 million commercial vehicles.
NORMA Group SE – Annual Report 2024 204
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
> FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
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5 FURTHER INFORMATION
The massive technological upheaval that the automotive industry is undergoing is irreversible. On the road to a
zero-emission automotive sector, battery electric vehicles (BEV) and plug-in hybrids (PHEV) are currently gaining
ground at the expense of combustion engines (petrol, diesel). Other alternative drive systems based on hydrogen
or fuel cells are currently insignificant in the volume market. The necessary transformation of the automotive
market is accompanied by a high level of complexity and massive investment requirements. On the one hand,
these relate to drive technology and, in particular, the improvement of range and charging cycles. On the other
hand, investments are required in a secure supply of raw materials, battery cell production, the expansion of the
charging infrastructure and the upgrading of the electricity grids. The time horizon for this is correspondingly long,
so that classic combustion engines should initially remain highly relevant on the global market. S&P GM expects
14.8 million BEVs (+30%) and 6.8 million PHEVs (+24%) to roll off the production line worldwide in 2025.
Accordingly, the combined global market share of these New Energy Vehicles (NEV) will rise to 24.2% in 2025. In
2030, their share of the global production volume of passenger vehicles is expected to reach 45.8%, meaning that
combustion engines will still account for a good half of all vehicles produced.
Automotive industry: development of global production
T059
in %
2024
2025e
2026e
Production of light vehicles
-1.7
-0.4
2.6
share of PHEV
6.2
7.6
8.8
share of BEV
12.9
16.6
20.3
Production of commercial vehicles
-5.0
9.5
5.9
Source: S&P Global Mobility
Construction industry
Asia’s construction industry will be driven in the long term by rapid population growth, urbanization and
government investment in infrastructure. The focus is also shifting to projects to combat climate-related damage.
In China, however, the outlook for residential construction remains gloomy. The real estate crisis continues to
smolder. Weak key data at the turn of the year does not yet signal a turnaround in building construction for 2025.
In terms of floor space, new construction starts for all building types are 23% below the low level of the previous
year, and this also applies to the residential sector (-23%). Office and other commercial buildings are also down by
a similar amount. For the construction industry in Malaysia and Singapore, the planned joint special economic zone
in Johor should provide impetus for construction and India should continue its steady upturn in construction at 6%
to 7% in 2025 in view of the continuing good economic prospects.
The Euroconstruct industry network is seeing the first signs of recovery in the European construction industry. This
is due to the stabilization of the real estate market in several European countries and an increase in mortgage
lending. Europe’s construction output is expected to pick up in 2025 with real growth of 0.6% (Western Europe:
+0.4%; Eastern Europe: +3.5%) and continue to recover in 2026. However, construction output is also expected to
fall in France and Italy, among other countries, in 2025. The forecast for Germany is also negative at -1.0%. Based
on the very poor order situation and a low number of building permits, which shrank again by almost a fifth
between January and November 2024, a low level of new residential construction is also expected for 2025. The
German Institute for Economic Research (DIW) expects the volume of residential construction to fall by 1.2% in real
terms (new construction -1.8%; existing buildings -0.9%). A decline is also expected for non-residential buildings in
2025. The total German construction volume is expected to fall by a further 0.8%. Although a recovery in
NORMA Group SE – Annual Report 2024 205
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commercial and residential construction is likely to begin in 2026, construction activity is expected to remain at a
very low level. The DIW anticipates a quarter lower construction volume in residential construction in 2026
compared to the last boom year 2020.
Construction industry: development of European construction output
T060
in %
2024
2025e
2026e
Western Europe
-2.4
0,4
1,6
Eastern Europe
-2.7
3,0
4,7
Europe
-2.4
0,6
1,8
Source: Euroconstruct / ifo Institute (19 core markets in total)
In the USA, key data, including declining building permits and new construction starts at the end of 2024, suggest
a slight slowdown in private US residential construction in 2025. According to FMI Insights, the high demand of
around 1.5 million apartments and the expected further fall in interest rates will stimulate the construction of new
single-family homes (+4%) as well as conversion and extension activities (+5%). In contrast, there are signs of a
massive slump in the construction of apartment buildings (-13%). The commercial sector, which includes office,
retail and accommodation buildings, is also expected to fall by 9%. In contrast, the US is substantially promoting
investment in semiconductors, electric vehicles, green energy and sustainable production processes, meaning that
construction investment in factories and production facilities should benefit greatly. In addition, construction
activities in the water supply sector (+9%) are expected to remain on the upswing in 2025. Spending on repairs
and renovations, which is a key driver of the NDS-business, is expected to return to moderate growth in 2025. The
Harvard JCHS Lira Index anticipates an increase of 1.2%. The experts at John Burns Real Estate Consulting
(JBREC) are somewhat more optimistic and expect the market for repairs and renovations to grow by around 4%
in 2025.
Legal and regulatory influencing factors
As part of the international orientation of its business and against the background of its acquisition strategy,
NORMA Group is obliged to comply with various legal and tax regulations. Product safety and product liability
laws, construction, environmental and employment law requirements as well as foreign trade and patent law all
play a role here. 4 RISK AND OPPORTUNITY REPORT
NORMA Group’s product strategy is influenced by the growing density of regulation in environmental law in key
industries. NORMA Group sees many opportunities to benefit from current global megatrends on the one hand and
regulatory developments on the other. This includes the area of climate change mitigation and decarbonization.
Related to this are developments in the area of the energy transition and the application field of alternative energy
generation and storage. Since 2024, the latter have been increasingly addressed by the strategic business unit
Industry Applications, among others. In addition to applying new, customer-specific approaches, the division also
draws on years of engineering development experience from Mobility & New Energy’s direct OEM business. In
terms of synergies, the Group is focusing in particular on identifying adapted product applications for relevant
market segments based on products already established on the market, as well as starting points for direct
business.
NORMA Group SE – Annual Report 2024 206
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
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46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
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(HGB)
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In the area of Water Management various regulatory initiatives and government measures aimed at improving the
supply of water to the population – not least due to advancing climate change – have also gained influence for
NORMA Group as a result of the business that has grown over the years. NORMA Group continues to see further
opportunities for the global Water Management business due to the need for responsible use of the important
resource of water and the associated increase in demand for corresponding product solutions. These are intended
to support customers in meeting the constantly tightening regulatory requirements.
In addition, the structural change in the automotive industry, which is bringing lower-emission drive technologies
into focus, continues to be an important driver for NORMA Group’s sales – and especially for the Mobility & New
Energy business unit. NORMA Group’s business is benefiting from new emission regulations and fleet regulations
as well as the strong trend towards alternative drive models. The increasing electrification of the automotive
industry in particular is presenting original equipment manufacturers (OEMs) with new challenges. This opens up
new opportunities and business areas for NORMA Group, particularly in the field of thermal management.
4 RESEARCH AND DEVELOPMENT After all, the increasing complexity of systems in vehicles – due to downsizing or hybrid
vehicles, for example – also increases the number of interfaces and thus the demand for reliable joining
technology.
Future development of NORMA Group
NORMA Group places a strategic focus on sustainable value creation. Key objectives include steady sales growth,
profitability above the industry average, and the most efficient use of capital. In addition, NORMA Group pursues
specific sustainability goals to meet its own commitment to responsible treatment of people and the environment.
This includes, among other things, reducing CO2 emissions. 4 STRATEGY AND GOALS
NORMA Group's financial performance indicators include Group sales, adjusted EBIT, respectively the adjusted
EBIT margin, and net operating cash flow. These indicators also contribute to the so-called NORMA Value Added
(NOVA). CO2 emissions have been considered the key non-financial performance indicator since fiscal year 2023.
Since 2020, these emissions have also been a target for determining part of the Management Board's long-term
compensation (ESG-LTI). 4 CONTROL SYSTEM AN KEY PERFORMANCE INDICATORS
The expected development of the key financial performance indicators and the CO2 emissions target for fiscal year
2025 are set out below. The following should be noted in particular: NORMA Group's following forecast is based
on the reporting structure valid as of December 31, 2024, and expected for the time being in 2025. The reasons for
this are as follows: on November 28, 2024, NORMA Group announced its decision to sell the global activities of the
Water Management business unit. The outcome and result of the sales process initiated in January 2025 are still
open at the time of approval of the consolidated financial statements (March 18, 2025) and will also be influenced
by external factors. From the current perspective, the criteria that would justify classifying the business activities as
"discontinued" are therefore not met at the aforementioned date. The sales and earnings contributions of the
global activities of the Water Management business unit are therefore included in NORMA Group's following
forecast.
NORMA Group SE – Annual Report 2024 207
1 INTRODUCTION
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Overall statement by the Management Board on the expected development in fiscal year 2025
Based on the assessments of relevant economic research institutes and industry associations presented in the
forecast report, the Management Board of NORMA Group expects that overall economic development will remain
challenging in fiscal year 2025. In particular, ongoing geopolitical tensions are creating uncertainty and high
volatility in the market environment. An increasingly looming trade war due to protectionist measures by the US
government – such as the introduction of punitive tariffs and the corresponding consequences worldwide – is seen
as a potentially negative factor. Negative impulses for global economic development are also still expected from
further developments in the Ukraine war and the Middle East, as well as the associated impacts on global value
and transport chains. Given the continuing difficult environment, the Management Board of NORMA Group SE is
approaching fiscal year 2025 with the necessary caution.
Development of Group sales in 2025
Against the backdrop of the volatile environment, NORMA Group's Management Board expects business
development to continue to be characterized by subdued demand, particularly in the first half of 2025. In contrast,
the second half of 2025 is expected to see a revival of business in some of NORMA Group's relevant customer
industries. Taking the factors mentioned here into account, the Management Board anticipates Group sales for the
2025 fiscal year in the range of around EUR 1.1 billion to around EUR 1.2 billion. However, this forecast is based
on the assumption that no further negative factors arise worldwide during 2025 that could place significant
pressure on NORMA Group's business development.
Adjusted EBIT margin
One of NORMA Group's main focuses is maintaining and expanding profitability. Accordingly, all business
activities are strategically aligned with this goal. The Group's profitability is to be sustainably increased through
appropriate operational efficiency measures, for example, as part of the 4 GROWTH AND EFFICIENCY PROGRAM “STEP UP":
program. This includes, for example, continuous optimization of operational business processes aimed at aligning
the Group for sustainable profitable growth and further improving and maintaining NORMA Group's
competitiveness in the long term. The measures from the "Step Up" program are to be continued in fiscal year
2025, and are expected to have a positive impact on earnings development. At the same time, it can be assumed
that the declining sales trend since the fourth quarter of 2024 and influenced by external factors will also be
reflected in the EBIT margin, especially in the first half of 2025. In addition, the development of the adjusted EBIT
margin in fiscal year 2025 is influenced by expenses related to the prematurely departure of former CEO Guido
Grandi, announced on February 17, 2025.
Against this backdrop, the Management Board expects an adjusted EBIT margin of around 6% to around 8% for
the 2025 fiscal year. The forecast for the adjusted EBIT margin is subject to the assumption that no massively
adverse market conditions arise that could potentially lead to significant additional costs or restrictions in the
implementation of operational efficiency measures.
With regard to the adjustment of earnings, the Management Board expects, as in previous years, that depreciation
and amortization of tangible and intangible assets in connection with purchase price allocations in the context of
past business combinations will be taken into account. These will total up to approximately EUR 15 million in the
2025 fiscal year, depending on exchange rate developments.
NORMA Group SE – Annual Report 2024 208
1 INTRODUCTION
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3 CONDENSED
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GROUP
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In addition, on the one hand transaction costs totaling approximately EUR 20 million are expected in connection
with the sale of the global Water Management business. On the other hand, extraordinary expenses are expected
for the organizational transformation in connection with the sale of the Water Management business unit, the
exact amount of which cannot yet be estimated. The company intends to adjust all extraordinary expenses in the
operating result (EBIT).
Net Operating Cash Flow
Assuming continued positive effects in working capital management, net operating cash flow is expected to reach
a value in the range of around EUR 75 million to around EUR 95 million in fiscal year 2025.
NORMA Value Added (NOVA)
For fiscal year 2025, the Management Board expects a NOVA in the range of around EUR -40 million to around
EUR -20 million.
Carbon Dioxide Emissions
The sustainable reduction of greenhouse gas emissions (GHG emissions) at its global sites is a key objective for
NORMA Group. The target for fiscal year 2025 is to avoid 1,000 tons of greenhouse gas emissions through the
implementation of measures. This target includes not only NORMA Group's production sites but also its distribution
centers. Furthermore, the figure of 1,000 tons of GHG emissions refers to both Scope 1 and Scope 2 emissions
combined.
Future development of NORMA Group
T061
Key performance indicator
Value 2024
Forecast for fiscal year 20251
Group sales
EUR million
1,155.1
In the range of around EUR 1.1 billion and around EUR 1.2 billion
Adjusted EBIT margin
%
8.0
In the range of around 6% to around 8%
Net operating cash flow
EUR million
105.4
In the range of around EUR 75 million to around EUR 95 million
NORMA Value Added (NOVA)
EUR million
-38.8
In the range of around EUR -40 million to around EUR -20 million
CO2 emissions2, 3
t CO2eq
4,171
Avoidance of 1,000 tons of CO2 equivalents of emissions emitted at
NORMA Group sites
1_This forecast is based on the Group structure valid as at December 31, 2024.
2_The CO2 emissions for the target value were reported in the management system up to the end of the 2024 financial year based on the GHG Protocol (market-based, Scope 1 and Scope 2). Scope 1 only
includes emissions from natural gas and liquid gas and Scope 2 emissions from purchased electricity and district heating. When recording emissions, only emissions relating to the production sites were
taken into account. Since January 2022, NORMA Group has purchased electricity from renewable energy sources at all production sites. NORMA Group purchases “Energy Attribute Certificates” for this
purpose. These are also included in the target value.
3_The methodology described in footnote 2 was used in the management system until the end of 2024 based on the forecast for CO2 emissions of “below 9,600 tons of CO2 equivalents” issued in fiscal
year 2024. The change in the calculation basis in connection with the first-time application of the European Sustainability Reporting Standards (ESRS) will be included in the 2025 Annual Report. This
means that in future annual reports, the emissions from the greenhouse gas balance in accordance with the Greenhouse Gas (GHG) Protocol initiative will be reported in the Scope 1 to Scope 3
categories for all locations worldwide in the management system.
NORMA Group SE – Annual Report 2024 209
1 INTRODUCTION
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3 CONDENSED
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GROUP
69 ECONOMIC REPORT
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(HGB)
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Risk and Opportunity Report
NORMA Group is exposed to a wide variety of risks and opportunities that can have a positive or negative short-
term or long-term impact on its earnings, assets and financial position. For this reason, opportunity and risk
management represents an integral component of corporate management for NORMA Group, at both the Group
management level and at the level of the individual companies and functional areas. Due to the fact that all of the
Company’s activities are associated with risks and opportunities, NORMA Group considers identifying, assessing,
and managing opportunities and risks to be a fundamental component of executing its strategy, securing the short
and long-term success of the Company and sustainably increasing shareholder value. In order to achieve this over
the long-term, NORMA Group encourages its employees in all areas of the Company to remain conscious of risks
and opportunities.
Risk and opportunity management system
NORMA Group defines opportunities and risks as possible future developments or events that could have a
positive or negative impact on the Group’s forecasts or targets. The focus with regard to possible deviations is on a
period of three years for concrete opportunities and risks. Opportunities and risks that could have an impact on the
Company’s success beyond this period of time are recorded and managed at the Group management level and
taken into consideration in the corporate strategy. The assessment of the individual opportunity and risk categories
takes a period of up to three years into account, unless a different period is specified in the individual categories.
NORMA Group assesses the opportunities and risks it identifies using systematic evaluation procedures and
quantifies them in terms of both their financial impact – i. e. gross and net impact on the planned earnings figures –
and their probability of occurrence. NORMA Group’s risk management system is generally based on the regulatory
requirements of the “Audit Standard 340 new version” of the Institute of Public Auditors in Germany (IDW PS 340
as amended). Opportunities are considered and documented in a process that is separate from NORMA Group’s
risk management system.
The Management Board of NORMA Group is responsible for maintaining an effective risk and opportunity
management system. The Supervisory Board is responsible for monitoring the effectiveness of the Group’s risk
management system. Compliance with the Group’s risk management policy in the individual companies and
functional areas is subject to the internal audit department’s periodic reviews. The Management Board is not
aware of any circumstances from dealing with the risk management system that argue against the
appropriateness and effectiveness of the implemented risk management system.9
NORMA Group SE – Annual Report 2024 210
9 The Management Board's assessment of the appropriateness and effectiveness of the internal control and risk management system is made in
accordance with the German Corporate Governance Code ("GCGC") and exceeds the legal requirement for the Condensed Management Report.
In this respect, the disclosure is excluded from the substantive examination of the Condensed Management Report by the auditor.
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
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Risk management process
The risk management process at NORMA Group includes the core elements of risk identification, risk assessment
and controlling and monitoring risks and is coordinated by the Risk Management department at Group level. The
risk management process is fully depicted in an integrated software solution. The risk managers at all
organizational levels of NORMA Group record the risks that are identified and assessed in this software. For all
risks, a review and approval of the respective risks is carried out by the risk or functional managers at Group level.
The process of identifying, evaluating and controlling risks is accompanied by continuous monitoring and
communication of the reported risks by the respective risk managers.
Risk identification is carried out bottom-up by the individual companies as well as top-down by the individuals
responsible for functions at the regional and Group levels. Various methods that correspond to the structure of the
organization are used to identify risks. Such methods include interdisciplinary workshops, interviews and
checklists, but also market and competitive analyses. In certain cases, analyses of the process workflows as well
as results from internal and external audit reports are used. Risk managers are responsible for verifying on a
regular basis whether all material risks have been recorded.
As part of the risk assessment process, the risks identified are evaluated using systematic assessment procedures
and quantified in terms of both their financial impact (on earnings and liquidity) and their probability of occurrence.
This involves recording those risks that can be specified and substantiated and that exceed a defined threshold in
terms of the potential amount of damage. Risks are generally assessed taking possible scenarios into account in
order to be able to present a risk assessment that is as realistic as possible.
As part of risk controlling, the appropriate risk mitigating measures are developed and implemented, and their
implementation is monitored. These include, in particular, strategies to avoid, reduce and hedge against risks. Risks
are managed in accordance with the principles of the risk management system as described in the Group risk
management policy.
Risk reporting
Group-wide recording and assessment of risks as well as their reporting to the functional managers and individual
companies by functional areas, the management of the segments, the Management Board and the Supervisory
Board took place on a quarterly basis. In addition, risks that are identified within a quarter and whose expected
value could have a significant impact on the results of the Group are reported ad hoc to the Management Board
and, if necessary, to the Supervisory Board.
In order to analyze NORMA Group’s overall risk situation and initiate appropriate countermeasures, all recorded
and assessed risks are aggregated into a risk portfolio. For this purpose, statistically reliable methods are applied
in the risk management software in operation. Here, the scope of consolidation for risk management corresponds
to the scope of consolidation in the Consolidated Financial Statements. In this context, the overall risk position
determined in relation to NORMA Group’s risk-bearing capacity for the period under review is monitored regularly
by the Management Board for developments that could potentially jeopardize the Company’s continued existence.
In addition, NORMA Group categorizes risks according to type and the functional area they affect. This makes it
possible to aggregate individual risks into risk groups in a structured manner. This aggregation enables NORMA
Group to identify and manage not only individual risks, but also trends, and thus sustainably influence and reduce
the risk factors with certain types of risks. If not indicated differently, the risk assessment applies for all regional
segments.
NORMA Group SE – Annual Report 2024 211
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Opportunity management process
Operational opportunities are identified, documented and analyzed in monthly meetings at the local and regional
level and by the Management Board. In addition, measures aimed at capitalizing on strategic and operational
opportunities through local and regional projects are approved at these meetings. The identification and success of
the implementation of potential opportunities are tracked and reviewed by producing regular forecasts as part of
periodic reporting. Strategic opportunities are recorded and evaluated as part of annual planning. Significant
opportunities are presented in NORMA Group’s Annual Report after the fiscal year has ended.
Risk management system of NORMA Group
G023
Internal control system of NORMA Group
The internal control system as the totality of all systematically defined controls and monitoring activities aims to
ensure the security and efficiency of business processes, the reliability of financial reporting and the compliance of
all activities with laws and guidelines. An effective and efficient internal control system is crucial to successfully
manage risks in our business processes. In its design, NORMA Group’s internal control system therefore
fundamentally considers all material business processes of Group-wide activities, whereby the design of the
internal control system falls under the responsibility of the Management Board.
NORMA Group SE – Annual Report 2024 212
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69 ECONOMIC REPORT
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(HGB)
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As part of their regular audits and monitoring activities in the course of the year, the operating companies and the
regional management of NORMA Group confirm the status of implementation of the internal control system for the
respective areas of responsibility in a structured process at the end of each quarter. In addition, to ensure the
effectiveness of the internal control system, regular reviews of relevant processes and controls by Internal Audit
are carried out. The Management Board is not aware of any circumstances in dealing with the internal control
system – based, among other things, on regular reporting by the individual companies and regions – that argue
against the appropriateness and effectiveness of the internal control system.10
Internal control and risk management system with regard to the Group accounting process
NORMA Group’s internal control and risk management system with regard to the Group accounting process can
be described as follows. The system is geared towards identifying, analyzing, assessing and managing risks as
well as monitoring these activities. The Management Board is responsible for ensuring that this system meets the
Company’s specific requirements. Based on the allocation of responsibilities within the Company, the CFO is
responsible for the Finance and Accounting divisions. These functional areas define and review the Group-wide
accounting standards within the Group and compile the information used to prepare the Consolidated Financial
Statements. The need to provide accurate and complete information within predefined timeframes represents a
significant risk for the accounting process. Because of this, requirements must be communicated clearly, and the
respective units must be put in a position to meet these requirements.
Risks that could affect the accounting process arise, for example, from the late or incorrect entry of business
transactions or non-compliance with accounting rules. The failure to enter business transactions also represents a
potential risk. In order to avoid errors, the accounting process is based on the separation of duties and functions or
responsibilities as well as plausibility checks as part of the reporting process. Both the preparation of the financial
statements of the Group companies included in the Consolidated Financial Statements and the consolidation
measures based on these are characterized by consistent observance of the “dual control principle.”
Comprehensive and detailed checklists must be completed before the respective reporting deadlines. The
accounting process is fully integrated into NORMA Group’s risk management system. This ensures that accounting
risks are identified at an early stage and that measures to prevent and avert risks can be implemented without
delay.
The internal control system ensures the accuracy of NORMA Group’s financial reporting with respect to its accounting
process. The internal audit department also reviews the accounting processes on a regular basis to ensure that the
internal control and risk management system is effective. External specialists also support these efforts.
The IFRS accounting standards as they are to be applied in the European Union are summarized in an accounting
manual that includes an account assignment guideline (IFRS Accounting Manual). All companies in the Group must
base their accounting processes on the standards described in the Accounting Manual. Important accounting and
valuation standards, such as the recognition and measurement of fixed assets, inventories and receivables, as well
as provisions and liabilities, are defined in a binding manner. Furthermore, “IFRS Instruction Letters” are sent to all
Group companies before the start of the respective closing process and key accounting requirements are explained
again. Tax issues and responsibilities are regulated in a Group tax guideline. The Group also has system-
supported reporting mechanisms to ensure that identical situations are handled in a uniform manner across the
Group.
NORMA Group SE – Annual Report 2024 213
10 The Management Board's assessment of the appropriateness and effectiveness of the internal control and risk management system is made in
accordance with the German Corporate Governance Code ("GCGC") and exceeds the legal requirement for the Condensed Management Report.
In this respect, the disclosure is excluded from the substantive examination of the Condensed Management Report by the auditor.
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
> RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
The Consolidated Financial Statements and Condensed Management Report are prepared according to a uniform
time schedule for all companies. Each company in the Group prepares its separate financial statements in
accordance with the applicable local accounting guidelines and IFRS. Intra-Group deliveries and services are
recorded in separately designated accounts by the Group companies. The net balances of Intra-Group offsetting
accounts are reconciled on the basis of defined guidelines and schedules by means of balance confirmations. The
companies in the Group use a central reporting system for financial reporting. In accordance with NORMA Group’s
regional segmentation, technical responsibility for the financial area is shared by both the financial officers in the
Group companies as well as by the regional CFO for the respective segment. They are involved in the quality
assurance of the financial statements of the Group companies included in the Consolidated Financial Statements.
The comprehensive quality assurance of the financial statements of the Group companies included in the
Consolidated Financial Statements is carried out by Group Accounting, Tax & Reporting, which is responsible for
preparing the Consolidated Financial Statements. The preparation of the Condensed Management Report is the
responsibility of the Investor Relations department, which reports directly to the member of the Management
Board of NORMA Group responsible for finance, the CFO. In addition, the data and disclosures of the Group
companies as well as the consolidation measures for the preparation of the Consolidated Financial Statements as
well as the disclosures in the Condensed Management Report are verified by the external auditor, taking into
account the associated risks, as part of the risk-oriented audit of the Consolidated Financial Statements and the
Condensed Management Report.
The financial accounting systems used by the NORMA Group companies will continue to be successively
standardized to the Group standard. All systems have structured access authorizations. The respective
management decides on the type, design and allocation practices of the access authorizations in consultation with
the central specialist departments.
Risk and opportunity profile of NORMA Group
As part of the preparation and monitoring of its risk and opportunities profile, NORMA Group assesses risks and
opportunities based on their financial impact and their probability of occurrence. The financial impact of
opportunities and risks is assessed based on the effect on the Group’s earnings or liquidity. The following four
categories are used to determine the potential maximum average annual impact in the period under review of the
risk management system.
•
Low: up to EUR 5 million effect on earnings or liquidity
•
Moderate: more than EUR 5 million and up to EUR 15 million effect on earnings and or liquidity
•
Significant: more than EUR 15 million and up to EUR 30 million effect on earnings or liquidity
•
High: more than EUR 30 million effect on earnings or liquidity
The probability of individual risks and opportunities occurring is quantified based on the following four categories.
In order to make the assessment of probabilities of occurrence easier to understand, the names of the categories
used have been revised compared to the last Annual Report:
•
Very unlikely: up to 5% probability of occurrence (previously: “unlikely”)
•
Unlikely: more than 5% and up to 25% probability of occurrence (previously: “possible”)
•
Possible: more than 25% and up to 50% probability of occurrence (previously: “probable”)
•
Probable: more than 50% probability of occurrence (previously: “very probable”)
NORMA Group SE – Annual Report 2024 214
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The main areas of risk and opportunity related to NORMA Group’s business model are described below. Unless
stated otherwise, the risk and opportunity profile represents the assessment of the management of NORMA Group
as of the reporting date December 31, 2024. The financial effects and probabilities of occurrence are presented as
net effects, i. e. taking countermeasures already initiated into account.
Financial risks and opportunities
NORMA Group is exposed to various financial risks, including default, liquidity and market risks. The Group’s
financial risk management strategy concentrates on the identification, assessment and mitigation of risks, focusing
on minimizing the potential negative impact on the Company’s earnings, assets and financial position. Derivative
financial instruments are also used to hedge certain risk items. Financial risk management is performed by the
Group Treasury & Insurance department (Group Treasury). Group Management defines the areas of responsibility
and necessary controls related to the risk management strategy. Group Treasury is responsible for identifying,
assessing and hedging financial risks in close consultation with the Group’s operating units. In this context, various
processes and organizational structures work together to measure and assess opportunities and risks on a regular
basis and to initiate appropriate measures if necessary. Group Treasury regularly conducts analyses of default,
interest rate, currency and liquidity risks. The results are then discussed internally, and actions are defined. Group
Treasury also informs the senior managers of the relevant departments of significant risks in a committee that
meets twice a month and discusses how to deal with these risks and their potential impact on NORMA Group.
4 NOTES
Capital risk management
NORMA Group’s objective when it comes to managing its capital is primarily the long-term servicing of its debts
and remaining financially stable. As of December 31, 2024, NORMA Group is not subject to the obligation to
comply with a financial covenant in any of its financing agreements. Only the financing costs of the individual
financing agreements depend on the level of the financial covenant total net debt cover (debt in relation to
adjusted Group EBITDA). The level of this key figure is continuously monitored, as is the level of net debt and the
maturity structure of financial liabilities. Changes in the value of the parameters included in this financial indicator
are limited by employing long-term hedging strategies. Other financial covenants exist only as part of a syndicated
bank loan negotiated in 2019 and are tested only in advance of possible M&A transactions without providing the
creditor banks with grounds to terminate the loan.
Default risks
Default risks are risks that contractual partners of NORMA Group fail to meet their obligations arising from
business activities and financial transactions. Due to the nature of the respective assets and business relationships
as well as the soundness of its current banking partners, default risks with respect to deposits and other
transactions concluded with credit and financial institutions currently do not represent a major risk category for
NORMA Group. Nevertheless, the creditworthiness of the contract partners is continuously monitored and
discussed at regular senior management meetings.
Relevant default risks can arise, however, with respect to business relationships with customers and relate to
outstanding receivables and committed transactions. NORMA Group reviews the creditworthiness of new
customers to minimize the risk of default on trade receivables. In addition, the Company generally only supplies to
customers whose creditworthiness does not meet the Group’s requirements or who have defaulted on payment if
they pay in advance. In addition, a diversified customer portfolio reduces the financial repercussions of default
NORMA Group SE – Annual Report 2024 215
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risks. Despite the above-mentioned measures, the probability of occurrence of default risks is estimated to be
“possible”, especially since it is still not possible to fully assess the future effects of economic and economic
developments on potential insolvencies of individual customers 4 ECONOMIC AND ECONOMIC RISKS. However, the potential
financial effects of default risks is classified as “low”, as in the previous year, in view of the relevant factors, such
as bad debt losses experienced in the past, and due to the countermeasures taken.
Liquidity risks and opportunities
Prudent liquidity risk management requires holding sufficient cash funds or marketable securities, having sufficient
financing from committed lines of credit and being able to close out market positions. Due to the dynamic nature of
NORMA Group’s business, Group Treasury seeks to ensure flexibility in financing by keeping committed credit lines
available. Therefore, NORMA Group’s primary objective is to ensure the uninterrupted solvency of all Group
companies. Group Treasury is responsible for liquidity management and thus for minimizing liquidity risks. As at
December 31, 2024, cash and cash equivalents amounted to EUR 127.4 million (2023: EUR 165.2 million). In
addition, NORMA Group has a high level of financial flexibility thanks to a committed revolving credit line with
national and international credit institutions in the amount of EUR 100 million. As at December 31, 2024, the
committed credit line was not drawn (previous year: EUR 0 million). In addition, NORMA Group launched a
commercial paper program with a total volume of EUR 300 million in 2019, which can be used flexibly to cover
short-term liquidity requirements. These money market papers, which are equivalent to bearer bonds, are issued
on a revolving basis for a short-term period of 1 to 52 weeks and thus allow for the Group’s own liquidity to be
managed in line with requirements. As at 31 December 2024, the commercial paper program with a volume of
EUR 0 million (2023: EUR 0 million) was used as a source of refinancing.
NORMA Group sees financial opportunities, among other areas, in its good creditworthiness as well as its solid
asset, financial and earnings positions, which will facilitate capital costs in line with the market. Accordingly, the
financing concluded in 2019 is characterized by an increase in the committed degrees of freedom and lower
interest costs. This bank loan of EUR 250 million also includes a sustainability component linked to an external
rating. In 2024, as in the previous year, NORMA Group achieved a corresponding sustainability scoring, which
enabled savings in the external credit margin to be realized. The liquidity-based opportunities are still regarded as
“possible” despite the current uncertain global economic and business situation (cf. 4 ECONOMIC AND CYCLICAL RISKS AND
OPPORTUNITIES), in particular due to the stable business relationship with banking partners and the resulting
reputation on the capital markets. After a phase of rising interest rates, which peaked in 2023, monetary policy
began to be eased in mid-2024, leading to interest rate cuts. The opportunities of this interest rate turnaround for
more favorable financing options are considered “possible”, although the financial impact is assessed as “low”.
4 FINANCIAL POSITION
The Group’s financing agreements do not currently contain any standard market credit terms (financial covenants).
Although these are part of the financing agreements, they are only due to a link to the amount of the financing
costs. As a result, compliance with financial covenants due to a possible increase in interest rates has only a minor
financial impact and the risk is still considered very unlikely due to the current profitability and Cash flow from
operating activities. Irrespective of the scope of financial covenants, compliance with them is continuously
monitored in order to be able to take appropriate measures at an early stage if necessary and to avoid any
worsening of the conditions. NORMA Group uses rolling hedging transactions if necessary to hedge balance sheet
items in foreign currencies whose valuation leads to fluctuations in the profit and loss account. Group Treasury
ensures that sufficient liquidity or granted credit lines are available at all times to cover any possible cash outflows
related to these hedging measures. This is continuously monitored by means of risk simulation and discussed in
senior management meetings. The probability of liquidity risks having a negative impact on NORMA Group’s
NORMA Group SE – Annual Report 2024 216
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activities is considered unlikely due to the high financial flexibility provided by committed and not yet fully utilized
bank credit lines. In the event of (short-term) increased liquidity requirements that exceed currently negotiated
lines, the possibilities of raising funds at market conditions, by issuing new bonds on the commercial paper market,
for example, are considered to be good, as in the previous year.
Exchange rate developments
As an internationally operating company, NORMA Group is active in more than 100 countries and therefore
exposed to foreign currency risks. The US dollar, British pound, Swiss franc, Chinese renminbi, Polish złoty,
Swedish krona, Czech koruna, Singapore dollar, Indian rupee, Serbian dinar and the Mexican peso are considered
to be the main risk prone currency positions.
Foreign currency risks that cannot be offset against each other are hedged if necessary by using futures contracts.
The high volatility of many major currencies and the particular influence of the US dollar on the Group’s earnings,
assets and financial position represent a considerable risk that can only be hedged in part and only for a short
period of time. In the medium term, NORMA Group will strive to counteract currency risk by increasingly producing
locally. 4 PRODUCTION AND LOGISTICS
Because the Group’s subsidiaries operate in key countries with currencies other than the euro, it has sufficient
cash-in and cash-out capabilities to absorb short-term exchange rate fluctuations via targeted income and
expenditure management. Existing financing arrangements also provide for utilization in different currencies (e.g.
US dollar and euro tranches). The remaining foreign currency risks are continuously monitored in the Group and, in
the event that risk limits are exceeded, transferred to the euro on a rolling basis using derivative hedging
instruments. Translation risks are continuously monitored by Group Treasury. Nevertheless, items in the Statement
of Financial Position and the Statement of Comprehensive Income of subsidiaries in foreign currency areas
inevitably result in translation effects when they are translated into euros.
As in the previous year, the potential financial effects of opportunities and risks related to exchange rate changes
are considered to be “low” based on the sensitivity analyses that have been performed. As in the previous year,
the probability of these opportunities and risks occurring is considered to be “probable” with regard to the further
development of the relevant exchange rates.
Changes in interest rates
Changes in global market interest rates affect future interest payments for variable interest liabilities and can
therefore have an adverse effect on the Group’s earnings, assets and financial position. NORMA Group’s interest
change risk arises in particular from long-term loans.
Some of the current loans have fixed interest rates and are therefore not subject to interest rate risk. 4 FINANCIAL AND
LIQUIDITY MANAGEMENT GOALS AND STRATEGIES
Loans that initially had variable interest rates were partly synthetically converted into fixed interest rate positions
using derivative instruments. NORMA Group has hedged around 60% of its variable interest rate loans in USD
valued at USD 67 million in total. The remaining USD floating rate loans are unsecured and continuously monitored
by Group Treasury. On the other hand, variable rate loans denominated in euros in the amount of EUR 169 million
are unhedged. Due to the Group’s internal interest rate expectations, this item is deliberately not hedged. In the
event of an increase in interest rates, Group Treasury would limit the interest rate risk by using appropriate
hedging measures.
NORMA Group SE – Annual Report 2024 217
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After the interest rate turnaround in summer 2024, NORMA Group classifies the risk of interest rate hikes in the
eurozone as “very unlikely” in the short term (previous year: “unlikely”) and “very unlikely” in the medium term, as in
the previous year. In view of the current interest rate level in the eurozone, the chances of an interest rate cut are
assessed as “possible” in the short term (previous year: “probable”) and “unlikely” in the medium term (previous
year: “probable”). In the US dollar area, interest rate cuts are considered possible (previous year: “probable”), which
could lead to corresponding opportunities for NORMA Group. As in the previous year, NORMA Group considers the
risk of rising US interest rates to be “unlikely”. In light of the measures already implemented to optimize the
financing structures, the financial effects associated with these risks and opportunities are assessed as “low”.
In summary, NORMA Group assesses the opportunities from interest rate changes as “possible” (previous year:
“probable”), while risks from interest rate changes are “very unlikely” (previous year: “unlikely”). The possible effects
are classified as “moderate”, as in the previous year, in all scenarios.
Economic and cyclical risks and opportunities
NORMA Group’s success largely depends on the macroeconomic trends on its sales markets and its customers’
sales markets. Therefore, important indicators of economic development worldwide are taken into account both in
planning and in risk and opportunity management. In order to gauge the macroeconomic trend, NORMA Group
relies, among other sources, on the forecasts of widely regarded institutions such as the IMF, the Bundesbank and
reputable economic research institutes.
In the past fiscal year, economic development was significantly influenced by the Russia-Ukraine war, inflationary
trends and global tendencies towards political and economic fragmentation. According to the IMF, global growth in
2024 amounted to 3.2%.
For the current fiscal year, the overall economic development continues to be regarded as a significant risk factor
for NORMA Group’s business activities, with future interest rate developments and the level of inflation in
conjunction with the development of demand acting as key influencing factors. Existing and potentially new
geopolitical conflicts and trends towards economic fragmentation and their potential impact on global value chains
act as significant risk factors. In particular, economic policy measures by the US government, such as punitive
tariffs on goods imports for individual countries or selected product groups (e.g. steel and aluminum), could have a
significant impact on overall economic development. Although renowned economic research institutes do not
expect a global recession in the 2025 fiscal year, they do expect economic growth to remain weak overall at 3.3%
due to the tense economic situation.
In its assessment of the possible macroeconomic consequences of these developments, NORMA Group has come
to the conclusion that a negative development of the global economy compared to the planning assumptions is
currently classified as “possible” (previous year: “unlikely”), taking these risks into account. Should these factors
lead to an impairment of global demand, the financial deviations compared to the planning are estimated to be
“moderate”. A positive development of the global economy that extends beyond the planning assumptions would
represent an opportunity for NORMA Group. The Company still considers it “unlikely” that the global economic
situation and thus NORMA Group’s earnings will improve beyond the planning assumptions. In the overall view of
the current macroeconomic climate and the prospects based on it, the potential financial impact of these
opportunities is also considered “moderate”, as in the previous year.
NORMA Group SE – Annual Report 2024 218
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Industry-specific and technological risks and opportunities
Industry-specific and technological risks and opportunities for NORMA Group are closely linked to the conditions
and developments in the respective customer industries. 4 PRODUCTS AND END MARKETS It should be borne in mind,
however, that the customer industries in the regions relevant to NORMA Group, EMEA, the Americas and Asia-
Pacific, have partly specific characteristics and challenges.
Industry Applications and Water Management are important sectors for NORMA Group. In particular, the current
global megatrends in many fields and areas of application and the resulting potential for opening up new sales
markets present entrepreneurial opportunities. In the Industry Applications segment, NORMA Group sees
significant opportunities in the development of additional markets and industries, the establishment of additional,
customer-specific product solutions and the use of new sales channels. With regard to new sales channels,
NORMA Group sees particular opportunities in the expansion of project business with original equipment
manufacturers (direct business). Furthermore, new approaches, such as the planned establishment of a
comprehensive service business, offer very good growth opportunities from the Group’s perspective. NORMA
Group also continues to see further opportunities in the area of Water Management due to the need for
responsible use of the important resource of water on the one hand and the increasing number of heavy rainfall
events in the various regions of the world and the associated rise in demand for corresponding product solutions
on the other. From NORMA Group’s perspective, there are growth opportunities here, especially in the APAC and
EMEA regions, not least supported by stricter regulation due to the effects of climate change.
Business activities with OEMs for passenger cars and commercial vehicles as well as customers in the aftermarket
segment continue to represent the most important end markets for NORMA Group in terms of sales. In this area,
the increasingly strict emission standards worldwide and the growing use of more environmentally friendly drive
technologies in particular represent a development that is associated with various opportunities and risks for
NORMA Group. NORMA Group’s current product portfolio includes a wide variety of product solutions that help
reduce emissions from passenger cars and commercial vehicles with combustion engines, including hybrid
vehicles, and thus help customers meet ever-stricter emission requirements.
NORMA Group is also well positioned for the growth market of electromobility thanks to its future-oriented product
portfolio. Accordingly, research and development activities relating to purely battery-powered electric vehicles and
hybrid vehicles represent a strategic focus, as part of which new product solutions are being developed and
current products constantly enhanced. Regulatory measures such as stricter exhaust gas standards and the
resulting increased demand for environmentally-friendly products and technologies therefore open up a variety of
opportunities for NORMA Group in the fields of Mobility & New Energy. NORMA Group continues to systematically
analyze market developments in the area of future technologies and consistently develops new products based on
these. Products have been successfully placed on the market since 2018, particularly in the area of fuel cell-
powered vehicles. NORMA Group will continue to focus part of its development capacities on the area of fuel cell-
powered commercial vehicles in the future, as high demand is expected in all regions. 4 RESEARCH AND DEVELOPMENT
On the other hand, the ongoing discussion about compliance with emission standards for vehicles with
combustion engines poses risks for NORMA Group in the Mobility & New Energy business unit. In particular, high
volatility in demand can still be observed in the market due to the uncertainties surrounding new regulations and
technologies. Furthermore, declines in vehicle production due to the market environment could lead to lower sales
for NORMA Group. Last but not least, increased competition among manufacturers can be observed in the Mobility
& New Energy unit, especially in the APAC region, which could lead to an overall reduction in production and sales
for established automotive manufacturers – and the associated reduction in sales for NORMA Group customers.
NORMA Group SE – Annual Report 2024 219
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NORMA Group’s strong customer diversification in various customer industries is a significant risk-reducing factor
with regard to the existing risks. NORMA Group counters long-term industry-specific opportunities and risks
through a consistent innovation policy and regular market analyses, which provide the best possible support for
the targeted identification of and focus on high-growth future markets.
In summary, the sector-specific and technological opportunities and risks are assessed as “possible” (previous
year: “unlikely”) with a “moderate” financial impact.11
Risks and opportunities associated with company strategy
NORMA Group’s strategic goal is to achieve a sustained increase in the Company’s value. In view of this goal,
NORMA Group is pursuing the strategy of profitably expanding its business activities through organic growth as
well as selective value-enhancing acquisitions and achieving broad diversification with respect to its products,
regions and end markets, in order to become less dependent on individual products, regions and end markets. This
goes hand in hand with NORMA Group’s aspiration to grow in current end markets and tap into new end markets
with innovations, superior product quality and strong brands, as well as to continuously improve the efficiency of
its business processes in all functional areas and regions. 4 STRATEGY AND GOALS Furthermore, NORMA Group
addresses sustainability issues such as climate change as well as water and resource scarcity with its strategic
orientation and pursues corresponding activities as part of the company-wide CSR program. The resulting
opportunities and risks are evaluated on a regular basis. 4 CLIMATE CHANGE
Besides the Company’s strategic activities aimed at continuing to develop the business organically, NORMA Group
sees considerable opportunities to sustainably increase the Group’s financial result, particularly through its
strategy of profitably expanding its business activities by making selective, value-adding acquisitions. Based on
this strategy, NORMA Group has repeatedly made acquisitions in the past. If, however, in individual cases, the
development of the acquired companies falls behind the expectations at the time of acquisition or if integration
progresses more difficultly than assumed, risks could also arise from acquisitions for NORMA Group. However,
NORMA Group believes that the Company’s goals for the profitability of potential acquisitions, careful due
diligence measures in advance of the acquisition, and well-coordinated integration plans form the basis for
mitigating these risks accordingly. At the same time, the management continuously reviews all strategic options
with an open mind in order to increase the value of the Company. In addition to acquisitions, this also includes the
possibility of (partial) sales of active business units. The structural adjustment of the global production and
distribution network is also being examined on an ongoing basis as one of the optional measures. Against this
background, the Management Board decided and announced on November 28, 2024 that it would initiate a
process to sell the global business activities of the Water Management strategic business unit. The concentration
of business activities on NORMA Group’s core industrial business associated with the spin-off of the international
water business is intended to make considerable financial and human resources and capacities available to
expand the market position in the Industry Applications strategic business unit and to strengthen the Mobility &
New Energy business unit. Overall, NORMA Group therefore expects significant opportunities for the profitable
expansion of its core business in the medium term. At the same time, the process is associated with risks, which
could include transaction, integration and possible restructuring costs, for example.
NORMA Group SE – Annual Report 2024 220
11 This takes into account corporate strategy risks and opportunities of ongoing business operations based on the Group structure valid as at
December 31, 2024. Effects from potential company acquisitions or disposals - as one-off effects - will be successively sharpened in the course
of the planned sale of the water business.
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In addition, opportunities for NORMA Group to achieve its financial targets arise from the broad diversification with
regard to its products, regions and end markets. Should demand in individual regions and end markets or demand
for individual products temporarily lag behind planning, NORMA Group still has the chance to compensate for this
by turning to other regions, end markets or products. Nevertheless, such broad diversification with regard to
products, regions and end markets also implies a certain degree of complexity, which can be associated with risks
for NORMA Group. Because NORMA Group’s diversification efforts are being carried out step by step with regard
to the regions and end markets as well as its products, these risks can be limited appropriately by adapting the
organization to the changed circumstances. Accordingly, NORMA Group is continuously addressing the reduction
of complexity and streamlining of its current product portfolio.
With respect to the efficiency of its business processes, NORMA Group’s global orientation enables the Company
to set up production processes that require more manual assembly work in countries with lower labor costs and
thus secure or further increase its profitability. However, these types of decisions on the locations for sites and the
related investments are inevitably associated with risks if key assumptions made at the time of the investment
decision prove to be incorrect. This relates, for example, to additional costs due to operational delays in the
implementation of relocations or efficiency increases or cost reductions that have not been fully realized. NORMA
Group addresses the respective risks by conducting careful analyses in advance of investment decisions and uses
graded approval procedures. Risks from site decisions already made are evaluated across all regions and taken
into account when taking decisions to optimize site capacities.
Due to the operational problems of the past, NORMA Group also introduced and implemented extensive measures
in the past fiscal year to further stabilize and increase efficiency. These are aimed at both minimizing avoidable
additional costs and further optimizing productivity. Despite the established activities, a residual risk remains, but
this is continuously addressed by implemented measures – for example as part of the “Step Up” program initiated
in spring 2023. 4 GROWTH AND EFFICIENCY PROGRAM “STEP UP"
In the context of NORMA Group’s corporate strategy initiatives – and in particular taking into account the
sharpening of the strategic focus with the initiated sale of the water business and the focus on expanding the
market position in Industry Applications while strengthening the Mobility & New Energy business unit – the
financial impact of the opportunities associated with NORMA Group’s corporate strategy is assessed as
“high” (previous year: “moderate”) and a positive deviation from the plan as “probable” (previous year: “unlikely”).
The probability of strategic risks occurring is assessed as “possible” (previous year: “very unlikely”), while the
potential financial impact of corporate strategy risks is classified as “high” (previous year: “moderate”)12.
NORMA Group SE – Annual Report 2024 221
12 This takes into account corporate strategy risks and opportunities of ongoing business operations based on the Group structure valid as at
December 31, 2024. Effects from potential company acquisitions or disposals – as one-off effects – will be successively sharpened in the course
of the planned sale of the water business. In view of the planned sale of the global Water Management business, considerable cash inflows are
expected, which will significantly exceed EUR 30 million. At the same time, the process is associated with risks that are classified as “high”,
which could include transaction, integration and possible restructuring costs, for example.
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Operational risks and opportunities
Commodity prices
The materials NORMA Group uses, in particular the raw materials steel and plastics, are subject to the risk of price
fluctuations. The price trend is also influenced indirectly by the further development of the global economic
situation as well as by institutional investors. NORMA Group limits the risk of rising purchase prices through
systematic material and supplier risk management. Thanks to a powerful global Group purchasing structure,
economies of scale are being used to purchase the most important commodity groups as competitively as possible.
This Group purchasing structure also enables NORMA Group to balance out the risks of individual segments with
each other. NORMA Group also constantly strives to secure permanently competitive procurement prices by
continuously optimizing its selection of suppliers and applying the best-landed-cost approach. The Company also
tries to reduce dependency on individual materials through constant technological advances and testing of
alternative materials. NORMA Group protects itself against commodity price volatility by concluding procurement
contracts with a term of up to 24 months, depending on the market situation, whereby material supply risks are
minimized and price fluctuations can be calculated more accurately.
NORMA Group was able to achieve price reductions in many areas in fiscal year 2024. Details on the individual
areas are provided in the 4 PURCHASING AND SUPPLIER MANAGEMENT section.
Taking into account NORMA Group’s procurement portfolio and the current global market situation, price increases
or material price fluctuations for raw materials are considered “probable” overall (previous year: “possible”). Due to
implemented measures, such as medium-term framework agreements and regular price monitoring, the
associated financial impact beyond NORMA Group’s planning assumptions is estimated to be
“moderate” (previous year: “low”). The opportunities arising from potentially falling commodity prices are classified
as “moderate” in terms of their financial impact beyond the planning assumptions. Against the backdrop of the
complete procurement spectrum and taking into account the prevailing volatility on the commodity markets, price
reductions are considered “unlikely” overall.
Suppliers and dependencies on key suppliers
The loss of suppliers and dependencies on individual suppliers can lead to material bottlenecks and thus have
negative effects on the Group’s business activities. In order to minimize this risk, NORMA Group works exclusively
with reliable, progressive suppliers who meet its high-quality requirements. All main and strategically important
suppliers are visited regularly and assessed as part of quality management. If there are any indications of supplier
defaults, alternative options are evaluated immediately. Risks arising from the insolvency of key suppliers, lack of
delivery reliability and quality problems are also addressed by the established supplier monitoring system. In
addition, the existing sourcing strategies and regular material risk analyses help reduce risks. In addition, NORMA
Group has opportunities to reduce risks through the use of the operational risk management tool. This is based on
artificial intelligence, which provides continuous information about external events and risks relating to suppliers,
NORMA Group locations and the associated supply chains and enables immediate action to be taken. Risks from
supplier dependencies are considered “possible” (previous year: “unlikely”), particularly as a result of the continued
global increase and relevance of unforeseeable external events (e.g. geopolitical conflicts). Taking into account the
measures taken, the potential financial impact is estimated to be “moderate” (previous year: “low”).
NORMA Group SE – Annual Report 2024 222
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
> RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
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252 TAKEOVER-RELEVANT
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254 REPORT ON
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4 CONSOLIDATED
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5 FURTHER INFORMATION
However, NORMA Group also sees opportunities in this area as a result of its proactive approach both in terms of
current supplier relationships as well as identification of new suppliers and raw materials. As in the previous year,
the resulting positive effects in comparison to planning are considered “unlikely” with a low financial impact.
Quality and processes
NORMA Group’s products are often mission critical with respect to the quality, performance and reliability of the
final product. Quality defects can lead to legal disputes, liability for damages or the loss of a customer. Therefore,
the reliable guarantee of product quality is a key factor to ensuring NORMA Group’s long-term success, so that its
products provide crucial added value for its customers. Maintaining the right balance between cost leadership and
quality assurance is a constant challenge. To reduce this risk, far-reaching quality assurance measures and
uniform Group-wide quality standards are used-Furthermore, NORMA Group focuses on innovative and value-
added joining solutions tailored to meet customer requirements. The probability of occurrence of significant quality
risks is therefore assessed as “unlikely”, while the potential financial impact is classified as “low” due to existing
insurance against loss events.
NORMA Group always strives to realize cost advantages and thereby strengthen its competitive position, and
generally expects positive impulses from the relevant activities. In particular, this includes the continuous
development and implementation of initiatives relating to cost discipline, the improvement of processes in all
functions and regions and, in particular, the optimization of supply chain management and manufacturing
processes. 4 PRODUCTION AND LOGISTICS As NORMA Group pursues a continuous improvement process, this creates
opportunities for positive deviations beyond the planning stage. The overall probability of cost reductions and
efficiency improvements is assessed as “possible” (previous year: “unlikely”). Since planning already allows for
continuous optimization of production processes, and NORMA Group’s processes are already extremely efficient,
the short-term financial impact of a deviation from the plan as a result of improved production processes is
estimated as “low”. Due to extensive, Group-wide activities to track planned cost savings and process
improvements, the probability that these will not be achieved is assessed as “possible” (previous year: “unlikely”)
and with a low financial impact.
Customers
Customer risks result from being overly dependent on important customers with whom the Group generates a
rather significant share of its sales. These customers could take advantage of their bargaining power, which could
lead to increased pressure on the Company’s margins. Declines in demand or the loss of these customers could
also have a negative impact on NORMA Group’s earnings, with significant risks arising in particular from order
fluctuation or reductions among customers in the automotive sector. For this reason, NORMA Group continuously
monitors incoming orders and customer behavior so as to identify customer risks early. The financial repercussions
of customer risks are reduced by its diversified customer portfolio. Accordingly, no single customer accounted for
more than 4% of direct sales in fiscal year 2024. Overall, the risk of customer risks having a negative impact on
business activities is assessed as “possible” (previous year: “unlikely”). The potential financial impact is still
considered to be “moderate”, particularly in light of volatile demand in the Industry Applications and Mobility &
New Energy sectors.
