Annual
Report
2021
Making
headway
Experts for
smart sensor
solutions
Sensirion is a pure-play sensor company at the
forefront of sensor innovation and has demonstrated
a strong track record of developing and manufac-
turing sophisticated and cost-effective environmental
and flow sensor solutions for the automotive, medical,
industrial and consumer markets.
Founded in 1998 as a spin-off company of the
Swiss Federal Institute of Technology in Zurich
(ETH Zurich), Sensirion has more than 20 years of
experience in creating best-in-class sensor solutions
for a variety of demanding customer applications,
including those in which the sensors perform mission-
critical functions.
1
Essentials
Key Figures
Letter to the Shareholders
Annual Report
Markets
Strategy
Sustainability Report
Corporate Governance
Compensation Report
Financial Report
Consolidated Financial Statements
Notes to the Consolidated Financial Statements
Financial Statements of Sensirion Holding AG
Notes to the Financial Statements of Sensirion Holding AG
Shareholder Information
Shareholder Information
4
11
15
20
23
56
82
100
104
134
136
144
Table of Contents Sensirion Annual Report 2021
3
Key Figures
Revenue
(in CHF million)
253.7
287.5
171.0
Number
of employees (FTE)
as of Dec 31
796
788
974
2019
2020
2021
2019
2020
2021
Revenue by market
2021 (2020)*
Revenue by region
2021 (2020)*
10 % (8 %)
20 % (20 %)
24 % (30 %)
49 %
(39 %)
49 %
(45 %)
17 % (23 %)
31 % (35 %)
Automotive
Medical
Industrial
Consumer
APAC
EMEA
Americas
* Excluding COVID-19-related ventilator business
4
Sensirion Annual Report 2021 Key Figures
287.5
61.7 %
31.7 %
REVENUE
in CHF million
GROSS MARGIN
EBITDA MARGIN
Key Figures Sensirion Annual Report 2021
5
High customer demand
across all markets and
regions
Successful ramp-up
of second generation
CO2 sensor and our
formaldehyde module
Acquisition of three
companies in strategi-
cally important future
growth areas
6
Sensirion Annual Report 2021 Key Figures
Key Figures
Consolidated, in millions of CHF
31 December 2021
in % 31 December 2020
Revenue
Gross profit
– as % of revenue
Operating profit (loss)
– as % of revenue
Profit (loss) for the period
– as % of revenue
Earnings per share (in CHF)
EBITDA1
– as % of revenue
Cash flow from operating activities
Capital expenditures2
Free cash flow3
Total assets
Total liabilities
Total equity
Net cash (Net debt)4
13.3 %
287.5
177.3
61.7 %
76.8
45.6 %
26.7 %
65.9
49.8 %
22.9 %
4.24
91.1
34.2 %
31.7 %
73.0
(15.4)
55.8
253.7
146.2
57.6 %
52.8
20.8 %
44.0
17.3 %
2.84
67.9
26.8 %
51.5
(14.2)
37.3
31 December 2021
31 December 2020
296.4
60.4
236.0
112.1
257.4
43.1
214.3
91.9
Number of employees (FTE)
974
23.6 %
788
1 Defined as the sum of operating profit (EBIT), depreciation and amortization.
2 Defined as the sum of investements in property, plant and equipment, proceeds from the sale of property, plant and equipment,
investments in intangible assets and capitalized development expenditure.
3 Defined as the sum of cash flows from operating activities and cash flows from investing activities, excluding M&A activities.
4 Defined as the sum of cash and cash equivalents less loans and borrowing (current and non-current).
Key Figures Sensirion Annual Report 2021
7
8
9
Kapiteltitel Sensirion Annual Report 2021 From left: Marc von Waldkirch (CEO), Felix Mayer (Co-Chairman)
and Moritz Lechner (Co-Chairman)
10
Sensirion Annual Report 2021 Letter to the Shareholders
Dear Shareholders
For many people around the world, COVID-19 also left an indelible mark on 2021 due to the difficulties
and uncertainties it created for society and the economy. Nevertheless, 2021 was also a year character-
ized by strong market recovery and the promising outlook of finally overcoming this serious public
health crisis.
For Sensirion, it was a challenging but successful year that can best be summarized in three ways:
strong customer demand in all markets, difficult supplier markets and innovation in new business
areas. Even in this second year of the pandemic, we still managed to make steady progress towards
reaching our innovation and growth goals thanks to a high degree of agility and all our employees’ hard
work and dedication. For example, we successfully launched several products in the environmental
sensing segment as well as acquired new technology companies during the past financial year.
We are particularly proud that several of our products have contributed to the fight against the global
pandemic: in addition to sensors for medical ventilators, our certified temperature sensors have helped
to ensure the reliability of the cold chain that is so essential for the distribution of mRNA vaccines.
In addition, our CO2 sensors are now used in solutions for monitoring environmental parameters in a
great many indoor public places, such as classrooms, offices and restaurants, thus reducing the risk of
airborne infection.
Big sales growth in the core business segment
The 2021 business year closed with consolidated sales totaling CHF 287.5 million (+13.3 % over the
same period in the previous year, 14.8 % organic, 0.8 % inorganic, –2.2 % due to foreign currency effects).
Of this, CHF 22 million (CHF 70 million for the same period in the previous year) can be attributed to the
COVID-19-related uptick in sales of sensors for ventilators. Adjusted for this one-off special item, this
yielded a strong sales growth figure of 46.5 %.
The gross margin increased to 61.7 %; the EBITDA margin reached a high 31.7 %. Both key profitability
figures improved in the short term due to high operating leverage resulting from sales growth as well
as the delay in new hiring, putting us in a good position to take advantage of future opportunities.
Profits totaling CHF 76.8 million were reported at the operating result level, yielding a net profit of CHF
65.9 million. Operating cash flow totaled CHF 73.0 million.
Strong customer demand in all markets
We witnessed a strong post-pandemic recovery in all markets. This, in turn, stimulated high demand for
our sensor solutions. In particular, our new products in the environmental sensing segment (particulate
matter PM2.5, CO2 and formaldehyde) also made a significant contribution to the high level of growth.
Demand was further driven by many customers’ worries about the global semiconductor shortage.