Based on the strategy and the objective to further expand the relevant markets as well as through an attractive
product range and innovative solutions, new business could be won for NORMA Group products in all regions. The
opportunities for positive deviations from plan resulting from this new business are therefore assessed overall as
“possible” (previous year: “unlikely”), but with a “low” effect on earnings.
NORMA Group SE – Annual Report 2024 223
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
> RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
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254 REPORT ON
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4 CONSOLIDATED
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Risks and opportunities of personnel management
NORMA Group’s success is largely dependent on its employees’ enthusiasm, commitment to innovation, expertise
and integrity. The Group’s human resources work is therefore aimed at developing and expanding these core
competencies, among other skills. The departures of employees with vital skills as well as a shortage of trained
workers could have a negative impact on NORMA Group’s operations. Furthermore, competition for the most
talented employees as a result of demographic developments and the shortage of skilled labor in Western
industrial nations of particular importance to NORMA Group is becoming more and more intense.
NORMA Group counters these risks with far-reaching programs and activities aimed at increasing its
attractiveness as an employer. Besides establishing and expanding further education, training and support
programs as well as competitive remuneration systems, variable remuneration systems in particular are aimed at
promoting the alignment of the workforce with the Company’s success. In return, NORMA Group’s employees
contribute to its continuous further development by participating in employee surveys and improvement initiatives.
Extensive personnel planning activities as well as a distribution of tasks that is geared towards interdisciplinary
cooperation protect NORMA Group against risks that could arise if an employee leaves despite an efficient
organizational structure. When identifying potential new employees who can make a crucial contribution to
performance, NORMA Group also seeks the advice of external human relations advisors.
The probability of occurrence of personnel risks for NORMA Group is assessed overall as “possible” (previous year:
“unlikely”), while the potential financial impact is considered “low” due to a sustainable personnel policy.
In addition, opportunities arise from the consistent further development of employees. NORMA Group fosters its
employees and offers them incentives to develop their personal expertise even further through educational and
training opportunities as well as the targeted search for talent within the Group. NORMA Group also offers its
employees flexible and family-friendly working time models. Through the above-mentioned measures, NORMA
Group actively supports the retention of knowledge and thus also ensures the development of knowledge within
the Company, which will thus offer opportunities for the future development of NORMA Group. The occurrence of
these opportunities is considered possible, whereby the associated financial success is considered to be low.
IT-related risks and opportunities
The use of functional and high-performance IT systems is of key importance for an innovative and global company
like NORMA Group with regard to the effectiveness and efficiency of its business processes. In this context, it is
critical for the Company’s success to support NORMA Group’s business processes, some of which are organized
across company and national borders, along the value chain with stable and high-performance IT systems that
provide the management at all levels of the Company with the necessary information in a timely manner and allow
for workflows to be organized efficiently. IT solutions that are precisely tailored and linked to the respective ERP
systems are also of immense importance for the exchange of information with NORMA Group’s customers and
suppliers. With regard to this business-critical IT infrastructure, there is a risk that a widespread failure of these
systems, for example due to technical malfunctions of the systems or cyberattacks, could lead to serious
disruptions to business operations. In particular, there continues to be a general increase in the threat of potential
cyberattacks.
NORMA Group SE – Annual Report 2024 224
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
> RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
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254 REPORT ON
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In addition, NORMA Group sees the risk that external parties could gain unauthorized access to sensitive Company
information and make improper use of it. In this context, unauthorized access to information on production
processes, financial, customer and employee data in particular could have negative consequences for the
Company.
In response to these risks, NORMA Group has implemented a number of measures that are embedded in the IT risk
management process and are continuously adapted to changing conditions. For example, NORMA Group counters
the IT risks that are identified by arranging for redundant provision of business-critical applications and databases
via physically separated data center areas, using decentralized data storage and outsourced data archiving to a
certified external provider, and by using state-of-the-art firewalls and e-mail filters and security monitoring by the
dedicated Security Operations Center (SOC). Employee access to sensitive information is controlled by using
authorization systems customized for the respective positions, taking into account the principle of segregation of
duties. Finally, training courses for employees and awareness campaigns on aspects of information security are
held on a regular basis. Furthermore, strategic cybersecurity models to protect the digital company infrastructure
and digital services (e. g., private and public clouds, SaaS applications) are being gradually implemented. The
gradual transfer of old ERP systems to new, uniform Group systems, which was continued in 2024, also harbors
risks. During the necessary process changes at the respective plants and distribution centers, adjustment problems
could arise at the process level that could result in additional shifts or special freight requirements, for example.
Redundant internal and external resources are kept available to mitigate these risks, if necessary. Furthermore,
delays in the individual implementation projects can possibly lead to higher implementation costs.
The probability of IT-related risks occurring is still assessed as “possible” in all regions and the potential financial
impact is still considered to be “moderate”, despite the countermeasures in place and in particular against the
backdrop of a generally high threat level for cyber risks.
The risks arising from the migration from the old ERP systems to uniform new systems for the entire Group are
also likely to be offset in the medium term by opportunities arising primarily from the potential for process
standardization and optimization across all companies in NORMA Group. The opportunities that could result from
this standardization are considered “possible”. The related financial effects are expected to be “low”.
Legal risks and opportunities
Risks related to standards and contracts
Future changes in laws and regulations, especially in liability law, environmental law, tax law and labor law, but
also increasing requirements in the area of ESG and EU taxonomy as well as all associated changes in standards
may have a negative impact on NORMA Group's development. Violations of laws and regulations, but also of
contractual agreements, can lead to penalties, regulatory requirements or claims from injured parties. Conversely,
NORMA Group can be adversely affected by legal or contractual breaches by third parties. In addition, defective
products could result in legal disputes and liability for damages. Likewise, the results of tax audits can lead to tax
payments, including penalties and interest.
As in the previous year, most of the legal disputes related to labor law issues. Other focal points were disputes
with customers regarding purchase price claims or alleged product defects and with suppliers. In addition, NORMA
Group conducted administrative legal proceedings due to the infringement of its own or third-party IP rights and
customs proceedings, among other things.
NORMA Group SE – Annual Report 2024 225
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
> RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
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254 REPORT ON
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4 CONSOLIDATED
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5 FURTHER INFORMATION
The compliance and risk management systems in place are used to monitor adherence to the continuously
changing laws and regulations. In addition, it is ensured that contractual obligations are complied with. In
particular, compliance with sanctions in connection with the war in Ukraine is ensured through continuous training
and information measures as well as ongoing monitoring. NORMA Group counters the risk of product defects with
its Group-wide quality assurance program. In addition, NORMA Group is also insured against claims arising from
certain defective products.
NORMA Group is exposed to tax risks in particular due to the significant changes in international tax law currently
being observed (e. g. the OECD BEPS initiatives), which in some cases give rise to unresolved legal issues, and due
to the increased intensity of tax audits in many countries.
Overall, the probability of occurrence of risks in connection with standards and contracts is still assessed as
“unlikely”. The extent of the potential financial impact of these risks is assessed as “moderate”, however, due to the
risk management measures in place.
Known legal risks to which NORMA Group is exposed and whose occurrence is sufficiently specified are
adequately taken into account by provisions in the Consolidated Financial Statements.
Social and environmental standards
Violating social and environmental standards could damage the reputation of NORMA Group and result in
restrictions, claims for damages or disposal obligations. NORMA Group has therefore implemented Corporate
Responsibility as an integral part of the Group strategy. In this context, a systematic Environmental Management
System was introduced at NORMA Group so that company decisions can always be evaluated also considering
the goal of avoiding emissions and conserving resources. The Company also invests in the area of occupational
health and safety for its continuous improvement. 4 WORKFORCE
The probability of occurrence of negative developments due to social and environmental risks continues to be
assessed as “unlikely” and their potential financial impact as “low”.
Investments in the area of Corporate Responsibility serve not only to ward off risks, however. The measures and
initiatives are also seen as having the potential to positively impact both the business environment as well as
NORMA Group and its stakeholders. Nevertheless, the opportunities in this area are still classified as “unlikely”.
Overall, the measures and initiatives are expected to have a minor impact on planning.
Intellectual property
Violations of intellectual property rights could lead to lost sales and reputation. For this reason, the Company
ensures that its technologies and innovations are legally protected. NORMA Group also minimizes the potential
impact by developing customer-specific solutions and through its speed of innovation. At the same time, it is also
possible for NORMA Group to violate the intellectual property of third parties. Therefore, developments are
reviewed for potential patent violations at an early stage. Despite these measures, there is still a risk of using third-
party intellectual property. The probability of infringements of intellectual property is therefore assessed as
“possible”. However, the potential impact of IP-related disputes and other possible infringements is considered to
be “low” as in the previous year. In addition, the consistent protection of intellectual property and the development
of legally unique selling points are also seen as unlikely opportunities that could lead to a minor deviation
compared to planning.
NORMA Group SE – Annual Report 2024 226
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
> RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
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4 CONSOLIDATED
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5 FURTHER INFORMATION
Assessment of the overall profile of risks and opportunities by the Management Board
The Group’s overall situation results from the aggregation of individual risks and opportunities from all categories
of the business units and functions. After assessing the likelihood of risks occurring and their potential financial
impact as well as in light of the current business outlook, NORMA Group’s Management Board does not believe
that there is any individual risk or group of risks with the potential to jeopardize the continued existence of the
Group or individual Group companies as a going concern. Taking the aggregated opportunities into account,
NORMA Group is, in the opinion of the Management Board, in a very good position with respect to both the
medium and long terms to further expand its market position and grow globally. This assessment is reinforced by
its strong ability to cover its financing requirements. Therefore, NORMA Group has not made any effort to obtain
an official rating from a leading rating agency.
General economic risks remain for NORMA Group in all areas, which is why setbacks on the way to long-term
realization of the growth and profitability targets cannot be ruled out. In contrast, there are clear opportunities that
NORMA Group is taking advantage of through its strategy and consistent opportunity management, so that it is
possible that the Company could even exceed its profitability targets.
In summary, the changes in the individual opportunities and risks shown in the overview have no significant
impact on NORMA Group’s overall risk profile-NORMA Group has therefore concluded that the Group’s overall
profile has not changed significantly compared to the previous year.
NORMA Group SE – Annual Report 2024 227
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
> RISK AND OPPORTUNITY
REPORT
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Risk and opportunity profile of Norma Group1
T062
Probability of occurrence
Financial impact
Very
unlikely
(≤ 5%)
Unlikely
(> 5 and
≤ 25%)
Possible
(> 25 and
≤ 50%)
Probable
(> 50%)
Change
compared
to 2023
Low
(≤ EUR
5 million)
Moderate
(> EUR
5 million
and ≤ EUR
15 million)
Significant
(> EUR 15
million and
≤ EUR 30
million)
High
(> EUR 30
million)
Change
compared
to 2023
Financial risks and opportunities
Default risk
■
4
■
4
Liquidity
Risks
■
4
■
4
Opportunities
■
4
■
4
Currency
Risks
■
4
■
4
Opportunities
■
4
■
4
Change in
interest rates
Risks
■
6
■
4
Opportunities
■
6
■
4
Economic and cyclical risks and opportunities
Risks
■
5
■
4
Opportunities
■
4
■
4
Sector-specific and technological opportunities and risks
Risks
■
5
■
4
Opportunities
■
5
■
4
Strategic corporate opportunities and risks2
Risks
■
5
■
5
Opportunities
■
5
■
5
Operational risks and opportunities
Commodity
pricing
Risks
■
5
■
5
Opportunities
■
4
■
4
Suppliers
Risks
■
5
■
5
Opportunities
■
4
■
4
Quality
Risks
■
4
■
4
Processes
Risks
■
5
■
4
Opportunities
■
5
■
4
Customers
Risks
■
5
■
4
Opportunities
■
5
■
4
Risks and opportunities of personnel management
Risks
■
5
■
4
Opportunities
■
4
■
4
IT-related risks and opportunities
Risks
■
4
■
4
Opportunities
■
4
■
4
Legal risks and opportunities
Standards and
contracts
Risks
■
4
■
4
Social and
environmental
standards
Risks
■
4
■
4
Opportunities
■
4
■
4
Property rights
Risks
■
4
■
4
Opportunities
■
4
■
4
1_Unless otherwise stated, the risk assessment applies to all three regional segments.
2_With regard to the planned sale of the global Water Management business, considerable cash inflows are expected, which will significantly exceed EUR 30 million. At the same time, the process is associated with risks classified as “high”, which
could include transaction, integration and possible restructuring costs, for example.
NORMA Group SE – Annual Report 2024 228
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
> RISK AND OPPORTUNITY
REPORT
229 REMUNERATION REPORT
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252 TAKEOVER-RELEVANT
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Remuneration Report 2024
This Remuneration Report describes the basic principles of the remuneration system for the members of the
Management Board and the Supervisory Board of NORMA Group SE. It provides individualized information, broken
down by components, on the remuneration granted and owed to members of the Executive Board and Supervisory
Board in the 2024 fiscal year. In addition, the Remuneration Report contains an individualized breakdown by
components of the remuneration of former members of the Management Board and Supervisory Board. The report
complies with the requirements of the German Stock Corporation Act (Section 162).
The Annual General Meeting of NORMA Group SE approved the Remuneration Report 2023 on May 16, 2024 with
a very good approval result of 96.04%. The Supervisory Board is therefore of the opinion that the structure and
type and scope of the content of this remuneration report can remain unchanged compared to the previous year.
Review of fiscal year 2024
The market environment in the 2024 fiscal year was characterized by numerous challenges. This included the
economic slowdown in Europe and Germany in particular over the course of the reporting year. Negative signs
were set by subdued global industrial production, declining production figures in the automotive industry and a
persistently stagnant situation in the European and Chinese construction sectors. The ongoing armed conflicts in
Ukraine and the Middle East as well as political uncertainties in several European countries also had a negative
impact on markets and companies. On the other hand, the overall lower energy prices compared to the previous
year and the interest rate turnaround initiated by central banks worldwide had a supporting effect. In this market
environment, NORMA Group generated consolidated sales of EUR 1,155.1 million in fiscal year 2024, a decrease
of 5.5% compared to the previous year. Adjusted EBIT fell by 5.3% to EUR 92.3 million. The adjusted EBIT margin
was 8.0% (2023: 8.0%).
Remuneration system for Management Board members
In accordance with Section 87a German Stock Corporation Act (AktG), the Supervisory Board has adopted a clear
and comprehensible system for the remuneration of Management Board members, on the basis of which the specific
remuneration of the individual Management Board members is determined. The remuneration system is designed to
promote sustainable, long-term value creation and the implementation of the business strategy.
The Remuneration Report is based on the remuneration system approved by the ordinary virtual Annual General
Meeting on June 30, 2020 with a majority of 99.80% of the votes in accordance with Section 120a (1) German Stock
Corporation Act (AktG) (the “2020 Remuneration System”). The full text of the 2020 remuneration system is available
on the website. : REMUNERATION SYSTEM
In accordance with Section 120a (1) Sentence 1 German Stock Corporation Act (AktG), the Supervisory Board is
obliged to review the remuneration system for Management Board members and submit it to the Annual General
Meeting for approval every four years at the latest; after 2020, a submission had to be made to the Annual General
Meeting in 2024. The Supervisory Board submitted a new remuneration system to the Annual General Meeting on
May 16, 2024 for approval, which takes into account the current requirements of corporate governance and is in line
with the times. The 2024 Annual General Meeting approved the new remuneration system with 94.18% of the votes
(the “2024 Remuneration System”). The new remuneration system will apply from January 1, 2025 for all
Management Board members whose employment contracts are newly concluded or extended from May 16, 2024
(date of approval of the remuneration system by the Annual General Meeting). The Supervisory Board also has the
NORMA Group SE – Annual Report 2024 229
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
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46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
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(HGB)
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210 RISK AND OPPORTUNITY
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option of applying the new remuneration system to the active members of the Management Board from the 2025
fiscal year in agreement with them. : REMUNERATION SYSTEM
The 2020 remuneration system applied in 2024 consists of fixed and variable remuneration components. The fixed
non-performance related remuneration consists of the fixed annual salary, the company pension scheme and
fringe benefits. The variable, performance-based remuneration consists of the Short-Term Incentive (STI) and the
Long-Term Incentive (LTI). The LTI, however, consists of the NOVA-LTI and the ESG-LTI. Both NOVA-LTI and ESG-
LTI are linked to a share purchase and share holding obligation. These oblige the Management Board members to
acquire and hold a significant LTI bonus portion of NORMA Group shares. The goal of the share purchase and
share retention obligation is to align the actions of the members of the Management Board more closely with the
Company’s creation of added value. 4 FIGURE G024 illustrates the components of the remuneration system 2020.
Components of the 2020 remuneration system
G024
The following key points of the remuneration system are to be emphasized in particular:
•
The components of the variable remuneration (Short-Term Incentive and Long-Term Incentive) are based on
the results that are actually achieved, transparently comprehensible and audited.
•
The Short-Term Incentive (STI) depends on an absolute performance factor, the adjusted EBIT (earnings
before interest and taxes) of NORMA Group, i.e. adjusted for acquisition effects. On the other hand, the STI
depends on a relative performance factor (relative Total Shareholder Return (TSR)). For the TSR of NORMA
Group SE, a comparison is made with the TSR of a previously defined group of listed companies that is
explained below. Depending on NORMA Group SE’s ranking within the comparison group, the payment
amount from the STI increases or decreases by up to 20%. The minimum payment is EUR 0 and the maximum
payment is limited to 180% of the fixed annual salary.
•
The Long-Term Incentive (LTI) is broken down into two components:
◦
The first component is a backward-looking LTI with an assessment period of three years. The first
incentivizes the entrepreneurial success of NORMA Group and corresponds to a share of the adjusted
EBIT above the cost of capital after taxes (NORMA-Value-Added-LTI, NOVA-LTI for short). The minimum
payment is EUR 0 and the maximum payment is limited to 200% of the fixed annual salary.
NORMA Group SE – Annual Report 2024 230
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
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OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
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◦
>>The second component is a forward-looking LTI with an assessment period of four years. It incentivizes
the sustainable development of NORMA Group by meeting measurable sustainability goals, e.g. the
reduction of CO2 emissions (Environment, Social and Governance-LTI, ESG-LTI for short) with a maximum
amount of 20% of the fixed annual salary). The minimum payment is EUR 0 and the maximum payment is
limited to 20% of the fixed annual salary. CO2 emissions for the target value are reported in accordance
with the GHG Protocol (market-based, Scope 1 and Scope 2). Scope 1 includes only emissions from
natural gas and liquefied petroleum gas (LPG), while Scope 2 covers emissions from purchased electricity
and district heating. When recording emissions, only emissions relating to the production sites are taken
into account. Since January 2022, NORMA Group has purchased electricity from renewable energies at all
production sites. NORMA Group purchases “Energy Attribute Certificates” for this purpose. These are also
included in the target value. (ESRS [GOV-3-29a-e])<<13
◦
Upon payment, both LTIs oblige the Management Board members to acquire and hold shares in NORMA
Group SE. With the obligation to purchase and hold shares, NORMA Group SE follows the
recommendation of the German Corporate Governance Code. The members of the Management Board
must invest 75% of the payout amount from the NOVA-LTI and 100% of the payout amount from the
ESG-LTI in shares of NORMA Group SE. The Company is free to settle the payment amount in whole or in
part in shares of NORMA Group SE. As a result, more than 50% of the target amount of the variable
remuneration is either invested by the members of the Management Board in shares of NORMA Group SE
or granted by NORMA Group SE on a share basis. If no bonus is paid out, there is no obligation to
purchase shares. The NOVA-LTI includes a four-year share ownership obligation. The ESGLTI is four
years forward and provides for a one-year retention period.
•
The performance criteria for the STI and LTI are set out in the 2020 remuneration system. The Supervisory
Board determines the performance criteria and target values for the ESG LTI before the start of the fiscal year.
The respective payment amounts are calculated after the end of the fiscal year based on the achievement of
targets. The Supervisory Board only has the opportunity to adjust the conditions of the STI and the LTI at its
reasonable discretion in the event of extraordinary events-Otherwise, the Supervisory Board has no discretion
when determining the payment amounts from the STI and the LTI.
•
The contracts of the Management Board members in office at the end of 2024 do not contain a change of
control clause.
•
The members of the Management Board in office at the end of 2024 will receive a standard defined
contribution pension commitment on a reinsurance basis. There are no benefit commitments under the
company pension scheme for the Management Board members in office at the end of 2024.
•
The variable remuneration components are subject to the possibility of being reclaimed (“clawback”) if the
audited Consolidated Financial Statements and/or the basis for determining other targets on which the
calculation of the variable remuneration is based subsequently turn out to be objectively incorrect and therefore
need to be corrected and the error has led to a miscalculation of the variable remuneration.
The table below provides an overview of the components of the remuneration system for the members of the
Management Board applicable to fiscal year 2024. The table also provides an overview of the structure of the
individual remuneration components and explains their objectives, particularly with regard to how the
remuneration promotes the long-term development of NORMA Group.
NORMA Group SE – Annual Report 2024 231
13 This section is part of NORMA Group’s Consolidated Non-financial Statement for the fiscal year from January 1, 2024 to December 31, 2024.
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
> REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Fixed non-performance dependent remuneration components, design, reference to the strategy T063
Remuneration component
Design
Reference to the strategy
Fixed annual salary
The members of the Management Board receive a fixed annual salary in
twelve monthly instalments, which are paid at the end of each month. Its
amount is based on the tasks and strategic and operational responsibility of
the individual member of the Management Board.
The fixed remuneration
components, consisting of the fixed
annual salary, fringe benefits and
the pension commitment, are
intended, on the one hand, to
attract globally available
candidates for the development
and implementation of the
strategy, as well as for the
management of NORMA Group
and, on the other hand, to prevent
them from taking inappropriate
risks by offering them financial
security.
Fringe benefits
The Company provides each member of the Management Board with a
company car for private use. Limitation of total monthly vehicle costs to EUR
2,000 for the Chairman of the Management Board and EUR 1,850 for the
ordinary members of the Management Board. The Company also takes out
accident insurance (private and occupational accidents) for the members of
the Management Board at its own expense.
Company pension scheme
NORMA Group grants the active members of the Management Board a
defined contribution company pension plan with reinsurance. The Company is
required to make contributions to an external provider each year under the
defined contribution plan. The amount of the contributions corresponds to
current market practice. All three members of the Management Board in office
at the end of 2024 will participate in this plan.
Variable performance dependent remuneration components, design, reference to the strategy
T064
Remuneration component
Design
Reference to the strategy
Short-Term Incentive
(STI, short-term variable
remuneration)
The STI is a performance dependent bonus consisting of two components.
In the first step, the Chairman of the Management Board is awarded 0.33%
and the ordinary members of the Management Board 0.22% of average
EBIT adjusted for acquisitions in fiscal years 2022, 2023 and 2024. In the
next step, this amount is adjusted by the relative share yield compared to
the peer group industrial companies below in a range of 0.8 to 1.2. A
relative stock return (rTSR) below the 25th percentile results in an
adjustment factor of 0.8 and a stock return above the 75th percentile
results in an adjustment factor of 1.2. Linear interpolation is applied in
between.
In total, the amount of the STI is limited to 180% of the fixed annual salary.
There is no guaranteed base amount in the STI and the minimum payout is
EUR 0.
Payment is made in cash in the month following the month in which the
Consolidated Financial Statements for the respective fiscal year were
approved.
The STI sets ambitious incentives for
maximizing NORMA Group’s financial
success measured as NORMA Group
EBIT adjusted for acquisitions. This
key performance indicator measures
profitability, which is the basis of the
long-term company strategy and
sustainable value creation. In order to
adjust earnings for macroeconomic
influences, the amount of the payout
from adjusted EBIT is adjusted by the
relative performance of the return on
shares. The stock return acts as an
external benchmark compared with
selected peers.
NORMA Group SE – Annual Report 2024 232
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
> REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Variable performance dependent remuneration components, design, reference to the strategy (continued)
Long-Term Incentive
(LTI, long-term variable
remuneration)
Multi-year variable remuneration is divided into two independent
components and consists of an LTI based on NORMA Value Added
(NOVA-LTI) and the ESG-LTI.
The NOVA-LTI is a backward-looking performance cash plan
supplemented by a forward-looking share purchase and share retention
obligation. NOVA is calculated as the difference between adjusted EBIT for
the fiscal year multiplied by 1 minus the average corporate tax rate minus
WACC (Weighted Average Cost of Capital) multiplied by invested capital
at the beginning of the fiscal year. For the NOVA-LTI 2024, the
performance period represents the fiscal years 2022, 2023 and 2024.
The payout amount of the NOVA-LTI is limited to a maximum of 200% of
the fixed annual salary. Regardless of whether the Company makes the
payout from the NOVA-LTI in cash or in shares, 75% of the net payout
amount from the NOVA-LTI must be invested in shares of the Company
and be held in ownership for at least four years.
The ESG LTI is a forward-looking performance cash plan with a
performance period of 4 years.
The target amount for the ESG-LTI 2024 is 20% of the fixed annual salary
for fiscal year 2024, and the payout is limited to a maximum of 100% of
this target amount. Regardless of whether the Company pays out the
ESGLTI in cash or shares, 100% of the net payout amount from the ESG-
LTI must be invested in shares of the Company and be held in ownership
for at least one year.
There are no guaranteed base amounts in the LTI, neither in the NOVA LTI,
nor in the ESG LTI, and the minimum payout for all LTI components is
EUR 0.
The LTI serves to promote the
longterm and sustainable
development of the Company. For
this purpose, the LTI includes on the
one hand a value appreciation bonus
based on the economic performance
of NORMA Group (NOVA-LTI) and on
the other hand an ESG-LTI, which
acts as an incentive for the
sustainable and responsible
development of NORMA Group.
Other remuneration arrangements
Clawback control
The variable compensation components are subject to a clawback.
If there are subsequent changes to
the annual financial statements, the
bonus is adjusted to the corrected
financial figures.
Maximum remuneration
The maximum remuneration for the Chairman of the Management Board is
EUR 3,900,000 and for the other members of the Management Board EUR
2,500,000.
Irrespective of the specified maximum remuneration, the payment amounts
of the individual variable remuneration components are also limited in
relation to the fixed annual salary.
For the Chairman of the Management Board as well as the other members
of the Management Board, these caps are 180 % for the STI, 200% for the
NOVA-LTI, and 20% of the fixed annual salary for the ESG-LTI.
The maximum remuneration ensures
that the remuneration of the
members of the Management Board
is not unreasonably high, even taking
the comparative environment into
account, so that disproportionate
risks and costs for NORMA Group are
avoided.
Share purchase and
shareholding obligations
The payout from the LTI can be made in shares or cash. In total, 75% of the
net payout amount of the NOVA LTI must be invested in shares of NORMA
Group and held as property for at least four years. In addition, 100% of the
payout amount of the ESG-LTI must be invested in shares of NORMA
Group and held as property for at least one year.
The share acquisition and
shareholding rules promote an
alignment of interests between the
Management Board and
shareholders and provide additional
incentives to promote the business
strategy and long-term development
of NORMA Group.
NORMA Group SE – Annual Report 2024 233
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
> REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Compliance with the remuneration system
The Supervisory Board applied the remuneration system applicable to the members of the Management Board
without deviation in the 2024 fiscal year. As part of the contractual agreements, the amount paid out under the
ESG LTI 2020-2023 was reclaimed in 2024. The corresponding amounts were repaid to the Company in
September and October 2024.
Variable Remuneration Components
The performance indicators used to measure the short-term and long-term variable remuneration components are
derived from NORMA Group’s company strategy and are based on a three- or four-year observation period. The
variable remuneration of the Management Board consists of the following components:
Short-term variable remuneration (Short-Term Incentive, STI)
The STI is a performance-related bonus which, on the one hand, reflects the absolute performance figure adjusted
EBIT (earnings before interest and taxes, adjusted for acquisitions) of NORMA Group and, on the other hand, the
relative return on shares (Total Shareholder Return, TSR for short) of NORMA Group SE in relation to a comparison
group. The payout amount of the STI is calculated from a starting value and an adjustment to the target
achievement of the TSR in the grant year. The calculation is shown in the following formula:
Payout amount =
Baseline (= average adjusted EBIT x STI percentage) x TSR adjustment
The baseline figure results from multiplying the average adjusted EBIT, i.e. adjusted for acquisitions, in the fiscal
year for which the STI is granted and the two fiscal years preceding the fiscal year in which the STI is granted
(arithmetic mean) by the STI percentage, which is 0.33% for the Chairman of the Management Board and 0.22%
for the other board members. In a second step, this initial value is then multiplied by the TSR adjustment factor and
the result represents the payout amount. The TSR is defined as the percentage change in the stock market price
during the grant year, including notionally reinvested dividends and all capital measures. In other words, the TSR is
a measure of how the value of a share commitment has developed over a period of time and takes into account
both dividends accrued during the period and any share price increases that may have occurred. In the current
remuneration system, the share yield is taken into account as a relative performance factor. The TSR adjustment
factor is determined by measuring the TSR development (share price and dividend development) of NORMA Group
SE in relation to the TSR development of the peer group companies during the granting fiscal year. Depending on
the results of the comparison, the initial value of the STI is adjusted upwards by 20% when a position in the
comparison group is reached above the 75th percentile and downwards by 20% below the 25th percentile; the
TSR adjustment factor is, therefore, limited to the range of 0.8 to 1.2. The peer group for 2024 consists of the
industrial companies shown in table T065. Compared to 2023, Leoni AG, which is no longer listed on the stock
exchange, is no longer included. The Supervisory Board is entitled to adjust the peer group for future assessment
periods before the beginning of the respective assessment period. For 2025, the inclusion of JOST Werke AG will
bring the peer group back up to 15 companies.
NORMA Group SE – Annual Report 2024 234
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
> REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
TSR comparison group
T065
Bertrandt AG
Deutz AG
DMG Mori AG
ElringKlinger AG
Gerresheimer AG
Jungheinrich AG
König & Bauer AG
SAF-Holland SE
Schaeffler AG
SGL Carbon AG
Stabilus SE
Vossloh AG
Wacker Neuson SE
WashTec AG
The following graphic illustrates the calculation of the target remuneration of the STI:
Mechanism of the STI
G025
The payout amount (= initial value x TSR adjustment factor) is limited to a maximum of 180% of annual base
salary; the initial value (= average adjusted EBIT x STI percentage) is limited to a maximum of 150% of the fixed
annual salary. The short-term variable remuneration for the past fiscal year is to be paid out in the following year
after approval of the Consolidated Financial Statements by the Supervisory Board. If the member of the
Management Board did not work for the Company for a full twelve months in a fiscal year, the annual bonus will
be reduced accordingly.
All claims to the STI from a current fiscal year expire without replacement or compensation if the employment
contract of the member of the Management Board is terminated by the Company for an important reason for
which the member of the Management Board is responsible pursuant to Section 626 of the German Civil Code
(BGB), the appointment of the member of the Board is revoked due to a gross breach of duty and/or the
appointment of the member of the Board ends as a result of resignation without the resignation being caused by a
breach of duty by the Company or health impairments of the member of the Board or health impairments of a
close family member (“bad leaver cases”). In the event of extraordinary events or developments, the acquisition or
sale of a part of a company, for example, the Supervisory Board is entitled to temporarily and appropriately adjust
the plan conditions of the STI at its reasonable discretion. The same applies if changes in the accounting
regulations applicable to the Company have a significant impact on the parameters used to calculate the STI and
in the event that a fiscal year comprises less than twelve months (short fiscal year).
NORMA Group SE – Annual Report 2024 235
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
> REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
4 FIGURE G026 provides a detailed overview of the calculation of the target amount of the STI for fiscal year 2024:
Target amounts and payout amounts of the STI
G026
The TSR factor for the 2024 fiscal year was calculated by an external remuneration consultant at 0.95, as the 44th
percentile in the peer group was reached in 2024.
For fiscal year 2024, NORMA Group generated an adjusted average EBIT of EUR 96.2 million in 2022, 2023 and
2024, which, in combination with the achieved TSR factor of 0.95, results in a payout amount for the STI 2024 of
EUR 301,759 for Chairman of the Management Board Guido Grandi. For CFO Annette Stieve and COO Dr. Daniel
Heymann, this results in a payout amount for the STI 2024 of EUR 201,173. The payout amounts comply with the
payout cap of 180% of the fixed annual salary.
NORMA Group SE – Annual Report 2024 236
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
> REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Long-term variable remuneration (Long-Term Incentive, LTI)
The long-term variable remuneration consists of two components, the NORMA Value Added-LTI (NOVA-LTI for
short) and the Environmental, Social and Governance-LTI (ESG-LTI for short).
•
NOVA LTI
The NOVA-LTI is granted in the form of a backward-looking performance cash plan in annual tranches, which is
supplemented by a forward-looking share purchase and share retention obligation. The members of the
Management Board are granted a tranche from the performance cash plan on January 1 of each grant fiscal year.
Each tranche of the performance cash plan has a term of three years and considers the granting fiscal year and
the two fiscal years preceding the granting fiscal year (“performance period”). The main success criterion for the
LTI is the average NORMA Value Added (“NOVA”) during the three-year performance period. The payout amount
from the LTI is calculated by multiplying the LTI percentage by the average adjusted NOVA during the
performance period. The LTI percentage for the Chairman of the Management Board is 1.5% and for full members
of the Board 1.0%.
The annual increase in value is calculated using to the following formula:
NORMA Value Added =
(adjusted EBIT x (1 – s)) – (WACC x invested capital)
The calculation of the first component is based on the adjusted Group earnings before interest and taxes (adjusted
NORMA Group EBIT) for the fiscal year and the average adjusted corporate tax rate. The second component is
calculated from NORMA Group’s cost of capital (WACC) multiplied by the capital employed. The assumptions for
the Group’s cost of capital (WACC) are shown in the table below.
Assumptions for the calculation of the weighted average cost of capital
T066
in %
2024
2023
Risk-free interest rate
2.50
2.75
Market risk premium
7.50
7.50
Beta factor of NORMA Group
1.55
1.65
Cost of equity
15.03
16.04
Borrowing cost rate after taxes
2.70
3.04
Weighted average cost of capital after taxes
9.00
9.55
The base interest rate (risk-free interest rate) is derived from the interest rate structure data of the Deutsche
Bundesbank (three-month average: October 1 to December 31, 2024). The market risk premium represents the
difference between the expected return on a risky market portfolio and the risk-free interest rate. NORMA Group
uses the recommendation of the Institute of Public Auditors in Germany (IDW) to determine this. The beta factor
represents the individual risk of a share compared to a market index. It is first determined as the average value of
the unindebted beta factors of the peer group and subsequently adjusted to NORMA Group’s individual capital
structure. The cost of equity is the sum of the following three components: the risk-free interest rate, the weighted
country risk of NORMA Group, the product of the market risk premium and leveraged beta factor of the peer group.
The credit spread used to calculate the cost of debt was determined on the basis of the terms of the current
external financing of NORMA Group. Invested capital is calculated from consolidated equity plus net financial
liabilities as of January 1 of the fiscal year.
NORMA Group SE – Annual Report 2024 237
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
> REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
4 FIGURE G027 clarifies the timing of the NOVA-LTI, in particular, the performance period and the obligation to
purchase and retain shares of four years.
Temporal sequence of the NOVA-LTI
G027
The NOVA-LTI is limited to a maximum of 200% of the fixed annual salary for all Management Board members.
The Company may pay the payout amount in cash or in shares of NORMA Group SE. In the case of a cash
payment, the members of the Management Board are obliged to purchase shares of the Company for an amount
equal to 75% of the net amount paid out and to retain ownership of these for a period of four years (obligation to
purchase and retain shares). The Company’s Supervisory Board may decide at its reasonable discretion to issue
shares in the Company in whole or in part in lieu of a cash payment. If the Company issues shares in the Company
in lieu of a cash payment, the members of the Management Board are also required to retain ownership of 75% of
the shares issued for a period of four years. Independently of whether the Company makes the payout amount in
cash or in shares, 75% of the net payout amount from the NOVA-LTI must be invested in shares of the Company
and be held for a period of four years. Irrespective of the type of payment (cash or in shares in the Company), the
NOVA-LTI is paid out in the following year after approval of the Consolidated Financial Statements by the
Supervisory Board. After the end of the employment contract, the retention obligation generally lasts for a period of
twelve months after the legal end of the employment contract, unless the four-year retention period has expired
earlier.
The cases described with regard to the STI for a resignation during an ongoing performance period apply
accordingly. In the event of extraordinary events or developments, the acquisition or sale of a part of a Company,
for example, the Supervisory Board is entitled to temporarily and appropriately adjust the plan conditions of the LTI
at its reasonable discretion. The same applies if changes in the accounting regulations applicable to the Company
have a significant impact on the parameters used to calculate the LTI and in the event that a fiscal year is less than
twelve months long (short fiscal year).
4 FIGURE G028 provides an overview of the target amounts and payout amounts of the NOVA-LTI for fiscal year
2024:
NORMA Group SE – Annual Report 2024 238
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
> REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Target amounts and payout amounts of the NOVA-LTI
G028
The calculation of the NOVA figure is explained in the following table:
Calculation of the NOVA figure
T067
Year
Adjusted EBIT
in EUR thousands
Tax rate
in %
WACC
in %
Invested capital
in EUR thousands
Annual increase in
value in EUR
thousands
2022
98,964
35.2
9.25
987,069
-27,146
2023
97,481
41.3
9.55
1,055,128
-43,607
2024
92,320
40.8
9.00
1,038,861
-38,810
Ø
-36,521
The amount paid out for the NOVA-LTI 2024 for the Chairman of the Management Board and other members of
the Management Board is EUR 0.00.
•
ESG-LTI
In addition to the NOVA-LTI, the ESG-LTI represents the second component of long-term variable remuneration.
The ESG-LTI is a variable remuneration element in the form of a forward-looking performance cash plan in annual
tranches, which is supplemented by an obligation of members of the Board to purchase and hold shares. Each
tranche of the ESG-LTI has a term of four years. A tranche begins on January 1 of the granting fiscal year and ends
at the end of December 31 of the third year following the granting fiscal year (“ESG performance period”). In the
2024 remuneration report, the ESG LTI with the ESG performance period 2021-2024 is regarded as remuneration
granted. The Company understands the term “grant” in Section 162 German Stock Corporation Act (AktG) to mean
that the ESG LTI is to be reported whose ESG performance period has expired in the fiscal year and which was
therefore fully earned at the end of the fiscal year.
NORMA Group SE – Annual Report 2024 239
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
> REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
The amount paid out from the ESG-LTI depends on the achievement of environmental, social and prudent
corporate governance goals, so-called “ESG goals.” ESG objectives can be, for example: Reducing greenhouse gas
emissions, increasing workforce satisfaction, increasing customer satisfaction, reducing workplace accidents, and
increasing sustainability. For the ESG-LTI 2021–2024 to be reported in this Remuneration Report, the Supervisory
Board has set the following targets: a reduction in CO2 emissions from 50,455 tons in 2020 to 42,000 tons in 2024
for the years 2021, 2022, and 2023. CO2 emissions for the target value are reported in accordance with the GHG
Protocol (market-based, Scope 1 and Scope 2). Scope 1 includes only emissions from natural gas and liquefied
petroleum gas (LPG), while Scope 2 covers emissions from purchased electricity and district heating. When
recording emissions, only emissions relating to the production sites are taken into account. Since January 2022,
NORMA Group has purchased electricity from renewable energies at all production sites. NORMA Group
purchases “Energy Attribute Certificates” for this purpose. These are also included in the target value.
Through the purchase of Energy Attribute Certificates (EACs), CO2 emissions were reduced to the respective target
values of CO2 equivalents, thus achieving 100% of the target for 2021, 2022, and 2023. The reduction target of
42,000 tons of CO2 equivalents by 2024 was achieved ahead of schedule. For the 2024 tranche, the Supervisory
Board has therefore reformulated the ESG target: reducing local CO2 emissions emitted at NORMA Group sites by
around 1,000 tons of CO2 equivalents (equivalent to approximately 2%) through energy-saving measures and the
installation of solar systems. This target was achieved, primarily through the installation of five solar systems. This
means that the target achievement in 2024 will be 100%.
The target amount of the ESG-LTI is 20% of the fixed annual salary. The payout amount is limited to a maximum of
100% of the target amount. The payout amount from the ESG-LTI is due for payment at the end of the month
following the month in which the Supervisory Board approved the Company’s Consolidated Financial Statements
for the granting fiscal year. The Company can pay out the payout amount from the ESG-LTI in cash or in shares in
the Company. In the case of a cash payment, the members of the Management Board are obliged to purchase
shares in the Company for the entire net amount paid out and to retain ownership of these for a period of one year
(“obligation to purchase and retain shares”). The Company’s Supervisory Board may decide at its reasonable
discretion to issue shares in the Company in whole or in part in lieu of a cash payment. In this case, the members
of the Management Board are also obliged to hold 100% of the shares issued for a period of one year. As a result,
100% of the net payout amount from the ESG bonus must be invested in shares of the Company and be held for a
period of one year. Figure G029 clarifies the mechanism of the ESG-LTI.
NORMA Group SE – Annual Report 2024 240
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
> REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Mechanism of the ESG-LTI
G029
The cases described with regard to the STI for a resignation during an ongoing performance period apply
accordingly. In the event of extraordinary events or developments, the acquisition or sale of a part of a company,
for example, the Supervisory Board is entitled to temporarily and appropriately adjust the plan conditions of the
ESG-LTI at its reasonable discretion. The same applies if changes in the accounting regulations applicable to the
Company have a significant impact on the parameters relevant for the calculation of the ESG-LTI and in the event
that a fiscal year is less than twelve months long (short fiscal year).
The ESG LTI 2021-2024 resulted in a payout of EUR 79 thousand for CFO Annette Stieve and EUR 75 thousand
for the former Management Board members Dr. Michael Schneider and EUR 59 thousand for Dr. Friedrich Klein.
Chairman of the Management Board Guido Grandi and COO Dr. Daniel Heymann have not yet participated in the
ESG-LTI 2021-2024. Management Board members are obliged under the terms of the plan to invest 100% of the
payout amount from the ESG LTI in shares in the Company.
NORMA Group SE – Annual Report 2024 241
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
> REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Disclosure of shares and share options granted or promised within the meaning of Section 162 (1) No. 3
German Stock Corporation Act (AktG) as part of the long-term incentives (LTI)
The following table provides an overview of the shares held by the members of the Management Board as a result
of the purchase obligation in previous years:
NOVA-Bonus / LTI
T068
Balance at
the
beginning of
the fiscal
year
Shares
granted in
the fiscal
year
Retention
period
expired in
the fiscal
year
Balance at
the end of
the fiscal
year
Duration of
the existing
holding
period until
Guido Grandi
NOVA-LTI 2021–2023 (payout in 2024)
–
–
–
–
Dr. Daniel Heymann
NOVA-LTI 2021–2023 (payout in 2024)
–
–
–
–
Annette Stieve
NOVA-LTI 2018–2020 (payout in 2021)
153
–
–
153
July 2025
NOVA-LTI 2019–2021 (payout in 2022)
–
–
–
–
NOVA-LTI 2020–2022 (payout in 2023)
–
–
–
–
NOVA-LTI 2021-2023 (payout in 2024)
–
–
–
–
ESG-LTI 2020-2023 (payout in2024)
–
–
–
–
Dr. Michael Schneider
NOVA-LTI 2017–2019 (payout in 2020)
2,158
2,158
–
NOVA-LTI 2018–2020 (payout in 2021)
852
852
May 2025
NOVA-LTI 2019–2021 (payout in 2022)
–
–
–
–
NOVA-LTI 2020–2022 (payout in 2023)
–
–
–
–
NOVA-LTI 2021-2023 (payout in 2024)
–
–
–
–
ESG-LTI 2020–2023 (payout in 2024)
–
–
–
–
Dr. Friedrich Klein
NOVA-LTI 2017–2019 (payout in 2020)
1,175
1,175
–
NOVA-LTI 2018–2020 (payout in 2021)
810
810
May 2025
NOVA-LTI 2019–2021 (payout in 2022)
–
–
–
–
NOVA-LTI 2020–2022 (payout in 2023)
–
–
–
–
NOVA-LTI 2021-2023 (payout in 2024)
–
–
–
–
ESG-LTI 2020–2023 (payout in 2024)
–
–
–
–
The net payout from the ESG LTI 2020-2023 made in 2024 should have been used to acquire shares in Norma
Group SE. As this acquisition did not take place, the Supervisory Board demanded repayment of the corresponding
payments.
The acquisition of shares from the ESG-LTI 2021-2024 will only take place in the future; therefore these shares will
only be shown in the future.
NORMA Group SE – Annual Report 2024 242
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
> REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Maximum Remuneration and Compliance with Maximum Remuneration
The total remuneration to be granted for a fiscal year (total of all remuneration amounts granted for the fiscal year
in question, including the fixed annual salary, variable remuneration components, pension expenses (service costs)
and fringe benefits) of the members of the Management Board – regardless of whether it is paid out in this fiscal
year or at a later date – is capped in absolute terms (“maximum remuneration”). The maximum remuneration
pursuant to Section 87a (1) 1 Sentence 2 No. 1 German Stock Corporation Act (AktG) is EUR 3,900,000 for the
Chairman of the Management Board and EUR 2,500,000 for each of the other Management Board members. If the
total remuneration calculated for a fiscal year exceeds the maximum remuneration, the payout amount from the
LTI is reduced so that the maximum remuneration is observed. If necessary, the Supervisory Board is permitted, at
its due discretion, to reduce other remuneration components or demand reimbursement of remuneration already
paid. Irrespective of the specified maximum remuneration, the payment amounts of the individual variable
remuneration components are also limited in relation to the fixed annual salary.
The remuneration granted for fiscal year 2024 remained within the target and the maximum payout is below the
maximum remuneration.
Reclaiming variable remuneration components in the reporting year
The Company is entitled to adjust and reclaim the payment amounts from the variable remuneration at its due
discretion if the audited Consolidated Financial Statements and/or the basis for determining other targets on which
the calculation of the variable remuneration is based need to be corrected retrospectively because they prove to be
objectively incorrect, and the error has led to an incorrect calculation of the variable remuneration (“Performance
Clawback”) In the 2024 fiscal year, the Supervisory Board did not reclaim any remuneration due to a performance
clawback.
In addition to the possibility of claiming a performance clawback, the Supervisory Board is obliged to reclaim
payments from the LTI and/or ESG LTI if Management Board members do not comply with the obligation to
purchase shares from the NOVA LTI and/or ESG LTI. In the 2024 fiscal year, the Supervisory Board had to reclaim
all net payout amounts paid out on the basis of the ESG LTI 2020-2023, as the Management Board members who
received a payout amount from the ESG LTI 2020-2023 had not complied with the share purchase obligation in
good time. The total amount recovered was EUR 139 thousand.
The assertion of claims for damages in accordance with Section 93 German Stock Corporation Act (AktG) remains
unaffected by a clawback case.
Remuneration of the Management Board in fiscal year 2024
In accordance with Section 162 (1) Sentence 1 German Stock Corporation Act (AktG), the remuneration report
must report on the remuneration granted and owed to each individual member of the Management Board in the
last fiscal year. The terms are based on the following understanding:
•
The term “granted” covers “the actual inflow of the remuneration component.”
•
The term “owed” covers “all legally existing liabilities for remuneration components that are due but have not
yet been fulfilled.”
NORMA Group SE – Annual Report 2024 243
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
> REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
The following table shows the actual remuneration paid to the Management Board members in the 2024 fiscal
year. Accordingly, in the 2024 fiscal year
•
the basic salary paid in the 2024 fiscal year,
•
the fringe benefits
•
the STI to be paid out at the beginning of the 2025 fiscal year for the 2024 fiscal year for which the underlying
activity has been fully performed,
•
the NOVA LTI to be paid out at the beginning of the 2025 fiscal year for the 2024 fiscal year for which the
underlying activity has been fully performed, and
•
the ESG LTI paid out at the beginning of the fiscal year 2025 for the 2021-2024 performance period for which
the underlying activity has been fully performed,
shall be granted as remuneration.
As the Company was not in arrears with the payment of remuneration components, no remuneration owed is
shown in the table.
The relative proportions shown in the table relate to the remuneration components “granted and owed” in the
respective fiscal year in accordance with Section 162 (1) Sentence 2 German Stock Corporation Act (AktG).
Remuneration of the active members of the Management Board for the fiscal year 2024 in accordance with
Section 162 German Stock Corporation Act (AktG)
The remuneration granted and owed to the active members of the Management Board is made up as follows:
Management Board remuneration granted and owed pursuant to
Sec. 162 (1) sentence 2 no. 1 German Stock Corporation Act (AktG)
T069
Type of remuneration
Guido Grandi
(since June 1, 2023)
Dr. Daniel Heymann
(since May 1, 2023)
Annette Stieve1
Total
2024
2023
2024
2023
2024
2023
2024
2023
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in EUR
thou-
sands
Fixed remuneration
550
62.4
321
63.6
360
61.1
240
62.3
450
59.4
410
59.3
1.360
971
Fringe benefits
30
3.4
17
3.4
28
4.8
18
4.7
28
3.7
26
3.8
86
61
Total
580
65.8
338
66.9
388
65.9
258
67.0
478
63.1
436
63.1
1.446
1.032
One-year variable
remuneration (STI)
302
34.2
167
33.1
201
34.1
127
33.0
201
26.5
191
27.6
704
485
Multi-year variable
remuneration:
NOVA-LTI
–
–
–
–
–
–
–
–
–
–
–
–
–
0
ESG-LTI
–
–
–
–
–
–
–
–
79
10.4
64
9.3
79
64
Total
302
34.2
167
33.1
201
34.1
127
33.0
280
36.9
255
36.9
783
549
Total remuneration
882
100.0
505
100.0
589
100.0
385
100.0
758
100.0
691
100.0
2.229
1.581
1_Annette Stieve repaid the net payout amount from the ESG-LTI 2020–2023 to the company because she did not fulfill the share purchase obligation under the ESG-LTI in a timely manner.
NORMA Group SE – Annual Report 2024 244
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
> REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
The benefits that have been promised to the members of the Management Board in the event of the regular
termination of their activity (cf. Section 162 [2] No. 3 German Stock Corporation Act [AktG]) are distributed among
the individual Management Board members as shown in the following table.
Overview of the promised pensions of the Board members
T070
Guido Grandi
(since June 1, 2023)
Dr. Daniel
Heymann (since
May 1, 2023)
Annette Stieve
Miguel Ángel López
Borrego (January 1
until May 31,2023)1
Dr. Friedrich Klein
(until April 30,2023)
Dr. Michael
Schneider
(until Dec 31, 2022)
Total
in EUR thousands
2024
2023
2024
2023
2024
2023
2024
2023
2024
2023
2024
2023
2024
2023
Present value of pension
–
–
–
–
–
–
–
–
–
–
–
–
–
–
Expended amount
180
105
120
80
165
165
–
–
–
69
–
–
465
419
1_Interim CEO activity from 1 January to 31 May 2023; the office as a member of the Supervisory Board was suspended during this period.
The defined benefit obligation of pension commitments to prior members of the Management Board and their
dependents was EUR 7,106 thousand as of December 31, 2024 (2023: EUR 7,186 thousand).
NORMA Group SE – Annual Report 2024 245
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
> REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Remuneration of former members of the Management Board for the fiscal year 2024 in accordance with
Section 162 German Stock Corporation Act (AktG)
The variable remuneration (STI, NOVA-LTI and ESG-LTI) is presented – as for the members of the Management
Board active at the end of the fiscal year – as remuneration granted and owed in the fiscal year in which the
activity on which the remuneration is based was performed in full in accordance with Section 162 (1) Sentence 2
No. 1 German Stock Corporation Act (AktG).
The remuneration granted and owed to former members of the Management Board is made up as follows:
Management Board remuneration granted and owed pursuant to
Sec. 162 (1) sentence 2 no. 1 German Stock Corporation Act (AktG)
T071
Type of remuneration
Miguel Ángel López Borrego
(January 1 until May 31, 2023)1
Dr. Friedrich Klein
(until April 30, 2023)2
Dr. Michael Schneider
(until Dec 31, 2022)
Total
2024
2023
2024
2023
2024
2023
2024
2023
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in EUR
thou-
sands
Fixed remuneration
–
–
250
65.6
–
–
396
58.7
–
–
300
52.4
–
946
Fringe benefits
–
–
12
3.1
–
–
9
1.3
–
–
24
4.2
–
45
Total
–
–
262
68.8
–
–
405
60.0
–
–
324
56.6
–
991
One-year variable
remuneration (STI)
–
–
119
31.2
–
–
191
28.3
–
–
143
25.0
–
453
Multi-year variable
remuneration:
NOVA-LTI
–
–
–
–
–
–
–
–
–
–
–
–
–
–
ESG-LTI
–
–
–
–
59
100.0
793
11.7
75
100.0
1054
18.4
134
184
Total
–
–
119
31.2
59
100.0
270
40.0
75
100.0
248
43.4
134
637
Total remuneration
–
–
381
100.0
59
100.0
675
100.0
75
100.0
572
100.0
134
1.628
1_Interim CEO activity from January 1 to May 31, 2023; the office as a member of the Supervisory Board was suspended during this time.
2_Dr. Klein: The table above contains the compensation for the period from January 1, 2023, to April 30, 2023; for the period from May 1, 2023, to December 31, 2023, the total compensation amounts to EUR 410,000 and is broken down as follows:
fixed compensation of EUR 264,000, fringe benefits of EUR 6,000, one-year variable compensation of EUR 127,000, and multi-year variable compensation of EUR 13,000.
3_Dr. Klein repaid the net payout amount from the ESG-LTI 2020–2023 to the company because he did not fulfill the share purchase obligation under the ESG-LTI in a timely manner.
4_Dr. Schneider repaid the net payout amount from the ESG-LTI 2020–2023 to the company because he did not fulfill the share purchase obligation under the ESG-LTI in a timely manner.
Verification of the appropriateness of Management Board remuneration
The Supervisory Board reviews the appropriateness of Management Board remuneration at relevant decision-making
times, in particular, with regard to whether the amount of Management Board remuneration is appropriate from a legal
perspective within the meaning of Section 87 (1) German Stock Corporation Act (AktG). The Supervisory Board also
seeks external advice to assess the appropriateness of Management Board remuneration and pensions. From a
Company-external perspective, the relationship between the amount and structure of Management Board remuneration
and the remuneration of senior management and the workforce as a whole is evaluated (vertical comparison). In addition
to a status quo consideration, the vertical comparison also takes the development of remuneration ratios over time into
account. On the other hand, the amount and structure of remuneration are evaluated based on the positioning of
NORMA Group in a peer group (horizontal comparison). In addition to the fixed remuneration, the horizontal comparison
also includes the short and long-term remuneration components as well as the amount of the fringe benefits and
company pension scheme. The peer group was carefully chosen by the Supervisory Board to avoid an automatic upward
trend in remuneration.
NORMA Group SE – Annual Report 2024 246
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
> REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Remuneration of the Supervisory Board
Remuneration system for the members of the Supervisory Board
The remuneration system for the members of the Supervisory Board was approved by the Annual General
Meeting on May 20, 2021, in accordance with Section 113 (2) Sentences 1 and 2 German Stock Corporation
Act (AktG) by receiving 100.00% of the votes. The remuneration system is intended to contribute to
promoting the business strategy and the long-term development of NORMA Group. The remuneration of the
Supervisory Board takes both the structure and the amount of the requirements for the office of a member of
the Supervisory Board of NORMA Group SE into account, in particular the associated time expenditure and
the associated responsibility.
The aim of the remuneration system is to provide remuneration that is commensurate with the tasks of the
Supervisory Board members and the situation of NORMA Group. It should also be comparable in amount to
the remuneration of Supervisory Board members of comparable listed companies. The remuneration makes it
possible to find suitable and qualified candidates for the position as a member of the Supervisory Board. The
remuneration of the Supervisory Board thus contributes to the Supervisory Board being able to carry out its
duties of monitoring and advising the Management Board properly and competently. The restriction to fixed
remuneration also takes these tasks of the Supervisory Board into account. The restriction creates an
incentive for the members of the Supervisory Board to appropriately question the management by the
Management Board when performing their monitoring and advisory tasks, without focusing primarily on the
development of operational indicators. Together with the Management Board, the Supervisory Board thus
promotes the business strategy and the long-term development of NORMA Group. The restriction to a fixed
salary also corresponds to suggestion G.18 sentence 1 of the German Corporate Governance Code in the
version of April 28, 2022.
Remuneration components
The members of the Supervisory Board receive fixed remuneration, an attendance fee and a committee
remuneration.
Fixed remuneration
The remuneration of the Supervisory Board members consists of a fixed remuneration; this amounts to EUR
50,000 per fiscal year for each Supervisory Board member, EUR 75,000 for the Deputy Chairwoman of the
Supervisory Board and EUR 100,000 for the Chairman of the Supervisory Board. The fixed annual remuneration is
reduced pro rata temporis if a member does not belong to the Supervisory Board for the full fiscal year or does not
hold the position of Chair or Deputy Chair for the full fiscal year.
Remuneration for serving on a committee of the Supervisory Board
In addition, the chairpersons of the Audit, General and Nomination committees each receive remuneration of
EUR 25,000 per fiscal year, and the chairpersons of another committee receive EUR 15,000. Members of a
Supervisory Board committee receive additional annual remuneration of EUR 10,000 per committee, capped
at EUR 20,000 per fiscal year (“maximum amount”) for committee members only. This maximum amount
does not take the remuneration for chairing committees into account. Committee membership remuneration
is in addition to any committee chair remuneration. Against this backdrop, the remuneration of the members
of the Supervisory Board also corresponds to recommendation G. 17 of the German Corporate Governance
NORMA Group SE – Annual Report 2024 247
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
> REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Code in the version of April 28, 2022, according to which the higher time required for the Chairman and the
Deputy Chairman of the Supervisory Board as well as the Chairman and the members of committees should
be appropriately taken into account. The fixed annual remuneration is reduced pro rata temporis if a member
does not serve on a committee for the full fiscal year or does not serve as chair or vice-chair for the full fiscal
year.
Attendance fee
In addition, the members of the Supervisory Board receive an attendance fee of EUR 1,000 for each meeting of the
Supervisory Board that they attend. Committee members also receive an attendance fee of EUR 1,000 for each
meeting they attend. For several meetings of the same body (the plenary session or the respective committee of
the Supervisory Board) that take place on one day, the attendance fee is only paid once.
Procedures for determining, implementing and reviewing the remuneration system
The Annual General Meeting determines the remuneration of the Supervisory Board based on a proposal by the
Management Board and the Supervisory Board in the Articles of Association or by resolution. The remuneration of
the Supervisory Board was determined by resolution of the Annual General Meeting on May 20, 2022.
Pursuant to Section 113 (3) German Stock Corporation Act (AktG) as amended by ARUG II, the Annual General
Meeting must decide on the remuneration system for the members of the Supervisory Board at least every four
years. In preparation for the resolution of the Annual General Meeting, the Management Board and Supervisory
Board each examine whether the Supervisory Board remuneration, in particular with regard to its amount and
structure, continues to be in the interest of NORMA Group SE and is appropriate. To this end, the Supervisory
Board can also carry out a horizontal market comparison. If necessary, the Management Board and Supervisory
Board will propose a suitable adjustment to the remuneration at the Annual General Meeting. The General and
Nomination Committee can prepare the deliberations and resolutions of the Supervisory Board on Supervisory
Board remuneration.
NORMA Group SE – Annual Report 2024 248
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
> REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Remuneration of the Supervisory Board for fiscal year 2024
The remuneration for Supervisory Board work for fiscal year 2024 will be paid on the day after the 2025 Annual
General Meeting as follows:
Remuneration granted and owed pursuant to Section 162 (1) sentence 2 No. 1 German Stock Corporation Act (AktG)
T072
Type of
remuneration
Mark Wilhelms
Erika Schulte
Dr. Markus Distelhoff
(since May 12, 2023)
Rita Forst
2024
2023
2024
2023
2024
2023
2024
2023
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
Fixed remuneration
145
88,4
127
88,2
95
86,4
95
87,2
60
85,7
38
86,4
85
85,0
81
86,2
Attendance fees
19
11,6
17
11,8
15
13,6
14
12,8
10
14,3
6
13,6
15
15,0
13
13,8
Total
remuneration
164
100,0
144
100,0
110
100,0
109
100,0
70
100,0
44
100,0
100
100,0
94
100,0
Type of
remuneration
Denise Koopmans
(since 12. Mai 2023)
Kerstin Müller-Kirchhofs
(since September 9, 2024)1
Miguel Ángel López Borrego
(June 1, 2023 - June 16, 2024)1
Günter Hauptmann
(until May 11, 2023)
2024
2023
2024
2023
2024
2023
2024
2023
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
Fixed remuneration
60
82,2
38
84,4
25
86,2
–
–
39
86,7
50
87,7
–
–
48
88,9
Attendance fees
13
17,8
7
15,6
4
13,8
–
–
6
13,3
7
12,3
–
–
6
11,1
Total
remuneration
73
100,0
45
100,0
29
100,0
–
–
45
100,0
57
100,0
–
–
54
100,0
1_Court-appointed since September 9, 2024.
Type of
remuneration
Dr. Knut J. Michelberger
(until May 11, 2023)
Total
2024
2023
2024
2023
in EUR
thou-
sands
in %
in EUR
thou-
sands
in %
in EUR
thou-
sands
in EUR
thou-
sands
Fixed remuneration
–
–
25
73,5
509
502
Attendance fees
–
–
9
26,5
82
79
Total
remuneration
–
–
34
100,0
591
581
The figures in the “2023” columns relate to the remuneration for fiscal year 2023, which was paid in fiscal year
2024.
In fiscal year 2024, no remuneration was paid to members of the Supervisory Board for services rendered
personally (in particular consulting and brokerage services). In addition, the Supervisory Board is reimbursed for
travel expenses incurred in connection with the fulfillment of its official duties for the Company.
NORMA Group SE – Annual Report 2024 249
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
> REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Comparative presentation of the annual change within the meaning of Section 162 (1) Sentence 2
No. 2 German Stock Corporation Act (AktG) (“vertical comparison”)
The provision of Section 162 (1) Sentence 2 No. 2 German Stock Corporation Act (AktG) requires a comparative
presentation of the annual change in the remuneration of the Management Board and the Supervisory Board, the
development of earnings of the Company and the average remuneration of the employees on a full-time
equivalent basis. The annual change was determined as follows:
•
The earnings development of the Company was based on the annual result according to the profit and loss
account. Since NORMA Group SE is the parent company of the Group and the variable remuneration of the
Management Board is based, among other aspects, on Group earnings figures (e.g. adjusted Group EBIT), this
figure was also included in the comparative presentation.
•
The determination of the change in the average remuneration of employees on a full-time equivalent basis was
based on the entire workforce in Germany (excluding the Management Board) on the one hand and on the
collectively bargained employees in Germany on the other, since this data is comparable with the other
remuneration due to the legal and social security framework.
•
For the sake of completeness, it should be mentioned that the remuneration data for 2020 was influenced by
both short-time work and executive pay cuts.
NORMA Group SE – Annual Report 2024 250
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
> REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
The annual changes for the years 2021 to 2024 are as follows:
Comparative presentation of the annual change (so-called vertical comparison)
pursuant to Section 162 (1) sentence 2 No. 2 German Stock Corporation Act (AktG)
T073
Group of persons / yield variables
Change
2024 to 2023
Change
2023 to 2022
Change
2022 to 2021
Change
2021 to 2020
Members of governing bodies in office as of Dec 31, 2024
a) Management Board
Guido Grandi (since June 1, 2023 until February 17, 2025)1
74.1 %
n/a
n/a
n/a
Dr. Daniel Heymann (since May 1,2023)
52.5 %
n/a
n/a
n/a
Annette Stieve (since October 1, 2020)
7.8 %
17.7 %
-2.0 %
243.5 %
b) Aufsichtsrat
Mark Wilhelms2
13.8 %
48.0 %
20.2 %
29.6 %
Erika Schulte
0.9 %
-6.8 %
12.5 %
9.5 %
Dr. Markus Distelhoff (since May 12, 2023)
57.4 %
n/a
n/a
n/a
Rita Forst
5.9 %
11.1 %
4.9 %
27.0 %
Denise Koopmans (since May 12, 2023)
60.6 %
n/a
n/a
n/a
Kerstin Müller-Kirchhofs (since September 9, 2024)3
n/a
n/a
n/a
n/a
Former Board members
a) Management Board
Miguel Ángel López Borrego (January 1 until May 31, 2023)4
n/a
n/a
n/a
n/a
Dr. Friedrich Klein (until April 30, 2023)
-93.3 %
-66.9 %
3.1 %
-8.1 %
Dr. Michael Schneider (until December 31, 2022)
-86.9 %
-67.5 %
2.0 %
-20.6 %
b) Supervisory Board
Miguel Ángel López Borrego (since March 16, 2021)
-20.8 %
-26.2 %
36.5 %
k. A.
Günter Hauptmann (until May 11, 2023)
n/a
-64.9 %
17.1 %
38.8 %
Dr. Knut J. Michelberger (until May 11, 2023)
n/a
-70.0 %
7.2 %
11.6 %
Earnings indicators
Annual result for NORMA Group SE
288.4 %
-41.5 %
– 46.8 %
698.9 %
Adjusted EBIT NORMA Group [Group]
-5.3 %
-1.5 %
– 13.0 %
151.3 %
Average remuneration of employees on a full-time equivalent basis
Total workforce in Germany (excluding the Management Board)
1.3 %
5.3 %
5.6 %
8.4 %
Pay scale employees in Germany
-2.9 %
7.2 %
5.6 %
8.9 %
1_Mr. Guido Grandi resigned from his position as Chairman of the Management Board and Chairman of the Management Board effective February 17, 2025.
2_Assumption of interim CEO duties effective February 18, 2025; his previous Supervisory Board mandate will be suspended during his interim CEO duties for a maximum transitional period of one year
until February 17, 2026.
3_Court-appointed member of the Supervisory Board effective September 9, 2024; member and Chair of the Audit Committee since September 20, 2024; interim Chair of the Supervisory Board since
February 18, 2025.
4_Interim CEO duties.
NORMA Group SE – Annual Report 2024 251
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
> REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Takeover-relevant information
An overview of the information required under Section 315a (1) and Section 289a (1) German Commercial Code
(HGB) is presented below:
NORMA Group SE’s share capital totaled EUR 31,862,400.00 on December 31, 2024. It is divided into 31,862,400
shares with no par value and a notional value of EUR 1. Each share entitles the bearer to one vote. There are no
other classes of shares. NORMA Group SE holds no treasury shares.
The Management Board of NORMA Group SE is not aware of any restrictions affecting voting rights or the transfer
of shares or any agreements between shareholders which could result in such restrictions.
There are no direct or indirect capital holdings exceeding one tenth of the voting rights other than those voting
rights listed in the Notes to the Consolidated Financial Statements.
There are no shares in NORMA Group SE that confer special control rights to the holder.
There are no employee share plans through which employees can acquire shares of NORMA Group SE. Employees
with shareholdings in NORMA Group SE exercise control rights in the same way as other shareholders in
accordance with applicable legislation and the Articles of Association.
Management Board members are appointed and dismissed in accordance with Section 84 et seq. of the German
Stock Corporation Act (AktG). The Articles of Association of NORMA Group SE do not contain any provisions
related to this issue that contradict the applicable legislation. The Supervisory Board is responsible for determining
the concrete number of members on the Management Board. It can nominate a Chairman and Vice Chairman of
the Management Board or a Management Board spokesperson and a deputy spokesperson.
Changes to the Articles of Association are to be decided on by the Annual General Meeting in accordance with
Section 179 (1) German Stock Corporation Act (AktG). In accordance with Section 179 (1) Sentence 2 German
Stock Corporation Act (AktG), the Annual General Meeting can authorize the Supervisory Board to make changes
which affect only the wording of the Articles of Association. The Annual General Meeting of NORMA Group SE has
made use of this option: In accordance with Section 14 (2) of the Articles of Association, the Supervisory Board is
authorized to adopt amendments to the Articles of Association that only affect their wording. In accordance with
Article 20 sentence 3 of the Articles of Association, a simple majority of votes submitted is sufficient for a
resolution on changing the Articles of Association if at least half of the share capital is represented when the
resolution is adopted and a different majority is not required under the law.
The Supervisory Board is authorized to amend the wording of sections 4 and 5 of the Articles of Association in line
with the issue of new shares from Authorized Capital 2020 and, if Authorized Capital 2020 has not been used or
not used in full by June 29, 2025, after expiry of the authorization.
NORMA Group SE – Annual Report 2024 252
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
252 REMUNERATION REPORT
2024
> TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
The Supervisory Board is authorized to amend the wording of Articles 4 and 6 of the Articles of Association to
reflect the issue of new shares from the Authorized Capital 2020. The same shall apply insofar as the
authorization to issue convertible bonds, bonds with warrants and / or profit participation rights with or without
conversion or option rights or conversion or option obligations in accordance with the resolution of the Annual
General Meeting of June 30, 2020 is not exercised during the term of the authorization or the corresponding option
or conversion rights or option or conversion obligations lapse due to the expiry of exercise periods or in any other
way.
Shares may be redeemed without the redemption or its implementation requiring a further resolution by the
Annual General Meeting. The retirement of shares generally leads to a reduction in capital. However, the
Management Board may, in derogation of this, determine that the capital stock shall remain unchanged upon
redemption and that instead the redemption shall increase the proportion of the capital stock represented by the
remaining shares in accordance with Sentence 8 (3) German Stock Corporation Act (AktG). In this case, the
Management Board and Supervisory Board are authorized to adjust the number of shares stated in the Articles of
Association.
Authorized capital
In accordance with the resolution passed at the Annual General Meeting on June 30, 2020, the Management
Board is authorized, with the Supervisory Board’s consent, to increase the Company’s share capital once or
repeatedly by up to a total of EUR 3,186,240 on or before June 29, 2025 (including that day) by issuing up to
3,186,240 new registered shares against cash and/or non-cash contributions (Authorized Capital 2020). The
Management Board is authorized, with the Supervisory Board’s consent, to exclude shareholders’ subscription
rights wholly or in part, once or repeatedly, in certain cases for capital increases under the Authorized Capital.
Conditional capital
In accordance with the resolution passed by the Annual General Meeting on June 30, 2020, the Management
Board is authorized, with the Supervisory Board’s consent, to issue once or repeatedly on or before June 29, 2025
(including that day) bearer or registered convertible bonds and / or bonds with warrants and / or participation
rights carrying a conversion or option right and / or conversion or option obligation (or a combination of these
instruments) in a total nominal amount of up to EUR 200,000,000 with or without a limited maturity term
(hereinafter collectively referred to as “bonds” and to grant the creditors of bonds conversion / option rights and / or
conversion / option obligations to subscribe to a total of up to 3,186,240 new registered shares of NORMA Group
SE with a pro rata amount of the share capital of a total of up to EUR 3,186,240 in accordance with the terms and
conditions of the bonds.
The share capital of the Company is conditionally increased by up to EUR 3,186,240 through the issuance of up to
3,186,240 new registered shares (Conditional Capital 2020). The purpose of the Conditional Capital 2020 is to
issue shares to the creditors of convertible bonds and / or bonds with warrants and / or participation rights
carrying a conversion / option right and / or a conversion / option obligation, which will be issued based on the
authorizations granted by the Annual General Meeting of the Company on June 30, 2020, by NORMA Group SE or
companies in which NORMA Group SE directly or indirectly holds a majority of the votes and the capital.
NORMA Group SE – Annual Report 2024 253
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
252 REMUNERATION REPORT
2024
> TAKEOVER-RELEVANT
INFORMATION
254 REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
Authorization to acquire treasury shares
Pursuant to the resolution of the Annual General Meeting on June 30, 2020, NORMA Group SE is authorized to
acquire up to a total of 10% of the share capital of NORMA Group SE at the time at which the resolution is
adopted or – in the event that this value is lower – at the time that the authorization is exercised, for any
permissible purpose by June 29, 2025 (including that day). The Management Board is authorized to use shares of
the Company for any legal purpose. The shareholders’ acquisition right to these treasury shares is thereby
excluded in certain cases.
NORMA Group SE is authorized to acquire its own shares also by using derivatives such as put options, call
options, forward purchases or a combination of these instruments and to conduct corresponding derivative
transactions. The acquisition of shares using derivatives is limited to a number of shares that does not exceed a
proportionate amount of 5% of the share capital existing at the time of the resolution.
NORMA Group’s financing agreements, including the contracts for the promissory notes, include the typical
Change of Control Clause. In the event of a takeover by a third party, the possibility that NORMA Group would not
be able to finance itself at similarly favorable terms and conditions cannot be ruled out.
Report on Transactions with Related Parties
In fiscal year 2024, there were no reportable transactions with related parties.
NORMA Group SE – Annual Report 2024 254
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
46 PRINCIPLES OF THE
GROUP
69 ECONOMIC REPORT
194 MANAGEMENT REPORT
OF NORMA GROUP SE
(HGB)
202 FORECAST REPORT
210 RISK AND OPPORTUNITY
REPORT
252 REMUNERATION REPORT
2024
252 TAKEOVER-RELEVANT
INFORMATION
> REPORT ON
TRANSACTIONS WITH
RELATED PARTIES
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
CONSOLIDATED
FINANCIAL
STATEMENTS
256
Consolidated Statement of Comprehensive Income
257
Consolidated Statement of Financial Position
259
Consolidated Statement of Cash Flows
260
Consolidated Statement of Changes in Equity
261
Notes to the consolidated financial statement
373
Appendix to the Notes to the Consolidated Financial
Statements
377
Assurance of Legal Representatives
378
Independent Auditor’s Report
NORMA Group SE – Annual Report 2024 255
TP Flex tubes are made of thermoplastic
elastomer. They are lightweight and
flexible. Their material and design
properties reduce the pressure loss of the
fluid. This makes TP Flex suitable for use
in the thermal management systems of
electric vehicles.
Solutions for
Electromobility
NORMA Group's joining technology in the Mobility & New Energy business unit is used in
vehicles of all drive types. The specifics vary depending on the type. NORMA Group
addresses diverse customer requirements with its comprehensive product portfolio. For
example, in electric vehicles, automobile manufacturers are focusing primarily on weight
reduction through the use of lightweight components. – The goal is an optimized range.
CONSOLIDATED STATEMENT OF
COMPREHENSIVE INCOME
for the fiscal year from January 1 to December 31, 2024
T074
in EUR thousands
Note
2024
2023
Revenue
(8)
1,155,128
1,222,781
Changes in inventories of finished goods and work in progress
6,194
-8,166
Other own work capitalized
6,562
3,011
Raw materials and consumables used
(9)
-500,031
-549,646
Gross profit
667,853
667,980
Other operating income
(10)
17,579
19,608
Other operating expenses
(11)
-194,435
-211,799
Employee benefits expense
(12)
-337,930
-321,750
Depreciation and amortization
(18, 19)
-95,750
-77,916
Operating profit (EBIT)
57,317
76,123
Financial income
3,640
4,194
Financial costs
-26,939
-26,864
Financial costs – net
(13)
-23,299
-22,670
Profit before income tax
34,018
53,453
Income taxes
(16)
-19,227
-25,537
PROFIT FOR THE PERIOD
14,791
27,916
Other comprehensive income for the period, net of tax
Other comprehensive income that can be reclassified to profit or loss, net of tax
27,522
-22,483
Exchange differences on translation of foreign operations
(24)
28,668
-21,281
Cash flow hedges, net of tax
(21, 24)
-1,146
-1,202
Other comprehensive income that cannot be reclassified to profit or loss, net of tax
-73
-87
Remeasurements of post-employment benefit obligations, net of tax
(24, 26)
-73
-87
Other comprehensive income for the period, net of tax
27,449
-22,570
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD
42,240
5,346
Profit attributable to
Shareholders of the parent
14,696
27,832
Non-controlling interests
95
84
Total comprehensive income attributable to
Shareholders of the parent
42,159
5,293
Non-controlling interests
81
53
(Un)diluted earnings per share (in EUR)
(15)
0.46
0.87
NORMA Group SE – Annual Report 2024 256
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
> CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
CONSOLIDATED STATEMENT OF
FINANCIAL POSITION
Assets
T075
in EUR thousands
Note
Dec 31, 2024
Dec 31, 2023
Non-current assets
Goodwill
(18)
410,403
394,750
Other intangible assets
(18)
150,455
168,990
Property, plant and equipment
(19)
319,013
308,354
Other non-financial assets
(23)
1,431
1,453
Other financial assets
(21)
1,091
911
Contract assets
87
89
Derivative financial assets
(21)
4,142
4,638
Income tax assets
274
231
Deferred income tax assets
(17)
13,830
11,468
900,726
890,884
Current assets
Inventories
(22)
219,941
220,096
Other non-financial assets
(23)
20,000
25,324
Other financial assets
(21)
6,099
2,312
Derivative financial assets
(21)
844
335
Income tax assets
2,073
4,606
Trade and other receivables
(21)
159,434
184,507
Contract assets
(8)
381
7
Cash and cash equivalents
(29)
127,130
165,207
535,902
602,394
Total assets
1,436,628
1,493,278
NORMA Group SE – Annual Report 2024 257
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
> CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Equity and Liabilities
T076
in EUR thousands
Note
Dec 31, 2024
Dec 31, 2023
Equity
Subscribed capital
31,862
31,862
Capital reserve
210,323
210,323
Other reserves
33,190
5,654
Retained earnings
445,619
445,263
Equity attributable to shareholders
720,994
693,102
Non-controlling interests
376
338
Total equity
(24)
721,370
693,440
Liabilities
Non-current liabilities
Retirement benefit obligations
(26)
9,870
9,319
Provisions
(27)
6,306
4,367
Borrowings
(21)
370,283
437,313
Other non-financial liabilities
(28)
1,226
686
Contract liabilities
(8)
29
0
Lease liabilities
(20)
31,044
32,508
Deferred income tax liabilities
(17)
36,999
40,132
455,757
524,325
Current liabilities
Provisions
(27)
9,147
14,589
Borrowings
(21)
30,243
21,431
Other non-financial liabilities
(28)
44,912
38,607
Contract liabilities
(8)
854
1,052
Lease liabilities
(20)
11,387
10,108
Other financial liabilities
(21)
12,572
8,724
Derivative financial liabilities
(21)
755
544
Income tax liabilities
6,795
6,799
Trade and other payables
(21)
142,836
173,659
259,501
275,513
Total liabilities
715,258
799,838
Total equity and liabilities
1,436,628
1,493,278
NORMA Group SE – Annual Report 2024 258
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
> CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
CONSOLIDATED STATEMENT OF
CASH FLOWS
for the fiscal year from January 1 to December 31, 2024
T077
in EUR thousands
Note
2024
2023
Operating activities
Profit for the period
14,791
27,916
Depreciation and amortization
(18, 19)
95,750
77,916
Gain (-) / loss (+) on disposal of property, plant and equipment
214
484
Change in provisions
(26, 27)
-2,695
436
Change in deferred taxes
(17)
-8,306
-2,432
Change in inventories, trade account receivables and other receivables, which are not
attributable to investing or financing activities
(21, 22,
23)
44,664
23,366
Change in trade and other payables, which are not attributable to investing or financing
activities
(21, 28)
-26,670
-27,329
Change in reverse factoring liabilities
-3,219
-3,918
Payments for share-based payments
-901
-530
Interest expenses in the period
23,500
22,021
Income (-) / expenses (+) due to measurement of derivatives
-1,302
1,036
Other non-cash expenses (+) / income (-)
(29)
1,159
-54
Cash flow from operating activities
136,985
118,912
thereof interest received
2,307
1,552
thereof income taxes
-24,621
-28,324
Investing activities
Investments in property, plant and equipment and intangible assets
(18, 19)
-54,919
-60,707
Payments for acquisitions of subsidiaries, net
(29)
-9,042
0
Proceeds from the sale of property, plant and equipment
511
946
Cash flow from investing activities
-63,450
-59,761
Financing activities
Interest paid
-23,689
-19,570
Dividends paid to shareholders
(24)
-14,338
-17,524
Dividends paid to non-controlling interests
-43
0
Proceeds from borrowings
(21)
21,396
119,400
Repayment of borrowings
(21)
-84,796
-126,120
Repayment of derivatives
-67
-1,862
Repayment of lease liabilities
-12,584
-12,268
Cash flow from financing activities
(29)
-114,121
-57,944
Net change in cash and cash equivalents
-40,586
1,207
Cash and cash equivalents at the beginning of the year
165,207
168,670
Effect of foreign exchange rates on cash and cash equivalents
2,509
-4,670
Cash and cash equivalents at the end of the year
127,130
165,207
NORMA Group SE – Annual Report 2024 259
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
> CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
CONSOLIDATED STATEMENT OF
CHANGES IN EQUITY
T078
Attributable to equity holders of the parent
in EUR thousands
Note
Subscribed
capital
Capital
reserve
Other reserves
Retained
earnings
Total
Non-
controlling
interests
Total equity
Balance as of Jan 1, 2023
31,862
210,323
28,106
434,780
705,071
285
705,356
Result for the period
27,832
27,832
84
27,916
Exchange differences on translation of foreign
operations
-21,250
-21,250
-31
-21,281
Cash flow hedges, net of tax
(21)
-1,202
-1,202
-1,202
Remeasurements of post-employment benefit
obligations, net of tax
(24, 26)
-87
-87
-87
Total comprehensive income for the period
Share-based payment transactions
(25)
262
262
262
Dividends paid
(24)
-17,524
-17,524
-17,524
Total transactions with owners for the
period
Balance as of Dec 31, 2023
31,862
210,323
5,654
445,263
693,102
338
693,440
Balance as of Jan 1, 2024
31,862
210,323
5,654
445,263
693,102
338
693,440
Result for the period
14,696
14,696
95
14,791
Exchange differences on translation of foreign
operations
28,682
28,682
-14
28,668
Cash flow hedges, net of tax
(21)
-1,146
-1,146
-1,146
Remeasurements of post-employment benefit
obligations, net of tax
(24, 26)
-73
-73
-73
Total comprehensive income for the period
Share-based payment transactions
(25)
71
71
71
Dividends paid
(24)
-14,338
-14,338
-14,338
Dividends paid to non-controlling interests
-43
-43
Total transactions with owners for the
period
Balance as of Dec 31, 2024
31,862
210,323
33,190
445,619
720,994
376
721,370
NORMA Group SE – Annual Report 2024 260
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
> CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
NOTES TO THE CONSOLIDATED
FINANCIAL STATEMENTS
General information
1. Group information
NORMA Group SE is the ultimate parent company of NORMA Group. Its headquarters are located at 63477
Maintal, Edisonstrasse 4, in the vicinity of Frankfurt, Germany, and the Company is registered in the commercial
register of Hanau under the number HRB 94473. NORMA Group SE and its affiliated Group subsidiaries operate in
the market as ‘NORMA Group’.
NORMA Group SE has been listed in the Prime Standard of Frankfurt Stock Exchange’s Regulated Market since
April 8, 2011. For a detailed overview of NORMA Group SE shareholdings, please refer to the 4 APPENDIX TO THE NOTES
TO THE CONSOLIDATED FINANCIAL STATEMENTS: VOTING RIGHTS NOTIFICATIONS.
NORMA Group was established in 2006 as a result of the merger of Rasmussen GmbH and the ABA Group.
Rasmussen was founded in 1949 as Rasmussen GmbH in Germany. It manufactured connecting and retaining
elements as well as fluid conveying conduits such as monolayer and multilayer tubes and corrugated tubes. All
products were marketed globally under the NORMA brand. ABA Group was founded in 1896 in Sweden. The
Group has since developed into a leading multinational company specializing in the design and production of hose
and pipe clamps, as well as connectors for many worldwide applications.
In past decades, NORMA Group has, driven by its successful acquisitions and continuous technological innovation
with products and operations, developed into a Group of companies of global importance.
As of December 31, 2024, NORMA Group's business activities were divided into the three customer industries:
Industry Applications, Water Management and Mobility & New Energy:
•
Industry Applications (formerly primarily part of the Standardized Joining Technology (SJT) distribution
channels)
•
Water Management (formerly primarily part of the Standardized Joining Technology (SJT) distribution channel)
•
Mobility & New Energy (primarily corresponds to the Engineered Joining Technology (EJT) distribution channels
reported in the previous year)
NORMA Group markets a broad portfolio of high-quality, standardized branded products in the Industry
Applications and Water Management customer industries. In addition to joining components for infrastructure
solutions and products for the sustainable energy industry and renewable energies, this also includes numerous
solutions in the field of stormwater management and landscape irrigation. In recent years, the Group has primarily
used sales representatives, dealers and importers as multipliers in addition to its own global sales network.
NORMA Group’s customers include distributors, specialized wholesalers, do-it-yourself (DIY) stores and
applications in smaller industries, and also OEM customers.
NORMA Group SE – Annual Report 2024 261
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Mobility & New Energy includes sophisticated, individually customized joining technology and is particularly
characterized by close development partnerships with OEMs (original equipment manufacturers). NORMA Group’s
central development departments and local resident engineers work together with the customer during multi-year
project phases to develop solutions for specific industrial challenges.
2. Basis of preparation
The principal accounting policies applied in the preparation of these Consolidated Financial Statements for the
fiscal year from January 1, to December 31, 2024 are set out below. These policies have been consistently applied
to all the years presented, unless otherwise stated.
The Consolidated Financial Statements have been prepared in euros. The exchange rates used by the Group for
foreign currency translation are as follows:
Exchange rates
T079
Spot rate
Average rate
per EUR
Dec 31, 2024
Dec 31, 2023
2024
2023
Australian dollar
1.6772
1.6263
1.6399
1.6288
Brazilian real
6.4253
5.3618
5.8274
5.4018
Chinese renminbi yuan
7.5833
7.8509
7.7861
7.6587
Swiss franc
0.9412
0.9260
0.9527
0.9716
Czech koruna
25.1850
24.7240
25.1193
24.0044
British pound sterling
0.8292
0.8691
0.8466
0.8698
Indian rupee
88.9335
91.9045
90.5401
89.3040
Japanese yen
163.0600
156.3300
163.8529
151.9021
South Korean won
1,532.1500
1,433.6600
1,475.4529
1,413.2366
Malaysian ringgit
4.6454
5.0775
4.9496
4.9310
Mexican peso
21.5504
18.7231
19.8091
19.1894
Polish złoty
4.2750
4.3395
4.3053
4.5418
Serbian dinar
116.4004
116.8120
116.6771
116.8522
Russian ruble
114.9650
99.9080
100.3838
92.3323
Swedish krona
11.4590
11.0960
11.4350
11.4736
Singapore dollar
1.4164
1.4591
1.4457
1.4522
Thai baht
35.6760
37.9730
38.1682
37.6218
Turkish lira
36.7372
32.6531
35.5724
25.7628
US dollar
1.0389
1.1050
1.0821
1.0815
Unless indicated otherwise, all amounts are stated in thousands of euros (EUR thousands). All amounts have been
rounded. Therefore, in individual cases, differences in the order of 1 thousand euros may arise when adding
individual values to the total value.
The Consolidated Financial Statements of NORMA Group have been prepared in accordance with International
Financial Reporting Standards (IFRS) and the supplementary interpretations as applicable in the EU as well as
NORMA Group SE – Annual Report 2024 262
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
with the regulations under commercial law as set forth in Section 315e of the German Commercial Code
[Handelsgesetzbuch, HGB for the fiscal year ended December 31, 2024.
The Consolidated Statement of Comprehensive Income has been prepared in accordance with the total cost
method.
The Consolidated Financial Statements of NORMA Group SE were prepared by the Management Board on
March 18, 2025 released for publication and forwarded to the Supervisory Board for review and approval.
The Consolidated Financial Statements of NORMA Group are being filed and published in the Company Register.
The preparation of financial statements in conformity with IFRS (EU) requires the Management Board to use
certain accounting estimates. It is also required to exercise its judgment in the process of applying the Group’s
accounting policies. Disclosures regarding areas involving a higher degree of judgment or complexity and areas in
which assumptions and estimates play a material role in the Consolidated Financial Statements can be found in
4 NOTE 6 ACCOUNTING ESTIMATES AND JUDGMENTS.
Accounting standards applied for the first time in the current fiscal year
The Group has applied the following standards and amendments for the first time: None of the standards and
amendments applied for the first time in the current fiscal year had a material impact on the Consolidated
Financial Statements.
Accounting standards applied for the first time in the current financial year
T080
First-time
application
Adopted by the EU
Commission
IFRS pronouncement (published on)
IAS 1 "Presentation of Financial Statements" - Classification of Liabilities as Current or Non-current
(23. January 2020 and postponement of effective date (15. July 2020))
1.1.2024
Yes
IAS 1 "Presentation of Financial Statements" - Non-current Liabilities with Covenants (31. October
2022)
1.1.2024
Yes
IAS 7 "Statement of Cash Flows" and IFRS 7 "Financial Instruments: Disclosures:" - Supplier Finance
Arrangements (25. May 2023)
1.1.2024
Yes
IFRS 16 "Lease" - Lease Liability in a Sale and Leaseback (22. September 2022)
1.1.2024
Yes
Standards, amendments and interpretations to existing standards that are not yet effective and have not
been applied early by the Group
The IASB has published the following pronouncements, which have not yet come into force. The Group currently
assumes that these recently implemented accounting pronouncements and pronouncements that have not yet
come into force will not have a material impact on NORMA Group’s Consolidated Financial Statements.
NORMA Group SE – Annual Report 2024 263
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Pronouncements published by the IASB in the current financial year
T081
First-time
application
Adopted by the EU
Commission
IFRS pronouncement (published on)
IAS 21 "The Effects of Changes in Foreign Exchange Rates" - Lack of Exchangeability (15. August
2023)
1.1.2025
Yes
Amendments to the Classification and Measurement of Financial Instruments - Amendments to IFRS
9 and IFRS 7 (30. May 2024)
1.1.2026
No
Annual Improvements Volume 11 — Band 11 (18. July 2024)
1.1.2026
No
Contracts Referencing Nature-dependent Electricity – Amendments to IFRS 9 and
IFRS 7 (18. December 2024)
1.1.2026
No
IFRS 18 "Presentation and Disclosure in Financial Statements" (09. April 2024)
1.1.2027
No
IFRS 19 "Subsidiaries without Public Accountability: Disclosures" (09. May 2024)
1.1.2027
No
3. Summary of significant accounting policies
Consolidation
(a) Subsidiaries
Subsidiaries are all entities over which NORMA Group has control. NORMA Group controls an entity when the
Group is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to
affect those returns through its power over the entity. Consolidation of an investee begins on the date on which
the Group obtains control over the company. It ends when the Group loses control over the investee.
Intercompany transactions, balances and unrealized gains or losses on transactions between Group companies
are eliminated. Accounting policies of subsidiaries have been changed where necessary to ensure consistency
with the policies adopted by the Group.
The Group uses the acquisition method of accounting to account for business combinations. The initial value for
the acquisition of a subsidiary is recognized at fair value of the assets transferred, the liabilities incurred on the
acquisition date and the equity interests issued by the Group. The initial value recognized includes the fair value of
any asset or liability resulting from a contingent consideration arrangement. On the acquisition date, the fair value
of the contingent consideration is recognized as part of the consideration transferred in exchange for the acquiree.
Acquisition related costs are expensed as incurred. Identifiable assets acquired and liabilities and contingent
liabilities assumed in a business combination are measured initially at their fair value on the acquisition date. In
accordance with IFRS 3, for every business combination there is an option to measure all non-controlling interests
in the acquired company either at fair value, i.e.
i.e. including the goodwill attributable to these interests (“fair value option”), or at the corresponding proportion of
the identifiable net assets of the acquired company. The Group measures the non-controlling interest in the
acquiree at the non-controlling interest’s proportionate share of the acquiree’s net assets.
NORMA Group SE – Annual Report 2024 264
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
The excess of the consideration transferred, the amount of any non-controlling interest in the acquiree and the
acquisition-date fair value of any previous equity interest in the acquiree over the fair value of the Group’s share of
the identifiable net assets acquired, is recorded as goodwill. If this is less than the fair value of the net assets of the
subsidiary acquired in the case of a bargain purchase, the difference is recognized in profit or loss immediately in
the Consolidated Statement of Comprehensive Income.
In a business combination achieved in stages, the Group remeasures its previously held equity interest in the
acquiree at its acquisition-date fair value and recognizes the resulting gain or loss, if any, in profit or loss.
(b) Non-controlling interests
Non-controlling interests have a share in the earnings of the reporting period. Their interests in the shareholders’
equity of subsidiaries are reported separately from the equity of the Group.
The Group treats transactions with non-controlling interests that do not result in a loss of control as transactions
with equity owners of the Group. For purchases from non-controlling interests, the difference between any
consideration paid and the relevant share acquired of the carrying value of net assets of the subsidiary is recorded
in equity.
(c) Disposal of subsidiaries
When the Group ceases to have control, any retained interest in the subsidiary is remeasured at its fair value, with
the change in the carrying amount recognized in profit or loss. The initial carrying amount is the fair value for the
purposes of subsequently accounting for the retained interest as an associate, joint venture or financial asset. In
addition, any amounts previously recognized in other comprehensive income in respect of that entity are
accounted for as if the Group had directly disposed of the related assets or liabilities. This means that an amount
previously recognized in the currency translation reserve is reclassified to profit or loss as part of the gain or loss on
disposal. In the case of only partial disposal without loss of control of a subsidiary that includes a foreign operation,
the corresponding portion of the cumulative translation difference is allocated to non-controlling interests.
NORMA Group SE – Annual Report 2024 265
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Valuation methods
The following table shows the most important valuation methods that form the basis for the preparation of the
Consolidated Financial Statements:
Valuation methods
T082
Position
Valuation method
Assets
Goodwill
Acquisition costs less potential impairment
Other intangible assets – finite useful lives
Amortized costs
Other intangible assets – indefinite useful lives
Acquisition costs less potential impairment
Property, plant and equipment
Amortized costs
Derivative financial assets:
Classified as cash flow hedge
According to the rules for hedge accounting
Classified as fair value hedge
According to the rules for hedge accounting
Without hedge accounting
At fair value through profit or loss
Inventories
Lower of cost or net realizable value
Other non-financial assets
Amortized costs
Other financial assets
Amortized costs
Trade and other receivables
Amortized costs
Trade receivables, available for sale
At fair value through profit or loss
Contract assets
Input method less potential impairment
Cash and cash equivalents
Nominal amount/ Amortized costs
Liabilities
Pensions
Projected unit credit method
Other provisions
(Present) value of future settlement amount
Borrowings
Amortized costs
Other non-financial liabilities
Amortized costs
Lease liabilities
Valuation based on IFRS 16.36
Other financial liabilities:
Financial liabilities at cost (FLAC)
Amortized costs
Derivative financial liabilities:
Classified as cash flow hedge
According to the rules for hedge accounting
Classified as fair value hedge
According to the rules for hedge accounting
Without hedge accounting
At fair value through profit or loss
Contingent consideration
At fair value through profit or loss
Trade and other payables
Amortized costs
NORMA Group SE – Annual Report 2024 266
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Fair value estimation
For financial instruments that are measured in the Statement of Financial Position at fair value in accordance with
IFRS 13, IFRS 7 requires a disclosure of fair value measurements by level using the following fair value
measurement hierarchy: This comprises three levels:
Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities,
Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either
directly (i.e., as a price) or indirectly (i.e. derived from prices)
Level 3: Inputs for measuring the asset or liability that are not based on observable market data (unobservable
inputs).
The level in the fair value hierarchy within which the fair value measurement is categorized in total is determined
on the basis of the lowest level input that is significant to the fair value measurement in total. The different
hierarchy levels demand different amounts of disclosure.
Foreign currency translation
(a) Functional and presentation currency
Items included in the financial statements of each of the Group’s entities are measured using the currency of the
primary economic environment in which the entity operates (‘the functional currency’). The Consolidated Financial
Statements are prepared in ‘euros’ (EUR), which is NORMA Group SE’s functional and the Group’s presentation
currency.
(b) Transactions and balances
Foreign currency transactions are translated into the functional currency using the actual exchange rates on the
dates of the transactions or valuation where items are remeasured. Foreign exchange gains and losses resulting
from the settlement of such transactions and from the translation at year-end exchange rates of monetary assets
and liabilities denominated in foreign currencies are recognized in profit or loss.
Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in
profit or loss within ‘financial income / costs’. All other foreign exchange gains and losses are presented in profit or
loss within ‘other operating income / expenses’.
NORMA Group SE – Annual Report 2024 267
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
(c) Group companies
The earnings, assets and financial position of all the Group entities that have a functional currency different from
the presentation currency are translated into the presentation currency as follows:
•
Assets and liabilities for each Consolidated Statement of Financial Position presented are translated at the
closing rate on the date of that Consolidated Statement of Financial Position;
•
Income and expenses are translated at average exchange rates (unless this average is not a reasonable
approximation of the cumulative effect of the rates prevailing on the transaction dates, in which case income
and expenses are translated at the actual rate on the dates of the transactions); and
•
All resulting exchange differences are recognized as a separate component of equity.
Goodwill and fair value adjustments arising through the acquisition of a foreign entity are treated as assets and
liabilities of the foreign entity and translated at the closing rate.
Intangible assets
(a) Goodwill
Goodwill represents the excess of the cost of an acquisition over the fair value of the Group’s share of the net
identifiable assets of the acquired subsidiary on the date of acquisition. Goodwill on acquisitions of subsidiaries is
included in ‘intangible assets’. Goodwill is tested annually for impairment and carried at cost less accumulated
impairment losses. Impairment losses on goodwill are not reversed. Gains and losses on the disposal of an entity
include the carrying amount of goodwill relating to the entity sold.
Goodwill is allocated to cash-generating units for the purpose of impairment testing. The allocation is made to
those cash-generating units or groups of cash-generating units that are expected to benefit from the business
combination in which the goodwill arose.
(b) Development costs
Costs of research activities undertaken with the prospect of gaining new scientific or technical knowledge and
understanding are expensed as incurred.
Costs for development activities, whereby research findings are applied to a plan or design for the production of
new or substantially improved products and processes, are capitalized if
•
development costs can be measured reliably,
•
the product or process is technically and commercially feasible, and
•
future economic benefits are probable.
NORMA Group SE – Annual Report 2024 268
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Furthermore, NORMA Group intends, and has sufficient resources, to complete development and use or sell the
asset. The costs capitalized include the cost of materials, direct labor and other directly attributable expenditure
that serves to prepare the asset for use. Such capitalized costs are included in profit or loss in ‘own work
capitalized’. Capitalized development costs are stated at cost less accumulated amortization and impairment
losses with an amortization period of generally three to five years. Development costs which did not meet the
requirements are expensed as incurred.
(c) Other intangible assets
Separately acquired other intangible assets are shown at cost less accumulated amortization. Intangible assets
acquired in a business combination are recognized at fair value on the acquisition date. Other intangible assets
which have a finite useful life will be amortized over their estimated useful life. Amortization is calculated using the
straight-line method to allocate their cost. Other intangible assets which are determined to have indefinite useful
lives as well as intangible assets not yet available for use are not amortized, but instead tested for impairment at
least annually. Furthermore, other intangible assets which are determined to have indefinite useful lives and
therefore are not amortized will be reviewed each period to determine whether events and circumstances continue
to support an indefinite useful life assessment for these assets
In general, the Group’s other intangibles are not qualifying assets in accordance with IAS 23 and borrowing costs
eligible for capitalization therefore do not exist.
The useful lives of other intangible assets acquired in a business combination are estimates based on the
economics of each specific asset, which were determined in the process of the purchase price allocation. The major
part of these assets are brand names and customer lists.
Other intangible assets with indefinite useful lives are primarily brand names, for which the end of usability is not
foreseeable and therefore indeterminable. These brand names result from acquisitions-For these brand names, an
indefinite useful life is assumed-Based on a market perspective, there are no clear indications for a definite useful
life of these brand names as they have been well-established in the market for many years.
Property, plant and equipment
All property, plant and equipment are stated at cost less depreciation and impairment loss, if applicable. The
acquisition or production costs include the costs directly attributable to the acquisition or production of the
property, plant and equipment as well as appropriate portions of the production-related overheads. Also included,
if available, is the present value of the estimated costs of demolition and removal of the item and restoration of the
site on which it is located. Borrowing costs eligible for capitalization in the sense of IAS 23 were not available.
Subsequent costs are included in the asset’s carrying amount or recognized as a separate asset, as appropriate,
only when it is foreseeable that future economic benefits associated with the item will flow to the Group and the
cost of the item can be measured reliably. The carrying amount of the replaced part is derecognized. Costs of
major overhauls that meet certain recognition criteria are capitalized as a component of property, plant and
equipment or right-of-use assets and depreciated over the appropriate maintenance cycle. All other repairs and
maintenance expenses are charged to profit or loss during the financial period in which they are incurred.
Land is not depreciated. Depreciation of other assets is calculated using the straight-line method to allocate their
cost to their residual values over their estimated useful lives.
NORMA Group SE – Annual Report 2024 269
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
The assets’ residual values and useful lives are reviewed and adjusted, if appropriate, on each reporting date.
Leasing activities of the Group and their accounting treatment
Leases are recognized as rights of use and corresponding lease liabilities at the time when the leased asset is
available for use by the Group. In doing so, each lease payment is divided into repayment and financing expenses.
The financing costs are recognized in profit or loss over the term of the lease. The right-of-use asset is amortized
on a straight-line basis over the shorter of the useful life and the lease term.
Right-of-use asset and lease liabilities are initially recognized at present value. The lease liabilities generally
include the present value of the following lease payments:
•
fixed payments (including de facto fixed payments, less any leasing incentives to be received)
•
variable lease payments linked to an index or interest rate
•
expected residual value payments from residual value guarantees of the lessee
•
the exercise price of a purchase option, if it is sufficiently certain that the lessee will exercise it
•
penalties for terminating the lease, if the lease term takes into account that the lessee will exercise a
termination option
Lease payments are discounted at the interest rate underlying the lease if this can be determined. Otherwise, they
are discounted at the lessee’s incremental borrowing rate. Right-of-use assets are measured at cost, which is
comprised as follows:
•
amount of the initial measurement of the lease liability
•
all leasing payments made at or before the commencement date, less any lease incentives received
•
all initial direct costs incurred by the lessee, and
•
the estimated costs incurred by the lessee in dismantling or removing the underlying asset, restoring the site on
which it is located, or returning the underlying asset to the condition required by the lease agreement.
Exceptions in the form of accounting options exist for short-term leases (minimum term of a maximum of twelve
months if no purchase option has been agreed) and for low-value assets. The lease payments resulting from these
leases are therefore to continue to be included in operating expenses in the future. Furthermore, lessees are
granted an accounting option not to separate lease and non-lease components.
i. Extension and termination options
In determining the term of leases, all facts and circumstances that provide an economic incentive to exercise
extension options or not to exercise termination options are taken into account. Changes to the term of the lease
resulting from the exercise of extension and termination options are only included in the term of the lease if an
extension or non-exercise of a termination option is reasonably certain.
The following considerations are taken into account when determining the term of the leases or the inclusion or
non-inclusion of extension and termination options:
NORMA Group SE – Annual Report 2024 270
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Contract-related
•
existence of renewal or purchase options and their conditions,
•
an obligation to dismantle installations or return them to their original condition,
•
amount of lease payments (including all variable payments) for an optional period compared to customary
market payments.
Asset-based / Company-based
•
the existence of significant leasehold improvements that would be lost in the event of (premature) termination
or non-extension of the contract,
•
costs in connection with a loss of production upon termination of the lease,
•
costs associated with the acquisition of an alternative asset,
•
dependence of the business activity (core business) on the continued use of the asset,
•
financial consequences of the extension or termination of the lease,
•
nature of the leased asset (specific vs. generic / general leased asset; extent to which the leased asset is critical
to the lessee’s operations).
Market-related
•
legal and local regulations to be observed for the (permanent) obligation,
•
alternative lease payments for comparable assets.
The assessment will be reviewed if a material event or material change in circumstances occurs that could
influence the previous assessment, provided this is within the lessee’s control.
Impairment of non-financial assets
(a) Assets with finite useful lives
An impairment test must be carried out for assets with a determinable useful life if there are indications of a
possible impairment. If there are any such indications, the amortized carrying amount of the asset is compared
with the recoverable amount, which represents the higher of fair value less costs to sell and value in use. The value
in use is equivalent to the present value of the future cash flows expected from the continuing use of the asset. To
test for impairment, assets are grouped into the smallest group of assets that generate cash inflows from
continuing use that are largely independent of the cash inflows from other assets or cash-generating units. In the
event of impairment, the difference between the amortized carrying amount and the lower recoverable amount is
recognized as an expense. The impairment loss is reversed as soon as there are indications that the reasons for
impairment no longer exist. These may not exceed the amortized cost of acquisition.
NORMA Group SE – Annual Report 2024 271
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
(b) Goodwill and other assets with an indefinite useful life
Other intangible assets with an indefinite useful life, other intangible assets not yet ready for use or advance
payments on such assets as well as goodwill must be tested for impairment annually. A test is also performed
whenever there is any indication that an asset might be impaired. Where the reasons for an impairment no longer
exist, the impairment loss is reversed, except in the case of goodwill. The recoverable amount is determined for
each individual asset unless an asset generates cash inflows that are not largely independent of those from other
assets or other groups of assets or cash-generating units. In these cases, the impairment test is performed at the
relevant level of cash-generating units to which the asset is attributable.
Goodwill acquired in a business combination is allocated at the acquisition date to the cash-generating unit or
group of cash-generating units that are expected to profit from the synergies deriving from the business
combination. This also represents the lowest level at which goodwill is monitored for internal management
purposes. These are the operating and reportable segments EMEA, Americas and Asia-Pacific.
The Group normally determines the recoverable amount using measurement methods based on discounted cash
flows.
Brand names with indefinite useful lives acquired in business combinations are tested for impairment at the level
at which there is a recoverable amount. This is based on the fair value less the costs of sale, which is determined
using the relief-from-royalty method.
For cash-generating units, NORMA Group first determines the relevant recoverable amount as fair value less costs
to sell, which it compares with the respective carrying amounts, including allocated goodwill in the case of
impairment tests on goodwill. For further information regarding the calculation of the fair value less the costs of
sale and the underlying key assumptions, please refer to 4 NOTE 18 GOODWILL AND OTHER INTANGIBLE ASSETS.
Inventories
Inventories are stated at the lower of cost or net realizable value. Net realizable value is the estimated selling price
in the ordinary course of business, less the estimated costs of completion and the estimated necessary selling
costs. Cost is determined using the weighted average cost method. The cost of finished goods and work in
progress comprises design costs as well as raw materials, direct labor, other direct costs and related production
overheads (based on normal operating capacity). Inventories of the Group are not qualifying assets in accordance
with IAS 23, so the costs do not include capitalized borrowing costs.
NORMA Group SE – Annual Report 2024 272
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Financial instruments
(a) Financial assets
Classification
The Group classifies its financial assets in the following measurement categories:
•
Debt instruments measured at amortized cost (AC);
•
Debt instruments measured at fair value (FVOCI), with cumulative gains and losses reclassified to the income
statement when the financial asset is derecognized;
•
Debt, derivative and equity instruments measured at fair value through profit or loss (FVTPL);
•
Equity instruments classified as FVOCI, with gains and losses remaining in other comprehensive income (OCI)
(without reclassification).
The classification of debt instruments depends on the business model NORMA Group uses to manage its financial
assets and the characteristics of the contractual cash flows of these financial assets.
NORMA Group reclassifies debt instruments only when the business model for managing such financial assets
changes.
Recognition and derecognition
Regular purchases and sales of financial assets are recognized on the trade date – the date on which the Group
commits to purchase or sell the asset. Financial assets are derecognized when the rights to receive cash flows
have expired or been transferred and the Group has transferred substantially all risks and rewards of ownership.
Measurement
Financial assets are initially recognized at fair value plus transaction costs for all financial assets not measured at
fair value through profit or loss.
Debt instruments
The subsequent measurement of debt instruments depends on the Group’s business model for managing the
financial asset and the cash flow characteristics of the financial asset.
A debt instrument is measured at amortized cost if the objective of the business model is to hold the financial asset
in order to collect the contractual cash flows and the contractual cash flows from the financial asset represent only
principal and interest payments and the fair value option is not exercised at inception. Interest income from these
financial assets is recognized in financial income using the effective interest method. Gains and losses from
derecognition, impairment and currency translation are recognized directly in the Consolidated Statement of
Comprehensive Income and reported in other operating income / expenses.
NORMA Group SE – Annual Report 2024 273
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
A debt instrument that is held in a business model in which both the contractual cash flows of financial assets are
received and financial assets are sold, and in which the contractual cash flows include only principal and interest
payments, is measured at fair value with no effect on income, unless the fair value option is exercised upon initial
recognition. Changes in the carrying amount are recognized in other comprehensive income, except for impairment
gains or losses, interest income and gains and losses on currency translation, which are recognized directly in the
Consolidated Statement of Comprehensive Income. When the financial asset is derecognized, the cumulative gain
or loss recognized in other comprehensive income is reclassified from equity to the Consolidated Statement of
Comprehensive Income. Interest income from these financial assets is recognized in financial income using the
effective interest method. Gains and losses from currency translation are recognized directly in the Consolidated
Statement of Comprehensive Income and reported in other operating income / expenses.
The impairment losses recognized in the Consolidated Statement of Comprehensive Income are disclosed
separately in the section “Notes to the Consolidated Statement of Financial Position.”
All other debt instruments that do not meet these two conditions must be measured at fair value through profit or
loss (FVTPL).
Equity instruments
All equity instruments are subsequently measured at fair value. If an equity instrument is not held for trading
purposes, NORMA Group may, at the time of initial recognition, make the irrevocable decision to measure it at fair
value with recognition of changes in value in other comprehensive income (FVTOCI), whereby only income from
dividends is recognized in profit or loss for the period unless it represents a capital repayment.
Changes in the fair value of financial assets at fair value through profit or loss are recognized in the Consolidated
Statement of Comprehensive Income under other operating income / expenses.
Impairments
NORMA Group assesses on a forward-looking basis the expected credit losses associated with its debt
instruments, which are measured at amortized cost or at fair value with no effect on income.
The Group has three types of financial assets subject to this model:
•
Trade receivables from the sale of goods and the rendering of services,
•
Contract assets from research and development activities; and
•
Other debt instruments measured at amortized cost.
In the case of trade receivables, NORMA Group applies the simplified approach provided for in IFRS 9, which
requires the recognition of expected credit losses over the term of the receivables from their initial recognition;
further details can be found in 4 NOTE 21 (A) TRADE AND OTHER RECEIVABLES.
Receivables which are significantly overdue, which can be more than 180 days due to the customer structure, or
those whose debtors were subject to insolvency or similar proceedings, are individually tested for impairment.
NORMA Group SE – Annual Report 2024 274
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
The criteria that the Group uses to determine if there is objective evidence of an impairment loss include:
•
A breach of contract, such as a default or delinquency in interest or principal payments;
•
The Group, for economic or legal reasons relating to the borrower’s financial difficulty, granting to the borrower
a concession that the lender would not otherwise consider;
•
It becomes probable that the borrower will enter bankruptcy or other financial reorganization.
Receivables that are not reasonably expected to be realizable in full or in part are written down accordingly, thus
directly reducing the gross carrying amount. For cash and cash equivalents, other debt instruments measured at
amortized cost such as receivables from the ABS program and factoring (both from purchase price retentions) and
other receivables, mainly from banker’s acceptance bills for trade receivables, NORMA Group applies the general
impairment approach. As it is our policy to only invest in high-quality assets of issuers with a minimum rating of at
least investment grade so as to minimize the risk of credit losses, we use the low credit risk exception. Thus, these
assets are always allocated to stage 1 of the three-stage credit loss model and, if material, a loss allowance for an
amount equal to 12-month expected credit losses will be recorded. This loss allowance is calculated based on our
exposure as of the respective reporting date, the loss given default for this exposure, and the credit default swap
spread as a measure of the probability of default. Although NORMA Group only invests in assets with at least an
investment grade rating, the development of credit default swap premiums as a measure of a debtor’s credit rating
is monitored by market participants. In this way, changing risk structures among contractual partners can be
identified and any changes can be responded to promptly.
(b) Financial liabilities
Financial liabilities primarily include trade payables, liabilities to banks, derivative financial liabilities and other
liabilities.
Financial liabilities that are measured at amortized cost
After initial recognition, financial liabilities are carried at amortized cost using the effective interest method. Trade
payables, liabilities to banks and other financial liabilities, in particular, are assigned to this category
Financial liabilities at fair value through profit or loss
Financial liabilities at fair value through profit or loss include derivative financial instruments and contingent
purchase price liabilities. Gains or losses on financial liabilities that are measured at fair value through profit or loss
are included in profit or loss.
(c) Derivative financial instruments and hedging activities
Derivatives are initially recognized at fair value on the date a derivative contract is entered into and are
subsequently remeasured at their fair value. The method of recognizing the resulting gain or loss depends on
whether the derivative is designated as a hedging instrument, and if so, the nature of the item being hedged.
Derivative financial instruments not designated as hedges
Gains and losses from derivatives that are not designated as hedges (trading derivatives) are recognized in profit
or loss. Trading derivatives are classified as non-current assets or liabilities in accordance with IAS 1.68 and IAS
1.71 if they have a remaining term of more than one year; otherwise, they are classified as current.
NORMA Group SE – Annual Report 2024 275
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Derivative financial instruments designated as hedges
Derivatives included in hedge accounting are generally designated as either:
•
Hedges of the fair value of recognized assets or liabilities or firm commitments (fair value hedge);
•
Hedges of a particular risk associated with a recognized asset or liability or a highly probable forecast
transaction (cash flow hedge); or
•
Hedges of a net investment in a foreign operation (net investment hedge).
At the inception of the transaction, NORMA Group documents the relationship between the hedging instruments
and the hedged item, including whether changes in the cash flows of the hedging instruments offset changes in
the cash flows of the hedged item. The Group documents the risk management objectives and strategies for
undertaking the hedging transaction.
Further information on the hedging instruments used by the Group can be found in 4 NOTE 5 FINANCIAL RISK MANAGEMENT
and 4 NOTE 21 (F) DERIVATIVE FINANCIAL INSTRUMENTS.
The development of the hedging reserve in equity can be found in 4 NOTE 21 (F) DERIVATIVE FINANCIAL INSTRUMENTS.
(d) Offsetting financial instruments
Financial assets and liabilities are offset and the net amount is reported in the Consolidated Statement of Financial
Position when there is a legally enforceable right to offset the recognized amounts and an intention to settle on a
net basis, or realize the asset and settle the liability simultaneously. At NORMA Group, arrangements exist which
do not meet the criteria for netting in the Consolidated Statement of Financial Position according to IAS 32.42, as
they allow netting only in the case of future events such as default or insolvency on the part of the Group or the
counterparty.
Current and deferred income tax
The tax expenses for the period are comprised of current and deferred tax-Tax is recognized in profit or loss, except to
the extent that it relates to items recognized in other comprehensive income or directly in equity. In this case, the tax is
also recognized in other comprehensive income or directly in equity, respectively.
The current income tax charge is calculated on the basis of the tax laws enacted on the reporting date in the countries
where the Group’s subsidiaries operate. Management periodically evaluates positions taken in tax returns with respect
to situations in which applicable tax regulation is subject to interpretation. It establishes provisions where appropriate
on the basis of amounts expected to be paid to the tax authorities. The amount of the expected tax liability or tax
receivable reflects the amount that represents the best estimate, taking into account tax uncertainties, if any.
Deferred income tax is recognized using the liability method on temporary differences arising between the tax bases
of assets and liabilities and their carrying amounts in the Consolidated Financial Statements and on tax losses carried
forward and tax credits not yet used. Deferred income tax is determined using tax rates (and laws) that have been
enacted or substantially enacted by the reporting date and are expected to apply when the related deferred income
tax asset is realized or the deferred income tax liability is settled.
NORMA Group SE – Annual Report 2024 276
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Deferred income tax assets and liabilities are offset when there is a legally enforceable right to offset current tax
assets against current tax liabilities and when the deferred income tax assets and liabilities relate to income taxes
levied by the same taxation authority on either the taxable entity or different taxable entities where there is an
intention to settle the balances on a net basis. A surplus of deferred income tax assets is recognized only to the extent
that it is probable that future taxable profit will be available against which the temporary differences can be utilized.
For taxable temporary differences arising on investments in subsidiaries and associates, deferred tax liabilities are
recognized, except where the timing of the reversal of the temporary difference is controlled by the Group and it is
probable that the temporary difference will not reverse in the foreseeable future.
The Group applies the temporary simplification rules with regard to the tax calculation method resulting from the
introduction of global minimum taxation. The calculated tax expense for the supplementary tax in connection with
the global minimum taxation, which will be payable for 2024, therefore amounts to EUR 0 thousand.
Employee benefits
(a) Pension obligations
Group companies operate different pension schemes. NORMA Group has both defined benefit and defined
contribution plans. A defined contribution plan is a pension plan under which the Group pays fixed contributions to
a separate entity. The Group has no legal or constructive obligations to pay further contributions if the fund does
not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior
periods. A defined benefit plan is a pension plan that is not a defined contribution plan. The major defined benefit
plan is the German benefit plan, which defines the amount of pension benefit that an employee will receive on
retirement to depend on years of service and remuneration.
The liability recognized in the Consolidated Statement of Financial Position with respect to defined benefit pension
plans is the present value of the defined benefit obligation on the reporting date less the fair value of plan assets.
The defined benefit obligation is calculated annually by independent actuaries using the projected unit credit
method. The present value of the defined benefit obligation is determined by discounting the estimated future cash
outflows using interest rates for high-quality fixed-rate corporate bonds denominated in the currency in which the
benefits will be paid and whose remaining maturities approximate the maturities of the related pension
obligations.
Remeasurement gains and losses arising from experience adjustments and changes in actuarial assumptions, as
well as returns on plan assets, which are not included within the net interest on the defined benefit liability, are
recognized within retained earnings in other comprehensive income (OCI).
Past service costs are recognized fully in the period of the related plan amendment.
For defined contribution plans, the Group pays contributions to publicly or privately administered pension
insurance plans on a mandatory, contractual or voluntary basis. The Group has no further payment obligations
once the contributions have been paid. The contributions are recognized as employee benefits expense when they
are due. Prepaid contributions are recognized as an asset to the extent that a cash refund or a reduction in the
future payments is available.
NORMA Group SE – Annual Report 2024 277
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
(b) Termination benefits
Termination benefits are payable when employment is terminated by the Group before the normal retirement date,
or whenever an employee accepts voluntary redundancy in exchange for these benefits. The Group recognizes
termination benefits as a liability and expense on the earlier date of: (a) when the entity can no longer withdraw
the offer of those benefits; or (b) when the entity recognizes costs for a restructuring that is within the scope of IAS
37 and involves the payment of termination benefits. If material, benefits due more than twelve months after the
reporting date are discounted to their present value.
(c) Short-term employee benefits
Employee benefits with short-term payment dates include wages and salaries, social security contributions,
vacation pay and sickness benefits and are recognized as liabilities at the repayment amount as soon as the
associated job has been performed.
(d) Provisions for other long-term employee benefits
Provisions for obligations similar to pensions (such as anniversary allowances) are comprised of the present value
of future payment obligations to the employee less any associated assets measured at fair value. The amount of
provisions is determined on the basis of actuarial opinions in line with IAS 19. Gains and losses from the
remeasurement are recognized in profit or loss in the period in which they are incurred.
Share-based payments
Share-based remuneration plans issued at NORMA Group are accounted for in accordance with IFRS 2: ‘Share-
based remuneration’ is reported under this item. In accordance with IFRS 2, NORMA Group in principle
distinguishes between equity-settled and cash-settled plans. The financial interest from equity-settled plans
granted on the grant date is generally allocated over the expected vesting period against equity until the exit event
occurs. Expenses from cash-settled plans are generally also allocated over the expected vesting period until the
exit event occurs, but against accruals. For the plans existing on the reporting date, please refer to 4 NOTE 25 SHARE-
BASED PAYMENTS.
Provisions
Provisions are recognized when the Group has a present legal or constructive obligation to third parties as a result
of past events; it is probable that an outflow of resources will be required to settle the obligation; and the amount
has been reliably estimated.
Where there are a number of similar obligations, the likelihood that an outflow will be required in settlement is
determined by considering the class of obligations as a whole. A provision is recognized even if the likelihood of an
outflow with respect to any one item included in the same class of obligations may be small.
If the interest effect is material, the obligations are recognized at the present value of the expected expenses.
In addition to the expected amount of cash outflows, uncertainties also exist regarding the time of outflows. If it is
expected that the outflows will take place within one year, the relevant amounts are reported in the short-term
provisions.
NORMA Group SE – Annual Report 2024 278
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
When the Group is virtually certain to receive a refund for a provision, this refund is recognized in accordance with IAS
37.53 as a separate asset. If the refund is in a close economic relationship with the provision, the expenses from the
provision obligation are netted with the income from the corresponding refund in the Statement of Profit or Loss.
Income from the release of non-utilized provisions from prior years is recorded within other operating income.
Revenues from contracts with customers (revenue recognition)
NORMA Group recognizes revenue when or as control over distinct goods or services is transferred to the
customer, i.e., when the customer is able to direct the use of the transferred goods or services and obtains
substantially all of the remaining benefits. The prerequisite for this is that a contract with enforceable rights and
obligations exists and, among other things, the receipt of the consideration – taking into account the customer’s
creditworthiness – is probable. Revenue is the transaction price NORMA Group expects to be entitled to. Variable
consideration is included in the transaction price if it is highly probable that a significant reversal of revenue will
not occur once associated uncertainties are resolved. The amount of variable consideration is calculated by either
using the expected value or the most likely amount depending on which is expected to better predict the amount of
variable consideration. Consideration is adjusted for the time value of money if the period between the transfer of
goods or services and the receipt of payment exceeds twelve months and there is a significant financing benefit
either to the customer or NORMA Group. If a contract contains more than one distinct good or service, the
transaction price is allocated to each performance obligation based on relative stand-alone selling prices. If stand-
alone selling prices are not observable, NORMA Group reasonably estimates those. Revenue is recognized for
each performance obligation either at a point in time or over time.
NORMA Group makes use of the relief provisions of IFRS 15 and no disclosure is made with regard to performance
obligations not yet fulfilled as of the reporting date, as the outstanding performance obligations are part of a
contract with an original term of up to twelve months.
(a) Sale of goods
Revenue is recognized at the time when control is transferred to the acquirer in accordance with the agreed
Incoterms and no unfulfilled obligations exist. Invoices are issued at that point in time and are usually payable
within 30 to 90 days. For the sale of goods, retrospective volume discounts, which usually apply to a calendar year,
are often agreed. Revenue from these sales is recognized at the amount of the consideration set in the contract
less the estimated volume discounts. The estimate of the refund liabilities recognized for these volume rebates is
based on experience and revenue recognized in the fiscal year.
(b) Provision of engineering services
Revenue in connection with engineering services is not recognized on a straight-line basis, but is based on the
ratio of costs already incurred to the estimated total costs. The determination of the percentage of completion is
crucial and also includes estimates regarding the scope of delivery and services as well as the total contract costs,
revenues and risks, including technical risks.
Invoices are issued in accordance with the contractual conditions, whereby a payment period of 30 to 90 days
after invoicing usually applies.
NORMA Group SE – Annual Report 2024 279
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Contract assets, contract liabilities, refund liabilities and considerations payable to a customer
When either party to a contract with customers has performed, NORMA Group presents a contract asset, a
contract liability or a trade receivable depending on the relationship between NORMA’s performance and the
customer’s payment.
A contract asset represents NORMA Group’s right to consideration in exchange for goods or services that have
been transferred to the customer. The impairment of contract assets is measured, presented and reported on the
same basis as for financial assets within the scope of IFRS 9.
Trade receivables are recognized when the right to receive the consideration is no longer subject to a condition
(unconditional claim).
Considerations received, which are expected to be reimbursed to the customer are shown as refund liabilities.
These liabilities are included in the Statement of Financial Position in the item “Trade and other payables.” These
amounts typically relate to expected volume discounts and annual customer bonuses.
Considerations payable to a customer that cannot be directly allocated to a service or good received by NORMA
Group are recognized as a reduction of the transaction price. If this reduction relates to future revenue, this part is
recognized in other non-financial assets as consideration payable to a customer.
Government grants
Government grants are not recognized until there is reasonable assurance that the conditions attached to them
are complied with and that the grants will be received.
Government grants for the compensation of expenses incurred are recognized in profit or loss as part of the other
operating income on a systematic basis over the periods in which the related costs are expensed that the grants
are intended to compensate for.
Grants related to non-depreciable assets are recognized in profit or loss as part of the other operating income over
the periods that bear the cost of meeting the obligations.
Grants related to depreciable assets are recognized in profit or loss over the periods that bear the expense related
to the depreciation of the underlying assets and are recognized as deferred income in the Statement of Financial
Position. The deferred income is recognized in profit or loss on a straight-line basis over the expected useful life of
the underlying asset and reported as part of other operating income.
Dividends paid
Dividends are recognized as a financial liability in the Statement of Financial Position at the time the shareholders
approve the resolution to distribute them. At the same time, they are recognized in equity as a profit distribution
from retained earnings.
NORMA Group SE – Annual Report 2024 280
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
4. Scope of consolidation
Along with NORMA Group SE, the Consolidated Financial Statements contain all domestic and foreign companies
which NORMA Group SE controls directly or indirectly.
The Consolidated Financial Statements for fiscal year 2024 include five domestic (Dec 31, 2023: five) and 43
foreign (Dec 31, 2023: 42) companies.
The composition of the Group changed as follows:
Change in Scope of Consolidation
T083
2024
2023
Total
Domestic
Foreign
Total
Domestic
Foreign
as of January 1
47
5
42
49
6
43
Additions
2
2
of which acquired
2
2
Disposals
1
1
2
1
1
of which no longer
consolidated
1
1
of which mergers
2
1
1
as of December 31
48
5
43
47
5
42
In 2024, the two companies Teco S.r.l., Italy, and Teco Irrigation USA Inc. (hereinafter both referred to as “Teco”)
were acquired. Information on the acquisition of the two companies can be found in 4 NOTE 33 – BUSINESS COMBINATIONS.
NORMA Group SE – Annual Report 2024 281
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
The deconsolidation in 2024 relates to the liquidation of the Dutch subsidiary NORMA Netherlands B. V.
The list of NORMA Group companies is shown in detail in the following table:
List of Group companies of NORMA Group as of Dec 31, 2024 according to § 313(2) HGB
T084
No.
Company
Registered address
held by
Share in %
Direct parent
company
of NORMA
Group SE
Central Functions
1
NORMA Group SE
Maintal, Germany
2
NORMA Group Holding GmbH
Maintal, Germany
1
100
100
Segment EMEA
3
NORMA Distribution Center GmbH
Marsberg, Germany
2
100
100
4
NORMA Germany GmbH
Maintal, Germany
2
100
100
5
NORMA Verwaltungs GmbH
Maintal, Germany
2
100
100
6
DNL France SAS
Briey, France
2
100
100
7
NORMA Autoline France SAS
Guichen, France
6
100
100
8
NORMA Distribution France SAS
Croissy Beaubourg, France
6
100
100
9
NORMA France SAS
Briey, France
6
100
100
10
DNL UK Ltd.
Newbury, Great Britain
2
100
100
11
NORMA UK Ltd.
Newbury, Great Britain
10
100
100
12
NORMA Italia SpA
Gavardo, Italy
2
100
100
13
Groen Bevestigingsmaterialen B.V.
Purmerend, Netherlands
2
100
100
14
NORMA Polska Sp. z o.o.
Slawniów, Poland
2
100
100
15
NORMA Group Distribution Polska Sp. z.o.o.
Slawniów, Poland
14
100
100
16
NORMA Portugal, Lda.
Águeda, Portugal
2
99.99
100
17
NORMA Group CIS LLC
Togliatti, Russian Federation
2
99.96
100
18
NORMA Sweden AB
Gislaved, Sweden
2
100
100
19
Connectors Verbindungstechnik AG
Wallisellen, Switzerland
2
100
100
20
NORMA Grupa Jugoistocna Evropa d.o.o.
Subotica, Serbia
2
100
100
21
Fijaciones NORMA, S.A.U.
L’Hospitalet de Llobregat,
Spain
2
100
100
22
NORMA Czech, s.r.o.
Hustopece, Czech Republic
2
100
100
23
NORMA Turkey Bağlantı ve Birleştirme Teknolojileri
Sanayi ve Ticaret Limited Şirketi
Kartal-Istanbul, Turkey
5
100
100
24
Kimplas Limited
Newbury, Great Britain
43
100
100
25
Teco S.r.l.
Trany, Italy
12
100
100
26
Teco Irrigation USA, Inc.
Campbell, CA, USA
25
100
100
NORMA Group SE – Annual Report 2024 282
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
List of Group companies of NORMA Group as of Dec 31, 2024 according to § 313 (2) HGB (continued)
No.
Company
Registered address
held by
Share in %
Direct parent
company
of NORMA
Group SE
Segment Americas
27
NORMA do Brasil Sistemas De Conexão Ltda.
Atibaia, Brazil
35
100
100
28
NORMA Group México S. de R.L. de C.V.
Monterrey, Mexico
34
99.4
100
29
NORMA Distribution and Services, S. de R.L. de C.V.
Juarez, Mexico
34
99
100
30
Craig Assembly Inc.
Auburn Hills, MI, USA
35
100
100
31
National Diversified Sales, Inc.
Woodland Hills, CA, USA
35
100
100
32
NG AM FINSRV I, LLC
Auburn Hills, MI, USA
34
70
100
33
NORMA MANUFACTURING NA SW, LLC
Auburn Hills, MI, USA
34
100
100
34
NORMA Michigan, Inc.
Auburn Hills, MI, USA
35
100
100
35
NORMA Pennsylvania, Inc.
Auburn Hills, MI, USA
1
100
100
36
NORMA U.S. Holding LLC
Auburn Hills, MI, USA
35
100
100
37
R.G. RAY Corporation
Auburn Hills, MI, USA
35
100
100
Segment Asia-Pacific
38
NORMA Pacific Pty. Ltd.
Dandenong South, Victoria,
Australia
47
100
100
39
NORMA China Co., Ltd.
Qingdao, China
2
100
100
40
NORMA EJT (Changzhou) Co., Ltd.
Changzhou, China
47
100
100
41
NORMA EJT (Wuxi) Co., Ltd.
Wuxi, China
47
100
100
42
NORMA Group Products India Pvt. Ltd.
Pune, India
47
99.99
100
43
KIMPLAS PIPING SYSTEMS PRIVATE LTD
Nashik, Maharashtra, India
47
100
100
44
NORMA Japan Inc.
Tokyo, Japan
47
60
60
45
NORMA Products Malaysia Sdn. Bhd.
Ipoh, Malaysia
47
100
100
46
NORMA Korea Inc.
Seoul, Republic of Korea
47
100
100
47
NORMA Group Asia Pacific Holding Pte. Ltd.
Singapore, Singapore
1
100
100
48
NORMA Pacific (Thailand) Ltd.
Chonburi, Thailand
47
99.99
100
NORMA Group SE – Annual Report 2024 283
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
5. Financial risk management
Financial risk factors
Due to its business activities, NORMA Group is exposed to a variety of financial risks, including market, credit and
liquidity risks. NORMA Group’s financial risk management focuses on the unpredictability of the financial markets
and is designed to mitigate potential adverse effects on the Group’s earnings position. The Group uses derivative
financial instruments to hedge certain exposures.
Overview of financial risks
T085
Risk
Risks from
Assessment
Management
Market risk – foreign
currency risk
Future transactions and recognized
financial assets and liabilities
Cash flow projections
and sensitivity analysis
Forward exchange contracts and natural
hedges
Market risk – interest
rate risk
Long-term borrowings at variable interest
rates
Sensitivity analysis
Interest rate swaps
Default risk
Cash and cash equivalents, derivative
financial instruments, trade receivables and
contractual assets
Age structure analysis
and credit rating
Diversification of bank balances, credit
limits and letters of credit
Liquidity risk
Payment obligations arising from
borrowings and other liabilities
Rolling cash flow
forecasts
Availability of committed credit lines and
facilities, liquidity as well as trade working
capital management and cash items
Financial risk management is performed by the Group Treasury & Insurance department (Group Treasury). The
responsibility and necessary controls related to risk management are defined by NORMA Group’s management.
Group Treasury is responsible for identifying and assessing financial risks in close consultation with the Group’s
operating units. Furthermore, Group Treasury acts as the first point of contact for the subsidiaries. In a close
dialogue, Group Treasury informs and trains the companies and technically handles the internal and external
hedging processes. The principles established by NORMA Group’s management apply to the use of derivative and
non-derivative financial instruments and to the investment of liquidity surpluses.
(a) Market risk
Foreign exchange risk
As a Company that operates internationally, NORMA Group is active in 100 different countries and is exposed to
the currency risk resulting from various foreign currency positions with regard to the most important currencies, the
US dollar, British pound, Chinese renminbi, Indian rupee, Polish złoty, Swedish krona, Czech koruna, Serbian dinar,
Singapore dollar and Mexican peso.
Taking into account the respective risk-bearing capacity of the subsidiaries, Treasury Risk Management seeks to
achieve a reasonable hedging level of net foreign currency risks (as a result of taking foreign currency inflows and
outflows into account). Highly volatile net foreign currency risks are thus hedged with increased hedging ratios.
NORMA Group SE – Annual Report 2024 284
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
The Group uses forward exchange contracts to hedge the foreign currency risk arising from its operating activities.
The risk arises from a possible change in future cash flows from an expected and highly probable transaction in a
non-functional currency, where the change is due to a change or fluctuation in the exchange rate. The hedging
relationship is designated as a cash flow hedge. NORMA Group designates only the spot component as a hedging
element. Gains or losses on the effective portion of the change in the spot component of the forward contract are
recognized in the hedging reserve as a component of equity. Changes in the forward component of the hedging
instrument that relate to the hedged item (“aligned forward element”) are recognized in other comprehensive
income in the hedging reserve as a component of equity.
Furthermore, forward exchange contracts are used to hedge intracompany financing transactions that involve
foreign exchange risks arising from loans between Group companies in non-functional currencies. The Group
designates such loans and hedging instruments as fair value hedges in order to achieve the offsetting effects of
hedged items and hedges in the same income statement line item. The Group designates only the spot component
as the hedging element. Gains or losses on the effective portion of the change in the spot component of the
forward transaction are recognized in the financial result, analogous to those on the hedged item. The changes in
the forward component of the hedging instrument that relate to the hedged item (“aligned forward element”) are
also recognized in this item.
For further information on the instruments used by the Group to hedge foreign currency risk, please refer to 4 NOTE
21 (F) DERIVATIVE FINANCIAL INSTRUMENTS.
In accordance with the Group guideline, the main contractual conditions of the forward transactions for all hedging
relationships must correspond to the hedged underlying transactions.
The effects of changes in the exchange rates of financial assets and financial liabilities denominated in foreign
currencies are presented below.
NORMA Group SE – Annual Report 2024 285
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Foreign exchange risk
T086
in EUR thousands
Dec 31, 2024
Dec 31, 2023
+10%
-10%
+10%
-10 %
Currency relation
EUR / USD
Profit before tax
-955
1,167
-920
1,125
EUR / GBP
Profit before tax
-168
205
145
-178
EUR / CNY
Profit before tax
137
-167
-142
174
EUR / INR
Profit before tax
-140
172
-118
144
EUR / PLN
Profit before tax
628
-767
473
-578
EUR / SEK
Profit before tax
266
-326
630
-770
EUR / CHF
Profit before tax
33
-40
67
-82
EUR / CZK
Profit before tax
1,072
-1,310
1,062
-1,298
EUR / RSD
Profit before tax
-982
1,200
-783
957
EUR / SGD
Profit before tax
-8
10
-18
22
Interest rate risk
NORMA Group’s interest rate risk arises from borrowings with variable interest rates. These expose the Group to a
cash-flow-related interest rate risk, which is partly offset by hedging transactions (interest rate swaps). As
monetary policy in the Eurozone has recently been correspondingly more restrictive, NORMA Group considers the
risk of further interest rate hikes for the euro to be very unlikely in the short term. In the medium and longer term,
the risk of interest rate increases is also assessed as very unlikely. In view of the current interest rate level in the
Eurozone, the opportunities that could arise from a falling interest rate level are assessed as possible, on the other
hand.
Interest rate cuts are considered possible in the USD area, which would lead to corresponding opportunities for
NORMA Group. Against the backdrop of the measures already implemented to optimize financing, the financial
impact associated with these opportunities is assessed as low. In fiscal year 2023, NORMA Group converted
financial instruments that referenced USD LIBOR as interest rate to a successor reference interest rate (Term
SOFR). This did not result in any significant balance sheet effects.
Currently existing swaps cover around 24% (2023: 24%) of the outstanding variable-interest loans. In the variable
rate USD loans, the comparable hedge ratio is 57% (2023: 55%). Further information on the instruments used by
the Group to hedge interest rate risk can be found in 4 NOTE 21 (F) DERIVATIVE FINANCIAL INSTRUMENTS.
NORMA Group SE – Annual Report 2024 286
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
The effects of changes in interest rates on liabilities to banks with variable interest rates and on interest rate
swaps used in hedge accounting are explained in more detail below. Borrowings with fixed interest rates are not
included in this analysis.
If the interest rates of euro- and US dollar-denominated borrowings in fiscal year 2024 had been 100 basis points
lower (ceteris paribus), NORMA Group’s profit before taxes for fiscal year 2024 would have been EUR 2,632
thousand higher (2023: 2,322 thousand lower) and other comprehensive income EUR 980 thousand higher (2023:
EUR 1,427 thousand higher).
If the interest rates of euro- and US dollar-denominated borrowings in fiscal year 2024 had been 100 basis points
lower (ceteris paribus), NORMA Group’s profit before taxes for fiscal year 2024 would have been EUR 2,632
thousand higher (2023: EUR 2,322 thousand higher). Other comprehensive income would have been EUR 1,007
thousand lower (2023: EUR 1,488 thousand lower).
Other price risks
NORMA Group is exposed to other economic price risks. For further information, please refer to the 4 RISK AND
OPPORTUNITY REPORT.
(b) Credit risk
The Group’s exposure to credit risk arises from the possibility that counterparties will fail to meet their obligations
arising from their operating and financing activities. Credit risk arises from cash and cash equivalents, from
deposits with banks and financial institutions and from customer default risk, including outstanding receivables
and committed transactions.
Credit risk is monitored at the Group level. To minimize credit risk from business activities and financial
transactions, each contractual partner is assigned a credit line, the use of which is monitored on a regular basis.
In order to reduce the credit risk arising from the Company’s investment activities and derivative financial assets, it
is its internal policy to enter into all transactions only with recognized, large financial institutions and issuers, each
with high external credit ratings.
In the operating business, default risks are monitored continuously.
The aggregate carrying amounts of financial assets represent the maximum default risk. Due to the Group’s
heterogeneous customer structure, there is no concentration of risk.
As of December 31, 2024 the credit risk position for the gross carrying amounts of cash and cash equivalents and
other financial assets was as follows:
NORMA Group SE – Annual Report 2024 287
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Credit risk exposure from cash and cash equivalents and other financial assets
T087
as of Dec 31, 2024
in EUR thousands
External rating
Gross carrying amount
not credit-impaired
Gross carrying amount
credit-impaired
Risk class 1 – low risk
AA – BBB+
144,310
as of Dec 31, 2023
in EUR thousands
External rating
Gross carrying amount
not credit-impaired
Gross carrying amount
credit-impaired
Risk class 1 – low risk
AA – BBB+
179,707
Further details on the credit risk positions for trade receivables can be found at 4 NOTE 21 (A) TRADE AND OTHER
RECEIVABLES.
(c) Liquidity risk
Prudent liquidity risk management requires the holding of sufficient cash and marketable securities, the availability
of funding through committed credit lines at appropriate levels, and the ability to close out market positions. Due to
the dynamic nature of the underlying business, Group Treasury seeks to maintain flexibility in funding by
maintaining the availability of committed credit lines.
The remaining promissory note loans from 2014, 2016 and 2023 (outstanding volume Dec. 31, 2024: EUR 188.5
million) were issued in three-, five-, seven- and ten-year EUR tranches. Scheduled repayments of the promissory
note loans from 2013 and 2014 in the amount of EUR 18 million were made in the fiscal year 2024. In August
2023, NORMA Group successfully issued a new promissory note loan of EUR 120.0 million for general corporate
financing and to refinance maturing financial liabilities.
In 2021, an additional revolving committed credit line of a further EUR 50.0 million was established via the
accordion facility. This has a maturity similar to the existing syndicated bank loan, which was extended by one
additional year, through the end of 2026, as part of the expansion of the credit line. Both committed revolving
credit lines in the total amount of now EUR 100.0 million were not drawn down as of December 31, 2024.
In addition, the syndicated bank loan and the promissory note from 2023 contain a sustainability component. This
links the financing conditions to NORMA Group’s commitment in the area of corporate responsibility. This
commitment is measured by a rating from an external service provider. In 2024, NORMA Group – as in the
previous year – achieved a corresponding sustainability rating, which enabled savings to be made in the external
credit margin of the syndicated bank loan and the promissory note. The agreed interest margin for the syndicated
bank loan and the promissory note could therefore also be kept at a lower level in the current year. Failure to meet
the sustainability targets would increase the future interest burden.
The Commercial Paper program launched in fiscal year 2019 with a total volume of up to EUR 300 million consists
of short-term (1 – 52 weeks) bearer bonds. The revolving issuance of such short-term debt securities enables the
Group to manage and optimize its short-term financing requirements even more flexibly via the money and capital
markets in addition to its current credit lines with various banks. The commercial paper program had not been
used as at the reporting date of December 31, 2024 (December 31, 2023: EUR 0 million).
NORMA Group SE – Annual Report 2024 288
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
NORMA Group also participates in a reverse factoring program. Further general information and the impacts of
this agreement on the Group's liquidity risk can be found in the following sections:
•
Note 6 – Accounting Estimates and Judgments
•
Note 21 e) i) – Trade And Other Payables
The liquidity situation is constantly monitored with regard to business development, investments planned and the
repayment of loans.
The following table contains the contractually agreed, undiscounted future payments. Financial liabilities
denominated in foreign currencies are translated in the Consolidated Statement of Financial Position at the closing
rate. Interest payments on financial instruments with variable interest rates are determined on the basis of the
interest rates on the reporting date.
Maturity structure of non-derivative financial liabilities
T088
as of Dec 31, 2024
in EUR thousands
up to 1 year
> 1 year up to 2
years
> 2 years up to 5
years
> 5 years
Borrowings
46,658
303,226
67,213
28,060
Trade and other payables
142,836
Other financial liabilities
12,572
202,066
303,226
67,213
28,060
as of Dec 31, 2023
in EUR thousands
up to 1 year
> 1 year up to 2
years
> 2 years up to 5
years
> 5 years
Borrowings
42,735
47,845
413,832
29,768
Trade and other payables
173,659
Other financial liabilities
8,725
225,119
47,845
413,832
29,768
NORMA Group SE – Annual Report 2024 289
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
The maturity structure of the derivative financial instruments based on cash flows is as follows:
Maturity structure of derivative financial instruments
T089
as of Dec 31, 2024
in EUR thousands
up to 1 year
> 1 year up to 2
years
> 2 years up to 5
years
> 5 years
Derivative receivables - gross settlement
Cash outflows
-39,379
-25,337
Cash inflows
40,257
25,289
Derivative liabilities - gross settlement
Cash outflows
Cash inflows
Derivative receivables - net settlement
Cash inflows
1,985
1,752
Derivative liabilities - net settlement
Cash inflows
-819
2,044
1,704
as of Dec 31, 2023
in EUR thousand
up to 1 year
> 1 year up to 2
years
> 2 years up to 5
years
> 5 years
Derivative receivables - gross settlement
Cash outflows
-25,436
-25,808
Cash inflows
25,743
25,289
Derivative liabilities - gross settlement
Cash outflows
-15,996
Cash inflows
15,385
Derivative receivables - net settlement
Cash inflows
2,352
1,271
1,114
2,048
1,271
595
Capital risk management
NORMA Group’s objectives in managing its capital are to continue to be able to service its debt and to remain
financially stable.
At the end of the 2024 fiscal year, the Group's financing agreements did not contain a standard financial covenant
requiring compliance with the total net debt cover (debt in relation to adjusted Group EBITDA). However, as it is
linked to the level of financing costs, this standard market indicator is still part of the financing agreements and is
continuously monitored. In the fiscal year 2024, the value of the key figure was 2.1.
NORMA Group SE – Annual Report 2024 290
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
6. Accounting estimates and judgments
Estimates with regard to the future and discretionary decisions are continuously assessed by the Group and are
based on empirical values and assumptions that are deemed appropriate under the given circumstances.
The resulting accounting estimates will, by definition, seldom equal the respective actual results.
According to scientific findings, global climate change will impact the global economy in many ways. Business
models and competitive advantages can be sustainably influenced by climate change. Due to increasingly tightly
interconnected global supply and value chains, the industry is particularly affected by potential risks and damage.
In order to take account of the resulting economic uncertainties and volatilities, NORMA Group conducts an
analysis of potential opportunities and risks for its company structure and future sales markets and takes these
considerations into account when preparing the Consolidated Financial Statements.
Risks and uncertainties arising from climate change could affect the following areas of the Consolidated Financial
Statements in particular:
•
Impairment of non-financial assets: The uncertainties related to climate change could result in changes in cash
flow projections or the level of risk associated with achieving those cash flows.
•
Useful lives of assets: Climate-change-related factors could result in assets becoming physically unusable or
commercially obsolete sooner than anticipated.
•
Realization of deferred tax assets: The uncertainties related to climate change could lead to changes in
projected future taxable profits.
The impact of the ongoing war in Ukraine, the conflict in the Middle East and the other macroeconomic risks (e.g.,
from inflation, the economy, interest rate policy, supply chain problems) on NORMA Group is complex and results
mainly from the increase in energy and raw material prices as well as supply bottlenecks. The escalation of these
conflicts would further increase the risk of a global economic downturn, which in combination with continued
inflation and rising interest rates could lead to a significant decline in consumption.
In order to take account of the resulting economic uncertainties and volatilities, NORMA Group conducts an
analysis of potential opportunities and risks for its company structure and future sales markets and takes these
considerations into account when preparing the Consolidated Financial Statements.
The risks and uncertainties arising from the war in Ukraine and the other macroeconomic risks could have the
following impacts:
•
Volatility on the raw material markets
•
Margin reductions to the extent that price increases cannot be passed on immediately to customers
•
Changes in interest rates in various countries
•
Growing volatility of foreign currency exchange rates
•
Declining and volatile share prices
•
Deteriorating creditworthiness, payment defaults or late payments
These factors can impact the fair value and carrying amount of assets and liabilities as well as cash flow forecasts,
the measurement of pension provisions, the discount rate for goodwill impairment testing purposes and the
recoverability of deferred tax assets.
NORMA Group SE – Annual Report 2024 291
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Material accounting-related estimates
Estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts
of assets and liabilities within the next fiscal year were not identified.
Significant discretionary decisions
Income taxes
The Group is subject to income taxes in numerous jurisdictions. Significant judgments are required in determining
the worldwide liabilities for income taxes. There are transactions and calculations for which the ultimate tax
determination is uncertain. The Group recognizes liabilities for anticipated tax audit issues based on estimates of
whether additional taxes will be due. Where the final tax outcome of these matters differs from the amounts that
were initially recorded, such differences will impact the current and deferred income tax assets and liabilities in the
period in which such determination is made. As at December 31, 2024, income tax liabilities amounted to
EUR 6,795 thousand (Dec 31, 2023: EUR 6,799 thousand) and deferred tax liabilities amounted to
EUR 36,999 thousand (Dec 31, 2023: EUR 40,132 thousand). Deferred tax assets are recognized if sufficient
taxable income is available in the future. Among other factors, the planned results from operating activities, the
effects on earnings from the reversal of taxable temporary differences and possible tax strategies that NORMA
Group would pursue are taken into account. Based on the taxable income generated in past periods and the
planned future taxable income, NORMA Group assesses the recoverability of deferred tax assets at each reporting
date. Since future business developments are uncertain and partly beyond NORMA Group’s control, assumptions
are required to estimate future taxable income and the timing of the realization of deferred tax assets. Estimates
are adjusted in the period in which there are sufficient indications for an adjustment.
Reverse factoring agreements – presentation of amounts in connection with the supply chain financing
agreement in the Statement of Financial Position and Statement of Cash Flows
The Group participates in a supply chain financing agreement (SCF) under which suppliers can choose to receive
earlier payment of their invoices from a bank by selling their receivables from the Group (factoring). In this
agreement, the bank agrees to pay invoice amounts owed by the Group to participating suppliers and to receive
compensation from the Group at a later date. The purpose of this agreement is to facilitate efficient payment
processes and to enable willing suppliers to sell their receivables from the Group to a bank before the due date.
The Group has not derecognized the original liabilities subject to this agreement, as neither a legal exemption was
obtained nor was the liability significantly changed by entering into the agreement. The amounts factored by
suppliers are reported under trade payables, as the nature and function of the financial liability correspond to other
trade payables. 4 NOTE 21 (e) i – TRADE AND OTHER PAYABLES
The cash flows to the bank from the reverse factoring programs for the settlement of the original trade accounts
payable are presented under the cash flow from operating activities, as this corresponds to the economic
substance of the transactions. 4 NOTE 29 INFORMATION ON THE CONSOLIDATED STATEMENT OF CASH FLOWS
NORMA Group SE – Annual Report 2024 292
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
7. Adjustments
Management adjusts the result for the financial year for certain expenses and income in connection with realized
M&A transactions in order to manage the Group's operations. Adjustments are made in accordance with the
management approach in segment reporting. Hence, the following results, which are adjusted by these expenses,
reflect the Management Board’s perspective.
Acquisition-related expenses and income as part of realized M&A transactions are adjusted. These may include,
for example, costs for legal advice, due diligence, auditing, expert opinions, travel expenses and similar. In addition,
integration expenses are adjusted following acquisitions within the first twelve months. This includes all forms of
external consulting, severance costs, IT connection and other external implementation and integration costs.
In addition, effects from the purchase price allocation (PPA), such as expenses from depreciation, amortization and
impairments of property, plant and equipment and intangible assets from revaluation effects, so-called step-up
effects, are adjusted over time.
The following table shows the reconciliation for the adjusted result.
Profit and loss net of adjustments
T090
in EUR thousands
2024
unadjusted
Integration costs
Step-up effects
from purchase
price allocations
Total
adjustments
2024 adjusted
Revenue
1,155,128
1,155,128
Changes in inventories of finished goods and work in progress
6,194
6,194
Other own work capitalized
6,562
6,562
Raw materials and consumables used
-500,031
302
302
-499,729
Gross profit
667,853
302
302
668,155
Other operating income and expenses
-176,856
116
116
-176,740
Employee benefits expense
-337,930
-337,930
EBITDA
153,067
116
302
418
153,485
Depreciation
-57,955
758
758
-57,197
EBITA
95,112
116
1,060
1,176
96,288
Amortization
-37,795
33,827
33,827
-3,968
Operating profit (EBIT)
57,317
116
34,887
35,003
92,320
Financial costs - net
-23,299
-23,299
Profit before income tax
34,018
116
34,887
35,003
69,021
Income taxes
-19,227
-35
-8,871
-8,906
-28,133
Profit for the period
14,791
81
26,016
26,097
40,888
Non-controlling interests
95
95
Profit attributable to shareholders of the parent
14,696
81
26,016
26,097
40,793
Earnings per share (in EUR)
0.46
0.00
0.82
0.82
1.28
NORMA Group SE – Annual Report 2024 293
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Profit and loss net of adjustments (continued)
in EUR thousands
2023
unadjusted
M&A related
costs
Step-up effects
from purchase
price allocations
Total
adjustments
2023 adjusted
Revenue
1,222,781
1,222,781
Changes in inventories of finished goods and work in progress
-8,166
-8,166
Other own work capitalized
3,011
3,011
Raw materials and consumables used
-549,646
-549,646
Gross profit
667,980
667,980
Other operating income and expenses
-192,191
188
188
-192,003
Employee benefits expense
-321,750
-321,750
EBITDA
154,039
188
188
154,227
Depreciation
-53,334
846
846
-52,488
EBITA
100,705
188
846
1,034
101,739
Amortization
-24,582
20,324
20,324
-4,258
Operating profit (EBIT)
76,123
188
21,170
21,358
97,481
Financial costs - net
-22,670
-22,670
Profit before income tax
53,453
188
21,170
21,358
74,811
Income taxes
-25,537
-57
-5,325
-5,382
-30,919
Profit for the period
27,916
131
15,845
15,976
43,892
Non-controlling interests
84
84
Profit attributable to shareholders of the parent
27,832
131
15,845
15,976
43,808
Earnings per share (in EUR)
0.87
0.00
0.50
0.50
1.37
In the fiscal year 2024, expenses of EUR 302 thousand were adjusted within EBITDA (earnings before interest,
taxes, depreciation of property, plant and equipment and amortization of intangible assets). These relate to the
cost of materials resulting from the valuation of the inventories acquired as part of the purchase price allocation for
the acquisition of Teco. In addition, acquisition costs/integration costs in the amount of EUR 116 thousand were
adjusted.
In the 2023 fiscal year, acquisition-related expenses in the amount of EUR 188 thousand were adjusted within
EBITDA. These relate to expenses in connection with the agreement to acquire the Italian company Teco Srl. There
were no integration costs to be adjusted in the 2023 fiscal year.
As in the previous year, depreciation on property, plant and equipment from purchase price allocations in fiscal
year 2024 in the amount of EUR 758 thousand (2023: EUR 846 thousand) were adjusted within EBITA (earnings
before interest, taxes and amortization of intangible assets) as well as amortization and impairment of intangible
assets from purchase price allocations in the amount of EUR 33,827 thousand (2023: EUR 20,324 thousand)
within EBIT. The adjustments for amortization and impairment of intangible assets in fiscal year 2024 include
impairment losses in the amount of EUR 13,584 thousand (2023: EUR 0 thousand).
The theoretical taxes resulting from the adjustments are calculated using the respective tax rate of each Group
entity and are taken into consideration in adjusted earnings after taxes.
NORMA Group SE – Annual Report 2024 294
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Notes to the Consolidated Statement of Comprehensive Income
8. Revenue from contracts with customers
Revenue recognized during the period related to the following:
Revenues by customer industries
T091
in EUR thousands
EMEA
Americas
Asia-Pacific
Consolidated Group
2024
2023
2024
2023
2024
2023
2024
2023
Mobility & New Energy (MNE)
354,810
390,550
192,753
201,917
101,872
120,648
649,435
713,115
Industry Application (IA)
116,678
121,635
70,975
74,466
18,955
24,637
206,608
220,738
Water Management (WM)
5,830
2,466
266,649
258,124
26,606
28,338
299,085
288,928
477,318
514,651
530,377
534,507
147,433
173,623
1,155,128
1,222,781
Since the fiscal year of 2024, NORMA Group has reported revenues by customer industry: Mobility & New Energy
(MNE), Industry Applications (IA) and Water Management (WM). Until the 2023 fiscal year, revenue was reported
according to the Engineered Joining Technology (EJT) and Standardized Joining Technology (SJT) distribution
channels. The customer industry MNE primarily corresponds to the distribution channel EJT reported in the previous
year. The SJT distribution channel reported in the previous year is split into the IA and WM customer industries.
The other revenues reported in the previous year, which were not allocated to any distribution channels, were
primarily divided between the two customer industries MNE and IA.
Revenue is broken down into the following categories:
Revenue by category
T092
in EUR thousands
EMEA
Americas
Asia-Pacific
Consolidated Group
2024
2023
2024
2023
2024
2023
2024
2023
Revenues from the sale of goods
473,509
509,487
528,567
533,008
146,469
172,635
1,148,545
1,215,130
Other revenues
3,809
5,164
1,810
1,499
964
988
6,583
7,651
477,318
514,651
530,377
534,507
147,433
173,623
1,155,128
1,222,781
Other revenue mainly consists of revenue from the sale of production residues in metal production.
Revenue in 2024 includes ‘income’ from the reversal of reimbursement liabilities recognized in the previous period
of EUR 1,783 thousand (2023: EUR 1,982 thousand).The reversals represent the difference between the
recognized expected volume discounts and annual bonuses for customers in the previous period and the actual
payment in the fiscal year as well as the differences from recognized deferred revenues from price negotiations
with customers of NORMA Group that were not concluded in the previous year.
An analysis of revenues by region can be found in 4 NOTE 30 SEGMENT REPORTING.
NORMA Group SE – Annual Report 2024 295
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Contract assets and liabilities
Contract assets represent revenues from development services rendered, which were realized based on the ratio
of costs already incurred to the estimated total costs. The contract liabilities represent advance payments received
for goods to be supplied by NORMA Group. Of the contract assets and liabilities, EUR 381 thousand and EUR 854
thousand (2023: EUR 7 thousand and EUR 1,052 thousand respectively) are expected to be realized or fulfilled
within the next twelve months. The contract liabilities from advance payments received of EUR 1,052 thousand
recognized as of January 1, 2024, were recognized as revenue in the fiscal year, net of any sales taxes.
9. Materials and consumables used
Raw materials and consumables used comprised the following:
Raw materials and consumables used
T093
in EUR thousands
2024
2023
Cost of raw materials, consumables and supplies
-454,592
-499,174
Cost of purchased services
-45,439
-50,472
-500,031
-549,646
10. Other operating income
Other operating income comprised the following:
Other operating income
T094
in EUR thousands
2024
2023
Currency gains operational
7,381
8,672
Reversal of accruals
3,462
3,717
Reversal of provisions
3,440
1,819
Reimbursement of vehicle costs
1,017
862
Refund other taxes
779
1,116
Cost recharges from suppliers
441
851
Other income from disposal of fixed assets
267
433
Government grants
253
957
Foreign exchange derivatives
41
24
Refund custom duties
39
265
Grants related to employee benefits expense
11
140
Others
448
752
17,579
19,608
NORMA Group SE – Annual Report 2024 296
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
11. Other operating expenses
Other operating expenses comprised the following:
Other operating expenses
T095
in EUR thousands
2024
2023
Expenses for temporary workforce and other personnel-related costs
-47,400
-54,676
Freights
-29,346
-39,341
IT and telecommunications
-28,704
-25,213
Consulting and marketing
-19,057
-21,194
Other administrative expenses
-10,600
-10,020
Rentals and other building costs
-9,488
-9,033
Travel and entertainment
-8,885
-8,610
Currency losses operational
-6,630
-9,704
Insurances
-6,351
-5,689
Commission payable
-5,225
-5,069
Non-income-related taxes
-4,468
-4,017
Vehicle costs
-3,135
-3,070
Guarantees and penalties
-3,113
-3,603
Office supplies and services
-2,872
-2,893
Research & development
-2,615
-1,849
Maintenance
-2,487
-3,028
Write-offs and impairment losses on trade accounts receivable
-1,934
-890
Others
-2,125
-3,900
-194,435
-211,799
12. Employee benefits expense
Employee benefits expense comprised the following:
Employee benefits expense
T096
in EUR thousands
2024
2023
Wages and salaries and other benefits
-276,911
-263,886
Social security costs
-48,765
-44,919
Pension costs - defined contribution plans
-11,424
-11,933
Pension costs - defined benefit plans
-830
-1,012
-337,930
-321,750
In 2024, the average headcount was 6,087 (2023: 6,094).
NORMA Group SE – Annual Report 2024 297
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
13. Financial income and costs
Financial income and costs comprised the following:
Financial income and costs
T097
in EUR thousands
2024
2023
Financial costs
Interest expenses
Bank borrowings
-23,912
-22,268
Hedging instruments
2,626
2,527
Leases
-1,651
-1,457
Expenses for interest accrued on provisions
-124
-77
Expenses for interest accrued on pensions
-237
-278
Foreign exchange losses on financing activities
-1,588
-3,037
Expenses from valuation of derivatives
-1
Other financial cost
-2,053
-2,273
-26,939
-26,864
Financial income
Interest income on short-term bank deposits
2,307
1,552
Foreign exchange result on financing activities
1,333
2,605
Income from valuation of derivatives
26
Other financial income
11
3,640
4,194
Net financial cost
-23,299
-22,670
The increase in interest expenses compared to the previous year is due to the higher average reference interest
rate in the past fiscal year and the new financing of a promissory note loan with higher interest conditions
compared to the repaid loan liabilities. 4 NOTE 5 FINANCIAL RISK MANAGEMENT
Transaction costs in connection with financing are netted with the bank borrowings. They are amortized over the
financing period of the respective debt using the effective interest method, and are included in the interest expense
item. The remaining amount to be allocated to the remaining terms of the financing as of December 31, 2024,
amounted to EUR 449 thousand (2023: EUR 747 thousand).
The items foreign exchange losses and foreign exchange gains on financing activities contain the effects of the
translation of external and intragroup foreign currency loans and the effects of foreign currency derivatives used to
hedge these loans. The hedging relationship was classified as a hedge of fair value changes, as a result of which
the effects from the measurement of the derivatives and from the measurement or translation of the financial
liabilities are reflected in the financial result. The net effect is shown within 4 NOTE 14 NET FOREIGN EXCHANGE GAINS / LOSSES.
Furthermore, effects from the translation of bank balances in foreign currencies are included in these items.
NORMA Group SE – Annual Report 2024 298
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
14. Net foreign exchange gains / losses
The foreign currency gains and losses of NORMA Group are as follows:
Net foreign exchange gains / losses
T098
in EUR thousands
Note
2024
2023
Currency gains operational
(10)
7,381
8,672
Currency losses operational
(11)
-6,630
-9,704
Foreign exchange result on financing activities
(13)
-255
-432
Result from foreign exchange rate derivatives
(10, 13, 21)
25
496
-1,439
15. (EPS)
Earnings per share are calculated by dividing net income for the period attributable to NORMA Group’s
shareholders by the weighted average number of shares issued during the reporting period. NORMA Group has
only issued common shares.
As of December 31, 2024, and 2023, there were no dilutive effects on earnings per share.
Earnings per share in 2024 and 2023 were as follows:
Earnings per share
T099
2024
2023
Profit attributable to shareholders of the parent (in EUR thousands)
14,696
27,832
Number of weighted shares
31,862,400
31,862,400
Earnings per share (un)diluted (in EUR)
0.46
0.87
16. Income taxes
The breakdown of income taxes is as follows:
Income taxes
T100
in EUR thousands
2024
2023
Current tax expenses
-27,519
-27,925
Deferred tax income
8,292
2,388
Total income taxes
-19,227
-25,537
NORMA Group SE – Annual Report 2024 299
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
The combined income tax rate for the domestic companies was 30.1% in the 2024 fiscal year (2023: 30.1%) and
comprised a corporation tax rate of 15%, a solidarity surcharge of 5.5% on corporation tax and an average trade
tax rate of 14.2%. The taxation of the foreign subsidiaries is calculated on the basis of the tax rate applicable in the
respective country of domicile. Deferred taxes, calculated using the tax rates which apply respectively, are
expected to apply in the various countries at the time of realization.
The income tax expense of the Group actually reported differs from the theoretical income tax expense based on
the total German income tax rate for the 2024 fiscal year as follows:
Tax reconciliation
T101
in EUR thousands
2024
2023
Profit before tax
34,018
53,453
Group tax rate
30.1%
30.1%
Expected income taxes
-10,239
-16,089
Tax effects of:
Tax losses and tax credits from the actual year for which no deferred income tax is recognized
-9,759
-9,504
Effects from the deviation of the Group tax rate resulting mainly from different foreign tax rates
2,918
3,743
Non-deductible expenses for tax purposes
-2,154
-282
Other tax-free income
573
525
Non-deductible withholding tax
-2,088
-2,021
Income taxes related to prior years
441
631
In the current fiscal year impaired deferred tax assets from loss carryforward related to the previous
year
-1,530
-3,145
In the current fiscal year recognized deferred tax assets from loss carryforward related to the previous
year
2,788
843
Impairment of other tax assets
-174
Other
-3
-238
Income taxes
-19,227
-25,537
NORMA Group SE – Annual Report 2024 300
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
The amount of income taxes directly charged or credited to other comprehensive income is broken down as
follows:
Income tax charged / credited to other comprehensive income
T102
2024
in EUR thousands
Before tax
amount
Tax charge/
credit
Net of tax
amount
Cash flow hedges gains/losses
-1,566
420
-1,146
Remeasurements of
post-employment benefit obligations
-62
-11
-73
Other comprehensive income
-1,628
409
-1,219
2023
in EUR thousands
Before tax
amount
Tax charge/
credit
Net of tax
amount
Cash flow hedges gains/losses
-1,696
494
-1,202
Remeasurements of
post-employment benefit obligations
-282
195
-87
Other comprehensive income
-1,978
689
-1,289
NORMA Group SE – Annual Report 2024 301
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Additional Information on the Consolidated Statement of
Financial Position
17. Deferred income tax
Deferred income tax assets and liabilities developed as follows in the fiscal year:
Movement in deferred tax assets and liabilities
T103
in EUR thousands
2024
2023
Deferred tax liabilities (net) - as of Jan 1
28,664
33,033
Deferred tax income
-8,292
-2,388
Tax charged to other comprehensive income
-409
-689
Foreign exchange rate differences
1,883
-1,292
Acquisition of subsidiaries
1,323
Deferred tax liabilities (net) - as of Dec 31
23,169
28,664
The cumulative impact from the recognition of deferred tax liabilities from cash flow hedges recognized in other
reserves amounted to EUR 880 thousand at December 31, 2024 (December 31, 2023: EUR 1,300 thousand). The
cumulative effects recognized in retained earnings from the recognition of deferred tax liabilities from pension
remeasurements amounted to EUR 508 thousand (Dec. 31, 2023: EUR 498 thousand):
Deferred income tax assets and liabilities (excluding offsetting within individual tax jurisdictions) are as follows:
Deferred income tax assets
T104
in EUR thousands
Dec 31, 2024
Dec 31, 2023
Intangible assets
4,437
3,235
Property, plant and equipment
1,395
1,135
Other assets
2,231
2,177
Inventories
5,735
4,581
Trade receivables
3,955
3,595
Retirement benefit obligations/pension liabilities
1,289
1,309
Provisions
609
574
Borrowings
2,896
557
Other liabilities, incl. derivatives
13,043
13,321
Trade and other payables
1,162
898
Tax loss carry forward and tax credits
8,238
9,892
Deferred tax assets (before offsetting)
44,990
41,274
Offsetting effects
-31,160
-29,806
Deferred tax assets
13,830
11,468
NORMA Group SE – Annual Report 2024 302
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Deferred income tax liabilities
T105
in EUR thousands
Dec 31, 2024
Dec 31, 2023
Intangible assets
33,203
36,229
Property, plant and equipment
22,262
21,761
Other assets
5,630
4,395
Inventories
79
80
Trade receivables
724
635
Retirement benefit obligations/pension liabilities
610
591
Borrowings
181
181
Provisions
427
366
Other liabilities, incl. derivatives
2,514
3,057
Trade and other payables
67
Untaxed reserves
2,529
2,576
Deferred tax liabilities (before offsetting)
68,159
69,938
Offsetting effects
-31,160
-29,806
Deferred tax liabilities
36,999
40,132
Deferred tax liabilities (net)
23,169
28,664
Deferred income tax assets are recognized for all deductible temporary differences between the carrying amounts
of assets and liabilities in the Consolidated Statement of Financial Position and their tax bases to the extent that it
is probable that future taxable profit will be available against which the deductible temporary differences can be
utilized. In the current fiscal year, deductible temporary differences for which a deferred income tax asset was
recognized in previous years had to be partially written down due to insufficient taxable future earnings.
The Group recorded tax losses in some subsidiaries in 2024 and in previous years. In total, the recognized deferred
income tax assets on temporary differences and tax loss carryforwards for subsidiaries that have incurred tax
losses in the current or previous fiscal year amount to EUR 3,398 thousand (2023: EUR 10,238 thousand).
Essentially, the deferred tax assets relate to loss carryforwards which can be carried forward indefinitely and have
not expired.
The increase in deferred income tax liabilities in the item “Borrowings” compared to the previous year is primarily
due to the exchange rate development of foreign currency liabilities.
The increase in deferred income tax liabilities in the item “Other assets” compared to the previous year mainly
resulted from the exchange rate development of foreign currency receivables.
Deferred tax assets are recognized for tax loss carry forwards to the extent that it is probable that the tax assets
will be realized in the foreseeable future. The usability of tax loss carry forwards over time is as follows:
NORMA Group SE – Annual Report 2024 303
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Temporary usability of tax loss carry forwards
T106
in EUR thousands
Dec 31, 2024
Dec 31, 2023
up to 1 year
1,271
1,396
> 1 year up to 5 years
1,271
13,868
> 5 years
5,529
3,951
Unlimited carry forward
168,129
144,879
Total
176,200
164,094
The tax loss carry forwards amounted to EUR 176,200 thousand as at December 31, 2024 (Dec 31, 2023: EUR
164,094 thousand). Of this amount, EUR 74,699 thousand is attributable to German corporate income tax loss
carryforwards (Dec. 31, 2023: EUR 64,072 thousand) and EUR 67,473 thousand to German trade tax loss
carryforwards (Dec. 31, 2023: 59,027).
The usability of unrecognized tax loss carry forwards over time is as follows:
Temporary usability of unrecognized tax loss carry forwards
T107
in EUR thousands
Dec 31, 2024
Dec 31, 2023
> 1 year up to 5 years
4,198
> 5 years
3,840
Unlimited carry forward
132,281
97,554
Total
136,121
101,752
The tax loss carry forwards for which no deferred tax assets were recognized amounted to EUR 136,121 thousand
as of December 31, 2024 (Dec 31, 2023: EUR 101,752 thousand). Of this amount, EUR 63,923 thousand is
attributable to German corporation tax loss carry forwards (Dec. 31, 2023: EUR 49,968 thousand) and EUR 56,696
thousand on German trade tax loss carryforwards (Dec 31, 2023: EUR 29,398 thousand).
The interest carried forward for tax purposes amounted to EUR 25,546 thousand as at December 31, 2024 (Dec
31, 2023: EUR 10,619 thousand). These are attributable to the intragroup refinancing of the previous year. No
deferred income tax assets were recognized on the tax interest carry forwards, as they are not expected to be
realized in the foreseeable future.
Tax liabilities may arise in connection with shares in subsidiaries. However, these tax liabilities were not
recognized in the 2024 fiscal year, as the Group can determine the dividend policy of the subsidiaries. The Group
can therefore control the reversal of temporary differences in connection with investments in subsidiaries. The
Management Board assumes that there will be no reversals in the foreseeable future.
NORMA Group SE – Annual Report 2024 304
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
18. Goodwill and other intangible assets
The acquisition costs as well as accumulated amortization and impairment of intangible assets consist of the
following:
Development of goodwill and other intangible assets
T108
in EUR thousands
As of Jan, 1
2024
Additions
Deductions
Transfers
Changes in
consolidation
Currency
effects
As of Dec 31,
2024
Acquisition costs
Goodwill
430,096
3,189
14,165
447,450
Customer lists
279,792
97
-463
20
4,107
14,256
297,809
Licenses, rights
1,855
34
-66
10
15
1,848
Software acquired externally
42,843
241
-3,081
385
9
424
40,821
Trademarks
57,588
818
3,415
61,821
Patents & technology
73,036
445
2,358
75,839
Internally generated intangible assets
37,623
4,154
-3
-313
1,635
43,096
Intangible assets, other
9,344
595
-92
7
-50
9,804
Total
932,177
5,566
-3,613
0
8,140
36,218
978,488
Accumulated amortization and
impairment
Goodwill
35,346
1,701
37,047
Customer lists
171,259
24,279
-442
8,452
203,548
Licenses, rights
1,716
12
-66
12
1,674
Software acquired externally
41,429
840
-3,081
189
5
206
39,588
Trademarks
21,047
2,320
1,205
24,572
Patents & technology
57,800
7,824
2,171
67,795
Internally generated intangible assets
31,754
2,408
-3
-189
1,307
35,277
Intangible assets, other
8,086
112
-1
-68
8,129
Total
368,437
37,795
-3,592
0
4
14,986
417,630
NORMA Group SE – Annual Report 2024 305
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
(Continued) Development of goodwill and other intangible assets
in EUR thousands
As of
Jan 1, 2023
Additions
Deductions
Transfers
Currency
effects
As of Dec 31,
2023
Acquisition costs
Goodwill
438,579
-8,483
430,096
Customer lists
288,333
-8,541
279,792
Licenses, rights
1,879
5
-23
10
-16
1,855
Software acquired externally
44,069
662
-1,332
2
-558
42,843
Trademarks
59,536
-1,948
57,588
Patents & technology
74,627
445
-496
-1,540
73,036
Internally generated intangible assets
38,103
2,286
-2,057
-709
37,623
Intangible assets, other
9,107
213
-1
-12
37
9,344
Total
954,233
3,611
-3,909
0
-21,758
932,177
Accumulated amortization and
impairment
Goodwill
36,309
-963
35,346
Customer lists
160,089
15,535
-4,365
171,259
Licenses, rights
1,752
5
-23
-18
1,716
Software acquired externally
42,627
736
-1,332
-602
41,429
Trademarks
20,163
1,498
-614
21,047
Patents & technology
55,538
3,977
-496
-1,219
57,800
Internally generated intangible assets
32,122
2,218
-2,054
-532
31,754
Intangible assets, other
7,419
613
-1
55
8,086
Total
356,019
24,582
-3,906
0
-8,258
368,437
The carrying amounts for intangible assets as of December 31, 2024, and 2023, were as follows:
Goodwill and other intangible assets – carrying amounts
T109
Carrying amounts
in EUR thousands
Dec 31, 2024
Dec 31, 2023
Goodwill
410,403
394,750
Customer lists
94,261
108,533
Licenses, rights
174
139
Software acquired externally
1,233
1,414
Trademarks
37,249
36,541
Patents & technology
8,044
15,236
Internally generated intangible assets
7,819
5,869
Intangible assets, other
1,675
1,258
Total
560,858
563,740
NORMA Group SE – Annual Report 2024 306
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
As at December 31, 2024, the “Patents and technology” item consisted of patents in the amount of EUR 726
thousand (Dec 31, 2023: EUR 2,169 thousand) and technology in the amount of EUR 7,318 thousand (Dec 31,
2023: EUR 13,067 thousand). Unpatented technologies contain specific process know-how in the production
process identified in the course of company acquisitions.
Internally generated intangible assets include development costs for internally generated technologies in the
amount of EUR 7,474 thousand (Dec 31, 2023: EUR 5,401 thousand) and for internally developed software in the
amount of EUR 345 thousand (Dec 31, 2023: EUR 470 thousand).
The item ‘Intangible assets, other’ consists mainly of prepayments.
Significant individual intangible asset
T110
in EUR thousands
Carrying amounts
Dec 31, 2024
Dec 31, 2023
Remaining
useful life (in
years)
NDS - Customer lists
78,707
81,524
10
In addition to additions and disposals and scheduled amortization, the changes in intangible assets also resulted
from positive exchange rate effects, in particular from the US dollar region.
The estimated useful lives for other intangible assets are as follows:
•
Patents: 5 to 10 years
•
Customer lists: 4 to 20 years
•
Technology: 10 to 20 years
•
Licenses, rights: 3 to 5 years
•
Trademarks: indefinite or 20 years
•
Software: 3 to 5 years
The change in goodwill is summarized as follows:
Change in goodwill
T111
in EUR thousands
Balance as of Jan 1, 2024
394,750
Currency effect
12,464
Changes in consolidation
3,189
Balance as of Dec 31, 2024
410,403
In addition to goodwill, there are intangible assets with indefinite useful lives in the area of brands in the amount of
EUR 30,706 thousand (2023: EUR 28,869 thousand) which resulted from the acquisition of NDS in 2014. From a
market perspective, NORMA Group assumed an indefinite useful life for these acquired trademarks, which mainly
include the corporate brand NDS®, because these brands have been established in the market for a number of
NORMA Group SE – Annual Report 2024 307
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
years and there is no foreseeable end to their useful life, therefore useful lives are indefinite. Trademarks with
indefinite useful lives are fully allocated to the cash-generating unit (CGU) Americas.
Brands with indefinite useful lives are subject to an annual impairment test in accordance with IAS 36 on the basis
of the recoverable amount in accordance with the procedure described in 4 NOTE 3 SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES – IMPAIRMENT OF NON-FINANCIAL ASSETS. As part of the application of the license price analogy, the fair value of the
brands is determined using a notional license payment based on the respective brand-relevant sales derived from
the planning. The assumption of future sales is based on the expectations of local management. For the NDS
brand, a discount rate of 8.9% (2023: 7.0%) and a growth rate of 1.0% (2023: 1.0%) were taken into account in
the detailed planning period of five years. With regard to the impairment test of the NDS brand, there were no
indications of impairment.
On December 31, 2024, and 2023, the intangible assets were unsecured.
Impairment tests for goodwill
Goodwill is allocated to the Group’s cash-generating units (CGUs) identified according to geographical areas. A
summary of the goodwill allocation is presented below:
Goodwill allocation per segment
T112
in EUR thousands
Dec 31, 2024
Dec 31, 2023
CGU EMEA
182,850
179,802
CGU Americas
194,672
183,028
CGU Asia-Pacific
32,881
31,920
Consolidated Group
410,403
394,750
The change in goodwill is the result of currency effects and the acquisition of Teco.
The recoverable amount of a CGU for which goodwill is recognized is determined based on fair value less costs to
dispose, which is calculated by discounting projected cash flows. In view of the input factors used for this valuation
technique, the fair values determined are to be classified as level 3 fair values 4 NOTE 3 SUMMARY OF SIGNIFICANT
ACCOUNTING POLICIES – DETERMINATION OF FAIR VALUES. The determination of future cash flows is based on internal corporate
planning, which is prepared with the “bottom-up” method using certain uniform Group-wide assumptions and
covers a period of five years. The underlying parameters, such as sales growth and margins, are determined on the
basis of expertise gained in the past, current economic results, and forecasts by external industry experts such as
the VDMA industry association, the German Association of the Automotive Industry (VDA), and the LMC
Automotive (LMCA). The average growth rates of revenues in the detailed planning period for CGU EMEA is 5.7%
(2023: 6.7%), for the Americas CGU 10.2% (2023: 8.1%) and for the Asia-Pacific CGU 10.3% (2023: 13.6%). In
terms of the average EBIT margin in the same planning period, this results in a ratio of 9.6% (2023: 10.3%) for the
EMEA CGU, 10.4% (2023: 11.4%) for the Americas CGU and 9.6% (2023: 11.6%) for the Asia-Pacific CGU.
For the extrapolation of cash flows beyond this five-year period, the estimated growth rates given below are used.
NORMA Group believes that these growth rates do not exceed the long-term average growth rate for the
geographical area of the respective CGU.
NORMA Group SE – Annual Report 2024 308
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
The discount rates used are after-tax rates and reflect the specific risk of each CGU. The corresponding pre-tax
interest rates for the EMEA CGU are 12.9% (2023: 13.6%) for the CGU Americas 11.7% (2023: 11.6%) and for the
CGU Asia-Pacific 13.3% (2023: 14.0%).
The fair value less costs to sell is mainly determined by the terminal value (present value of the perpetual annuity),
which is particularly sensitive to changes in the assumptions for the long-term growth rate and the discount rate.
Both assumptions are determined individually for each cash-generating unit. The discount rates are based on the
concept of Weighted Average Cost of Capital (WACC).
The further key assumptions used for fair value less costs to sell calculations are as follows:
Goodwill per segment – further key assumptions
T113
Dec 31, 2024
CGU EMEA
CGU Americas
CGU Asia-Pacific
Terminal value growth rate
1.0%
1.0%
1.0%
Discount rate (after tax)
10.1%
9.1%
10.2%
Dec 31, 2023
CGU EMEA
CGU Americas
CGU Asia-Pacific
Terminal value growth rate
1.0%
1.0%
1.0%
Discount rate (after tax)
10.9%
9.2%
10.9%
The aforementioned assumptions relate to the goodwill impairment test performed as part of the annual
impairment test regularly carried out as of September 30.
A sensitivity analysis for each CGU considers possible changes in key assumptions. The sensitivity analysis was
performed in isolation for all significant factors, i.e., a change in the fair value of a cash-generating unit is only
caused by a decrease or increase in the respective factor. No impairment was required for any of the identified
sensitivities.
An impairment test was carried out for the CGU Kimplas Piping Systems Ltd. (legal company) due to the continued
negative business development.
As part of this review, the recoverable amount was determined on the basis of the value in use. The value in use is
equivalent to the present value of the future cash flows (discounted cashflow) generated from the continuing use
of the asset.
Impairments
T114
in EUR thousand
2024
Customer lists
8,744
Trademarks
806
Patents and technologies
4,034
Total
13,584
NORMA Group SE – Annual Report 2024 309
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
The impairments were recorded in the statement of comprehensive income under the item “Depreciation and
amortisation”.
The recoverable amount of the CGU as at December 31, 2024, was EUR 7,377 thousand, based on an after-tax
discount rate of 11.2%.
Impairment of other intangible assets
No further material impairment losses or reversals of impairment losses on intangible assets were recognized in
the fiscal year of 2024.
NORMA Group SE – Annual Report 2024 310
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
19. Property, plant and equipment
The acquisition and manufacturing costs as well as accumulated depreciation of property, plant and equipment
consist of the following:
Development of property, plant and equipment
T115
in EUR thousands
As of
Jan 1, 2024
Additions
Deductions
Transfers
Change in
Consolidation
Currency
effects
As of
Dec 31, 2024
Acquisition costs
Land and buildings
130,560
736
-181
2,753
32
1,715
135,615
Machinery and tools
483,652
5,345
-8,127
36,286
2,635
12,923
532,714
Other equipment
78,747
1,884
-4,927
5,035
39
986
81,764
Assets under construction
35,470
39,934
-108
-44,074
960
32,182
Right-of-use assets
Land and buildings
88,237
6,133
-1,757
343
4,164
97,120
Machinery and tools
327
44
-268
103
Forklifts and warehouse
4,902
2,357
-387
119
6,991
Office and IT equipment
1,130
431
-336
6
1,231
Company cars
5,066
2,163
-1,989
-23
5,217
Total
828,091
59,027
-18,080
0
3,049
20,850
892,937
Accumulated depreciation and
impairment
Land and buildings
65,251
4,291
-172
10
452
69,832
Machinery and tools
337,098
34,488
-7,416
29
1,424
7,749
373,372
Other equipment
62,374
5,795
-4,782
48
40
616
64,091
Assets under construction
168
381
-55
-77
-40
377
Right-of-use assets
Land and buildings
48,839
10,022
-1,557
247
2,589
60,140
Machinery and tools
260
26
-266
20
Forklifts and warehouse
2,277
1,265
-359
52
3,235
Office and IT equipment
459
242
-333
2
370
Company cars
3,011
1,445
-1,955
-14
2,487
Total
519,737
57,955
-16,895
0
1,721
11,406
573,924
NORMA Group SE – Annual Report 2024 311
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
(Continued) Development of property, plant and equipment
in EUR thousands
As of
Jan 1, 2023
Additions
Deductions
Transfers
Currency
effects
As of
Dec 31, 2023
Acquisition costs
Land and buildings
119,634
518
-438
12,004
-1,158
130,560
Machinery and tools
456,866
6,960
-4,545
30,525
-6,154
483,652
Other equipment
73,898
2,104
-1,686
4,602
-171
78,747
Assets under construction
35,154
48,146
-22
-47,131
-677
35,470
Right-of-use assets
Land and buildings
85,859
12,146
-7,612
-2,156
88,237
Machinery and tools
337
80
-89
-1
327
Forklifts and warehouse
4,012
1,698
-808
4,902
Office and IT equipment
543
681
-91
-3
1,130
Company cars
4,923
1,371
-1,208
-20
5,066
Total
781,226
73,704
-16,499
0
-10,340
828,091
Accumulated depreciation and
impairment
Land and buildings
62,019
4,103
-443
4
-432
65,251
Machinery and tools
312,482
30,900
-3,242
-16
-3,026
337,098
Other equipment
58,419
5,750
-1,626
12
-181
62,374
Assets under construction
175
-7
168
Right-of-use assets
Land and buildings
46,983
9,872
-7,049
-967
48,839
Machinery and tools
306
43
-89
260
Forklifts and warehouse
2,048
1,015
-771
-15
2,277
Office and IT equipment
300
243
-82
-2
459
Company cars
2,653
1,408
-1,042
-8
3,011
Total
485,385
53,334
-14,344
0
-4,638
519,737
NORMA Group SE – Annual Report 2024 312
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
The carrying amounts of property, plant and equipment excluding rights of use are as follows:
Property, plant and equipment – carrying amounts
T116
in EUR thousands
Carrying amounts
Dec 31, 2024
Dec 31, 2023
Land and buildings
65,783
65,309
Machinery and tools
159,342
146,554
Other equipment
17,673
16,373
Assets under construction
31,805
35,302
Total
274,603
263,538
The estimated useful lives for property, plant and equipment (excluding rights of use under IFRS 16) are as follows:
•
Buildings: 8 to 40 years
•
Machinery and technical equipment: 3 to 18 years
•
Tools: 3 to 10 years
•
Other equipment: 2 to 20 years
The item “Machinery” included tools in the amount of EUR 21,391 thousand as at December 31, 2024 (Dec 31,
2023: EUR 20,847 thousand).
As of December 31, 2024, and 2023, property, plant and equipment were unsecured.
20. Leases
(i) Right-of-use assets – Leasing
NORMA Group has significant leases for the rental of land and buildings. In addition, the Group maintains leases
for various company cars and technical equipment under non-cancellable lease agreements. Besides the usual
extension options, the leases include, to a minor extent, purchase and termination options that are not taken into
account. The lease terms per asset class are as follows:
•
Right-of-use assets – land and buildings: 2 months to 78 years
•
Right-of-use assets – machinery and tools: 1 to 6 years
•
Right-of-use assets – forklifts and warehouse: 1 to 11 years
•
Rights of use assets – office and IT equipment: 1 to 10 years
•
Rights of use assets – company cars: 1 to 7 years
The Group’s leases generally do not contain credit terms.
NORMA Group SE – Annual Report 2024 313
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
(ii) Recognition exemptions
NORMA Group has made use of accounting options for short-term leases (minimum term of no more than twelve
months if no purchase option has been agreed) as well as for low-value assets as the lessee and has not
recognized these as a right-of-use/lease liability but rather as a current expense – with the exception of leased
assets attributable to the asset class ‘Right-of-use assets – land and buildings’. Furthermore, lessees are granted
an accounting option not to separate leasing and non-leasing components, which NORMA Group has made use
of, except for the ‘Right-of-use assets – land and buildings’ and ‘Right-of-use assets – company cars’ asset
classes.
(iii) Extension and termination options
Several of NORMA Group’s real estate leasing contracts contain renewal options. Termination options are included
to a minor extent in the area of real estate leasing. Such contract terms are used to give the Group operational
flexibility with regard to the contract portfolio. The majority of the existing renewal and termination options can
only be exercised by the Group and not by the respective lessor.
As at December 31, 2024, potential additional cash outflows from extension options in the amount of EUR 26,185
thousand (Dec 31, 2023: EUR 21,865 thousand) were not included in the lease liability as it is not reasonably
certain that the leases will be extended. As of December 31, 2024, and 2023, there were no potential reduced
cash outflows from termination options.
Changes in estimates of the term and amount of expected lease payments (index-based payments) resulted in
increases in the right-of-use assets and lease liabilities of EUR 612 thousand. As of December 31, 2024, there
were no changes in estimates resulting in decreases in the right-of-use assets and lease liabilities.
(iv) Amounts recognized in the Consolidated Statement of Financial Position
The following items related to leases are shown in the Consolidated Statement of Financial Position:
Right-of-use assets – carrying amounts
T117
in EUR thousands
Dec 31, 2024
Dec 31, 2023
Land and buildings
36,980
39,398
Machinery and tools
83
67
Forklifts and warehouse
3,756
2,625
Office and IT equipment
861
671
Company cars
2,730
2,055
Total
44,410
44,816
NORMA Group SE – Annual Report 2024 314
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
The maturities of the nominal values and the carrying amounts of the lease liabilities are as follows:
Maturity of lease liabilities as of Dec 31, 2024
T118
in EUR thousands
up to 1 year
> 1 year up to 5
years
> 5 years
Lease liabilities – nominal value
12,840
24,933
10,166
Lease liabilities – carrying amount
11,387
22,019
9,025
Maturity of lease liabilities as of Dec 31, 2023
T119
in EUR thousands
up to 1 year
> 1 year up to 5
years
> 5 years
Lease liabilities – nominal value
11,572
25,740
11,262
Lease liabilities – carrying amount
10,108
22,652
9,856
(v) Amounts recognized in the Statement of Profit or Loss
The following amounts relating to leases are recognized in the Statement of Profit or Loss:
Leases in the statement of profit or loss
T120
in EUR thousands
2024
2023
Depreciation charge of right-of-use assets
13,000
12,581
Land and buildings
10,022
9,872
Machinery and technical equipment
26
43
Forklifts and warehouse equipment
1,265
1,015
Office and IT equipment
242
243
Company cars
1,445
1,408
Finance costs
-1,644
-1,390
Interest expenses
-1,651
-1,457
Currency gains/-losses
7
67
Other operating expenses
2,298
2,088
Expenses relating to short-term leases for which no RoU asset was recorded
1,786
1,652
Expenses relating to leases of low-value assets that are not shown above as short-term leases
512
436
(vi) Amounts recognized in the Consolidated Statement of Cash Flows
The Consolidated Statement of Cash Flows includes a total of EUR 16,533 thousand for lease payments (2023:
EUR 15,813 thousand). Of these, payments in the amount of EUR 14,235 thousand were made within the cash
outflow/cash inflow from financing activities (2023: EUR 13,725 thousand) and payments of EUR 2,298 thousand
were recognized within the cash inflow from operating activities (2023: EUR 2,088 thousand).
NORMA Group SE – Annual Report 2024 315
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
21. Financial instruments
The following disclosures provide an overview of the financial instruments held by the Group, detailed information
about each type of financial instrument held and information about the accounting policies used. Financial
instruments according to classes and categories were as follows:
Financial instruments – classes and categories
T121
in EUR thousands
Notes
Category
IFRS 7.8
according to
IFRS 9
Measurement basis IFRS 9
Measurement
basis IFRS 16
Carrying
amount Dec
31, 2024
Amortized
cost
Fair value
through profit
or loss
Derivatives
used for
hedging
Fair value Dec
31, 2024
Financial assets
Derivative financial instruments -
hedge accounting
21. (f)
Interest rate swaps - cash flow
hedges
n / a
3,571
3,571
3,571
Foreign exchange derivatives - fair
value hedges
n / a
1,415
1,415
1,415
Trade and other receivables
21. (a)
Amortized
Cost
141,007
141,007
141,007
Trade receivables - ABS/Factoring
program (mandatorily measured at
FVTPL)
21. (b)
FVTPL
18,427
18,427
18,427
Other financial assets
21. (d)
Amortized
Cost
7,190
7,190
7,190
Cash and cash equivalents
21. (c)
Amortized
Cost
127,130
127,130
127,130
Financial liabilities
Borrowings
21. (e)
FLAC
400,526
400,526
403,673
Derivative financial instruments -
hedge accounting
21. (f)
Foreign exchange derivatives - cash flow
hedges
n / a
671
671
671
Foreign exchange derivatives - fair
value hedges
n / a
84
84
84
Trade and other payables
21. (e)
FLAC
142,836
142,836
142,836
Lease liabilities
20
n / a
42,431
42,431
n / a
Other financial liabilities
21. (e)
FLAC
12,572
12,572
12,572
Total per category
Financial assets at amortized cost
275,327
275,327
275,327
Financial assets at fair value through
profit or loss (FVTPL)
18,427
18,427
18,427
Financial liabilities at amortized cost
(FLAC)
555,934
555,934
559,081
NORMA Group SE – Annual Report 2024 316
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Financial instruments – classes and categories (continued)
in EUR thousands
Notes
Category
IFRS 7.8
according to
IFRS 9
Measurement basis IFRS 9
Measurement
basis IFRS 16
Carrying
amount Dec
31, 2023
Amortized
cost
Fair value
through profit
or loss
Derivatives
used for
hedging
Fair value Dec
31, 2023
Financial assets
Derivative financial instruments -
held for trading
21. (f)
Foreign exchange derivatives
FVTPL
Derivative financial instruments -
hedge accounting
21. (f)
Interest rate swaps - cash flow
hedges
n / a
4,466
4,466
4,466
Foreign exchange derivatives - fair
value hedges
n / a
507
507
507
Trade and other receivables
21. (a)
Amortized
Cost
151,825
151,825
151,825
Trade receivables - ABS/Factoring
program (mandatorily measured at
FVTPL)
21. (b)
FVTPL
32,682
32,682
32,682
Other financial assets
21. (d)
Amortized
Cost
3,223
3,223
3,223
Cash and cash equivalents
21. (c)
Amortized
Cost
165,207
165,207
165,207
Financial liabilities
Borrowings
21. (e)
FLAC
458,744
458,744
460,550
Derivative financial instruments -
held for trading
Foreign exchange derivatives
FVTPL
Derivative financial instruments -
hedge accounting
21. (f)
Foreign exchange derivatives - fair
value hedges
n / a
544
544
544
Trade and other payables
21. (e)
FLAC
173,659
173,659
173,659
Lease liabilities
20
n / a
42,616
42,616
n / a
Other financial liabilities
21. (e)
FLAC
8,724
8,724
8,724
Totals per category
Financial assets at amortized cost
320,255
320,255
320,255
Financial assets at fair value through
profit or loss (FVTPL)
32,682
32,682
32,682
Financial liabilities at amortized cost
(FLAC)
641,127
641,127
642,933
Financial liabilities at fair value through
profit or loss (FVTPL)
—
—
NORMA Group SE – Annual Report 2024 317
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
21. (a) Trade and other receivables
i. Accounting policies for trade and other receivables
Trade receivables are amounts payable by customers for goods sold or services rendered in the ordinary course of
business. If the receivables are expected to be settled within twelve months, they are classified as current assets. If
this is exceptionally not the case, they are reported as non-current assets. Trade receivables are classified in
accordance with IFRS 9. They are generally required to collect the contractual cash flows and are allocated to the
“hold” business model accordingly. They are recognized initially at the amount of the unconditional consideration
and are subsequently carried at amortized cost using the effective interest method less any impairment losses. If
trade receivables contain a significant financing component, they are initially recognized at fair value.
Other receivables mainly include bills of exchange guaranteed by banks (so-called “banker’s acceptance bills”)
from trade receivables for customers in China. These financial assets are generally held to collect the contractual
cash flows and are therefore classified under the “hold” business model. They are initially recognized at fair value
plus transaction costs and are subsequently carried at amortized cost using the effective interest method less
impairment.
For trade receivables, the simplified approach, which is based on the expected credit losses over the respective
terms, is used. Loss rates calculated on the basis of historical and forecast data are used, taking into account the
business model, the respective customer and the economic environment of the geographical region. For this
purpose, NORMA Group considers in particular the credit default swaps of the respective client’s home countries
as well as industry-specific default probabilities derived from external sources. In addition, loss rates from
customer-specific credit default swaps (CDS) are used, if available.
Impairment losses on trade receivables, together with impairment losses on contract assets, are recognized in
operating profit as net impairment losses. Unused amounts reversed are included in the same line item.
Losses on the disposal of trade receivables through write-offs are recognized in operating profit as impairment
losses, net. Unused amounts reversed are included in the same line item.
ii. Disclosures on trade receivables
Trade and other receivables are as follows:
Trade and other receivables
T122
in EUR thousands
Dec 31, 2024
Dec 31, 2023
Trade receivables
154,430
178,203
Other receivables
5,004
6,304
159,434
184,507
NORMA Group SE – Annual Report 2024 318
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
On the reporting date, trade receivables were as follows:
Trade receivables
T123
in EUR thousands
Dec 31, 2024
Dec 31, 2023
Trade receivables
156,473
179,974
Less allowances for doubtful accounts
-2,043
-1,771
154,430
178,203
iii. Disclosures on valuation allowances on trade receivables
The valuation adjustments with respect to trade receivables that are not measured at fair value through profit or
loss were determined as follows as of December 31, 2024:
Credit risk on trade receivables
T124
as of Dec 31, 2024
in EUR thousands
Credit loss rate
< 1%
Credit loss rate
> 1% < 2.5%
Credit loss rate
> 2.5%
Total
Trade receivables - before allowances
69,589
65,381
3,076
138,046
ECL allowance
922
995
126
2,043
Trade receivables - after allowances
68,667
64,386
2,950
136,003
as of Dec 31, 2023
in EUR thousands
Credit loss rate
< 1%
Credit loss rate
> 1% < 2.5%
Credit loss rate
> 2.5%
Total
Trade receivables - before allowances
45,829
99,202
2,261
147,292
ECL allowance
470
1,175
125
1,771
Trade receivables - after allowances
45,359
98,027
2,136
145,521
NORMA Group SE – Annual Report 2024 319
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Impairment losses for trade receivables developed as follows from the opening balance as of January 1, 2024, to
the closing balance as of December 31, 2024:
Impairment reconciliation
T125
in EUR thousands
Impairments on trade
receivables
Impairment allowance as of Jan 1, 2024
1,771
Additions
1,854
Reversals
-1,616
Consumption
-21
Translation effect
55
Impairment allowance as of Dec 31, 2024
2,043
The net expense from impairment losses recognized in the fiscal year 2024 amounted to EUR 238 thousand (2023:
net income in the amount of EUR 164 thousand).
The following losses from the write-off of trade receivables arose in the fiscal year:
Gains/losses arising from derecognition IFRS 7.20A
T126
in EUR thousands
2024
2023
Reasons for derecognition
Losses arising from derecognition
3,689
2,594
Write-off (IFRS 9.5.4.4)
iv. Fair value of trade receivables
Trade receivables have short-term maturities, therefore the carrying amounts on the reporting date correspond to
their fair values, as the effects of discounting are not material.
21. (b) Trade receivables transferred or available for transfer
i. Transferred trade receivables
Subsidiaries of NORMA Group in the EMEA and Americas segments transfer trade receivables to external
purchasers as part of factoring and ABS transactions. The details and effects of the respective programs are
presented below.
a) Factoring transactions
In the factoring agreement concluded in fiscal year 2017 with a maximum receivables volume of EUR 10 million,
NORMA Group subsidiaries in Germany, Poland and France sell trade receivables directly to the external buyers.
Under this factoring program, receivables in the amount of EUR 4.3 million were sold as of December 31, 2024,
(Dec 31, 2023: EUR 7.1 million), of which EUR 0.4 million was not paid out as purchase price retentions held as
hedging reserves and recognized under other financial assets (Dec. 31, 2023: Due to a temporary agreement, the
payments under these disposals were made in full as of December 31, 2024). The requirements for derecognition
NORMA Group SE – Annual Report 2024 320
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
of receivables in accordance with IFRS 9.3.2.1 are met, as the receivables are transferred in accordance with IFRS
9.3.2.4 a). The audit of IFRS 9.3.2.6 shows that almost all opportunities and risks have neither been transferred nor
retained. In accordance with IFRS 9.3.2.16, NORMA Group must therefore recognize the remaining continuing
involvement. NORMA Group continues to service the receivables sold. Although NORMA Group is not entitled to
dispose of the receivables sold in any other way than within the framework of receivables management, the
Company retains control over the receivables sold as the buyers do not have the actual ability to resell the
acquired receivables. NORMA Group is continuing to recognize the sold trade receivables to the extent of its
continuing involvement, i.e., at the maximum amount to which it continues to be liable for the late payment risk
inherent in the receivables sold. Hence, NORMA Group is recognizing a corresponding financial liability. The
continuing involvement in the amount of EUR 45 thousand (Dec 31, 2023: EUR 74 thousand) was recognized
under other financial liabilities and considers the maximum potential loss for NORMA Group resulting from the late
payment risk of receivables sold as of the reporting date. The fair value of the guarantee / interest payments to be
assumed has been recognized at 4 thousand (Dec 31, 2023: EUR 6 thousand).
In 2018, NORMA Group established a further factoring program. In the factoring agreement concluded in
December 2018 with a maximum receivables volume of USD 27.5 million (2023: USD 27.5 million), a subsidiary of
NORMA Group in the U.S. sold trade receivables directly to the external buyers. Under this factoring program,
receivables in the amount of EUR 17.3 million were sold as of December 31, 2024 (Dec 31, 2023: EUR 12.3
million). Due to a temporary agreement, the payments under these disposals were made in full as of December 31,
2024, and December 31, 2023, of which EUR 3.5 million were not paid out as purchase price retentions held as
security reserves and were recognized as other financial assets (December 31, 2023: Due to a temporary
agreement, the payments for these disposals were made in full as of December 31, 2023). The requirements for
derecognition of receivables in accordance with IFRS 9.3.2.1 are met, as the receivables are transferred in
accordance with IFRS 9.3.2.4 a). The examination of IFRS 9.3.2.6 shows that primarily all opportunities and risks
have been transferred. NORMA Group continues to service the receivables sold. Although NORMA Group is not
entitled to dispose of the receivables sold in any other way than within the framework of receivables management,
the Company retains control over the receivables sold as the buyers do not have the actual ability to resell the
acquired receivables.
b) ABS transactions
NORMA Group concluded a revolving receivables purchase agreement with Weinberg Capital Ltd. (special
purpose entity) in the fiscal year 2014. The agreed structure provides for the sale of trade receivables of NORMA
Group as part of an ABS transaction and was successfully initiated in December 2014. The receivables are sold to
a special purpose entity by NORMA Group. As part of this asset-backed securities (ABS) program with a volume of
up to EUR 20.0 million domestic NORMA Group companies sold receivables in the amount of EUR 8.6 million as of
December 31, 2024 (Dec 31, 2023: EUR 9.5 million), of which EUR 0.4 million (Dec 31, 2023: EUR 0.5 million) as
purchase price retentions, which are held as security reserves, were not paid out and were recognized under other
financial assets. The basis for the transaction is the assignment of trade receivables of individual NORMA Group
companies to a program special purpose entity as part of a silent assignment. According to IFRS 10, this program
special purpose entity is not to be consolidated, as NORMA Group is not assigned any decision-making power, nor
is there any material self-interest or link between decision-making power and the variability of returns from the
program special purpose entity. The requirements for derecognition of receivables in accordance with IFRS 9.3.2.1
are met, as the receivables are transferred in accordance with IFRS 9.3.2.4 a). The audit of IFRS 9.3.2.6 shows that
almost all opportunities and risks have neither been transferred nor retained. In accordance with IFRS 9.3.2.16,
NORMA Group must therefore recognize the remaining continuing involvement.
NORMA Group SE – Annual Report 2024 321
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
A continuing involvement in the amount of EUR 166 thousand (Dec 31, 2023: EUR 188 thousand) was recognized
under other financial liabilities and comprises the maximum amount that NORMA Group might have to repay
under the assumed default guarantee and the expected interest payments until receipt of payment in respect of
the carrying amount of the receivables transferred. The fair value of the guarantee or of the interest payments to
be assumed was included in the carrying amount and recognized in profit or loss under other liabilities in the
amount of EUR 138 thousand (Dec 31, 2023: EUR 152 thousand).
NORMA Group entered into another revolving receivables purchase agreement (RPA) with Weinberg Capital Ltd.
(program special purpose entity) in fiscal year 2018 for the sale of trade receivables. The agreed structure provides
for the sale of trade receivables of NORMA Group as part of an ABS transaction and was successfully initiated in
December 2018. The receivables are sold to a special purpose entity by NORMA Group. As part of this ABS
program with a volume of up to USD 20.0 million, US NORMA Group companies sold receivables in the amount of
EUR 11.7 million as of December 31, 2024 (Dec 31, 2023: EUR 11.4 million), of which EUR 0.6 million (Dec 31,
2023: EUR 0.7 million) were not paid out as purchase price retentions, but rather held as security reserves million
(December 31, 2023: EUR 0.7 million) as purchase price retentions, which are held as security reserves, were not
paid out and were recognized under other financial assets. The basis for the transaction is the assignment of trade
receivables of individual NORMA Group companies to a program special purpose entity as part of a silent
assignment. According to IFRS 10, this program special purpose entity is not to be consolidated, as NORMA Group
is not assigned any decision-making power, nor is there any material self-interest or link between decision-making
power and the variability of returns from the program special purpose entity.
The requirements for derecognition of receivables in accordance with IFRS 9.3.2.1 are met, as the receivables are
transferred in accordance with IFRS 9.3.2.4 a). The audit of IFRS 9.3.2.6 shows that almost all opportunities and
risks have neither been transferred nor retained. In accordance with IFRS 9.3.2.16, NORMA Group must therefore
recognize the remaining continuing involvement.
A continuing involvement in the amount of EUR 682 thousand (Dec 31, 2023: EUR 750 thousand) was recognized
under other financial liabilities and comprises the maximum amount that NORMA Group may have to repay under
the assumed default guarantee and the expected interest payments until receipt of payment in respect of the
carrying amount of the receivables transferred. The fair value of the guarantee or of the interest payments to be
assumed was included in the carrying amount and recognized under other liabilities in the amount of EUR 194
thousand (Dec 31, 2023: EUR 190 thousand).
ii. Trade receivables available for transfer
In the opinion of the Group, trade receivables included in these programs but not yet disposed of at the end of the
reporting period cannot be allocated to either the “hold” or the “hold and sell” business models. They are therefore
included in the fair value through profit and loss (FVTPL) category.
Trade receivables held for sale as part of the factoring and ABS transaction and measured at fair value through
profit or loss have short-term maturities. In addition, the calculated credit risk of the counterparty is not material,
therefore the carrying amounts at the reporting date correspond to their fair values.
NORMA Group SE – Annual Report 2024 322
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
21. (c) Cash and cash equivalents
Cash and cash equivalents are measured at their nominal value and include cash in hand, deposits held at call
with banks, and other short-term highly liquid investments with remaining maturities of three months or less which
are subject only to insignificant risks of change in value. Bank overdrafts are shown within borrowings in current
liabilities in the Consolidated Statement of Financial Position.
21. (d) Other financial assets
Other financial assets were as follows:
Other financial assets
T127
in EUR thousands
Dec 31, 2024
Dec 31, 2023
Receivables from ABS program
989
1,214
Receivables from Factoring
3,882
Rental and other deposit
1,515
804
Other assets
804
1,205
7,190
3,223
The receivables from the ABS program and those from factoring are each purchase price retentions for the trade
receivables sold. 4 NOTE 21 (B) TRADE RECEIVABLES TRANSFERRED OR AVAILABLE FOR TRANSFER. Other financial assets are generally
required to collect the contractual cash flows and are accordingly allocated to the “hold” business model. They are
initially recognized at fair value plus transaction costs and are subsequently carried at amortized cost using the
effective interest method less impairment. As at December 31, 2024, and 2023,other financial assets included in
particular deposits for building leases and guarantees.
NORMA Group SE – Annual Report 2024 323
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
21. (e) Financial liabilities and net debt
i. Trade and other liabilities
Trade and other payables are as follows:
Trade and other payables
T128
in EUR thousands
Dec 31, 2024
Dec 31, 2023
Trade payables and other payables
107,396
136,182
Reverse factoring liabilities
15,401
18,620
Refund liabilities
20,039
18,857
142,836
173,659
Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of
business from suppliers. Accounts payable are classified as current liabilities if payment is due within one year or
less. If not, they are presented as non-current liabilities. Trade payables are recognized initially at fair value and
subsequently measured at amortized cost using the effective interest method.
Liabilities from reverse factoring programs
The following table contains further information on reverse factoring programs. Programs with the same payment
conditions are aggregated accordingly:
Overview of Supply Chain Financing Agreements (SCF) as of December 31, 2024
T129
Carrying amount (in EUR
thousand)
For which supplier has
received payments (in EUR
thousand)
Currency
Ranges of
payment due dates
after invoice dates
Ranges of payment
due dates for similar
Trade Payables
Ranges of
interest rates
14,125
13,894
EUR
120 - 180
30 - 60
EURIBOR +
NORMA Spread
1,276
1,222
USD
90-180
30 - 60
SOFR + NORMA
Spread
15,401
15,116
No guarantees or collateral were issued on liabilities from reverse factoring programs as at December 31, 2024 or
December 31, 2023. There were no cash-effective transfers from trade payables to financial liabilities as at
December 31, 2024 and 2023.
All trade payables are due to third parties within one year. As a result, these have short-term maturities, therefore
the carrying amounts on the reporting date correspond to their fair values, as the impacts of discounting are not
material.
NORMA Group SE – Annual Report 2024 324
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Refund liabilities
Reimbursement liabilities are recognized for volume discounts and similar bonus agreements payable to
customers. These arise from retrospective volume rebates or similar agreements that are based on total sales or
on a specific product sale of a twelve-month or shorter period. Refund liabilities are recognized for discounts
expected to be payable to the customer for sales completed by the end of the reporting period. Further details can
be found in 4 NOTE 3 SUMMARY OF SIGNIFICANT ACCOUNTING PRINCIPLES. All reimbursement liabilities are due to third parties
within one year. The carrying amounts on the reporting date therefore correspond to their fair values, as the
impacts of discounting are not material.
ii. Bank borrowings
NORMA Group’s borrowings were as follows as at the reporting date:
Borrowings
T130
in EUR thousands
Dec 31, 2024
Dec 31, 2023
Non-current
Bank borrowings
370,283
437,313
370,283
437,313
Current
Bank borrowings
30,243
21,431
30,243
21,431
Total borrowings
400,526
458,744
Borrowings are recognized initially at fair value, net of directly attributable transaction costs incurred. In
subsequent measurement, borrowings are measured at amortized cost. Any difference between the proceeds (net
of transaction costs) and the redemption value is recognized in profit or loss over the period of the borrowings
using the effective interest method.
Fees paid on the establishment of loan facilities are recognized as transaction costs of the loan to the extent that it
is probable that some or all of the facility will be drawn down. In this case, the fee is deferred until the draw-down
occurs. To the extent that there is no evidence that it is probable that some or all of the facility will be drawn down,
the fee is capitalized as a pre-payment for liquidity services and amortized over the period of the facility to which it
relates.
Borrowings are classified as current liabilities unless the Group has an unconditional right to defer settlement of
the liability for at least twelve months after the reporting date.
NORMA Group SE – Annual Report 2024 325
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
The maturities of the long-term syndicated loans, promissory notes and other loans are as follows:
Maturity bank borrowings 2024
T131
in EUR thousands
up to 1 year
> 1 year up to 2
years
> 2 years up to 5
years
> 5 years
Syndicated bank facilities, net
208,432
Promissory note, net
27,000
79,500
55,500
26,500
Other loans
157
642
Total
27,000
288,089
56,142
26,500
Maturity bank borrowings 2023
T132
in EUR thousands
up to 1 year
> 1 year up to 2
years
> 2 years up to 5
years
> 5 years
Syndicated bank facilities, net
249,548
Promissory note, net
18,000
27,000
135,000
26,500
Total
18,000
27,000
384,548
26,500
The loan obligations existing as at December 31, 2024, and 2023, have the following conditions:
Loan conditions as of Dec 31, 2024
T133
Currency
Nominal amount
Nominal interest rate
Carrying amount in
EUR thousands
Syndicated bank facilities
EUR thousands
91,000
variable
91,000
Syndicated bank facilities
USD thousands
122,000
variable
117,431
Promissory note
EUR thousands
188,500
2% - 5.96%
188,500
Promissory note
EUR thousands
800
2% - 5.87%
800
Total
397,731
Loan conditions as of Dec 31, 2023
T134
Currency
Nominal amount
Nominal interest rate
Carrying amount in
EUR thousands
Syndicated bank facilities
EUR thousands
139,141
variable
139,141
Syndicated bank facilities
USD thousands
122,000
variable
110,407
Promissory note
EUR thousands
129,000
2% - 5.46%
129,000
Promissory note
EUR thousands
77,500
variable
77,500
Total
456,048
NORMA Group SE – Annual Report 2024 326
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
a) Fair value of bank borrowings
The fair value calculation of the fixed-interest promissory note, which is recognized at amortized cost and for
which the fair value is stated in the notes, was based on the market yield curve according to the zero coupon
method considering credit spreads (Level 2). Interest accrued on the reporting date is included.
iii. Other financial liabilities
Other financial liabilities were as follows:
Other financial liabilities
T135
in EUR thousands
Dec 31, 2024
Dec 31, 2023
Current
Liabilities from ABS and factoring
12,320
8,632
Other liabilities
252
92
Total other financial liabilities
12,572
8,724
a) Liabilities from the ABS and factoring
The liabilities from ABS and factoring include liabilities from continuing involvement recognized as part of the ABS
and factoring programs in the amount of EUR 892 thousand (Dec 31, 2023: EUR 1,012 thousand), liabilities from
recognized fair values of default and interest rate guarantees in the amount of EUR 336 thousand (Dec 31, 2023:
EUR 348 thousand) as well as liabilities from payments received from customers for receivables already sold
within the ABS and factoring programs as part of the accounts receivable/receivables management carried out by
NORMA Group in the amount of EUR 11,089 thousand (Dec 31, 2023: EUR 7,272 thousand.
NORMA Group SE – Annual Report 2024 327
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
iv. Maturity of financial liabilities
The financial liabilities of NORMA Group have the following maturities:
Maturity of financial liabilities
T136
Dec 31, 2024
in EUR thousands
up to 1 year
> 1 year up to 2
years
> 2 years up to 5
years
> 5 years
Borrowings
30,243
287,641
56,142
26,500
Trade and other payables
142,836
Other financial liabilities
12,572
185,651
287,641
56,142
26,500
Dec 31, 2023
in EUR thousands
up to 1 year
> 1 year up to 2
years
> 2 years up to 5
years
> 5 years
Borrowings
21,431
26,544
384,301
26,468
Trade and other payables
173,659
Other financial liabilities
8,724
203,814
26,544
384,301
26,468
v. Net debt
Net debt of NORMA Group is as follows:
Net debt
T137
in EUR thousands
Dec 31, 2024
Dec 31, 2023
Bank borrowings, net
400,526
458,744
Derivative financial liabilities - hedge accounting
755
544
Lease liabilities
42,431
42,616
Other financial liabilities
12,572
8,724
Financial debt
456,284
510,628
Cash and cash equivalents
127,130
165,207
Net debt
329,154
345,421
NORMA Group’s financial liabilities are 10.6% lower than on December 31, 2023.The decrease in loan liabilities is
due to the net repayment in the 2024 fiscal year.
NORMA Group SE – Annual Report 2024 328
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
In the past fiscal year 2024, repayments were made in the amount of EUR 66,796 thousand. These primarily relate
to the scheduled repayment of promissory note loans in the amount of EUR 18,000 thousand and the unscheduled
repayment of syndicated loans of EUR 48,100 thousand. Positive currency effects had the opposite impact.
Lease liabilities slightly decreased compared to the end of 2023, the changes due to repayments (payment of
lease installments), the additions from rights of use, reassessments of extension options and contract
amendments, and interest effects led to a net decrease; exchange rate effects mainly on liabilities in US dollars – of
subsidiaries in the United States – had an increasing impact.
The increase in other financial liabilities resulted mainly from the increase in liabilities from ABS and factoring.
Net debt decreased by EUR 16,267 thousand, or 4.7%, as of December 31, 2024.
Current interest expenses in the fiscal year and additions to lease liabilities as part of newly concluded leases had
an increasing effect on net debt.
This development was offset by net cash inflows from the sum of cash inflows from operating activities to EUR
136,985 thousand, net cash outflows from investing activities amounting to 63,450 thousand and the payment of
dividends amounting to EUR 14,338 thousand.
Cash-neutral net currency effects from foreign-currency loans, cash and cash equivalents, and lease liabilities and
other financial liabilities had an increasing impact on net debt.
21. (f) Derivative financial instruments
The derivative financial instruments are as follows:
Derivative financial instruments
T138
in EUR thousands
Dec 31, 2024
Dec 31, 2023
Assets
Liabilities
Assets
Liabilities
Interest rate swaps – cash flow hedges
3,571
4,466
Foreign exchange derivatives – cash flow hedges
671
Foreign exchange derivatives – fair value hedges
1,415
84
507
544
Total
4,986
755
4,973
544
Less non-current portion
Foreign exchange derivatives – cash flow hedges
172
Foreign exchange derivatives – fair value hedges
571
Interest rate swaps – cash flow hedges
3,571
4,466
Non-current portion
4,142
4,638
Current portion
844
755
335
544
Further details on the use of hedging instruments can be found in 4 NOTE 5 FINANCIAL RISK MANAGEMENT.
NORMA Group SE – Annual Report 2024 329
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
i. Impacts of accounting for cash flow hedges on the earnings, assets and financial position
The impacts of foreign currency and interest rate-related hedging instruments on the earnings, assets and
financial position are as follows:
The effects of cash flow hedge accounting on financial position and performance
T139
in EUR thousands
Net book value as of
Dec 31, 2024
(Derivative financial
assets [+] / Derivative
financial liabilities [-])
Nominal
amount
Average
hedging rate in
%
Hedging ratio1
Maturity
Change in fair
value of the
hedging item
since Jan 1
Change in fair
value of the
hedged item used
as the basis for
recognizing
hedge
ineffectiveness
for the period
Book value of
hedged item as of
Dec 31, 2024
Hedging interest
rate risk - interest
rate swap
67,379
-896
896
67,379
Interest rate swap
USD
3,571
67,379
1.41
1:1
2026
-896
896
in EUR thousands
Net book value as of
Dec 31, 2023
(Derivative financial
assets [+] / Derivative
financial liabilities [-])
Nominal
amount
Average
hedging rate in
%
Hedging ratio1
Maturity
Change in fair
value of the
hedging item
since Jan 1
Change in fair
value of the
hedged item used
as the basis for
recognizing
hedge
ineffectiveness
for the period
Book value of
hedged item as of
Dec 31, 2023
Hedging interest
rate risk - interest
rate swap
4,466
63,348
-1,696
1,696
63,348
Interest rate swap
USD
4,466
63,348
1.41
1:1
2026
-1,696
1,696
1_The forward foreign exchange contracts are denominated in the same currency as the highly probable future transactions, therefore the hedge ratio is 1:1.
NORMA Group SE – Annual Report 2024 330
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Hedging currency rate risks through cash flow hedges
T140
in EUR thousands
Nominal
amount
Net book value as of Dec
31, 2024
Balance
sheet item
that
contains a
hedging
instrument
Other comprehensive
income
Balance sheet
Assets
Liabilities
Changes in
the value of
the hedging
instrument
Costs of
hedging
Amount
reclassified
from the
reserve to
the cost of
inventories
Hedging
costs
reclassified
from the
reserve to
the cost of
inventories
Foreign exchange risk
Forward exchange
contracts - Hedging
of production costs
for inventories
11,268
671
Derivative
financial
liabilities
-1,084
299
-160
46
The effective part as well as the accrued and recognized costs of hedging recognized in other comprehensive
income excluding taxes developed as follows:
Change in hedging reserve before tax
T141
in EUR thousands
Reserve for costs of
hedging
Spot component of
foreign exchange
derivatives
Interest rate swaps
Total
Balance as of Jan 1, 2023
6,162
6,162
Reclassification to profit or loss
-2,527
-2,527
Net fair value changes
831
831
Balance as of Dec 31, 2023
4,466
4,466
Reclassification to profit or loss
-2,626
-2,626
Reclassification to cost of sales for inventories
-46
160
114
Net fair value changes
299
-1,084
1,731
946
Balance as of Dec 31, 2024
253
-924
3,571
2,900
Amounts due to interest rate swaps recognized in the hedging reserve in equity will be released in profit or loss
before the repayment of the loans. The gains and losses from foreign currency derivatives recognized in the hedge
reserve in equity are short-term and are effectively recognized in profit or loss within one year.
In fiscal years 2024 and 2023, no ineffective portion of cash flow hedges relating to foreign exchange derivatives
and interest rate swaps was recognized in profit or loss.
NORMA Group SE – Annual Report 2024 331
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
ii. Impacts of accounting for fair value hedges on the earnings, assets and financial position
The impacts of foreign currency-related hedging instruments on the earnings, assets and financial position were
as follows:
The effects of fair value hedge accounting on financial position and performance
T142
in EUR thousands
Net book value as of
Dec 31, 2024
(Derivative financial
assets [+] / Derivative
financial liabilities [-])
Nominal amount
(+ Buy / - Sell)
Average hedging
rate
Hedging ratio
Maturity
Change in fair value of
the hedging item since
Jan 1
Change in fair value of
the hedged item used
as the basis for
recognizing hedge
ineffectiveness for the
period
Currency risk hedging
FVH
Currency forwards
JPY – SGD
-10
153
107.87
1:11
≤ 1 year
-4
4
Currency forwards
CZK – EUR
-14
-1,985
25.44
1:12
≤ 1 year
-8
8
Currency forwards
SGD – EUR
79
2,541
1.,45
1:12
≤ 1 year
86
-86
Currency forwards
SGD – EUR
628
24,569
1.46
1:12
≤ 1 year
595
-595
Currency forwards
SEK – EUR
-59
4,320
11.3
1:12
≤ 1 year
-52
52
Currency forwards
SEK – EUR
-2
6,981
11.39
1:12
≤ 1 year
3
-3
Currency forwards
GBP– EUR
133
12,060
0.84
1:12
≤ 1 year
108
-108
Currency forwards
CHF – EUR
5
-1,062
0.92
1:12
≤ 1 year
—
—
Currency forwards
CZK – EUR
571
-25,337
25.23
1:12
2026
584
-584
1_The foreign exchange forward contracts for USD-EUR hedging are denominated in the same currency and have the same volume as the hedged net foreign exchange risk from external USD loans and intra-group monetary items in USD, therefore
the hedge ratio is 1:1.
2_The forward exchange contracts are denominated in the same currency and volume as the hedged risk from intra-group monetary items, therefore the hedge ratio is 1:1.
NORMA Group SE – Annual Report 2024 332
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
The effects of fair value hedge accounting on financial position and performance
T143
in EUR thousands
Net book value as of
Dec 31, 2023
(Derivative financial
assets [+] / Derivative
financial liabilities [-])
Nominal amount
(+ Buy / - Sell)
Average
hedging rate
Hedging ratio
Maturity
Change in fair value of
the hedging item since
Jan 1
Change in fair value of
the hedged item used
as the basis for
recognizing hedge
ineffectiveness for the
period
Currency risk hedging
FVH
Currency forwards
JPY – SGD
-16
160
96.6
1:11
≤ 1 year
-10
10
Currency forwards
CZK – EUR
35
-2,022
24.47
1:12
≤ 1 year
81
-81
Currency forwards
SGD – EUR
77
6,854
1.47
1:12
≤ 1 year
31
-31
Currency forwards
SGD – EUR
52
3,084
1.48
1:12
≤ 1 year
44
-44
Currency forwards
SGD – EUR
35
6,716
1.46
1:12
≤ 1 year
26
-26
Currency forwards
SGD – EUR
-38
7,196
1.45
1:12
≤ 1 year
-52
52
Currency forwards
SEK – EUR
71
3,154
11.36
1:12
≤ 1 year
67
-67
Currency forwards
SEK – EUR
22
2,163
11.22
1:12
≤ 1 year
18
-18
Currency forwards
PLN – EUR
-460
-7,489
4.67
1:12
≤ 1 year
-606
606
Currency forwards
PLN – EUR
43
1,728
4.49
1:12
≤ 1 year
36
-36
Currency forwards
CHF – EUR
-29
-1,080
0.94
1:12
≤ 1 year
-39
39
Currency forwards
CZK – EUR
172
-25,809
25.23
1:12
2026
124
-124
1_The foreign exchange forward contracts for USD-EUR hedging are denominated in the same currency and have the same volume as the hedged net foreign exchange risk from external USD loans and intra-group monetary items in USD, therefore
the hedge ratio is 1:1.
2_The forward exchange contracts are denominated in the same currency and volume as the hedged risk from intra-group monetary items, therefore the hedge ratio is 1:1.
An overview of the gains and losses arising from the hedging of fair value changes that were recognized in the
financial result is shown below:
Gains and losses fair value hedges
T144
in EUR thousands
2024
2023
Losses (-) / Gains (+) on hedged items
-1,379
503
Losses (-) / Gains (+) on hedging instruments
1,342
-1,786
-37
-1,283
NORMA Group SE – Annual Report 2024 333
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
21. (g) Financial instruments measured in the Statement of Financial Position at fair value
The tables below provide an overview of the classification of financial assets and liabilities of NORMA Group
measured at fair value in the fair value hierarchy under IFRS 13 as of December 31, 2024, as well as December 31,
2023:
Financial instruments - fair value hierarchy
T145
in EUR thousands
Level 1 1
Level 2 2
Level 3 3
Total as of Dec
31, 2024
Recurring fair value measurements
Assets
Interest rate swaps – cash flow hedges
3,571
3,571
Foreign exchange derivatives - fair value hedges
1,415
1,415
Trade receivables - ABS/Factoring program (mandatorily
measured at FVTPL)
18,427
18,427
Total
23,413
23,413
Liabilities
Foreign exchange derivatives - cash flow hedges
671
671
Foreign exchange derivatives - fair value hedges
84
84
Total
755
755
Financial instruments - fair value hierarchy (continued)
in EUR thousands
Level 1 1
Level 2 2
Level 3 3
Total as of Dec
31, 2023
Recurring fair value measurements
Assets
Foreign exchange derivatives - held for trading
Interest rate swaps - cash flow hedges
4,466
4,466
Foreign exchange derivatives - fair value hedges
507
507
Trade receivables - ABS/Factoring program (mandatorily
measured at FVTPL)
32,682
32,682
Total
37,655
37,655
Liabilities
Foreign exchange derivatives - held for trading
Foreign exchange derivatives - fair value hedges
544
544
Total
544
544
1_Fair value measurement based on quoted prices (unadjusted) in active markets for these or identical assets or liabilities.
2_Fair value measurement for the asset or liability based on inputs that are observable on active markets either directly (i.e., as priced) or indirectly (i. e., derived from prices).
3_Fair value measurement for the asset or liability based on inputs that are not observable market data.
As in the previous year, there were no transfers between the individual levels of the fair value hierarchies. The fair
value of interest swaps is calculated as the present value of estimated future cash flows. The fair value of the
NORMA Group SE – Annual Report 2024 334
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
foreign currency derivatives is calculated using the forward exchange rate on the reporting date and the result is
then presented at the discounted present value.
21. (h) Net gains and losses on financial instruments
The net gains or losses on financial instruments (by measurement category) in accordance with IFRS 7.20 (a) were
as follows:
Financial instruments - net gains and losses
T146
in EUR thousands
2024
2023
Net gains or net losses on financial assets
Measured at amortized costs
356
662
Net gains or net losses on financial liabilities
Measured at amortized costs
-24,639
-23,122
Net gains or net losses on Derivatives
Measured at FVPL
25
-24,283
-22,435
Net gains and losses on financial assets measured at amortized cost include impairment losses on trade
receivables and interest income from short-term deposits with banks. Net gains and losses on financial liabilities
measured at cost include interest expenses and fees from loans and borrowings. Currency effects from the
translation of financial assets and liabilities according to IAS 21 are recognized under 4 NOTE 14 NET FOREIGN EXCHANGE
GAINS / LOSSES.
21. (i) Total interest income and expense from financial instruments
Interest expenses/income from financial assets and liabilities (IFRS 7.20(b))
T147
in EUR thousands
2024
2023
Interest income
Financial assets at costs
2,290
1,552
Interest expenses
Financial liabilities at costs
-24,519
-22,745
NORMA Group SE – Annual Report 2024 335
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
21. (j) Offsetting
The following table presents the gross and net amounts as of December 31, 2024, and 2023, of financial
instruments that have been offset or that are subject to an enforceable global netting arrangement or similar
agreement but have not been netted:
Offsetting of financial instruments
T148
in EUR thousands
Gross amounts of
financial assets /
financial liabilities
Gross amounts of
financial assets /
financial liabilities
offset in the
Statement of
Financial Position
Net amounts
recognized in the
Statement of
Financial Position
Amounts that are
not offset in the
Statement of
Financial Position
Net amount
Financial
instruments
Dec 31, 2024
Financial assets
Derivative financial instruments (b)
4,986
4,986
-746
5,732
Trade and other receivables (a)
161,240
1,806
159,434
159,434
Other financial assets
7,190
7,190
7,190
Cash and cash equivalents
127,130
127,130
127,130
Total
300,546
1,806
298,740
-746
299,486
Financial liabilities
Borrowings
400,526
400,526
400,526
Derivative financial instruments (b)
755
755
-746
1,501
Trade and other payables (a)
144,642
1,806
142,836
142,836
Other financial liabilities
12,572
12,572
12,572
Total
558,495
1,806
556,689
-746
557,435
Dec 31, 2023
Financial assets
Derivative financial instruments (b)
4,973
4,973
43
4,930
Trade and other receivables (a)
188,956
4,449
184,507
184,507
Other financial assets
3,223
3,223
3,223
Cash and cash equivalents
165,207
165,207
165,207
Total
362,359
4,449
357,910
43
357,867
Financial liabilities
Borrowings
458,744
458,744
458,744
Derivative financial instruments (b)
544
544
43
501
Trade and other payables (a)
178,108
4,449
173,659
173,659
Other financial liabilities
8,724
8,724
8,724
Total
646,120
4,449
641,671
43
641,628
NORMA Group SE – Annual Report 2024 336
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
(a) Offsetting arrangements
NORMA Group grants volume-based discounts to its customers. According to the terms of the supply agreements
and the applicable GTC, these amounts are offset against the trade receivables payable to NORMA Group from
these customers and only the respective net amounts are settled. The respective amounts are thus shown as net
amounts in NORMA Group’s Consolidated Statement of Financial Position.
(b) Master netting arrangements – not currently enforceable
NORMA Group enters into derivative transactions in accordance with the global netting agreements (master
agreement) of the International Swaps and Derivatives Association (ISDA) and other corresponding national
master agreements (“German Master Agreement,” for example). These agreements do not meet the criteria for
offsetting as they only grant the right to offset in the event of future events, such as the default or insolvency of the
Group or counterparties. The 4 TABLE T148: OFFSETTING OF FINANCIAL INSTRUMENTS shows the possible financial impacts of
offsetting in accordance with the existing global netting agreements.
22. Inventories
Inventories were as follows:
Inventories
T149
in EUR thousands
Dec 31, 2024
Dec 31, 2023
Raw materials, consumables and supplies
54,546
63,966
Work in progress
32,007
28,708
Finished goods and goods for resale
133,388
127,422
219,941
220,096
As at December 31, 2024, impairment losses in the amount of EUR 8,271 thousand (Dec 31, 2023: EUR 6,043
thousand) on inventories are recognized in the Statement of Profit or Loss.
On December 31, 2024, and 2023, the inventories were not collateralized with the exception of the customary
business reservations of title.
NORMA Group SE – Annual Report 2024 337
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
23. Other non-financial assets
Other non-financial assets were as follows:
Other non-financial assets
T150
in EUR thousands
Dec 31, 2024
Dec 31, 2023
Deferred costs
6,490
7,621
VAT assets
9,116
12,896
Prepayments
2,981
2,667
Consideration payable to a customer
1,567
2,172
Other assets
1,277
1,421
21,431
26,777
24. Equity
Subscribed Capital
The subscribed capital of the Company on December 31, 2024, and December 31, 2023, amounted to EUR 31,862
thousand and was fully paid in. It is divided into 31,862,400 no-par value registered shares, which entitle the
shareholders to the dividend resolved in each case and to one vote per share at the Company's Annual General
Meetings. The subscribed capital is the capital to which the liability of the shareholders for the Company's liabilities
to creditors is limited. The company's assets required to maintain the subscribed capital may not be paid out to the
shareholders. The company's assets required to maintain the subscribed capital may not be paid out to the
shareholders.
Authorized and Conditional Capital
The Management Board is entitled to increase the share capital by up to EUR 3,186,240 until June 29, 2025, by
issuing up to 3,186,240 new no-par-value registered shares in exchange for cash and / or contributions in kind
either once or several times by resolution of the Annual General Meeting held on June 30, 2020, with the approval
of the Supervisory Board, whereby the subscription rights of shareholders may be restricted (Authorized Capital
2020).
By resolution of the Annual General Meeting on June 30, 2020, the share capital of the Company is conditionally
increased by up to EUR 3,186,240 by issuing up to 3,186,240 new no-par-value registered shares for the purpose
of granting convertible bonds and / or bonds with warrants (Conditional Capital 2020).
Capital Reserve
The capital reserve contains:
•
amounts (premiums) received for the issuance of shares,
•
premiums paid by shareholders in exchange for the granting of a preference for their shares,
•
amounts from other additional payments made by shareholders into equity.
NORMA Group SE – Annual Report 2024 338
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Retained Earnings
Retained earnings changed as follows during the reporting period:
Development of retained earnings
T151
in EUR thousands
Retained
earnings
Remeasure-
ments of post-
employment
benefit
obligations
Share-based
payments
IPO costs
directly
netted with
equity
Reimburse-
ment of
IPO costs
by share-
holders
Acquisition
of non-
controlling
interest
Effects from
the application
of IAS 19R
Effects of
FRS 9
Effects of
IFRS 16
Total
Balance as of
Jan 1, 2023
441,609
879
404
-4,640
4,681
-6,359
839
-600
-2,033 434,780
Profit for the year
27,832
27,832
Dividends paid
-17,524
-17,524
Stock options
262
262
Effect before taxes
-282
-282
Tax effect
195
195
Balance as of
Dec 31, 2023
451,917
792
666
-4,640
4,681
-6,359
839
-600
-2,033 445,263
Balance as of
Jan 1, 2024
451,917
792
666
-4,640
4,681
-6,359
839
-600
-2,033 445,263
Profit for the year
14,696
14,696
Dividends paid
-14,338
-14,338
Share-based payment
transactions
71
71
Effect before taxes
-62
-62
Tax effect
-11
-11
Balance as of
Dec 31, 2024
452,275
719
737
-4,640
4,681
-6,359
839
-600
-2,033 445,619
A dividend of EUR 14,338 thousand (EUR 0.45 per share) was paid to the shareholders of NORMA Group after the
Annual General Meeting in May 2024.
NORMA Group SE – Annual Report 2024 339
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Other Reserves
Other reserves consisted of the following:
Development of other reserves
T152
in EUR thousands
Cash flow hedges
Foreign exchange
rate differences on
translating foreign
operations
Total
Balance as of Jan 1, 2023
4,361
23,745
28,106
Change for the year - Effect before taxes
-1,696
-21,250
-22,946
Change for the year - Tax effect
494
494
Balance as of Dec 31, 2023
3,159
2,495
5,654
Change for the year - Effect before taxes
-1,566
28,682
27,116
Change for the year - Tax effect
420
420
Balance as of Dec 31, 2024
2,013
31,177
33,190
NORMA Group SE – Annual Report 2024 340
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
25. Share-based remuneration
Management incentive schemes
a) Long-Term Incentive, LTI
With effect from January 1, 2020, the LTI for the members of the Management Board consists of two different
long-term variable remuneration components, the NORMA Value Added LTI (NOVA-LTI in short) and the
Environmental, Social and Governance Bonus (ESG-LTI in short).
i. NOVA-LTI -210 210
The NOVA-Bonus is defined at the beginning of the fiscal year and corresponds to the percentage of the average
increase in value of the grant fiscal year and the three previous fiscal years. The annual increase in value is
calculated using the following formula:
NORMA Value Added = (adjusted EBIT × (1 – s)) –
(WACC × invested capital)
The calculation of the first component is based on the consolidated earnings before interest and taxes (Group
EBIT) for the fiscal year and the average corporate tax rate (t). The second component is calculated from the Group
cost of capital (WACC) multiplied by the capital invested. The Group’s weighted average cost of capital (WACC) is
derived from the base interest rate, the market risk premium and the beta factor. The base interest rate is derived
from the interest rate structure data of Deutsche Bundesbank (three-month average from October 1 to December
31). The market risk premium represents the difference between the expected return of a risky market portfolio and
the risk-free interest rate. NORMA uses the recommendation of the Institut der Wirtschaftsprüfer (IDW) to
determine this market risk premium. The beta factor represents the individual risk of a share compared to a market
index. It is first determined as the average value of the unindebted beta factors of the peer group and then
adjusted to NORMA’s individual capital structure. The cost of equity is calculated by adding the risk-free interest
rate and the weighted country risk of NORMA Group to the product of the market risk premium and the indebted
beta factor of the peer group. The credit spread used to calculate the cost of debt was determined on the basis of
the terms of the current external financing of NORMA Group. Invested capital is calculated from consolidated
equity plus net financial liabilities as of January 1 of the fiscal year. The NOVA-Bonus is limited to a maximum of
200% of the annual salary. The Company may pay the payout amount in cash or in shares of NORMA Group SE. If
paid out in cash, the Management Board obligates itself to use 75% of the net payout amount to purchase shares
of NORMA Group SE. The Company’s Supervisory Board may decide at its reasonable discretion to issue shares in
the Company in whole or in part in lieu of a cash payment. Regardless of whether the Company pays the amount
due in cash or shares, 75% of the NOVA-Bonus’ net payout must be invested in shares of NORMA Group SE.
The member of the Management Board may not dispose of the shares for four years. Dividends and subscription
rights will be made freely available to the member of the Management Board. If a member of the Management
Board enters the Company’s service in the current fiscal year or does not work for the Company for a full twelve
months in a fiscal year, the LTI is reduced on a pro rata basis. Upon termination of the employment contract, a
member of the Management Board may dispose of their shares only after twelve months of leaving the Company.
With the termination of the executive position upon request of the Management Board or for an important reason,
future claims for the variable part of the LTI are no longer valid.
NORMA Group SE – Annual Report 2024 341
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
NORMA Group classifies the remuneration as a whole as share-based remuneration. Due to the past practice of
cash payment in connection with the current lack of a legal possibility to use this remuneration to acquire own
shares or to perform a conditional capital increase, NORMA Group classifies the share of the remuneration that is
not subject to the share acquisition and holding obligation, i.e., 25% of the NOVA-LTI, as a cash-settled share-
based payment. The remaining 75% of the remuneration is classified as an equity-settled share-based payment
because the beneficiaries will ultimately receive shares of NORMA Group due to the share purchase and holding
obligation.
The resulting personnel expenses are recognized pro rata over the respective three-year performance period,
taking the employment period into account. For tranches not yet allocated, the fiscal years for which performance
has already been rendered are already taken into account. This means recognition of the expense already begins
two years prior to allocation.
The employee benefits expense for the 75% of the NOVA-LTI classified as equity-settled is transferred to retained
earnings. For the remaining 25%, the employee benefits expense is recognized with the formation of a
corresponding provision.
Fair value
The fair value of each tranche is determined at the beginning of the performance period on the basis of expected
increases in value and adjusted on an ongoing basis. Internal company planning data is used for this purpose. It is
based on financial plans approved by the management for a five-year period.
The NOVA-Bonus developed as follows in the fiscal years 2024 and 2023:
Development of NOVA-LTI
T153
NOVA-LTI 2024
NOVA-LTI 2025
NOVA-LTI 2026
Duration until exercise in years
0.50
1.50
2.50
Fair value in EUR as of Dec 31, 2024
0
0
0
Proportional fair value in EUR as of Dec 31, 2024
0
0
0
Development of NOVA-LTI
T154
NOVA-LTI 2023
NOVA-LTI 2024
NOVA-LTI 2025
Duration until exercise in years
0.50
1.50
2.50
Fair value in EUR as of Dec 31, 2023
0
0
0
Proportional fair value in EUR as of Dec 31, 2023
0
0
0
In total, the provision for the NOVA-LTI amounted to EUR 0 thousand as of December 31, 2024 (Dec 31, 2023:
EUR 0 thousand). The fair values of the current 2023 tranche and the future 2024 and 2025 tranches are EUR 0
thousand due to the targets achieved and planned, meaning that the expected vesting for these future tranches is
also EUR 0 thousand.
NORMA Group SE – Annual Report 2024 342
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
ii. ESG-LTI
The ESG-Bonus was adopted in fiscal year 2020 for the first time. It is granted in annual tranches. Each tranche
has a term of four years. A tranche begins on January 1 of the granting fiscal year and ends at the end of
December 31 of the third year following the granting fiscal year (ESG performance period). The amount paid out
under the ESG-Bonus depends on the achievement of environmental, social and governance targets. The reduction
of CO2 emissions has been defined as the target for the tranches granted to date. The target amount of the ESG-
Bonus is 20% of the fixed annual salary. The payout amount is limited to a maximum of 100% of the target
amount. The Company can pay out the ESG-Bonus in cash or in company shares. In the case of cash payment, the
members of the Management Board are obligated to purchase shares in the Company for the entire net amount
paid out and to hold these shares for a period of one year (obligation to purchase and hold shares). The
Company’s Supervisory Board may decide at its reasonable discretion to issue shares in the Company in whole or
in part in lieu of a cash payment. In this case, the members of the Management Board are also obligated to hold
100% of the shares issued for a period of one year. If a member of the Management Board enters the Company’s
service in the current fiscal year or does not work for the Company for a full twelve months in a fiscal year, the LTI
is reduced on a pro rata basis.
NORMA Group classifies the remuneration (ESG-LTI) as share-based payment. The remuneration is classified as
equity-settled due to the obligation to purchase and hold shares.
The resulting personnel expenses are recognized pro rata over the respective four-year performance period, taking
the employment period into account, and are allocated to retained earnings.
NORMA Group SE – Annual Report 2024 343
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Fair value
The fair value of each tranche is determined at the beginning of the performance period based on expected target
achievement and adjusted on an ongoing basis. Internal company planning data is used for this purpose. It is
based on financial plans approved by the management for a five-year period.
The ESG-LTI developed as follows in the fiscal years 2024 and 2023:
Development of ESG-LTI
T155
Tranche 2021
Tranche 2022
Tranche 2023
Tranche 2024
Duration until exercise in years
0.50
1.50
2.50
3.50
Fair value in EUR as of Dec 31, 2024
213,600
163,800
301,842
272,000
Proportional fair value in EUR as of Dec 31, 2024
213,000
144,000
167,000
69,000
Development of ESG-LTI
T156
Tranche 2020
Tranche 2021
Tranche 2022
Tranche 2023
Duration until exercise in years
0.50
1.50
2.50
3.50
Fair value in EUR as of Dec 31, 2023
248,550
213,600
163,800
301,842
Proportional fair value in EUR as of Dec 31, 2023
248,550
193,400
124,600
97,841
A gross payment from the 2020 ESG LTI tranche in the amount of EUR 106 thousand will be made in the 2024
fiscal year (2023: no payment).
b) Short-Term Incentive, STI
The STI is a performance-based bonus that takes into account the absolute performance indicator adjusted EBIT
(earnings before interest and taxes, adjusted for acquisitions) of NORMA Group, on the one hand, and, on the other
hand, the relative total shareholder return (TSR) of NORMA Group SE in relation to a peer group. The payout
amount of the STI is calculated from a starting value and an adjustment to the target achievement of the TSR in
the grant year. The calculation is shown in the following formula:
Amount paid out = initial value
(= average adjusted EBIT x individual STI percentage) x
TSR adjustment factor
The initial value results from multiplying the average EBIT, adjusted for acquisitions, in the fiscal year for which the
STI is granted and the two fiscal years preceding the grant year (arithmetic mean) by the individual STI percentage
specified in the service contract. The individual STI percentage is 0.33% for the Chairman of the Management
Board and 0.22% for the other members of the Management Board. In a second step, this initial value is then
multiplied by the TSR adjustment factor, and the result represents the payout amount. The TSR is defined as the
percentage change in the stock market price during the grant year, including notionally reinvested dividends and
all capital measures. In other words, the TSR is a measure of how the value of a share commitment has developed
over a period of time and takes into account both dividends accrued during the period and any share price
increases that may have occurred. In the current remuneration system, the share yield is taken into account as a
NORMA Group SE – Annual Report 2024 344
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
relative performance factor. The TSR adjustment factor is determined by measuring the TSR development (share
price and dividend development) of NORMA Group SE in relation to the TSR development of the peer group
companies during the granting fiscal year. Depending on the results of the comparison, the initial STI value is
adjusted upwards by 20% if a position in the comparison group is reached above the 75th percentile and
downwards by 20% if a position is reached below the 25th percentile; the TSR adjustment factor is, therefore,
limited to the range of 0.8 to 1.2. The comparison group currently consists of the following 14 listed companies of
comparable size, structure and industry sector to NORMA Group. Bertrandt AG, Deutz AG, DMG Mori AG,
ElringKlinger AG, Gerresheimer AG, Jungheinrich AG, König & Bauer AG, SAF-Holland S. A., Schaeffler AG, SGL
Carbon SE, Stabilus S. A., Vossloh AG, Wacker Neuson SE and Washtec AG. The Supervisory Board is entitled in
this regard to adjust the peer group for future assessment periods before the beginning of the respective
assessment period. The payment amount (= base value x TSR adjustment factor) is limited to a maximum of 180%
of the basic annual salary; the initial value (= average adjusted EBIT x individual STI percentage) is limited to a
maximum of 150% of the fixed annual salary. The short-term variable remuneration for the past fiscal year is to be
paid out in the following year after approval of the Consolidated Financial Statements by the Supervisory Board. If
the member of the Management Board did not work for the Company for a full twelve months in a fiscal year, the
annual bonus will be reduced accordingly.
NORMA Group classifies the remuneration as a cash-settled share-based payment. The expense from the
remuneration is recognized in employee benefits expenses with the creation of a corresponding provision.
In total, the provision for the STI amounted to EUR 704 thousand as of December 31, 2024 (December 31, 2023:
EUR 795 thousand), of which EUR 704 thousand will be paid out in fiscal year 2025 (2024: EUR 795 thousand).
c) Long-Term Incentive Plan
In the fiscal year 2013, NORMA Group installed a share-based, long-term, variable remuneration component for
executives and certain other groups of employees (Long-Term Incentive Plan).
The Long-Term Incentive Plan (LTI) is share-based remuneration, cash-settled plan that takes into account both
the performance of the Company and the share price development.
The participants receive a preliminary number of share units (virtual shares) at the start of the performance period
based on a percentage of the respective basic salary multiplied by a conversion rate. The conversion rate is
determined based on the average share price of the previous 60 trading days of the calendar year prior to the
grant date. Once four years have elapsed, the number of share units granted at the start of the performance period
is adjusted based on the performance the Company has achieved, incorporating both the targets defined during
the performance period and the company / regional factor:
The target achievement factor measured by the adjusted EBITA for the 2013–2019 tranches, the NOVA for the
2020–2023 tranches and the adjusted EBIT for the tranches from 2024 onwards, as well as the corporate factor
and the regional factor are used as performance targets. The goal achievement factor is based on the adjusted
EBITA of NORMA Group. The absolute adjusted EBITA target is determined for every year of the performance
period based on the budgeted value. After conclusion of the four-year period, the yearly recorded adjusted values
are defined as a percentage in relation to the target values and averaged out over the four years. Allocation occurs
above a goal achievement ratio of 90%. Between 90% and 100% goal achievement, every percentage point
amounts to 10 percentage points of goal achievement factor. Between 100% and 200% goal achievement, the
goal achievement factor grows by 1.5 percentage points per percentage point of goal achievement.
NORMA Group SE – Annual Report 2024 345
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
The company factor is determined by the Group Senior Management based on the Company’s development, as
well as the development in relation to comparable companies. In addition to this, the development of free cash
flows is taken into account when determining the factor. At the discretion of the Group Senior Management,
unanticipated developments can also be taken into account and the company factor corrected either downward or
upward accordingly. The factor can assume values between 0.5 and 1.5.
The factor takes into account the results of the region as well as the region-specific characteristics and is used as
an adjustment factor for plan participants with regional responsibility.
The value of the share units is then determined at the end of the fourth calendar year based on the average share
price of the last 60 days of trading in this fourth year. In case the calculated Long-Term Incentive pay-out exceeds
250% of the initial grant value, the maximum pay-out is capped at 250%. The value determined is paid out to the
participants in cash in May of the fifth year.
Thus, the LTI is a Group-wide and global remuneration instrument with a long-term orientation. Due to the
coupling to the development not only of the stock price, but also the Company’s performance, the LTI provides an
additional incentive to create value through value-based action, aligned with the goals of NORMA Group.
The determination of fair value, which is the basis for determining the pro rata provision on the reporting date, was
performed using a Monte Carlo simulation. Due to the cash settlement of the virtual share units, the fair value is
measured on each reporting date and the resulting changes in the fair value are recognized in profit or loss. The
allocation of the expenses is made on a prorated basis over the performance period.
NORMA Group SE – Annual Report 2024 346
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
The share units granted under the LTI changed as follows in the fiscal years 2023 and 2024:
Development of LTI
T157
Tranche LTI 2020
Tranche LTI 2021
Tranche LTI 2022
Tranche LTI 2023
Tranche LTI 2024
Expected duration until exercise
in years
n / a
n / a
1.00
2.00
3.00
Fair value per ‘share unit’ in
EUR as of Dec 31, 2024
n / a
0.00
8.78
11.44
13.47
Share price when granted in EUR
35.62
33.57
35.33
16.31
15.95
Balance as of Dec 31, 2023
45,315
49,817
51,784
127,577
0
Tentatively granted ‘share units’
143,692
Exercised
Lapsed
45,315
0
2,095
Balance as of Dec 31, 2024
0
49,817
49,689
127,577
143,692
Tranche LTI 2019
Tranche LTI 2020
Tranche LTI 2021
Tranche LTI 2022
Tranche LTI 2023
Expected duration until exercise
in years
n / a
n / a
1.00
2.00
3.00
Fair value per ‘share unit’ in
EUR as of Dec 31, 2023
n / a
0
0
12.30
14.68
Share price when granted in
EUR
48.25
35.62
33.57
35.33
16.31
Balance as of Dec 31, 2022
32,794
45,731
50,120
54,723
0
Tentatively granted ‘share units’
127,577
Exercised
Lapsed
32,794
416
303
2,939
Balance as of Dec 31, 2023
0
45,315
49,817
51,784
127,577
No payment was made from the LTI program in fiscal year 2024 (2023: no payment).
In total, the provision for the LTI amounts to EUR 1,981 thousand as of December 31, 2024 (December 31, 2023:
EUR 1,018 thousand. As of December 31, 2024, there were no options exercisable under the LTI (December 31,
2023: none).
NORMA Group SE – Annual Report 2024 347
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
d) Expenses from share-based remuneration
The net expense / income from share-based remuneration recognized in employee benefit expenses in the fiscal
year was as follows:
Expense from share-based payment transactions
T158
in EUR thousands
2024
2023
Net expenses (+) / income (-) from cash-settled share-based payment transactions:
LTI - Management
968
-688
STI - Board Members
704
795
1,672
107
Net expenses (+) / income (-) from equity-settled share-based payment transactions:
ESG-LTI
177
262
177
262
26. Retirement benefit obligations/pension liabilities
Retirement benefit obligations result mainly from two German pension plans and a Swiss post-employment
benefit plan.
The German defined benefit pension plan for NORMA Group employees was closed for new entrants in 1990 and
provides benefits in case of retirement, disability, and death as life-long pension payments. The benefit
entitlements depend on years of service and salary. The portion of salary that is above the income threshold for
social security contribution leads to higher benefit entitlements compared to the portion of the salary up to that
threshold. Even if no further benefits can be earned from these old commitments, NORMA Group is still exposed to
certain actuarial risks associated with defined benefit plans, such as longevity and remuneration increases. Due to
the amount of the obligation and the composition of the plan participants, approximately 96% pensioners, a
significant change in the actuarial assumptions would have no significant impacts on NORMA Group.
Employees hired after 1990 are eligible under a defined contribution scheme. The contributions are paid into an
insurance contract providing lump sum payments in case of retirements and deaths.
Furthermore, a plan for members of the Management Board was established in fiscal year 2015. This second
German defined benefit plan is based on a direct commitment to an annual retirement payment for members of
the Management Board of NORMA Group when having joined before fiscal year 2020. The annual retirement
payment is measured as a percentage of the pensionable income. The pension entitlement arises when the
contract has expired, but not before reaching the age of 65 or if incapacity for work arises. The percentage
depends on the number of years of service as a member of the Management Board. The percentage amounts to
4% of the last fixed annual salary prior to leaving for each completed year of service. The percentage can increase
to a maximum of 55%. Furthermore, a survivor’s pension will be provided as well.
The obligations arising from the plan are subject to certain actuarial risks associated with defined benefit plans,
such as longevity and remuneration increases. Please see the Remuneration Report for further details with regard
to this plan 4 REMUNERATION REPORT.
NORMA Group SE – Annual Report 2024 348
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Besides the German plans, there is a further benefit plan in Switzerland resulting from the Swiss ‘Berufliches
Vorsorgegesetz’ law (BVG). According to the BVG, each employer has to grant post-employment benefits for
qualifying employees. The plan is a capital-based plan under which the Company has to make contributions
equivalent to at least the limits specified in the plan conditions for employee contributions. These plans are
administered by foundations that are legally separated from the entity and subject to the BVG. The Group has
outsourced the investment process to a foundation, which sets the strategic asset allocation in its group life
portfolio [KollektivLeben-Portfolio]. All regulatory granted obligations out of the plan are reinsured by an insurance
company. This covers risks of disability, death and longevity. Furthermore, there is a 100% capital and interest
guarantee for the retirement assets invested. In the case of a shortfall, the employer and plan participants’
contribution may be increased based on the decisions of the relevant foundation board. Strategies of the
foundation boards to make up for potential shortfalls are subject to approval by the regulator.
Besides the plans described in Germany and Switzerland, NORMA Group also participates in a multi-employer
pension plan in the US for the benefit of employees of one of its US-based plants. NORMA Group’s obligation to
participate in the fund arises from the agreement with the employees’ labor organization. The Plan is governed by
U.S. federal law, under which the Plan is administered in trust on behalf of contributing employers and employee
beneficiaries. The multi-employer pension plan is a defined benefit plan and would normally be treated as such
based on its associated actuarial estimates; however, the plan trustees do not provide the participating employers
with sufficient information to individually account for the plan (or their portioned participation therein) as a defined
benefit plan. For this reason, the plan is being treated in accordance with the rules for defined contribution pension
plans (IAS 19.34). The share of contributions that NORMA Group paid to the pension schemes in the previous fiscal
year amounted to EUR 1.4 million (2023: EUR 1.5 million). Contributions to the plan are recognized directly in
employee benefits expenses for the period. Future changes to the contributions, if any, would be determined
through negotiations with the workers’ organization or as they may be slightly modified from time to time by
regulation. Apart from the agreed contributions, NORMA Group has no firm commitment to this plan. Conditionally,
in the unlikely event that NORMA Group withdraws from the fund or a significant employer in the fund experiences
a major solvency event, additional future contribution payment obligations could arise. The funded status of the
multi-employer plan is reported annually by the US Department of Labor, and is influenced by various factors,
including fund assets, investment performance, inflation, changes in demographics and changes in the
participants’ levels of performance.
In the immediately preceding years, the plan was significantly underfunded and was in a “critical and declining”
state. NORMA Group (and the other contributing employers) bore a combined potential future payment obligation
corresponding to this underfunding. In 2023, the plan received a “special grant” of USD 994 million from the US
government under the American Rescue Plan Act of 2021 (“ARPA”). It is currently assumed that the plan will be
fully financed by 2051. Under the terms of the ARPA, the potential future payment obligation of NORMA and the
other contributing employers will not be reduced immediately by USD 994 million accordingly, but the USD 994
million will be used pro rata temporis over a period of ten years to reduce the unfunded vested rights of the plan.
ARPA also requires the plan to use a lower interest rate to value its unfunded vested benefits for the period in
which the $994 million is phased in, which may offset the direct benefit of the $994 million grant in calculating a
particular employer's potential future payment obligation.
The expected employer contributions to the pension schemes for the following year 2025 amount to EUR 1.4 million.
NORMA Group SE – Annual Report 2024 349
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Reconciliation of defined benefit obligations (DBO) and plan assets
The amounts included in the Group’s Consolidated Financial Statements arising from its post-employment defined
benefit plans are as follows:
Components pension liability
T159
in EUR thousands
Dec 31, 2024
Dec 31, 2023
Present value of obligations
16,485
16,162
Fair value of plan assets
6,615
6,843
Liability in the balance sheet
9,870
9,319
The reconciliation of the net defined benefit liability (liability in the Statement of Financial Position) is as follows:
Reconciliation of the net defined benefit liability
T160
in EUR thousands
2024
2023
as of Jan 1
9,319
9,174
Current service cost
687
1,032
Past service cost
143
-20
Administration costs
12
-15
Interest expenses
237
278
Remeasurements:
Return on plan assets excluding amounts included in net interest expenses
-285
48
Actuarial (gains) losses from changes in demographic assumptions
185
-13
Actuarial (gains) losses from changes in financial assumptions
-23
973
Experience (gains) losses
185
-726
Employer contributions
-110
-793
Benefits paid
-593
-729
Settlement payments
-49
86
Business combinations, disposals and other
104
Foreign currency translation effects
58
24
as of Dec 31
9,870
9,319
NORMA Group SE – Annual Report 2024 350
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
A detailed reconciliation of the changes in the DBO is provided in the following table:
Reconciliation of the changes in the DBO
T161
in EUR thousands
2024
2023
as of Jan 1
16,162
15,044
Current service cost
687
1,032
Past service cost
143
-20
Administration costs
12
-15
Interest expenses
422
483
Remeasurements:
Actuarial (gains) losses from changes in demographic assumptions
185
-13
Actuarial (gains) losses from changes in financial assumptions
-23
973
Experience (gains) losses
185
-726
Plan participants contribution
59
64
Benefits paid
-1,419
-797
Settlement payments
-49
-26
Business combinations, disposals and other
104
0
Foreign currency translation effects
17
163
as of Dec 31
16,485
16,162
The total defined benefit obligation at the end of the past fiscal year includes EUR 4,193 thousand for active
employees, EUR 5,538 thousand for former employees with vested benefits and EUR 6,754 thousand for retirees
and surviving dependents.
The slight increase in pension obligations mainly resulted from the Group-wide adjustment of the discount factor of
the liabilities due to the slightly lower interest rate level in Germany, Poland and Switzerland. This change is
reflected in the actuarial gains and losses from financial assumptions.
NORMA Group SE – Annual Report 2024 351
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
A detailed reconciliation of the changes in the fair value of plan assets is provided in the following table:
Reconciliation of changes in the fair value of plan assets
T162
in EUR thousands
2024
2023
as of Jan 1
6,843
5,870
Interest income
185
205
Remeasurements:
Return on plan assets excluding amounts included in net interest expenses
285
-48
Employer contributions
110
793
Plan participants contributions
59
64
Benefits paid
-826
-68
Settlement payments
-112
Foreign currency translation effects
-41
139
as of Dec 31
6,615
6,843
From fiscal year 2022 on, the partial reinsurance of pension obligations under the plan for members of the
Management Board was effected by taking out corresponding reinsurance policies. The payments for these are
included under the item “Employer contributions.”
Breakdown of plan assets
The breakdown of the plan assets of the benefit plans is as follows:
Breakdown of plan assets
T163
in EUR thousands
2024
2023
Asset class
Insurance contracts
6,570
6,796
Cash deposit
31
35
Equity securities
14
12
Total
6,615
6,843
Cash deposits and equity securities have quoted prices in active markets. The values for insurance contracts
represent their fair value. No quoted prices in an active market are available for these.
NORMA Group SE – Annual Report 2024 352
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Actuarial assumptions
The principal actuarial assumptions are as follows:
Actuarial assumptions
T164
in %
2024
2023
Discount rate
3.00
3.12
Inflation rate
1.84
1.97
Future salary increases
1.41
1.43
Future pension increases
1.44
1.61
The biometric assumptions are based on the 2018 G Heubeck life-expectancy tables for the German plan and on
the life-expectancy tables of the BVG 2020 G for the Swiss plan. The tables are generation tables and hence differ
according to gender, status and year of birth.
Sensitivity analysis
If the discount rate were to differ by 0.25% upwards or 0.25% downwards from the interest rate recognized on the
reporting date, the carrying amount of the pension obligation would be an estimated EUR 384 thousand lower or
EUR 411 thousand higher. If the pension trend were to differ by 0.25% upwards or downwards from
management’s estimates, the carrying amount of the pension obligation would be an estimated EUR 262
thousand higher or EUR 253 thousand lower. The reduction / increase in the mortality rates by 10% results in an
increase / deduction in life expectancy depending on the individual age of each beneficiary. That means, for
example, that the life expectancy of a male NORMA Group employee age 55 years as of December 31, 2024,
increases / decreases by approximately one year. In order to determine the longevity sensitivity, the mortality rates
were reduced / increased by 10% for all beneficiaries. The effect on DBO as of December 31, 2024, due to a 10%
reduction / increase in mortality rates would result in an increase of EUR 302 thousand or a decrease of EUR 342
thousand.
When calculating the sensitivity of the defined benefit obligation to significant actuarial assumptions, the same
method (present value of the defined benefit obligation calculated with the projected unit credit method) has been
applied as when calculating the post-employment benefit obligation recognized in the Consolidated Statement of
Financial Position. Increases and decreases in the discount rate or rate of pension progression which are used in
determining the DBO do not have a symmetrical effect on the DBO due to the compound interest effect created
when determining the net present value of the future benefit. If more than one of the assumptions are changed
simultaneously, the combined impact due to the changes would not necessarily be the same as the sum of the
individual effects due to the changes. If the assumptions change at a different level, the impact on the DBO is not
necessarily in a linear relation.
NORMA Group SE – Annual Report 2024 353
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Future cash flows
Employer contributions expected to be paid to the post-employment defined benefit plans in fiscal year 2025
amount to EUR 245 thousand (2023: EUR 263 thousand).
The expected payments from the plans for post-employment benefits are distributed as follows for the next 10
fiscal years, whereby the last 5 years are shown as a total:
Expected payments from post-employment benefit plans
T165
in EUR thousands
2024
Expected benefit payments
2025
790
2026
819
2027
797
2028
938
2029
984
2030–2033
5,485
in EUR thousands
2023
Expected benefit payments
2024
661
2025
700
2026
748
2027
897
2028
1,052
2029–2032
5,809
The weighted average duration of the defined benefit obligation is 12.30 years (2023: 12.78 years).
NORMA Group SE – Annual Report 2024 354
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
27. Provisions
The development of provisions is as follows:
Development of provisions
T166
in EUR thousands
As of Jan 1,
2024
Additions
Amounts
used
Unused
amounts
reversed
Interest
accrued
Transfers
Foreign
currency
translation
As of Dec
31, 2024
Guarantees
6,581
1,301
-1,970
-465
251
5,698
Severance
178
147
-139
7
193
Early retirement
2,845
916
-570
99
-2
3,288
Other personnel-related
obligations
3,472
1,802
-1,035
-110
28
4,157
Outstanding invoices
1,467
757
-1,449
-10
765
Others
4,413
568
-906
-2,865
25
117
1,352
Total provisions
18,956
5,491
-6,069
-3,440
124
0
391
15,453
in EUR thousands
As of
Jan 1, 2023
Additions
Amounts
used
Unused
amounts
reversed
Interest
accrued
Transfers
Foreign
currency
translation
As of Dec
31, 2023
Guarantees
7,498
2,286
-2,604
-448
-151
6,581
Severance
420
128
-389
19
178
Early retirement
2,203
2,201
-1,636
77
2,845
Other personnel-related
obligations
3,552
2,011
-911
-1,127
-19
-34
3,472
Outstanding invoices
1,560
1,399
-1,484
-2
-6
1,467
Others
3,985
1,055
-253
-242
-132
4,413
Total provisions
19,218
9,080
-7,277
-1,819
77
0
-323
18,956
Provisions – split current / non-current
T167
in EUR thousands
Dec 31, 2024
Dec 31, 2023
Total
thereof
current
thereof
non-current
Total
thereof
current
thereof
non-current
Guarantees
5,698
5,009
689
6,581
6,224
357
Severance
193
193
178
178
0
Early retirement
3,288
1,434
1,854
2,845
1,251
1,594
Other personnel-related obligations
4,157
1,200
2,957
3,472
1,566
1,906
Outstanding invoices
765
765
1,467
1,467
0
Others
1,352
546
806
4,413
3,903
510
Total provisions
15,453
9,147
6,306
18,956
14,589
4,367
NORMA Group SE – Annual Report 2024 355
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Provisions for guarantees
Provisions for guarantees include provisions due to circumstances where a final agreement has not yet been
reached and provisions based on experience (customer claim quota, amount of damage, etc.). Future price
increases are considered if material.
Provisions for restructuring
Provisions for restructuring are recognized in the amount of the expected future cash outflows. Provisions are
recognized when a detailed restructuring plan, which has been approved by management and publicly announced
or communicated to employees or their representatives, is available. Only expenses directly attributable to the
restructuring measures are used to measure the amount of the provision. Expenses related to future operating
business are not taken into account.
The additions to provisions for restructuring in the prior fiscal years result from the measures under the ‘Get on
track’ program. No provisions for restructuring were recognized as at December 31, 2024.
Provisions for severance payments include expected severance payments for NORMA Group employees due to
circumstances where a final agreement has not yet been reached. The provisions will be paid out in the following
fiscal year and are therefore reported under current provisions.
Provisions for partial retirement
Employees at NORMA Group in Germany can in general engage in an early retirement contract (‘Altersteilzeit’). In
the first phase, the employee works 100% (‘Arbeitsphase’). In the second phase, he / she is exempt from work
(‘Freistellungsphase’). This is the so-called block model. The employees receive half of their pay for the total early
retirement phase as well as top-up payments (including social security costs paid by the employer). The duration
of the early retirement is a maximum of six years.
The provisions for partial retirement are measured on the basis of an interest rate of 2.76% p. a. (2023: 3.41% p. a.)
and on the basis of the 2018 G mortality tables of Prof. Dr. Klaus Heubeck in accordance with actuarial principles.
For signed early retirement contracts, a liability has been recognized. The liability includes top-up payments
(‘Aufstockungsbeträge’) as well as deferred salary payments (‘Erfüllungsrückstände’). The expected payments out
of the early retirement provisions amount to EUR 1,434 thousand for fiscal year 2025.
NORMA Group SE – Annual Report 2024 356
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Other personnel-related provisions
Other personnel-related provisions are as follows:
Provisions – other personnel-related
T168
in EUR thousands
Note
Dec 31, 2024
Dec 31, 2023
Total
thereof
current
thereof
non-current
Total
thereof
current
thereof
non-current
STI - Board Members
(25)
704
704
795
795
LTI - Management
(25)
1,981
1,981
1,018
1,018
Anniversary provisions
741
741
724
724
Other personnel-related
731
496
235
935
771
164
4,157
1,200
2,957
3,472
1,566
1,906
The STI for member of the Management Boards is a share price-based variable remuneration and is explained in
more detail under 4 NOTE 25 SHARE-BASED PAYMENTS.
The LTI management provision consists of share-based variable remuneration and is explained in more detail at
4 NOTE 25 SHARE-BASED PAYMENTS.
Provisions for anniversaries were measured on the basis of an actuarial interest rate of 3.26% p. a. (2023: 3.22%
p. a.) and on the basis of the 2018 G mortality tables of Prof. Dr. Klaus Heubeck in accordance with actuarial
principles.
Other personnel-related provisions mainly include payable income tax and social security contributions in foreign
countries.
Other non-personnel-related provisions
Provisions for outstanding invoices include expected obligations for the audit and advisory services. There are
uncertainties regarding the amount and timing of the outflows. However, it is expected that this results in
payments within a year.
Other provisions include provisions for legal disputes and obligations from other taxes.
NORMA Group SE – Annual Report 2024 357
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
28. Other non-financial liabilities
Other non-financial liabilities are as follows:
Other non-financial liabilities
T169
in EUR thousands
Dec 31, 2024
Dec 31, 2023
Non-current
Government grants
274
296
Other liabilities
952
389
1,226
685
Current
Government grants
102
234
Non-income tax liabilities
3,273
3,243
Social liabilities
5,581
4,468
Personnel-related liabilities (e.g., vacation, bonuses, premiums)
35,514
30,158
Other liabilities
442
505
44,912
38,608
Total other non-financial liabilities
46,138
39,293
The personnel-related liabilities fall within the scope of IAS 19, ‘Employee Benefits’, and also include bonuses in
connection with short-term profit-sharing schemes. These are based on the achievement of corporate targets
(earnings targets (e. g., EBIT), cash flow targets, sales growth) and on personal targets of the respective employee.
The increase in personnel-related liabilities is primarily due to the increase in liabilities from expected bonus
payments for employees.
NORMA Group received government grants, whereby EUR 376 thousand have not been received yet. They consist
of grants in cash as well as land.he grants are tied, among other things, to investments, the hiring of employees,
and the provision of equity to the affected local companies. Potential repayments of the grants received would
arise if the subsidized investments were sold early.
NORMA Group recognizes the government grants as income over the period in which related expenses occur.
Income of EUR 253 thousand was thus recognized in fiscal year 2024 (2023: EUR 957 thousand), which also
resulted from government grants in connection with the reimbursement of personnel expenses and export
subsidies.
NORMA Group SE – Annual Report 2024 358
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Other Notes
29. Information on the Consolidated Statement of Cash Flows
In the Statement of Cash Flows, a distinction is made between cash flows from operating activities, investing
activities and financing activities.
Net cash provided by operating activities is derived indirectly from profit for the period. The profit for the period is
adjusted to eliminate non-cash expenses such as depreciation and amortization as well as expenses and
payments for which the cash effects are investing or financing cash flows and to eliminate other non-cash
expenses and income. The cash inflow from operating activities in the amount of EUR 136,985 thousand (2023:
EUR 118,912 thousand) shows the changes in assets (excluding assets related to financing activities), provisions
and liabilities (excluding liabilities related to financing activities).
As in the prior year, the Group participates in a reverse factoring program, a factoring program and an ABS
program. Liabilities in the reverse factoring program are reported under trade and other payables. As at
December 31, 2024, liabilities in the amount of EUR 15,401 thousand (Dec 31, 2023: EUR 18,620 thousand) were
recognized from reverse factoring programs 4 NOTE 21 (E) FINANCIAL LIABILITIES AND NET DEBT. The cash flows from the trade
receivables sold as part of the factoring and ABS programs are shown under the cash flow from operating
activities as this corresponds to the economic substance of the transactions.
The cash flows from the reverse factoring programs for the settlement of the original trade accounts payable are
presented under cash flow from operating activities, as this corresponds to the economic substance of the
transactions.
Interest payments in the amount of EUR 748 thousand (2023: EUR 1,602 thousand) in connection with the
factoring, ABS and reverse factoring programs are included in cash flows from financing activities.
The total amount of trade receivables sold within the factoring programs and the ABS program can be found in
4 NOTE 21. (B) TRADE RECEIVABLES AVAILABLE FOR TRANSFER.
The cash inflow from operating activities includes payments for share-based payments in the amount of EUR 901
thousand (2023: EUR 530 thousand), resulting from the payment from the STI and ESG LTI for the Management
Board of NORMA Group in the current fiscal year (2023: payment from the STI for the Management Board).
The correction included in the cash inflow from operating activities for expenses from the measurement of hedging
derivatives in the amount of EUR -1,302 thousand (2023: expenses in the amount of EUR 1,036 thousand) relates
to the change in the fair value of foreign currency derivatives recognized in profit or loss, which are allocated to
financing activities.
The adjusted other non-cash income (−)/expenses (+) include expenses from the currency translation of external
financing liabilities and intra-group monetary items amounting to EUR 709 thousand (2023: income of EUR 643
thousand).
Furthermore, non-cash (-) income/expenses (+) in the fiscal year 2024 include non-cash interest expenses from the
application of the effective interest method in the amount of EUR 299 thousand (2023: EUR 240 thousand) and
non-cash effects from share-based payments in the amount of EUR 180 thousand (2023: EUR 261 thousand).
NORMA Group SE – Annual Report 2024 359
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Cash flows resulting from interest paid are disclosed as cash flows from financing activities.
Cash flows from investing activities include net cash outflows from the acquisition and disposal of non-current
assets amounting to EUR 63,450 thousand (2023: net cash outflows in the amount of EUR 59,761 thousand).
Of the investments made in property, plant and equipment and intangible assets in the fiscal year in the amount of
EUR 53,466 thousand (2023: EUR 61,335 thousand), EUR 21,346 thousand (2023: EUR 40,823 thousand) relate
to expenses for the expansion of operating capacity and EUR 32,119 thousand (2023: EUR 20,512 thousand) to
expenses for the maintenance and improvement of operating capacity and processes.
Cash flows from investing activities also include net payments for the acquisition of Teco, which are as follows:
Net cash outflows for acquisitions
T170
in EUR thousands
2024
Consideration
9,400
Cash and cash equivalents acquired
-354
Net cash outflows for acquisitions
9,046
Cash flows from financing activities include payments for dividends to the shareholders of NORMA Group SE in the
amount of EUR 14,338 thousand (2023: EUR 17,524 thousand), for interest 23,689 thousand (2023: EUR 19,570
thousand) and repayments from derivatives in the amount of EUR 67 thousand (2023: repayments in the amount
of EUR 1,862 thousand).
In addition, net loan disbursements in the amount of EUR 66,796 thousand (2023: Net payments in the amount of
EUR 5,176 thousand) 4 NOTE 5 (C) LIQUIDITY RISK, cash inflows from liabilities from ABS and factoring in the amount of
EUR 3,396 thousand (2023: repayments in the amount of EUR 1,544 thousand) and the repayment of lease
liabilities in the amount of EUR 12,584 thousand (2023: EUR 12,268 thousand) were recognized under cash flow
from financing activities. 4 NOTE 20 LEASES and 4 NOTE 21 (E) FINANCIAL LIABILITIES AND NET DEBT
The changes in Statement of Financial Position items that are presented in the Consolidated Statement of Cash
Flows cannot be derived directly from the Statement of Financial Position, as the effects of currency translation are
non-cash transactions and changes in the consolidated group are shown directly in the net cash used in investing
activities.
As at December 31, 2024, cash and cash equivalents comprised cash and demand deposits in the amount of
EUR 114,185 thousand (Dec 31, 2023: EUR 161,485 thousand) and cash equivalents in the amount of EUR 12,946
thousand (Dec 31, 2023: EUR 3,722 thousand).
Cash in Serbia, China, India, Russia, Brazil, South Korea, Thailand and Malaysia (Dec 31, 2024: EUR 40,581
thousand, Dec 31, 2023: EUR 41,121 thousand) cannot currently be distributed due to capital movement
restrictions.
NORMA Group SE – Annual Report 2024 360
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Reconciliation of debt movements to cash flows from financing activities
The following table represents the reconciliation from the opening Statement of Financial Position values of the
financial statements of debt arising from financing activities for the relevant closing Statement of Financial Position
items and which led to changes in equity.
Reconciliation of changes in assets and liabilities to cash flows from financing activities
T171
in EUR thousands
Note
Financial liabilities
Derivatives held to hedge
financial liabilities
(assets (-) / liabilities (+))
Equity
Short-
term loans
payable
Long-term
loans
payable
Borrowings
from the
ABS/
factoring
programs
Lease
liabilities
Interest
rate
swaps –
cash flow
hedge
Foreign
currency
deriva-
tives –
fair value
hedge
Retained
earnings
Other
Reserves
Non-
control-
ling
interests
Total
Balance as of
Jan 1, 2023
21,431
437,313
7,271
42,616
-4,466
37 445,263
5,654
338
955,457
Changes in cash flow
from financing
activities
Loan proceeds
(21. (e))
18,000
3,396
21,396
Loan repayments
(21. (e))
-36,696
-48,100
-84,796
Inflow (+) / outflow (-)
from hedging
derivatives
(21. (f))
-67
-67
Interest paid
-23,802
-1,651
2,626
-22,827
Repayment of debts
from leases
(21. (e))
-12,584
-12,584
Dividends paid
(24)
-14,338
-43
-14,381
Total change in cash
flow from the
financing activities
(29)
-42,498
-48,100
3,396 -14,235
2,626
-67 -14,338
-43
-113,259
NORMA Group SE – Annual Report 2024 361
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Reconciliation of changes in assets and liabilities to cash flows from financing activities (continued)
in EUR thousands
Note
Financial liabilities
Derivatives held to hedge
financial liabilities
(assets (-) / liabilities (+))
Equity
Short-
term
loans
payable
Long-
term
loans
payable
Borrowings
from the
ABS/
factoring
programs
Lease
liabilities
Interest
rate
swaps –
cash flow
hedge
Foreign
currency
deriva-
tives –
fair value
hedge
Retained
earnings
Other
Reserves
Non-
control-
ling
interests
Total
Effects of changes in
exchange rates
6,971
422
1,551
-14
8,930
Changes in the fair
value
-1,731
-1,301
1,731
-1,301
Other changes
Based on debt
Interest expense
23,627
299
1,651
n / a
-2,626
n / a
22,951
Derecognition of
lease liabilities
-280
-280
New leases
11,128
n / a
n / a
n / a
11,128
Transfer
27,000
-27,000
n / a
n / a
n / a
0
Business
combinations
(33)
683
800
n / a
n / a
n / a
1,483
Other changes
related to debt
51,310
-25,901
—
12,499
—
n / a
-2,626
n / a
35,282
Other changes
related to equity
(24)
n / a
n / a
n / a
n / a
n / a
n / a
14,694
28,431
95
43,220
Balance as of
Dec 31, 2024
30,243
370,283
11,089
42,431
-3,571
-1,331 445,619
33,190
376 928,329
NORMA Group SE – Annual Report 2024 362
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Reconciliation of changes in assets and liabilities to cash flows from financing activities
T172
in EUR thousands
Note
Financial liabilities
Derivatives held to hedge
financial liabilities
(assets (-) / liabilities (+))
Equity
Short-
term loans
payable
Long-term
loans
payable
Borrowings
from the
ABS/
factoring
programs
Lease
liabilities
Interest
rate
swaps –
cash flow
hedge
Foreign
currency
derivati-
ves – fair
value hedge
Retained
earnings
Other
Reserves
Non-
control-
ling
interests
Total
Balance as of
Jan 1, 2023
125,899
339,679
8,959
40,749
-6,162
865 434,780
28,106
285
973,160
Changes in cash flow
from financing
activities
Loan proceeds
(21. (e))
119,400
119,400
Loan repayments
(21. (e))
-124,576
-1,544
-126,120
Inflow (+) / outflow (-)
from hedging
derivatives
(21. (f))
-1,862
-1,862
Interest paid
-19,578
-1,457
2,527
-18,508
Repayment of debts
from leases
(21. (e))
-12,268
-12,268
Dividends paid
(24)
-17,524
-17,524
Total change in cash
flow from the
financing activities
(29)
-144,154
119,400
-1,544 -13,725
2,527
-1,862 -17,524
-56,882
NORMA Group SE – Annual Report 2024 363
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Reconciliation of changes in assets and liabilities to cash flows from financing activities (continued)
in EUR thousands
Note
Financial liabilities
Derivatives held to hedge
financial liabilities
(assets (-) / liabilities (+))
Equity
Short-
term
loans
payable
Long-
term
loans
payable
Borrowings
from the
ABS/
factoring
programs
Lease
liabilities
Interest
rate
swaps –
cash flow
hedge
Foreign
currency
derivati-
ves – fair
value hedge
Retained
earnings
Other
Reserves
Non-
control-
ling
interests
Total
Effects of changes in
exchange rates
-342
-4,006
-144
-1,164
-31
-5,687
Changes in the fair
value
-831
1,034
831
1,034
Other changes
Based on debt
Interest expense
22,028
240
1,457
n / a
-2,527
n / a
21,198
Derecognition of
lease liabilities
-677
-677
New leases
15,976
n / a
n / a
n / a
15,976
Transfer
18,000
-18,000
n / a
n / a
n / a
0
Other changes
related to debt
40,028
-17,760
0
16,756
0
0
n / a
-2,527
n / a
36,497
Other changes
related to equity
(24)
n / a
n / a
n / a
n / a
n / a
n / a
28,007 -20,756
84
7,335
Balance as of
Dec 31, 2023
21,431
437,313
7,271
42,616
-4,466
37 445,263
5,654
338 955,457
NORMA Group SE – Annual Report 2024 364
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
30. Segment reporting
Segment reporting
T173
in EUR thousands
EMEA
Americas
Asia-Pacific
Total segments
Central functions
Consolidation/
Reclassification
Consolidated Group
2024
2023
2024
2023
2024
2023
2024
2023
2024
2023
2024
2023
2024
2023
Total revenue
505,616
546,604
537,728
543,792
161,662
185,063
1,205,006
1,275,459
44,848
41,865
-94,726
-94,543
1,155,128
1,222,781
thereof inter-
segment revenue
28,298
31,953
7,351
9,285
14,229
11,440
49,878
52,678
44,848
41,865
-94,726
-94,543
Revenue from
external customers
477,318
514,651
530,377
534,507
147,433
173,623
1,155,128
1,222,781
0
0
0
0
1,155,128
1,222,781
Contribution to
consolidated Group
sales
41.3%
42.1%
45.9%
43.7%
12.8%
14.2%
100.0%
100.0%
Adjusted gross profit1
273,793
277,885
315,511
300,409
80,645
90,903
669,949
669,197
n / a
n / a
-1,794
-1,217
668,155
667,980
Adjusted employee
benefits expense
-170,193
-167,326
-148,397
-142,059
-34,948
-36,436
-353,538
-345,821
-22,334
-21,592
37,942
45,663
-337,930
-321,750
Adjusted other
operating expenses
-84,562
-88,992
-81,939
-82,581
-25,256
-28,065
-191,757
-199,638
-58,864
-55,892
56,302
43,919
-194,319
-211,611
Adjusted EBITDA1
44,816
46,114
94,423
86,627
24,277
30,234
163,516
162,975
-10,046
-8,575
15
-173
153,485
154,227
Adjusted EBITDA
margin1, 2
8.9%
8.4%
17.6%
15.9%
15.0%
16.3%
13.3%
12.6%
Depreciation without
PPA depreciation3
-22,475
-20,184
-24,206
-21,522
-9,977
-10,046
-56,658
-51,752
-573
-811
34
75
-57,197
-52,488
Amortization without
PPA amortization3
-1,447
-1,681
-1,891
-1,971
-248
-260
-3,586
-3,912
-388
-346
6
-3,968
-4,258
Adjusted EBIT1
20,894
24,250
68,326
63,133
14,052
19,927
103,272
107,310
-11,007
-9,732
55
-97
92,320
97,481
Adjusted EBIT
margin1, 2
4.1%
4.4%
12.7%
11.6%
8.7%
10.8%
8.0%
8.0%
Assets4
622,672
640,501
663,566
670,149
243,312
258,452
1,529,550
1,569,102
246,123
251,815
-339,045
-327,639
1,436,628
1,493,278
Liabilities5
196,151
216,871
258,865
255,898
41,494
48,387
496,510
521,156
528,616
574,513
-309,868
-295,831
715,258
799,838
CAPEX6
25,477
25,103
24,600
27,357
7,436
11,960
57,513
64,420
1,172
928
-224
-183
58,461
65,165
Number of
employees7
3,321
3,279
1,456
1,446
1,177
1,236
5,954
5,961
133
133
n / a
n / a
6,087
6,094
1_For details regarding the adjustments, refer to 4 NOTE 7.
2_Based on segment sales.
3_Depreciation from purchase price allocations.
4_Including allocated goodwill, taxes are shown in the column ‘consolidation.’
5_Taxes are shown in the column ‘consolidation.’
6_Including capitalization for right-of-use assets related to movable assets
7_Number of employees (average headcount).
NORMA Group SE – Annual Report 2024 365
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
NORMA Group segments the Group at a regional level. The reportable segments of NORMA Group are EMEA, the
Americas and Asia-Pacific. NORMA Group’s vision includes regional growth targets. Regional and local priorities
are set in the distribution channels. EMEA, the Americas and Asia-Pacific have linked regional intercompany
organizations with different functions. As a result, the Group’s management reporting and controlling system has a
regional focus. The product portfolio does not vary significantly between these segments.
Revenues are generated across all segments from the sale of products in the three product categories metallic
fastening clips and fasteners (FASTEN), fluid systems and connectors (FLUID), and water management
applications (WATER).
NORMA Group measures its segments mainly on the basis of the financial performance indicator ‘adjusted EBIT’.
An overview of the adjustments and a reconciliation of reported to adjusted consolidated earnings can be found in
4 NOTE 7 ADJUSTMENTS.
The adjusted employee benefits and adjusted other operating expenses reported in segment reporting correspond
to the management view and do not represent the items reported in the Consolidated Statement of
Comprehensive Income for the Group and in the result adjusted for special items for each segment. Within the
segments, expenses for temporary workers are allocated to expenses for employee benefits. In addition, operating
currency gains/losses are not included in the adjusted other operating expenses. A reconciliation of the items to the
“Group” is included in the “Consolidation/reclassification” column.
‘Adjusted EBITDA’ comprises revenue, changes in inventories of finished goods and work in progress, other own
work capitalized, raw materials and consumables used, other operating income and expenses, and employee
benefits expense, adjusted for material one-time effects.
‘Adjusted EBIT’ comprises adjusted EBITA less amortization of intangible assets.
Inter-segment revenue is generally recorded at values that approximate third-party selling prices.
Segment assets comprise all assets less (current and deferred) income tax assets-Taxes are shown in the
reconciliation. Taxes are shown within the consolidated segment reporting. Assets of the ‘Central Functions’
include mainly cash and intercompany receivables.
Segment liabilities comprise all liabilities less (current and deferred) income tax liabilities. Taxes are shown within
the consolidated segment reporting. Segment assets and liabilities are measured in a manner consistent with that
used in the Consolidated Statement of Financial Position. Liabilities of the ‘Central Functions’ include mainly
borrowings.
Capex equals additions to non-current assets (property, plant and equipment and other intangible assets including
additions for leases for moveable assets).
The deferred and actual income taxes are reported in the segment reporting within the consolidation, as they were
not regularly reported to the management and thus not included in the assessment of the profit and loss of the
individual segments. As at December 31, 2024, the assets amounted to EUR 16,177 thousand (Dec 31, 2023: EUR
16,305 thousand) and in liabilities EUR 43,794 thousand (Dec 31, 2023: EUR 46,931 thousand).
NORMA Group SE – Annual Report 2024 366
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
External sales per country, measured according to the place of domicile of the company which manufactures the
products, are as follows:
External sales per country
T174
in EUR thousands
2024
2023
Germany
118,006
144,514
USA
484,188
486,923
China
89,791
109,852
Poland
101,731
109,059
Other countries
361,412
372,433
1,155,128
1,222,781
Non-current assets by country comprise non-current assets less deferred and current tax assets and derivative
financial instruments and are presented below:
Non-current assets per country
T175
in EUR thousands
Dec 31, 2024
Dec 31, 2023
Germany
108,240
105,271
USA
420,232
404,278
China
54,616
56,662
India
36,588
50,945
Sweden
47,111
46,759
Other countries
215,967
210,863
882,754
874,778
31. Contingent liabilities
The Group has contingent liabilities in respect of legal claims arising in the ordinary course of business
(e. g., warranty obligations).
NORMA Group does not believe that any of these contingent liabilities will have a material adverse effect on its
business or any material liabilities will arise from contingent liabilities.
NORMA Group SE – Annual Report 2024 367
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
32. Other financial obligations
Commitments
Capital expenditure (nominal value) contracted for on the reporting date but not yet incurred is as follows:
Commitments
T176
in EUR thousands
Dec 31, 2024
Dec 31, 2023
Property, plant and equipment
10,915
10,594
10,915
10,594
As in the previous year, there are no material commitments concerning intangible assets.
33. Business Combinations
As of 29 February 2024, NORMA Group had acquired all shares (100%) in Teco S.r.l., based in Italy, and its
subsidiary Teco Irrigation USA Inc., based in the U.S., for a purchase price of EUR 9,400 thousand, which was paid
in cash. The impact of this transaction on the earnings, assets and financial position are immaterial for the
Consolidated Financial Statements of NORMA Group. The purchase price allocation resulted in other intangible
assets in the amount of EUR 4,935 thousand and goodwill in the amount of EUR 3,189 thousand, which comprises
the expansion of the market position, the expertise of the employees and expected synergies.
Due to the strategic importance of the acquisition for growth in the area of Water Management in Europe,
extended qualitative information on the acquired company is provided below in addition to the quantitative data.
Teco is a specialist in irrigation products for gardening, landscaping and agriculture. Teco, headquartered in Trani
in Apulia, has around 20 years of experience in product development and the sale of micro-irrigation solutions. The
Company offers around 800 products, including drippers, sprayers, valves and connecting elements. Its customers
include wholesalers and manufacturers of water management systems. In the 2023 fiscal year, Teco generated
revenue of around EUR 4.8 million.
The U.S. site acts as a warehouse to meet demand in the U.S. market quickly and efficiently.
The acquisition of Teco represents an important step for NORMA Group to further drive growth in the Water
Management sector in Europe.
NORMA Group SE – Annual Report 2024 368
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
34. Related party transactions
Remuneration of members of the Management Board
Remuneration of the members of the Management Board according to IFRS is as follows:
Remuneration of members of the Management Board (IFRS)
T177
in EUR thousands
2024
2023
Short-term benefits
1,446
1,385
Post-employment benefits
465
419
Termination benefits
607
Share-based payment
883
813
Total remuneration according to IFRS
2,794
3,224
Provisions for the remuneration of the members of the Management Board are as follows:
Provisions / liabilities for remuneration of the Management Board members
T178
in EUR thousands
Note
Dec 31, 2024
Dec 31, 2023
Share-based payments
(25)
704
795
Termination Benefits
160
Total
704
955
Details regarding the individual provisions can be found in the respective notes.
Details on the remuneration of the members of the Management Board can be found in the 4 REMUNERATION REPORT.
The total remuneration of the members of the Supervisory Board of NORMA Group SE for short-term employee
benefits including the meeting fees paid to them amounted to EUR 591 thousand in the fiscal year 2024
(2023: EUR 581 thousand).
NORMA Group SE – Annual Report 2024 369
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
35. Additional disclosures pursuant to Section 315e (1) of the German Commercial Code (HGB)
Total remuneration of the executive bodies
The amounts presented below for the remuneration of the Management Board and the Supervisory Board of
NORMA Group SE result from the valuation principles defined in the German GAAP (HGB) and may differ from the
amounts recognized in the IFRS Consolidated Financial Statements.
The remuneration of the Management Board and Supervisory Board was as follows:
Remuneration of Management Board members
T179
in EUR thousands
2024
2023
Member of the Management Board
2,692
2,807
thereof non-performance-related cash remuneration of the Management Board
1,446
1,385
thereof fair value of share-based payment allocated to the Management Board in the fiscal year as of
allocation date
1,246
1,422
Total remuneration of former members of the Management Board
134
288
Compensation of the Supervisory Board
591
581
The defined benefit obligation of pension commitments to prior members of the Management Board and their
dependents was EUR 7,106 thousand as of December 31, 2024 (2023: EUR 7,196 thousand).
Further information on the remuneration of the members of the Management Board of NORMA Group SE can be
found in the 4 REMUNERATION REPORT.
Fees for the auditor
In the fiscal year of 2024, fees for the auditor, KPMG Wirtschaftsprüfungsgesellschaft, Frankfurt/Main, were
expensed as follows:
Fees for the auditor
T180
in EUR thousands
2024
2023
Auditing services
713
573
Other confirmation services
213
152
Other services
46
17
972
742
The fee for auditing services provided by KPMG AG Wirtschaftsprüfungsgesellschaft relates to the audit of the
Consolidated Financial Statements and the Annual Financial Statements together with the Condensed
Management Report of NORMA Group SE as well as various audits of the annual financial statements of its
subsidiaries in Germany.
NORMA Group SE – Annual Report 2024 370
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
The other assurance services relate to the audit of the non-financial statement and assurance services for financial
covenants.
Fees for other services relate to audits in connection with regulatory requirements.
Headcount
The average headcount breaks down as follows:
Average headcount
T181
Number
2024
2023
Direct labor
2,874
2,930
Indirect labor
1,087
1,033
Salaried
2,126
2,131
6,087
6,094
The category ‘direct labor’ consists of employees who are directly engaged in the production process. The numbers
fluctuate according to the level of output. Indirect employees are not directly involved in the production process, but
only in a supporting role. Salary recipients are employees who work in administrative and general functions or in
sales.
Scope of consolidation
The names and registered offices as well as their share in the subsidiaries, i.e. the companies included in the
Consolidated Financial Statements in accordance with Section 313 (2) No. 1 HGB are listed in 4 NOTE 4 SCOPE OF
CONSOLIDATION.
Proposal for the distribution of the earnings
The Management Board of NORMA Group SE proposes to the Annual General Meeting to pay a dividend of
EUR 0.40 per share to the shareholders. The total dividend payment would thus amount to EUR 12,744,960.
Declaration of Compliance with the German Corporate Governance Code (Section 161 AktG)
The Management Board and Supervisory Board have issued a Corporate Governance Declaration pursuant to
section 161 of the German Stock Corporation Act (Aktiengesetz) and made it available to shareholders on the
website of NORMA Group.
NORMA Group SE – Annual Report 2024 371
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
36. Exceptions under Section 264, (3) of the German Commercial Code (HGB)
In the fiscal year of 2024, the following German subsidiaries made use of disclosure exemptions pursuant to
Section 264 (3) HGB:
•
NORMA Group Holding GmbH, Maintal
•
NORMA Distribution Center GmbH, Marsberg
•
NORMA Germany GmbH, Maintal
•
NORMA Verwaltungs GmbH, Maintal
37. Events after the reporting date
Up until March 18, 2025, there were no events or developments that would have resulted in a material change in
the recognition or measurement of the individual assets and liabilities as of December 31, 2024.
NORMA Group SE – Annual Report 2024 372
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
> NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
APPENDIX TO THE NOTES TO THE
CONSOLIDATED FINANCIAL
STATEMENTS
Voting rights notifications
According to Section 160 (1) No. 8 AktG, information regarding voting rights that have been notified to the
Company pursuant to Section 33 (1) or (2) of the German Securities Trading Act (Wertpapierhandelsgesetz –
WpHG) must be disclosed.
The following table presents an overview of all voting rights notifications that have been sent to the Company as
of March 18, 2025. It contains the information of the last notification of each shareholder. The percentage and
number of shares may have changed in the meantime.
All notifications of shareholder voting rights in the year under review and beyond are available on the : WEBSITE OF
NORMA GROUP.
Voting rights notification
T182
Notifying party
Achievement
of voting
rights
Touched or
exceeded
reporting
threshold
Share in %
Shares
Pursuant to
WpHG
Amiral Gestion, Paris, France
Mar. 11,2025
less than 3%
2.92
930,669
§§ 33, 34
The Capital Group Companies, Inc.,
Los Angeles, USA
Nov. 29, 2024
less than 5%
0.00
0
§§ 33, 34
SMALLCAP World Fund, Inc., Lutherville
Timonium, USA
Nov. 29, 2024
less than 5%
0.00
0
§§ 33, 34
Schroders plc, London, UK
Oct. 9, 2024
less than 3%
2.99
952,394
§§ 33, 34
Igor Kuzniar 1
Sep. 26, 2024
more than 20%
20.98
6,684,879
§§ 33, 34
Tweedy, Browne Company LLC, Wilmington/
Delaware, USA
Sep. 24, 2024
less than 3%
2.69
858,465
§§ 33, 34
La Financière de l’Echiquier
Sep. 18, 2024
less than 3%
1.52
482,996
§§ 33, 34
Janus Henderson Group Plc, St. Helier, Jersey,
UK
Sep. 9, 2024
less than 3%
2.88
917,418
§§ 33, 34
Lazard Frères Gestion SAS, Paris, France
May 10, 2024
more than 3%
3.03
964,500
§§ 33, 34
1_In the consideration of the entire corporate chain, Igor Kuzniar holds 20.98% via Teleios Capital Partners LLC (Zug, Switzerland).
NORMA Group SE – Annual Report 2024 373
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
> APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Corporate Bodies of NORMA Group SE
Members of the Management Boards
Mark Wilhelms14,15
Chief Executive Officer (Interim-CEO)
Graduate Industrial Engineer and Graduate Engineer in Process Engineering
Member of the Management Board since February 18, 2025
Dr. Daniel Heymann
Chief Operating Officer (COO)
Doctorate in Engineering
Member of the Management Board since May 1, 2023
•
No mandates in supervisory boards or comparable supervisory bodies outside NORMA Group
Annette Stieve
Chief Financial Officer (CFO)
Degree in Business Administration
Member of the Management Board since October 1, 2020
•
No mandates in supervisory boards or comparable supervisory bodies outside NORMA Group
Guido Grandi16
Chief Executive Officer (CEO)
Graduate Engineer
Member of the Management Board from June 1, 2023 to February 17, 2025
•
No mandates in supervisory boards or comparable supervisory bodies outside NORMA Group
NORMA Group SE – Annual Report 2024 374
14 Assumption of the interim CEO role with effect from February 18, 2025; the previous Supervisory Board mandate is suspended during the interim
CEO role for the transition period of a maximum of one year until February 17, 2026.
15 Until August 2024 Member of the Supervisory Board of Novem Group SA, Luxembourg/Vorbach, Luxembourg/Germany (listed company).
16 Mr. Guido Grandi resigned from his position on the Management Board and as Chief Executive Officer at the end of February 17, 2025.
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
> APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Supervisory Board members, exercised profession
Kerstin Müller-Kirchhofs17
Interim Chair of the Supervisory Board
Graduate Economist, Consultant
Court-appointed member as of September 9, 2024 until the end of the 2025 General Annual Meeting
•
No other mandates in supervisory boards or comparable bodies
Erika Schulte
Deputy Chair of the Supervisory Board
Managing director of Brueder Grimm Berufsakademie Hanau GmbH and Freelance Consultant18
Member since 2013
•
No other mandates in supervisory boards or comparable bodies
Rita Forst19
Consultant
Member since 2018
•
Member of the Board of Directors (Non-Executive Director) of AerCap Holdings N.V., Dublin, Ireland (listed
company)
•
Member of the Supervisory Board (Non-Executive Director) of Johnson Matthey PLC, London, UK (listed
company)
Denise Koopmans20
Consultant
Member since 2023
•
Member of the Board of Directors (Non-Executive Director) of Cicor Technologies AG, Boudry, Switzerland
(listed company)
•
Member of the Supervisory Board of Royal BAM Group NV, Bunnik, Netherlands (listed company)
•
Member of the Board of Directors (Non-Executive Director) of Die Schweizerische Post AG, Bern, Switzerland
(not listed)
Dr. Markus Distelhoff
Member of the Management Board of REHAU Management SE, Rehau
Member since 2023
•
No other mandates in supervisory boards or comparable bodies
NORMA Group SE – Annual Report 2024 375
17 Court-appointed member of the Supervisory Board with effect from September 9, 2024; Member and Chairwoman of the Audit Committee since
September 20, 2024; Interim Chairwoman of the Supervisory Board since February 18, 2025.
18 Until December 31, 2024 also managing director of Hanau Wirtschaftsfoerderung GmbH.
19 Until December 31, 2024, member of the Advisory Board of iwis SE & Co. KG (formerly Joh. Winklhofer Beteiligungs GmbH & Co. KG), Munich,
Germany (not listed on the stock exchange).
20 Until April 30, 2024 also Member of the Board of Directors (Non-Executive Director) of Sanoma Corporation, Helsinki, Finland (listed company).
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
> APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Mark Wilhelms21,22
Consultant
Member since 2018 (office dormant since February 18, 2025)
Supervisory Board members who were in office during the fiscal year 2024
Miguel Ángel López Borrego
Chief Excecutive Officer of thyssenkrupp AG, Essen, Germany
Member from 2021 until June 16, 202423
•
Member of the Supervisory Board of thyssenkrupp Nucera AG & Co. KGaA, Dortmund, Germany
•
Member of the Supervisory Board of thyssenkrupp Nucera Management AG, Dortmund, Germany
•
Member of the Supervisory Board of thyssenkrupp Steel, Europe AG, Duisburg, Germany
Maintal, March 18, 2025
NORMA Group SE
Mark Wilhelms
Chief Executive Officer
(Interim CEO)
Annette Stieve
Member of the Management
Board (CFO)
Dr. Daniel Heymann
Member of the Management
Board (COO)
NORMA Group SE – Annual Report 2024 376
21 Chairman of the Supervisory Board in 2024 and until the end of February 17, 2025; assumption of the interim CEO role with effect from February
18, 2025; the Supervisory Board mandate is suspended during the interim CEO role for a transitional period of a maximum of one year until
February 17, 2026.
22 Until August 2024 Member of the Supervisory Board of Novem Group SA, Luxembourg/Vorbach, Luxembourg/Germany (listed company).
23 Mandate suspended due to interim CEO activity from January 1 to May 31, 2023.
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
> APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
ASSURANCE OF LEGAL
REPRESENTATIVES
To the best of our knowledge, and in accordance with the applicable reporting principles, the Consolidated
Financial Statements give a true and fair view of the earnings, assets and financial position of the Group, and the
Consolidated Management Report includes a fair review of the development and performance of the business and
the position of the Group, together with a description of the principal opportunities and risks associated with the
expected development of the Group.
Maintal, March 18, 2025
NORMA Group SE
The Management Board
Mark Wilhelms
Chief Executive Officer
(Interim CEO)
Annette Stieve
Member of the Management
Board (CFO)
Dr. Daniel Heymann
Member of the Management
Board (COO)
NORMA Group SE – Annual Report 2024 377
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
> ASSURANCE OF LEGAL
REPRESENTATIVES
378 INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
INDEPENDENT AUDITOR’S REPORT
To NORMA Group SE, Maintal
Report on the Audit of the Consolidated Financial Statements and of
the Condensed Management Report
Opinions
We have audited the consolidated financial statements of NORMA Group SE and its subsidiaries (the Group),
which comprise the consolidated statement of financial position as at 31 December 2024, and the consolidated
statement of comprehensive income, consolidated statement of changes in equity and consolidated statement of
cash flows for the financial year from 1 January to 31 December 2024, and notes to the consolidated financial
statements, including a summary of significant accounting policies. In addition, we have audited the management
report of the Company and the Group (“condensed management report”) of NORMA Group SE including the
remuneration report included in the section “Remuneration Report 2024” of the condensed management report,
together with the related disclosures, for the financial year from 1 January to 31 December 2024.
In accordance with German legal requirements, we have not audited the content of those components of the
condensed management report specified in the “Other Information” section of our auditor’s report.
The condensed management report contains cross-references marked as unaudited that are not required by law.
In accordance with German legal requirements, we have not audited these cross-references or the information to
which the cross-references refer.
In our opinion, on the basis of the knowledge obtained in the audit
•
the accompanying consolidated financial statements comply, in all material respects, with the IFRSs as the
accompanying consolidated financial statements comply, in all material respects, with the IFRSs as adopted by
the EU, and the additional requirements of German commercial law pursuant to Section 315e (1) HGB
[Handelsgesetzbuch: German Commercial Code] and, in compliance with these requirements, give a true and
fair view of the assets, liabilities, and financial position of the Group as at 31 December 2024, and of its
financial performance for the financial year from 1 January to 31 December 2024, and
•
the accompanying condensed management report as a whole provides an appropriate view of the Group’s
position. In all material respects, this condensed management report is consistent with the consolidated
financial statements, complies with German legal requirements and appropriately presents the opportunities
and risks of future development. Our opinion on the condensed management report does not cover the content
of those components of the condensed management report specified in the “Other Information” section of the
auditor´s report. The condensed management report contains cross-references marked as unaudited that are
not required by law. Our opinion does not cover these cross-references or the information to which the cross-
references refer.
NORMA Group SE – Annual Report 2024 378
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
> INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Pursuant to Section 322 (3) sentence 1 HGB, we declare that our audit has not led to any reservations relating to
the legal compliance of the consolidated financial statements and of the condensed management report.
Basis for the Opinions
We conducted our audit of the consolidated financial statements and of the condensed management report in
accordance with Section 317 HGB and the EU Audit Regulation No. 537/2014 (referred to subsequently as “EU
Audit Regulation”) and in compliance with German Generally Accepted Standards for Financial Statement Audits
promulgated by the Institut der Wirtschaftsprüfer [Institute of Public Auditors in Germany] (IDW). Our
responsibilities under those requirements and principles are further described in the “Auditor’s Responsibilities for
the Audit of the Consolidated Financial Statements and of the Condensed Management Report” section of our
auditor’s report. We are independent of the group entities in accordance with the requirements of European law
and German commercial and professional law, and we have fulfilled our other German professional responsibilities
in accordance with these requirements. In addition, in accordance with Article 10 (2) (f) of the EU Audit Regulation,
we declare that we have not provided non-audit services prohibited under Article 5 (1) of the EU Audit Regulation.
We believe that the evidence we have obtained is sufficient and appropriate to provide a basis for our opinions on
the consolidated financial statements and on the condensed management report.
Key Audit Matters in the Audit of the Consolidated Financial Statements
Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of
the consolidated financial statements for the financial year from 1 January to 31 December 2024. These matters
were addressed in the context of our audit of the consolidated financial statements as a whole, and in forming our
opinion thereon, we do not provide a separate opinion on these matters.
Recoverability of Goodwill
For information on the accounting policies applied, please refer to Note 3 with the subsections "Intangible assets"
and "Impairment of non-financial assets" in the notes to the consolidated financial statements. The assumptions
underlying the valuation and disclosures on the amount of goodwill are included in Note 18 of the notes to the
consolidated financial statements. Information on the economic development of the EMEA, Americas and Asia-
Pacific operating segments can be found in the condensed management report in the section "Development of
sales and earnings in the segments".
THE FINANCIAL STATEMENT RISK
Goodwill amounted to EUR 410,4 million as at 31 December, 2024 and represents a significant proportion of
assets at 29% of total assets.
Goodwill is tested for impairment annually at the level of the EMEA, Americas and Asia-Pacific groups of cash-
generating units (CGUs), irrespective of any indications of impairment. If there are indications of a need for
impairment during the year, an impairment test is also carried out on an ad hoc basis. For this purpose, the
carrying amount is compared with the recoverable amount of the respective CGU. The recoverable amount is the
higher of the fair value less costs of disposal and the value in use of the CGU. NORMA Group SE determines the
recoverable amount as the fair value less costs of disposal on the basis of a discounted cash flow model for each
CGU. If the carrying amount is higher than the fair value less costs of disposal, an impairment loss must be
recognized if the carrying amount is not covered by the value in use. The reporting date for the impairment test is
30 September, 2024.
NORMA Group SE – Annual Report 2024 379
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
> INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Impairment testing of goodwill is complex and is based on a number of discretionary assumptions. These include
the expected business and earnings development of the respective CGU for the next five years prepared by the
Board of Management of NORMA Group SE and approved by the Supervisory Board, the assumed long-term
growth rate in perpetuity and the discount rates used. Based on the values determined, there was no need for
impairment.
There is a risk for the consolidated financial statements that an impairment existing on the reporting date was not
recognized. There is also a risk that the related disclosures in the notes are not appropriate.
OUR AUDIT APPROACH
With the involvement of our valuation specialists, we assessed, among other things, the appropriateness of the
key assumptions and the Company's calculation method. For this purpose, we discussed the expected business
and earnings development per CGU as well as the assumed long-term growth rate with those responsible for
planning.
We also examined whether the planning on which the valuation is based is consistent with the budgets prepared
by the Board of Management and approved by the Supervisory Board with regard to the expected business and
earnings development. In addition, we assessed the consistency of the assumptions with external market
assessments. Our audit of the appropriateness of the key assumptions of the approved budgets also included an
assessment of the quality of the Company's forecasts to date by comparing forecasts from previous financial years
with the results actually achieved and analyzing deviations. Based on forecast deviations in the past, we
examined how those responsible for planning reacted to the forecast deviations when preparing the budget.
We compared the assumptions and data underlying the discount rate, in particular the risk-free interest rate, the
market risk premium and the beta factor, with our own assumptions and publicly available data. In order to assess
the methodologically and mathematically appropriate implementation of the valuation method, we verified the
valuation performed by the company using our own calculations and analyzed deviations.
In order to take into account the existing and, due to the economic environment, increased forecasting uncertainty,
we also examined the effects of possible changes in the discount rate and the expected cash flows on the
recoverable amount by calculating alternative scenarios and comparing them with the Company's values
(sensitivity analysis).
Finally, we assessed whether the disclosures in the notes on the recoverability of goodwill are appropriate.
OUR OBSERVATIONS
The procedure underlying the goodwill impairment testing is appropriate and in line with the valuation principles.
The assumptions and data of the Company on which the valuation is based are appropriate. The related
disclosures in the notes are appropriate.
NORMA Group SE – Annual Report 2024 380
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
> INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Other Information
The Board of Management respectively Supervisory Board are responsible for the other information. The other
information comprises the following components of the condensed management report, whose content was not
audited:
•
the Group’s nonfinancial statement, which is referred to in the condensed management report,
•
the combined corporate governance statement for the Company and the Group which is referred to in the
condensed management report, and,
•
the information extraneous to management reports and marked as unaudited.
The other Information includes also the remaining parts of the annual report. The other Information does not
include the consolidated financial statements, the condensed management report information audited for content
and our auditor’s report thereon.
Our opinions on the consolidated financial statements and on the condensed management report do not cover the
other information, and consequently we do not express an opinion or any other form of assurance conclusion
thereon.
In connection with our audit, our responsibility is to read the above-mentioned other information and, in so doing,
to consider whether the other information
•
is materially inconsistent with the consolidated financial statements, with the condensed management report
information audited for content or our knowledge obtained in the audit, or
•
otherwise appears to be materially misstated.
Responsibilities of the Board of Management and of the Supervisory Board for the Consolidated
Financial Statements and the Condensed Management Report
The Board of Management is responsible for the preparation of the consolidated financial statements that comply,
in all material respects, with IFRSs as adopted by the EU and the additional requirements of German commercial
law pursuant to Section 315e (1) HGB and that the consolidated financial statements, in compliance with these
requirements, give a true and fair view of the assets, liabilities, financial position, and financial performance of the
Group. In addition, management is responsible for such internal control as they have determined necessary to
enable the preparation of consolidated financial statements that are free from material misstatement, whether due
to fraud (i.e., fraudulent financial reporting and misappropriation of assets) or error.
In preparing the consolidated financial statements, the Board of Management is responsible for assessing the
Group’s ability to continue as a going concern. They also have the responsibility for disclosing, as applicable,
matters related to going concern. In addition, they are responsible for financial reporting based on the going
concern basis of accounting unless there is an intention to liquidate the Group or to cease operations, or there is no
realistic alternative but to do so.
NORMA Group SE – Annual Report 2024 381
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
> INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Furthermore, the Board of Management is responsible for the preparation of the condensed management report
that, as a whole, provides an appropriate view of the Group’s position and is, in all material respects, consistent
with the consolidated financial statements, complies with German legal requirements, and appropriately presents
the opportunities and risks of future development. In addition, the Board of Management is responsible for such
arrangements and measures (systems) as they have considered necessary to enable the preparation of a
condensed management report that is in accordance with the applicable German legal requirements, and to be
able to provide sufficient appropriate evidence for the assertions in the condensed management report.
The Supervisory Board is responsible for overseeing the Group’s financial reporting process for the preparation of
the consolidated financial statements and of the condensed management report.
Furthermore, the Board of Management and the Supervisory Board are responsible for the preparation of the
remuneration report included in a separate section of the condensed management report, including the related
disclosures, in accordance with the requirements of Section 162 German Stock Corporation Act (AktG). In addition,
they are responsible for the internal controls that they deem necessary, in order to enable the preparation of a
remuneration report, including the related disclosures, that is free from material misstatement, whether due to
fraud or error.
Auditor’s Responsibilities for the Audit of the Consolidated Financial Statements and of the
Condensed Management Report
Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a
whole are free from material misstatement, whether due to fraud or error, and whether the condensed
management report as a whole provides an appropriate view of the Group’s position and, in all material respects,
is consistent with the consolidated financial statements and the knowledge obtained in the audit, complies with
the German legal requirements and appropriately presents the opportunities and risks of future development, as
well as to issue an auditor’s report that includes our opinions on the consolidated financial statements and on the
condensed management report.
Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance
with Section 317 HGB and the EU Audit Regulation and in compliance with German Generally Accepted
Standards for Financial Statement Audits promulgated by the Institut der Wirtschaftsprüfer [Institute of Public
Auditors in Germany] (IDW) will always detect a material misstatement. Misstatements can arise from fraud or
error and are considered material if, individually or in the aggregate, they could reasonably be expected to
influence the economic decisions of users taken on the basis of these consolidated financial statements and this
condensed management report.
We exercise professional judgement and maintain professional scepticism throughout the audit. We also:
•
Identify and assess the risks of material misstatement of the consolidated financial statements and of the
condensed management report, whether due to fraud or error, design and perform audit procedures responsive
to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinions.
The risk of not detecting a material misstatement resulting from fraud is higher than the risk of not detecting a
material misstatement resulting from error, as fraud may involve collusion, forgery, intentional omissions,
misrepresentations, or the override of internal control.
•
Obtain an understanding of internal control relevant to the audit of the consolidated financial statements and
of arrangements and measures (systems) relevant to the audit of the condensed management report in order
NORMA Group SE – Annual Report 2024 382
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
> INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an
opinion on the effectiveness of these systems.
•
Evaluate the appropriateness of accounting policies used by the Board of Management and the
reasonableness of estimates made by the Board of Management and related disclosures.
•
Conclude on the appropriateness of the Board of Management’s use of the going concern basis of accounting
and, based on the audit evidence obtained, whether a material uncertainty exists related to events or
conditions that may cast significant doubt on the Group’s ability to continue as a going concern. If we conclude
that a material uncertainty exists, we are required to draw attention in the auditor’s report to the related
disclosures in the consolidated financial statements and in the condensed management report or, if such
disclosures are inadequate, to modify our respective opinions. Our conclusions are based on the audit evidence
obtained up to the date of our auditor’s report. However, future events or conditions may cause the Group to
cease to be able to continue as a going concern.
•
Evaluate the overall presentation, structure and content of the consolidated financial statements, including the
disclosures, and whether the consolidated financial statements present the underlying transactions and events
in a manner that the consolidated financial statements give a true and fair view of the assets, liabilities,
financial position and financial performance of the Group in compliance with IFRSs as adopted by the EU and
the additional requirements of German commercial law pursuant to Section 315e (1) HGB.
•
Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business
activities within the Group to express opinions on the consolidated financial statements and on the condensed
management report. We are responsible for the direction, supervision and performance of the group audit. We
remain solely responsible for our opinions.
•
Evaluate the consistency of the condensed management report with the consolidated financial statements, its
conformity with [German] law, and the view of the Group’s position it provides.
•
Perform audit procedures on the prospective information presented by the Board of Management in the
condensed management report. On the basis of sufficient appropriate audit evidence we evaluate, in particular,
the significant assumptions used by the Board of Management as a basis for the prospective information, and
evaluate the proper derivation of the prospective information from these assumptions. We do not express a
separate opinion on the prospective information and on the assumptions used as a basis. There is a substantial
unavoidable risk that future events will differ materially from the prospective information.
We communicate with those charged with governance regarding, among other matters, the planned scope and
timing of the audit and significant audit findings, including any significant deficiencies in internal control that we
identify during our audit.
We also provide those charged with governance with a statement that we have complied with the relevant
independence requirements, and communicate with them all relationships and other matters that may reasonably
be thought to bear on our independence, and where applicable, the actions taken or safeguards applied to
eliminate independence threats.
From the matters communicated with those charged with governance, we determine those matters that were of
most significance in the audit of the consolidated financial statements of the current period and are therefore the
key audit matters. We describe these matters in our auditor’s report unless laws or regulation precludes public
disclosure about the matter.
NORMA Group SE – Annual Report 2024 383
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
> INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Other legal and regulatory requirements
Report on the Assurance on the Electronic Rendering of the Consolidated Financial Statements and the
Condensed Management Report Prepared for Publication Purposes in Accordance with Section 317 (3a) HGB
We have performed assurance work in accordance with Section 317 (3a) HGB to obtain reasonable assurance
about whether the rendering of the consolidated financial statements and the condensed management report
(hereinafter the “ESEF documents”) contained in the electronic file „normagroup-2024-12-31-de (7).zip“ (SHA256-
Hashwert: 7486fc2a5a10fe2121c656dfa620c5e37ba38d7da17a0444bccc1f2368fe45a4) made available and
prepared for publication purposes complies in all material respects with the requirements of Section 328 (1) HGB
for the electronic reporting format (“ESEF format”). In accordance with German legal requirements, this assurance
work extends only to the conversion of the information contained in the consolidated financial statements and the
condensed management report into the ESEF format and therefore relates neither to the information contained in
these renderings nor to any other information contained in the file identified above.
In our opinion, the rendering of the consolidated financial statements and the condensed management report
contained in the aforementioned electronic file and made available, for publication purposes complies in all
material respects with the requirements of Section 328 (1) HGB for the electronic reporting format. Beyond this
assurance opinion and our audit opinion on the accompanying consolidated financial statements and the
accompanying condensed management report for the financial year from 1 January to 31 December 2024
contained in the “Report on the Audit of the Consolidated Financial Statements and the Condensed Management
Report” above, we do not express any assurance opinion on the information contained within these renderings or
on the other information contained in the file identified above.
We conducted our assurance work on the rendering of the consolidated financial statements and the condensed
management report contained in the file made available and identified above in accordance with Section 317 (3a)
HGB and the IDW Assurance Standard: Assurance Work on the Electronic Rendering of Financial Statements and
Management Reports Prepared for Publication Purposes in Accordance with Section 317 (3a) HGB (IDW AsS 410
(06.2022)) and the International Standard on Assurance Engagements 3000 (Revised). Our responsibility in
accordance therewith is further described below. Our audit firm applies the IDW Standard on Quality Management
1: Requirements for Quality Management in Audit Firms (IDW QMS 1(09.2022)).
The Company’s Board of Management is responsible for the preparation of the ESEF documents including the
electronic rendering of the consolidated financial statements and the condensed management report in
accordance with Section 328 (1) sentence 4 item 1 HGB and for the tagging of the consolidated financial
statements in accordance with Section 328 (1) sentence 4 item 2 HGB.
In addition, the company’s Board of Management is responsible for such internal control that they have considered
necessary to enable the preparation of ESEF documents that are free from material intentional or unintentional
non-compliance with the requirements of Section 328 (1) HGB for the electronic reporting format.
The Supervisory Board is responsible for overseeing the process of preparing the ESEF documents as part of the
financial reporting process.
Our objective is to obtain reasonable assurance about whether the ESEF documents are free from material
intentional or unintentional non-compliance with the requirements of Section 328 (1) HGB. We exercise
professional judgement and maintain professional scepticism throughout the assurance work. We also:
NORMA Group SE – Annual Report 2024 384
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
> INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
•
Identify and assess the risks of material intentional or unintentional non-compliance with the requirements of
Section 328 (1) HGB, design and perform assurance procedures responsive to those risks, and obtain
assurance evidence that is sufficient and appropriate to provide a basis for our assurance opinion.
•
Obtain an understanding of internal control relevant to the assurance on the ESEF documents in order to
design assurance procedures that are appropriate in the circumstances, but not for the purpose of expressing
an assurance opinion on the effectiveness of these controls.
•
Evaluate the technical validity of the ESEF documents, i.e. whether the file made available containing the ESEF
documents meets the requirements of the Delegated Regulation (EU) 2019/815, as amended as at the
reporting date, on the technical specification for this electronic file.
•
Evaluate whether the ESEF documents provide an XHTML rendering with content equivalent to the audited
consolidated financial statements and the audited condensed management report.
•
Evaluate whether the tagging of the ESEF documents with Inline XBRL technology (iXBRL) in accordance with
the requirements of Articles 4 and 6 of the Delegated Regulation (EU) 2019/815, as amended as at the
reporting date, enables an appropriate and complete machine-readable XBRL copy of the XHTML rendering.
Further Information pursuant to Article 10 of the EU Audit Regulation
We were elected as group auditor at the annual general meeting on 16 May 2024. We were engaged by the
Supervisory Board on 19 November 2024. We have been the group auditor of the NORMA Group SE since
financial year 2023.
We declare that the opinions expressed in this auditor’s report are consistent with the additional report to the audit
committee pursuant to Article 11 of the EU Audit Regulation (long-form audit report).
Other matter – Use of the Auditor’s Report
Our auditor’s report must always be read together with the audited consolidated financial statements and the
audited condensed management report as well as the examined ESEF documents. The consolidated financial
statements and condensed management report converted to the ESEF format – including the versions to be
entered in the company register – are merely electronic renderings of the audited consolidated financial
statements and the audited condensed management report and do not take their place. In particular, the ESEF
report and our assurance opinion contained therein are to be used solely together with the examined ESEF
documents made available in electronic form.
NORMA Group SE – Annual Report 2024 385
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
> INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
German Public Auditor Responsible for the Engagement
The German Public Auditor responsible for the engagement is Matthias Forstreuter.
Frankfurt am Main, March 18, 2025
KPMG AG
Wirtschaftsprüfungsgesellschaft
[Original German version signed by:]
Forstreuter
Kraus
Wirtschaftsprüfer
Wirtschaftsprüfer
[German Public Auditor]
[German Public Auditor]
NORMA Group SE – Annual Report 2024 386
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
> INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Auditor`s Report
Assurance report of the independent German Public Auditor on a limited assurance engagement in relation
to the combined non-financial statement included in the combined management report.
To the NORMA Group SE, Maintal
Assurance Conclusion
We have conducted a limited assurance engagement on the combined non-financial statement of NORMA Group
SE for the financial year from 1. January to 31. December 2024, included in section “Combined Non-financial
Statement” of the combined management report, prepared to fulfil the requirements of Sections 315b and 315c of
the HGB [Handelsgesetzbuch: German Commercial Code] for a consolidated non-financial statement and Sections
§§ 289b to 289e of the HGB for a non-financial statement of the company, including the information contained in
this combined non-financial statement to fulfill the requirements of Article 8 of Regulation (EU) 2020/852
(hereinafter the "consolidated non-financial reporting").
Not subject to our assurance engagement are the external sources of documentation mentioned in the
consolidated non-financial reporting which are marked as unassured.
Based on the procedures performed and the evidence obtained, nothing has come to our attention that causes us
to believe that the accompanying consolidated non-financial reporting for the financial year from 1. January to 31.
December 2024 is not prepared, in all material respects, in accordance with Sections 315b and 315c HGB for a
consolidated non-financial statement, Sections §§ 289b to 289e of the HGB for a non-financial statement of the
company, the requirements of Article 8 of Regulation (EU) 2020/852 and the supplementary criteria presented by
the executive directors of the Company.
We do not express an assurance conclusion on the external sources of documentation mentioned in the
consolidated non-financial reporting which are marked as unassured.
Basis for the Assurance Conclusion
We conducted our assurance engagement in accordance with International Standard on Assurance Engagements
(ISAE) 3000 (Revised): Assurance Engagements Other Than Audits or Reviews of Historical Financial Information
issued by the International Auditing and Assurance Standards Board (IAASB).
The procedures in a limited assurance engagement vary in nature and timing from, and are less in extent than for,
a reasonable assurance engagement. Consequently, the level of assurance obtained is substantially lower than
the assurance that would have been obtained had a reasonable assurance engagement been performed.
Our responsibilities under ISAE 3000 (Revised) are further described in the section “German Public Auditor’s
Responsibilities for the Assurance Engagement on the consolidated non-financial reporting”.
NORMA Group SE – Annual Report 2024 387
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
> INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
We are independent of the entity in accordance with the requirements of European law and German commercial
and professional law, and we have fulfilled our other German professional responsibilities in accordance with
these requirements. Our audit firm has applied the requirements for a system of quality control as set forth in the
IDW Quality Management Standard issued by the Institut der Wirtschaftsprüfer [Institute of Public Auditors in
Germany] (IDW): Requirements for Quality Management in the Audit Firm (IDW QMS 1 (09.2022)) and
International Standard on Quality Management (ISQM) 1 issued by the IAASB. We believe that the evidence we
have obtained is sufficient and appropriate to provide a basis for our assurance conclusion.
Emphasis of Matter – Principles for the preparation of the consolidated non-financial reporting
Without modifying our audit opinion, we refer to the disclosures in the consolidated non-financial reporting, which
describe the principles for the preparation of the consolidated non-financial reporting. Accordingly, the Company
has applied the European Sustainability Reporting Standards (ESRS) to the extent specified in Section
“Consolidated Non-financial Statement – General Disclosures” of the consolidated non-financial reporting.
Responsibilities of the Executive Directors and the Supervisory Board for the consolidated non-financial
reporting
The executive directors are responsible for the preparation of the consolidated non-financial reporting in
accordance with the applicable German legal and other European requirements as well as with the supplementary
criteria presented by the executive directors of the Company and for designing, implementing and maintaining
such internal control that they have considered necessary to enable the preparation of a consolidated non-
financial reporting in accordance with these requirements that is free from material misstatement, whether due to
fraud (i.e., fraudulent sustainability reporting in the consolidated non-financial reporting) or error.
This responsibility of the executive directors includes establishing and maintaining the materiality assessment
process, selecting and applying appropriate reporting policies for preparing the consolidated non-financial
reporting, as well as making assumptions and estimates and ascertaining forward-looking information for
individual sustainability-related disclosures.
The Supervisory Board is responsible for overseeing the process for the preparation of the consolidated non-
financial reporting.
Inherent Limitations in Preparing the consolidated non-financial reporting
The CSRD and the applicable German legal and other European requirements contain wording and terms that are
subject to considerable interpretation uncertainties and for which no authoritative, comprehensive interpretations
have yet been published. As such wording and terms may be interpreted differently by regulators or courts, the
legality of measurements or evaluations of sustainability matters based on these interpretations is uncertain. As
further set forth in sections “Turnover KPI (Key Performance Indicator) definition”, “Capex KPI definition”, “OpEx KPI
definition” regarding the EU Taxonomy, as well as section “E5-4 Resource inflows - Products and materials” of the
consolidated non-financial reporting, the quantification of the non-financial performance indicators, especially
regarding EU Taxonomy eligible turnover, CapEx and OpEx, as well as secondary materials is also subject to
inherent uncertainties due to restricted availability of data and the necessity of estimations.
These inherent limitations also affect the assurance engagement on the consolidated non-financial reporting.
NORMA Group SE – Annual Report 2024 388
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
> INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
German Public Auditor’s Responsibilities for the Assurance Engagement on the consolidated non-financial reporting
Our objective is to express a limited assurance conclusion, based on the assurance engagement we have conducted,
on whether any matters have come to our attention that cause us to believe that the consolidated non-financial
reporting has not been prepared, in all material respects, in accordance with the applicable German legal and other
European requirements and the supplementary criteria presented by the company’s executive directors, and to issue
an assurance report that includes our assurance conclusion on the consolidated non-financial reporting.
As part of a limited assurance engagement in accordance with ISAE 3000 (Revised), we exercise professional
judgment and maintain professional skepticism. We also:
•
obtain an understanding of the process used to prepare the consolidated non-financial reporting, including the
materiality assessment process carried out by the entity to identify the disclosures to be reported in the
consolidated non-financial reporting.
•
identify disclosures where a material misstatement due to fraud or error is likely to arise, design and perform
procedures to address these disclosures and obtain limited assurance to support the assurance conclusion. The
risk of not detecting a material misstatement resulting from fraud is higher than the risk of not detecting a
material misstatement resulting from error, as fraud may involve collusion, forgery, intentional omissions,
misrepresentations or the override of internal control. In addition, the risk of not detecting a material
misstatement in information obtained from sources not within the entity’s control (value chain information) is
ordinarily higher than the risk of not detecting a material misstatement in information obtained from sources
within the entity’s control, as both the entity’s executive directors t and we as practitioners are ordinarily
subject to restrictions on direct access to the sources of the value chain information.
•
consider the forward-looking information, including the appropriateness of the underlying assumptions. There
is a substantial unavoidable risk that future events will differ materially from the forward-looking information.
Summary of the Procedures Performed by the German Public Auditor
A limited assurance engagement involves the performance of procedures to obtain evidence about the sustainability
information. The nature, timing and extent of the selected procedures are subject to our professional judgment.
In performing our limited assurance engagement, we among others:
•
evaluated the suitability of the criteria as a whole presented by the executive directors in the consolidated non-
financial reporting
•
inquired of the executive directors and relevant employees involved in the preparation of the consolidated non-
financial reporting about the preparation process, including the materiality assessment process carried out by
the entity to identify the disclosures to be reported in the consolidated non-financial reporting, and about the
internal controls relating to this process
•
evaluated the reporting policies used by the executive directors to prepare the consolidated non-financial reporting
•
evaluated the reasonableness of the estimates and related information provided by the executive directors.
•
performed analytical procedures and made inquiries in relation to selected information in the consolidated non-
financial reporting
•
conducted site visits
•
considered the presentation of the information in the consolidated non-financial reporting
•
considered the process for identifying taxonomy-eligible and taxonomy-aligned economic activities and the
corresponding disclosures in the consolidated non-financial reporting.
NORMA Group SE – Annual Report 2024 389
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
> INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
Restriction of Use / Clause on General Engagement Term
This assurance report is solely addressed to NORMA Group SE.
The engagement, in the performance of which we have provided the services described above on behalf of
NORMA Group SE, was carried out on the basis of the General Engagement Terms for Wirtschaftsprüferinnen,
Wirtschaftsprüfer
und
Wirtschaftsprüfungsgesellschaften
(Allgemeine
Auftragsbedingungen
für
Wirtschaftsprüferinnen, Wirtschaftsprüfer und Wirtschaftsprüfungsgesellschaften) dated as of January 1, 2024
(www. kpmg.de/AAB_2024). By taking note of and using the information as contained in our report each recipient
confirms to have taken note of the terms and conditions stipulated in the aforementioned General Engagement
Terms (including the liability limitations specified in item No. 9 included therein) and acknowledges their validity in
relation to us.
Mannheim, March 18th, 2025
KPMG AG
Wirtschaftsprüfungsgesellschaft
Forstreuter
Beyer
German Public Auditor
German Public Auditor
NORMA Group SE – Annual Report 2024 390
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
256 CONSOLIDATED
STATEMENT OF
COMPREHENSIVE INCOME
257 CONSOLIDATED
STATEMENT OF
FINANCIAL POSITION
259 CONSOLIDATED
STATEMENT OF
CASH FLOWS
260 CONSOLIDATED
STATEMENT OF
CHANGES IN EQUITY
261 NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENT
373 APPENDIX TO THE NOTES
TO THE CONSOLIDATED
FINANCIAL STATEMENTS
377 ASSURANCE OF LEGAL
REPRESENTATIVES
> INDEPENDENT
AUDITOR’S REPORT
5 FURTHER INFORMATION
FURTHER 24
INFORMATION
392
Glossary
400
List of Graphics
401
List of Tables
406
Overview by Quarters
407
10-Year Overview
409
Financial Calendar, Contact and Imprint
NORMA Group SE – Annual Report 2024 391
24 On November 28, 2024, NORMA Group announced the initiation of the sale process
for the global business activities of Water Management.
Teco's Testa Roja quick-closing
valves are easy to install and simple
to use to control the water flow of
irrigation systems.
Water Management24:
Developments in 2024
NORMA Group completed the acquisition of Teco Srl on February 29, 2024, laying the ground
for the expansion of its water business in Europe. Teco is an Italian supplier of irrigation
products for the gardening, landscaping and agricultural sectors. Its customers include
wholesalers as well as manufacturers of water management systems.
FURTHER INFORMATION
Glossary
5S Methodology
5S is a method for organizing a work space for efficiency and effectiveness in order to reduce industrial accidents.
Aftermarket segment
The market concerned with the maintenance/repair of investment goods or long-life final goods (e.g. vehicles) or
the sale of replacement parts or complementary parts for the goods. This involves the sale of services and / or
parts that are directly related to the previous sale of the goods.
Asset-backed securities (ABS) program
A specific way of converting payment claims into negotiable securities with a financing company.
Best-landed cost approach
Assessment of the total costs of a product including the price of the product as well as the charges for shipping,
taxes and/or duties.
BEV
BEV is the abbreviation for "Battery Electric Vehicle". This refers to an automobile that uses at least one electric
motor for propulsion.
Bubble assignment
Short-term exchange program for employees to promote internal knowledge transfer, intercultural awareness, the
development of networks and the individual development of participants.
CDP
Formerly “Carbon Disclosure Project,” non-governmental organization focusing on environmental reporting in the
areas of climate, water and forests.
Circular economy
The circular economy corresponds to a regenerative economic system in which the use of resources, waste
production, emissions as well as energy consumption are minimized. The basis for this is formed by long-lasting
and closed material and energy cycles.
CO2 equivalents
CO2 equivalents illustrate the global warming potential of various gases that are harmful to the climate and show
how much a specific quantity of a greenhouse gas contributes to the greenhouse effect. The comparative value
used here is carbon dioxide (CO2). The index thus expresses the warming effect of a greenhouse gas over a clearly
defined period of time compared to that of CO2.
NORMA Group SE – Annual Report 2024 392
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
> GLOSSARY
400 LIST OF GRAPHICS
401 LIST OF TABLES
406 OVERVIEW BY QUARTERS
407 10-YEAR OVERVIEW
409 FINANCIAL CALENDAR,
CONTACT AND IMPRINT
Code of Conduct
A set of policies that can and should be applied in a wide range of contexts and environments depending on the
situation. In contrast to a rule, the target audience is not obliged to always comply with the Code of Conduct. A
Code of Conduct is more of a personal commitment to follow or abstain from certain patterns of behavior, ensuring
that nobody gains an unfair advantage by circumventing these patterns.
Commercial Paper
A Commercial Paper (CP) is a short-term bond issue with a money market character.
Compliance
Conforming to rules: a company and its employees adhering to Codes of Conduct, laws and guidelines.
Conflict minerals
Natural resources whose deposits are largely located in conflict regions (especially the Democratic Republic of
Congo), where they are mined and traded in some cases in serious violation of international law; especially tin,
tantalum, tungsten and gold.
Corporate governance
A set of all international and national rules, regulations, values and principles that apply to companies and
determine how these companies are to be managed and monitored.
Corporate responsibility
A form of corporate self-regulation integrated into a business model by taking societal and environmental aspects
into account.
Corporate Volunteering
Corporate volunteering refers to the voluntary, employer-sponsored sponsored by the employer of employees in
social or ecological areas and activities.
Covenants
Covenants is a collective term for additional contractual clauses or ancillary agreements in loan agreements or
bond conditions. They contain future obligations on the part of the borrower or bond debtor to perform or refrain
from performing a certain act.
Coverage
The regular assessment of the economic and financial situation of a listed company by banks or financial research
institutions.
Cross-selling effects
The action or practice of selling an additional product or service to an existing customer.
CSRD
The Corporate Sustainability Reporting Directive (CSRD) is a further development of the previously applicable Non-
Financial Reporting Directive (NFRD). The CSRD stipulates that the EU-member states must transpose the
requirements into national law. However, as the necessary implementing legislation has not yet been passed in
Germany, the CSRD does not yet apply in Germany for the 2024 financial year. However, the new directive will
significantly extend the reporting obligation.
NORMA Group SE – Annual Report 2024 393
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
> GLOSSARY
400 LIST OF GRAPHICS
401 LIST OF TABLES
406 OVERVIEW BY QUARTERS
407 10-YEAR OVERVIEW
409 FINANCIAL CALENDAR,
CONTACT AND IMPRINT
CSR-RUG
German CSR Directive Implementation Law.
Diversity Management
Diversity management is a central element of human resources policy, which diversity of employees in terms of
gender, age, ethnic origin, religious beliefs ethical background, religious beliefs, sexual identity or possible
disabilities for the success of the company.
Due Diligence
Refers to the examination and analysis of a company with “due diligence”, especially with regard to economic,
legal, tax and financial circumstances.
Earnings before interest, taxes and amortization (EBITA)
EBITA describes earnings before interest, taxes and amortization of intangible assets. For long-term comparison
and a better understanding of business development, NORMA Group adjusts the EBITA for certain one-time
expenses. 4 NOTES
Earnings before interest, taxes, depreciation and amortization (EBITDA)
Earnings before interest, taxes, depreciation (of property, plant and equipment) and amortization (of intangible
assets). It is a measure of a company’s operating performance before investment expenses. For long-term
comparison and a better understanding of its business development, NORMA Group adjusts the EBITDA for
certain one-time expenses. 4 NOTES
EBITA margin (adjusted)
The adjusted EBITA margin is calculated from the ratio of adjusted EBITA to sales and is an indicator of the
profitability of NORMA Group’s business activities.
EBITDA margin (adjusted)
The adjusted EBITDA margin is calculated from the ratio of adjusted EBITDA to sales.
Economies of scale
Describes the ratio of production volume to the factors of production factors. In the case of positive economies of
scale increases with the intensification of the production factors the quantity of output also increases.
Elastomers
Stable but elastic plastics that are used at a temperature above their glass transition temperature. The plastics can
deform under tensile or compressive load, but then return to their original shape.
EMEA
Abbreviation for the economic area of Europe (comprising Western and Eastern Europe), the Middle East and
Africa.
Engineered Joining Technology (EJT)
One of NORMA Group’s two ways to market. It provides customized, highly Engineered Joining Technology
products primarily, but not exclusively, for industrial OEM customers.
NORMA Group SE – Annual Report 2024 394
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
> GLOSSARY
400 LIST OF GRAPHICS
401 LIST OF TABLES
406 OVERVIEW BY QUARTERS
407 10-YEAR OVERVIEW
409 FINANCIAL CALENDAR,
CONTACT AND IMPRINT
ESG
ESG stands for Environmental, Social and Governance. The abbreviation refers to the commitment of companies in
the areas of environment, social affairs and corporate governance.
ESRS
European Sustainability Reporting Standards; standards for CSR reporting according to CSRD.
Equity ratio
Equity in relation to total assets.
EU Taxonomy
The EU Taxonomy represents a detailed classification system designed to provide the greatest possible
transparency to the capital market in order to encourage investment in environmentally sustainable activities. It
also establishes, for the first time, a link between financial and non-financial issues in order to provide an objective
and consistent assessment of the sustainability of economic activities. The EU Taxonomy was originally designed
by the European Commission as part of its climate policy positioning following the Paris Climate Agreement in
2019. It is based on the European Green Deal and aims to establish reporting requirements that increase the
informative value of companies' non-financial reporting.
Fair value
Fair value is the amount for which an asset could be exchanged, or a liability settled, between market participants
in an arm's length transaction at the measurement date. In principle, it is a value concept for the measurement of
assets or liabilities. Fair value is used in particular for the measurement IAS 40 in conjunction with IFRS 13.
FAO
Food and Agriculture Organization of the United Nations.
Foresight management
Long-term strategic planning based on an analysis of changing environmental conditions (e.g. technology trends
and changes in the market environment).
Free cash flow
Indicates the amount of money that is available to pay dividends to shareholders and / or repay loans.
Gearing
Gearing is a measure of a company’s debt level. Gearing is calculated from the ratio of net debt to equity.
Gemba walk
Daily walk through production halls, inspecting individual processes in the opposite order of workflow and
analyzing potential opportunities for improvement.
GRI – Global Reporting Initiative
Initiative that sets standards for sustainability reporting.
IATF 16949
An international standard that combines the existing general demands on quality management systems of the
(mostly North American and European) automotive industry.
NORMA Group SE – Annual Report 2024 395
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
> GLOSSARY
400 LIST OF GRAPHICS
401 LIST OF TABLES
406 OVERVIEW BY QUARTERS
407 10-YEAR OVERVIEW
409 FINANCIAL CALENDAR,
CONTACT AND IMPRINT
IDW
The Institute of Auditors in Germany (Institut der Wirtschaftsprüfer in Deutschland e. V.)
Initial public offering (IPO)
First offering of shares of a company on the regulated capital market.
Innovation roadmapping
Systematic approach to adapt company-specific product innovations to future market and technological
developments.
Innovation scouting
Structured observation of changes, potentials and relevant knowledge of technological developments and
processes.
International securities identification number (ISIN)
12-digit alphanumerical code used to identify a security traded on the stock market.
International Labour Organization (ILO)
The ILO was founded in 1919 and has its headquarters in Geneva. The aim of the ILO is to the improvement of the
working and living conditions of all people, the world peace by improving the working and living conditions of all
people. To this end, legally binding agreement and conventions as well as labor and social standards has been
defined.
ISO 9001
International standard that defines the minimum requirements that quality management systems must meet.
ISO 14001
An international environmental management standard that specifies the internationally accepted requirements for
an environmental management system.
ISO 45001
Health and Safety Management that replaces the current Occupational Health and Safety Assessment Series
18001 (OHSAS 18001)
Lean manufacturing
A systematic method for the elimination of waste within a manufacturing process. An integrated socio-technical
system reduces or minimizes supply-side, customer-side and internal fluctuations.
Leverage
Leverage is a measure of a company’s debt and is calculated as the ratio of net debt (without hedging
instruments) to adjusted EBITDA over the last 12 months (LTM). For the purpose of a better comparison, adjusted
EBITDA LTM includes the companies acquired during the year.
Lockout-tagout
Safety procedure used to ensure that dangerous machines are properly shut off and not able to be started up
again prior to the completion of maintenance or repair work.
NORMA Group SE – Annual Report 2024 396
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
> GLOSSARY
400 LIST OF GRAPHICS
401 LIST OF TABLES
406 OVERVIEW BY QUARTERS
407 10-YEAR OVERVIEW
409 FINANCIAL CALENDAR,
CONTACT AND IMPRINT
Long-term assignment
Long-term exchange program for employees to promote internal knowledge transfer, intercultural awareness, the
development of networks and the individual development of participants.
Long-term incentive plan (LTI)
Multi-year variable compensation in the form of stock rights for executives and other specific employee groups,
representing a cash-settled share-based compensation plan in the form of virtual shares. It takes into account
both the development of the company as well as that of the share price.
Material cost ratio
The material cost ratio of NORMA Group results from the ratio of material expenses to sales.
MHEV
MHEV is the abbreviation for Mild Hybrid Electric Vehicle. An MHEV is a vehicle that is powered by an internal
combustion engine and also has a small electric motor. The electric motor supports the combustion engine in
certain energy-intensive situations, for example when starting off and accelerating. The battery does not need to
be charged from an external power source; instead, the kinetic energy of the vehicle is converted into electricity, for
example when braking. By recovering the energy, fuel consumption can be reduced.
Net debt
Net debt is the sum of financial liabilities less cash and cash equivalents. Financial liabilities also include liabilities
from derivative financial instruments that are held for trading purposes or as hedging instruments.
Net operating cash flow
Net operating cash flow is calculated on the basis of EBITDA plus changes in working capital less investments
from operating activities. Net operating cash flow is a key financial control figure for NORMA Group and serves as
a measure for the Group’s liquidity.
NEV
NEV stands for “New Energy Vehicle” and is the collective term for vehicles that can be charged from the power
grid. These include battery-powered electric vehicles (BEV), plug-in hybrids (PHEV) and fuel cell vehicles (FCEV).
NORMA Value Added (Nova)
A key financial control figure for NORMA Group that serves as a measure for the annual rise in corporate value.
OHSAS 18001
Occupational Health and Safety Assessment Series; certification of occupational health and safety management
systems.
Original equipment manufacturer (OEM)
A company that retails products under its own name.
Peugeot Société Anonyme PSA
A French car manufacturer group that includes the Citroen, DS, Opel, Peugeot and Vauxhall brands.
NORMA Group SE – Annual Report 2024 397
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
> GLOSSARY
400 LIST OF GRAPHICS
401 LIST OF TABLES
406 OVERVIEW BY QUARTERS
407 10-YEAR OVERVIEW
409 FINANCIAL CALENDAR,
CONTACT AND IMPRINT
PHEV
PHEV is the abbreviation for Plug-in Hybrid Electric Vehicle. A PHEV is a hybrid electric vehicle with a battery that
can be charged by plugging a charging cable into an external power source. The battery can also be charged
internally on board by the combustion engine's generator.
Prime standard
A segment of the regulated stock market with higher inclusion requirements than the General Standard. It is the
private law segment of the Frankfurt Stock Exchange with the highest transparency standards. All companies
listed in the DAX, MDAX, TecDAX and SDAX must be included in the Prime Standard.
Reverse factoring
A financing solution initiated by the ordering party in order to help its suppliers finance their receivables more
easily and at a lower interest rate than they would normally be offered.
Roadshow
Series of corporate presentations made to investors by an issuer at various financial locations to attract
investment in the company.
ROCE
ROCE is the abbreviation for return on capital employed.
SBU
Abbreviation for “Strategic Business Unit”.
Science-based targets initiative (SBTi)
Initiative that sets climate targets that support the Paris Climate Agreement and meet the goal of limiting global
warming to well below two degrees Celsius.
Scope 1, 2, 3
Method for differentiating greenhouse gases. Scope 1: Emissions from emission sources within the company’s
boundaries. Scope 2: Emissions from the generation of energy procured from outside the boundaries (especially
electricity and heat). Scope 3: All other emissions caused by the company’s activities but not under its control, for
example from suppliers, service providers or employees.
Securities ID number (WKN)
A six-character combination of numbers and letters used in Germany to identify securities.
Selective catalytic reduction (SCR)
Selective catalytic reduction is a method used to reduce particle and nitric oxide emissions.
SMED (Single Minute Exchange of Die)
Optimization of set up times of processes through both organizational and technical measures.
Societas europaea (SE)
Legal form for stock companies in the European Union and the European Economic Area. With the SE, the EU
started allowing for companies to be founded in accordance with a largely uniform legal framework at the end of
2004.
NORMA Group SE – Annual Report 2024 398
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
> GLOSSARY
400 LIST OF GRAPHICS
401 LIST OF TABLES
406 OVERVIEW BY QUARTERS
407 10-YEAR OVERVIEW
409 FINANCIAL CALENDAR,
CONTACT AND IMPRINT
Stakeholder approach
The stakeholder approach is an extension of the shareholder value approach often found in business
management. However, the stakeholder approach attempts to grasp the company in its entire context and to
reconcile the needs of different groups. In addition to shareholders, stakeholders include employees, customers,
suppliers and the general public.
Standardized Joining Technology (SJT)
One of NORMA Group’s two distribution channels with a wide range of high-quality, standardized connection
products for different application areas and end customers. This distribution channel was known as Distribution
Services (DS) until 2019.
Step Up
Medium-term growth and efficiency program aimed at making the operating business of NORMA Group even
more efficient and productive in order to achieve further profitable growth in the three strategic business units
"Industrial Applications", "Water Management" and “Mobility & New Energies”.
Sustainable Development Goals (SDGs)
The Sustainable Development Goals (SDGs) were adopted by the United Nations General Assembly in 2015. They
cover economic, environmental and social aspects and consist of individual indicators that make implementation
measurable.
Thermoplasts (also known as plastomers)
Plastics that become elastic (thermoplastic) in a particular temperature range, whereby this process is reversible.
UN Global Compact
United Nations initiative for corporate responsibility.
Weighted average cost of capital (WACC)
The weighted average cost of capital (WACC) represents a company’s total costs of capital for liabilities and
equity depending on the individual capital structure.
Working capital
Trade working capital describes the Group’s current net operating assets and is calculated as the sum of
inventories and trade receivables minus trade payables.
Xetra
An electronic trading system operated by Deutsche Börse AG for the spot market.
NORMA Group SE – Annual Report 2024 399
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
> GLOSSARY
400 LIST OF GRAPHICS
401 LIST OF TABLES
406 OVERVIEW BY QUARTERS
407 10-YEAR OVERVIEW
409 FINANCIAL CALENDAR,
CONTACT AND IMPRINT
List of Graphics
Graphic
Page
Introduction
G001
NORMA Group worldwide
9
To Our Shareholders
G002
Index-based comparison of NORMA Group’s share price performance in 2024 with DAX, MDAX and
SDAX
15
G003
Share price development of the NORMA Group share since the IPO in 2011 compared to the SDAX
16
G004
Distribution of trading activity in 2024
17
G005
Free float by region
20
G006
Analyst recommendations
21
Condensed Management Report
G007
NORMA Group (simplified structure under company law)
48
G008
Simplified matrix organizational structure as at December 31, 2024
50
G009
Strategic Business Units
51
G010
Strategic goals of NORMA Group
57
G011
Important financial control parameters
61
G012
Development of 2024 sales
81
G013
Sales by segment
88
G014
Asset and capital structure
89
G015
Maturity profile by financial instrument
93
G016
Maturity profile by currency
93
G017
Development of nickel prices and the alloy surcharge 1.4301
100
G018
Development of alloy surcharges 1.4016
101
G019
Purchasing turnover in 2024 by material groups
102
G020
Development of personnel figures
105
G021
Breakdown of employees by group
106
G022
Marketing expenses in 2024 by segment
108
G023
Risk management system of NORMA Group
212
G024
Components of the 2020 remuneration system
230
G025
Mechanism of the STI
235
G026
Target amounts and payout amounts of the STI
236
G027
Temporal sequence of the NOVA-LTI
238
G028
Target amounts and payout amounts of the NOVA-LTI
239
G029
Mechanism of the ESG-LTI
241
NORMA Group SE – Annual Report 2024 400
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
392 GLOSSARY
> LIST OF GRAPHICS
401 LIST OF TABLES
406 OVERVIEW BY QUARTERS
407 10-YEAR OVERVIEW
409 FINANCIAL CALENDAR,
CONTACT AND IMPRINT
List of Tables
Table
Page
Introduction
T001
Financial figures
5
T002
Non-financial figures
6
To our Shareholders
T003
Significant voting rights
17
T004
Analysts covering NORMA Group
20
T005
Key figures for the NORMA-Group share
22
T006
Meeting attendance 2024
27
T007
Responsibilities of the Management Board
34
T008
Competence profile of the Supervisory Board members and qualification matrix
37
T009
Other mandates of the Supervisory Board members
40
Condensed Management Report
T010
NORMA Value Added (NOVA)
62
T011
Capital employed
62
T012
Assumptions for the calculation of WACC
63
T013
Financial control parameters
64
T014
Non-financial control parameters
64
T015
R&D Figures
68
T016
GDP growth rates (real) in %
70
T017
Engineering: Real change in industry sales
72
T018
Automotive Industry: Global production and development of sales
73
T019
Construction Industry: Development of European construction output
74
T020
Comparison of target and actual values
78
T021
Adjustments
80
T022
Effects on Group sales
82
T023
Development of important customer industries
83
T024
Return on capital employed (ROCE)
83
T025
Development of segments
88
T026
Key investments in 2024
96
T027
Workforce by regions
105
T028
References to the Management Report and Remuneration Report
111
T029
GOV-1-21 Sustainability expertise on the Supervisory Board
112
T030
Statement on due diligence
115
T031
Material IROs
123
T032
Data points in relation to EU legislation
132
T033
Energy consumption and mix
139
T034
Total energy consumption per net revenue (in MWh/EUR thousands)
140
NORMA Group SE – Annual Report 2024 401
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
392 GLOSSARY
400 LIST OF GRAPHICS
> LIST OF TABLES
406 OVERVIEW BY QUARTERS
407 10-YEAR OVERVIEW
409 FINANCIAL CALENDAR,
CONTACT AND IMPRINT
Table (continued)
T035
GHG emissions (in tCO2eq)
141
T036
Calculation methods for determining Scope 3 emissions
143
T037
Excluded Scope 3 emissions
145
T038
GHG emissions intensity per net revenue
145
T039
Microplastics (in t)
148
T040
Information on resource inflows
151
T041
Total waste volume (in t)
152
T042
Proportion of turnover / Total turnover
159
T043
Turnover-Key-Performance-Indicator (KPI)
160
T044
Turnover-Key-Performance-Indicator (KPI)
161
T045
Proportion of CapEx / Total CapEx
163
T046
CapEx-Key-Performance-Indicator (KPI)
164
T047
CapEx-Key-Performance-Indicator (KPI)
165
T048
Proportion of OpEx / Total OpEx
167
T049
OpEx-Key-Performance-Indicator (KPI)
168
T050
OpEx-Key-Performance-Indicator (KPI)
169
T051
Collective bargaining coverage and social dialog
172
T052
Contents of the consolidated non-financial statement
193
T053
Income statement for the period from January 1 to December 31, 2023
195
T054
Sales by Region
195
T055
Assets
197
T056
Equity and liabilities
197
T057
Forecast for GDP growth (real)
203
T058
Engineering: real change in industry sales
204
T059
Automotive industry: global production and development of sales
205
T060
Construction industry: development of European construction output
206
T061
Future development of NORMA Group
209
T062
Risk and opportunity profile of Norma Group
228
T063
Fixed non-performance dependent remuneration components, design, reference to the strategy
232
T064
Variable performance dependent remuneration components, design, reference to the strategy
232
T065
TSR comparison group
235
T066
Assumptions for the calculation of the weighted average cost of capital
237
T067
Calculation of the NOVA figure
239
T068
NOVA-Bonus / LTI
242
T069
Management Board remuneration granted and owed pursuant to Sec. 162 (1) sentence 2 no. 1 German
Stock Corporation Act (AktG)
244
T070
Overview of the promised pensions of the Board members
245
T071
Gewährte und geschuldete Vergütung gemäß § 162 Absatz 1 Satz 2 Nummer 1 AktG
246
T072
Remuneration granted and owed pursuant to Sec. 162 (1) sentence 2 no. 1 German Stock Corporation Act (AktG)
249
NORMA Group SE – Annual Report 2024 402
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
392 GLOSSARY
400 LIST OF GRAPHICS
> LIST OF TABLES
406 OVERVIEW BY QUARTERS
407 10-YEAR OVERVIEW
409 FINANCIAL CALENDAR,
CONTACT AND IMPRINT
Table (continued)
T073
Comparative presentation of the annual change (so-called vertical comparison) pursuant to Section 162
(1) sentence 2 No. 2 German Stock Corporation Act (AktG)
251
Consolidated Financial Statements
T074
Consolidated Statement of Comprehensive Income
256
T075
Assets
257
T076
Equity and Liabilities
258
T077
Consolidated Statement of Cash Flows
259
T078
Consolidated Statement of Changes in Equity
260
T079
Exchange rates
262
T080
Accounting standards applied for the first time in the current financial year
263
T081
Pronouncements published by the IASB in the current financial year
264
T082
Valuation methods
266
T083
Change in Scope of Consolidation
281
T084
List of Group companies of NORMA Group as of Dec 31, 2024 according to § 313(2) HGB
282
T085
Overview of financial risks
284
T086
Foreign exchange risk
286
T087
Credit risk exposure from cash and cash equivalents and other financial assets
288
T088
Maturity structure of non-derivative financial liabilities
289
T089
Maturity structure of derivative financial instruments
290
T090
Profit and loss net of adjustments
293
T091
Revenues by customer industries
295
T092
Revenue by category
295
T093
Raw materials and consumables used
296
T094
Other operating income
296
T095
Other operating expenses
297
T096
Employee benefits expense
297
T097
Financial income and costs
298
T098
Net foreign exchange gains / losses
299
T099
Earnings per share
299
T100
Income taxes
299
T101
Tax reconciliation
300
T102
Income tax charged / credited to other comprehensive income
301
T103
Movement in deferred tax assets and liabilities
302
T104
Deferred income tax assets
302
T105
Deferred income tax liabilities
303
T106
Temporary usability of tax loss carry forwards
304
T107
Temporary usability of unrecognized tax loss carry forwards
304
T108
Development of goodwill and other intangible assets
305
T109
Goodwill and other intangible assets – carrying amounts
306
T110
Significant individual intangible asset
307
NORMA Group SE – Annual Report 2024 403
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
392 GLOSSARY
400 LIST OF GRAPHICS
> LIST OF TABLES
406 OVERVIEW BY QUARTERS
407 10-YEAR OVERVIEW
409 FINANCIAL CALENDAR,
CONTACT AND IMPRINT
Table (continued)
T111
Change in goodwill
307
T112
Goodwill allocation per segment
308
T113
Goodwill per segment – further key assumptions
309
T114
Impairments
309
T115
Development of property, plant and equipment
311
T116
Property, plant and equipment – carrying amounts
313
T117
Right-of-use assets – carrying amounts
314
T118
Maturity of lease liabilities as of Dec 31, 2024
315
T119
Maturity of lease liabilities as of Dec 31, 2023
315
T120
Leases in the statement of profit or loss
315
T121
Financial instruments – classes and categories
316
T122
Trade and other receivables
318
T123
Trade receivables
319
T124
Credit risk on trade receivables
319
T125
Impairment reconciliation
320
T126
Gains/losses arising from derecognition IFRS 7.20A
320
T127
Other financial assets
323
T128
Trade and other payables
324
T129
Overview of Supply Chain Financing Agreements (SCF) as of December 31, 2024
324
T130
Borrowings
325
T131
Maturity bank borrowings 2024
326
T132
Maturity bank borrowings 2023
326
T133
Loan conditions as of Dec 31, 2024
326
T134
Loan conditions as of Dec 31, 2023
326
T135
Other financial liabilities
327
T136
Maturity of financial liabilities
328
T137
Net debt
328
T138
Derivative financial instruments
329
T139
The effects of cash flow hedge accounting on financial position and performance
330
T140
Hedging currency risks through cash flow hedges
331
T141
Change in hedging reserve before tax
331
T142
The effects of fair value hedge accounting on financial position and performance
332
T143
The effects of fair value hedge accounting on financial position and performance
333
T144
Gains and losses fair value hedges
333
T145
Financial instruments - fair value hierarchy
334
T146
Financial instruments - net gains and losses
335
T147
Interest expenses/income from financial assets and liabilities (IFRS 7.20(b))
335
T148
Offsetting of financial instruments
336
T149
Inventories
337
T150
Other non-financial assets
338
NORMA Group SE – Annual Report 2024 404
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
392 GLOSSARY
400 LIST OF GRAPHICS
> LIST OF TABLES
406 OVERVIEW BY QUARTERS
407 10-YEAR OVERVIEW
409 FINANCIAL CALENDAR,
CONTACT AND IMPRINT
Table (continued)
T151
Development of retained earnings
339
T152
Development of other reserves
340
T153
Development of NOVA-LTI
342
T154
Development of NOVA-LTI
342
T155
Development of ESG-LTI
344
T156
Development of ESG-LTI
344
T157
Development of LTI
347
T158
Expense from share-based payment transactions
348
T159
Components pension liability
350
T160
Reconciliation of the net defined benefit liability
350
T161
Reconciliation of the changes in the DBO
351
T162
Reconciliation of changes in the fair value of plan assets
352
T163
Breakdown of plan assets
352
T164
Actuarial assumptions
353
T165
Expected payments from post-employment benefit plans
354
T166
Development of provisions
355
T167
Provisions – split current / non-current
355
T168
Provisions – other personnel-related
357
T169
Other non-financial liabilities
358
T170
Net cash outflows for acquisitions
360
T171
Reconciliation of changes in assets and liabilities to cash flows from financing activities
361
T172
Reconciliation of changes in assets and liabilities to cash flows from financing activities
363
T173
Segment reporting
365
T174
External sales per country
367
T175
Non-current assets per country
367
T176
Commitments
368
T177
Remuneration of members of the Management Board (IFRS)
369
T178
Provisions / liabilities for remuneration of the Management Board members
369
T179
Remuneration of Management Board members
370
T180
Fees for the auditor
370
T181
Average headcount
371
T182
Voting rights notification
373
Further Information
T183
Overview by Quarters
406
T184
10-Year Overview
407
T185
Financial calendar 2025
409
NORMA Group SE – Annual Report 2024 405
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
392 GLOSSARY
400 LIST OF GRAPHICS
> LIST OF TABLES
406 OVERVIEW BY QUARTERS
407 10-YEAR OVERVIEW
409 FINANCIAL CALENDAR,
CONTACT AND IMPRINT
Overview by Quarters1
T183
Q1 2024
Q2 2024
Q3 2024
Q4 2024
Income statement
Group sales
EUR millions
308.5
306.3
273.6
266.8
Adjusted EBIT2
EUR millions
25.7
26.1
20.9
19.5
Adjusted EBIT margin2
%
8.3
8.5
7.7
7.3
EBIT
EUR millions
20.4
20.5
15.5
0.9
EBIT margin
%
6.6
6.7
5.7
0.3
Adjusted profit for the period2
EUR millions
12.4
10.7
10.2
7.6
Adjusted earnings per share2
EUR
0.39
0.34
0.32
0.24
Profit for the period
EUR millions
8.5
6.5
6.1
-6.3
Earnings per share
EUR
0.26
0.20
0.19
-0.20
Balance sheet3
Total assets
EUR millions
1,515.5
1,508.8
1,440.9
1,436.6
Equity
EUR millions
711.6
708.5
693.4
721.4
Equity ratio
%
47.0
47.0
48.1
50.2
Net debt
EUR millions
378.2
367.6
337.9
329.2
Cash flow
Cash flow from operating activities
EUR millions
0.3
46.7
43.9
46.0
Cash flow from investing activities
EUR millions
-19.8
-12.7
-10.7
-20.3
Cash flow from financing activities
EUR millions
-1.4
-28.1
-29.6
-55.1
Net operating cash flow
EUR millions
-2.3
43.6
28.2
36.0
1_Minor deviations may occur due to commercial rounding for the full year compared with the summation of the corresponding quarterly amounts.
2_Adjusted exclusively for expenses related to acquisitions.
3_Figures as at balance sheet date end of quarter.
NORMA Group SE – Annual Report 2024 406
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
392 GLOSSARY
400 LIST OF GRAPHICS
401 LIST OF TABLES
> OVERVIEW BY QUARTERS
407 10-YEAR OVERVIEW
409 FINANCIAL CALENDAR,
CONTACT AND IMPRINT
10-Year Overview
T184
2024
2023
2022
2021
2020
2019
2018
2017
2016
2015
Order situation
Order book1
EUR millions
473,2
530.0
569.6
508.4
391.3
358.3
379.2
329.1
302.4
295.8
Income statement
Revenue
EUR millions
1,155.1
1,222.8
1,243.0
1,091.9
952.2
1,100.1
1,084.1
1,017.1
894.9
889.6
thereof EMEA
EUR millions
477.3
514.7
489.2
462.4
409.5
486.0
494.8
485.9
432.0
416.0
thereof Americas
EUR millions
530.4
534.5
574.2
456.8
385.5
450.8
441.5
411.3
381.6
395.3
thereof Asia-Pacific
EUR millions
147.4
173.6
179.6
172.8
157.2
163.4
147.8
119.9
81.3
78.2
Cost of materials ratio
%
43.3
45.0
48.0
45.8
43.8
43.4
43.6
41.2
39.4
40.8
Personnel cost ratio
%
29.3
26.3
24.9
26.1
31.3
27.5
25.9
26.5
27.3
26.3
Adjusted EBIT2
EUR millions
92.3
97.5
99.0
113.8
45.3
136.1
164.5
166.0
147.7
147.9
Adjusted EBIT margin2
%
8.0
8.0
8.0
10.4
4.8
12.4
15.2
16.3
16.5
16.6
EBIT
EUR millions
57.3
76.1
76.5
92.1
20.1
96.7
133.5
137.8
120.0
124.8
EBIT margin
%
5.0
6.2
6.2
8.4
2.1
8.8
12.3
13.5
13.4
14.0
Financial result
EUR millions
-23.3
-22.7
-12.6
-12.4
– 14.8
– 15.5
– 11.7
– 16.1
– 14.6
– 17.2
Adjusted tax rate2
%
40.8
41.3
35.2
28.6
20.3
27.1
24.9
30.0
28.9
32.1
Adjusted profit for the period2
EUR millions
40.9
43.9
56.0
72.3
24.3
87.8
114.8
105.0
94.6
88.7
Adjusted EPS2
EUR
1.28
1.37
1.75
2.27
0.77
2.76
3.61
3.29
2.96
2.78
Profit for the period
EUR millions
14.8
27.9
39.2
56.1
5.5
58.4
91.8
119.8
75.9
73.8
EPS
EUR
0.46
0.87
1.23
1.76
0.18
1.83
2.88
3.76
2.38
2.31
NORMA Value Added (NOVA)
EUR millions
-38.8
-43.6
-27.1
16.0
– 46.4
17.3
60.8
54.9
53.1
48.3
Return on Capital Employed
(ROCE)3
%
8.8
9.3
9.7
11.9
4.6
13.0
17.2
18.9
17.7
19.3
R&D expense
EUR millions
50.8
44.3
40.6
38.0
29.0
31.2
30.5
29.4
28.8
25.4
R&D ration (related to sales)4
%
4.4
3.6
3.3
3.5
3.1
4.7
4.5
4.6
5.4
4.7
Investment ratio in relation to
sales (without acquisitions)
%
4.6
5.0
4.3
4.3
4.3
5.0
5.8
4.7
5.4
4.7
NORMA Group SE – Annual Report 2024 407
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
392 GLOSSARY
400 LIST OF GRAPHICS
401 LIST OF TABLES
406 OVERVIEW BY QUARTERS
> 10-YEAR OVERVIEW
409 FINANCIAL CALENDAR,
CONTACT AND IMPRINT
10-Year Overview (continued)
2024
2023
2022
2021
2020
2019
2018
2017
2016
2015
Balance sheet1
Total assets
EUR millions
1,436.6
1,493.3
1,560.7
1,498.2
1,414.7
1,514.3
1,471.7
1,312.0
1,337.7
1,167.9
Equity
EUR millions
721.4
693.4
705.4
668.6
589.5
629.5
602.4
534.3
483.6
429.8
Equity ratio
%
50.2
46.4
45.2
44.6
41.7
41.6
40.6
40.7
36.2
36.8
Net debt
EUR millions
329.2
345.4
349.8
318.5
338.4
420.8
400.3
344.9
394.2
360.9
Working capital
EUR millions
236.5
230.9
230.4
189.5
160.8
192.5
179.2
158.2
144.5
151.9
Working capital ratio
%
20.5
18.9
18.5
17.4
16.9
17.5
16.5
15.6
16.1
17.1
Cash flow
from operating activities
EUR millions
137.0
118.9
76.6
108.4
133.5
137.1
130.8
146.0
149.2
128.2
from investing activities
EUR millions
-63.5
-59.8
-44.5
-45.2
– 39.1
– 57.0
– 129.5
– 70.8
-133.8
– 44.5
from financing activities
EUR millions
-114.1
-57.9
-54.5
-71.1
– 81.0
– 93.2
31.3
– 77.7
49.6
– 70.4
Net operating cash flow
EUR millions
105.4
87.3
65.3
99.8
78.3
122.9
124.4
132.9
148.5
134.7
Non financial figures
Core workforce1
Number
6,041
5,994
6,175
6,191
6,635
6,523
6,901
6,115
5,450
5,121
Temporary workers1
Number
1,553
2,011
2,532
2,012
2,155
1,998
1,964
1,552
1,214
1,185
Total workforce1
Number
7,594
8,005
8,707
8,203
8,790
8,521
8,865
7,667
6,664
6,306
Invention applications5
Number
25
20
21
25
22
22
32
33
n/a
n/a
Accepted customer
complaints
Month
per P/D10
2.8
3.9
3.7
5.1
4.7
6.4
7.0
9.0
8.0
n/a
CO2 emissions
(Scope 1 and 2)6,7
t CO2 eq
4,171
5,064
4,879
43,449
49,875
54,494
51,018
n/a
n/a
n/a
Share data
Last price1,8
EUR
14,94
16.03
17.00
33.88
41.90
38.00
43.20
56.00
40.60
51.20
Market capitalization1,8
EUR millions
476
511
542
1,079
1,334
1,211
1,376
1,783
1,292
1,630
Dividend9
EUR
0.40
0.45
0.55
0.75
0.70
0.04
1.10
1.05
0.95
0.90
Payout ratio9
%
31.2
32.7
31.3
33.0
91.7
1.5
30.5
31.9
32.0
32.3
Price-earnings ratio at year end
32.5
18.4
13.8
19.3
232.7
20.8
15.0
14.9
17.0
22.1
Number of shares issued
31,862,400
31,862,400
31,862,400
31,862,400
31,862,400
31,862,400
31,862,400
31,862,400
31,862,400
31,862,400
1_Figures as of balance sheet date Dec 31.
2_Since 2020: Adjusted exclusively for certain expenses related to realized acquisitions; Details regarding the adjustments can be found in the corresponding Annual Reports.
3_Adjusted EBIT in relation to the average capital employed.
4_Up to and including 2019 in relation to sales of the former EJT sales channel. since 2020 in relation to total sales.
5_The number of invention disclosures has served as a key figure for measuring the Group's innovative capacity since mid-2016, replacing the number of new patent applications, which had become less meaningful due to the change in patent strategy.
No comparative figures are available for previous years.
6_The CO2 emissions for the target value are reported in accordance with the GHG Protocol (market-based, Scope 1 and Scope 2). Scope 1 includes only emissions from natural gas and liquid gas and Scope 2 emissions from purchased electricity and
district heating. When recording emissions, only emissions relating to the production sites are taken into account. Since January 2022, NORMA Group has purchased electricity from renewable energy sources at all production sites. NORMA Group
purchases “Energy Attribute Certificates” for this purpose. These are also included in the target value.
7_ The methodology described in footnote 6 was used in the management system until the end of 2024 based on the forecast for CO2 emissions of “below 9,600 tons of CO2 equivalents” issued in fiscal year 2024. The change in the calculation basis in
connection with the first-time application of the European Sustainability Reporting Standards (ESRS) will be included in the 2025 Annual Report. As a result, emissions from the greenhouse gas balance in accordance with the Greenhouse Gas (GHG)
Protocol initiative will be reported in future annual reports in the management system in the Scope 1 to Scope 3 categories for all locations worldwide.
8_Xetra price.
9_Subject to approval by the Annual General Meeting.
10_Accepted customer complaints per month per production/distribution location.
NORMA Group SE – Annual Report 2024 408
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
392 GLOSSARY
400 LIST OF GRAPHICS
401 LIST OF TABLES
406 OVERVIEW BY QUARTERS
> 10-YEAR OVERVIEW
409 FINANCIAL CALENDAR,
CONTACT AND IMPRINT
Financial Calendar, Contact and Imprint
Financial calendar 2025
T185
Date
Event
May 6, 2025
Publication of Interim Statement Q1 2025
May 13, 2025
Ordinary Annual General Meeting 2025, Frankfurt / Main
Aug 12, 2025
Publication of Interim Report Q2 2025
Nov 4, 2025
Publication of Interim Statement Q3 2025
The financial calendar is constantly updated. Please visit the Investor Relations section on the company website
: WWW.NORMAGROUP.COM
Editor
NORMA Group SE
Edisonstraße 4
D-63477 Maintal
Phone: +49 6181 6102-740
E-mail: info@normagroup.com
Internet: www.normagroup.com
NORMA Group SE – Annual Report 2024 409
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
392 GLOSSARY
400 LIST OF GRAPHICS
401 LIST OF TABLES
406 OVERVIEW BY QUARTERS
407 10-YEAR OVERVIEW
> FINANCIAL CALENDAR,
CONTACT AND IMPRINT
Contact
E-mail: ir@normagroup.com
Forward-looking statements
This Annual Report contains certain forward-looking statements about the business development of NORMA
Group SE that are based on current assumptions and estimates of management regarding future events and
results. All statements in this Annual Report that are not based on historical facts may be forward-looking
statements. Forward-looking statements can generally be identified by terms such as “anticipate,” “believe,”
“estimate,” “assume,” “expect,” “forecast,” “intend,” “may,” “could,” or “should,” “will,” “continue,” “future,”
“opportunity,” “plan,” and similar expressions. Forward-looking statements are based on assumptions about the
development of the economic, political, and legal framework in individual countries, economic regions, and
markets, particularly for the machinery industry, that we have made on the basis of the information available to us
and that we consider to be realistic at the time of publication. Forward-looking statements are neither historical
facts nor assurances of future performance. Because forward-looking statements relate to the future, they are
inherently subject to known and unknown risks, uncertainties and other factors that are difficult to predict and
beyond our control. The financial position and profitability of NORMA Group SE, as well as the development of the
economic and regulatory environment, may differ materially from those expressly or implicitly assumed or
described in these forward-looking statements (in particular, they may be more adverse).
This Annual Report may contain statistical and industry data provided by third parties. This data is derived from
information published by industry sources that NORMA Group SE considers credible and is included in this release
to provide information about trends affecting the industry in which NORMA Group SE operates. NORMA Group SE
has not independently verified the third-party data and assumes no responsibility for its accuracy or completeness.
The information in this release and any other material discussed orally in connection with it, including any forward-
looking statements, are only current as of the date dated or provided. The company disclaims any obligation to
revise or update this information for any reason, except as required by law. To the extent permitted by law, neither
NORMA Group SE nor any of its affiliates, nor any of their respective directors, officers, employees, consultants,
agents, or representatives shall be liable for any direct or indirect loss or damage arising from the use of this
communication or otherwise in connection with it.
NORMA Group SE – Annual Report 2024 410
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
392 GLOSSARY
400 LIST OF GRAPHICS
401 LIST OF TABLES
406 OVERVIEW BY QUARTERS
407 10-YEAR OVERVIEW
> FINANCIAL CALENDAR,
CONTACT AND IMPRINT
Contact persons Investor Relations
Sebastian Lehmann
VP Investor Relations and Corporate Social Responsibility
Phone: +49 6181 6102-741
E-Mail: sebastian.lehmann@normagroup.com
Ivana Blazanovic
Senior Manager Investor Relations
Phone: +49 6181 6102-7603
E-mail: ivana.blazanovic@normagroup.com
Dr. Charlotte Brigitte Looß
Senior Manager Investor Relations
Phone: +49 6181 6102-748
E-Mail: brigitte.looss@normagroup.com
Contact persons Corporate Responsibility
Julia Bergmann
Senior Manager Corporate Responsibility
Phone: +49 173 4290597
E-Mail: julia.bergmann@normagroup.com
Lisa Knothe
Manager Corporate Responsibility
Phone: +49 1520 4747873
E-mail: lisa.knothe@normagroup.com
Jovan Dimishkovski
Manager Corporate Responsibility
Phone: +49 1520 4768073
E-Mail: jovan.dimishkovski@normagroup.com
Design and Realization
RYZE Digital, www.ryze-digital.de
Editing
NORMA Group SE
Date of publication
March 31, 2025
NORMA Group SE – Annual Report 2024 411
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
392 GLOSSARY
400 LIST OF GRAPHICS
401 LIST OF TABLES
406 OVERVIEW BY QUARTERS
407 10-YEAR OVERVIEW
> FINANCIAL CALENDAR,
CONTACT AND IMPRINT
NORMA Group SE
Edisonstraße 4
63477 Maintal, Germany
Phone: +49 6181 6102-740
E-mail: info@normagroup.com
Internet: www.normagroup.com
NORMA Group SE – Annual Report 2024 412
1 INTRODUCTION
2 TO OUR SHAREHOLDERS
3 CONDENSED
MANAGEMENT REPORT
4 CONSOLIDATED
FINANCIAL STATEMENTS
5 FURTHER INFORMATION
392 GLOSSARY
400 LIST OF GRAPHICS
401 LIST OF TABLES
406 OVERVIEW BY QUARTERS
407 10-YEAR OVERVIEW
> FINANCIAL CALENDAR,
CONTACT AND IMPRINT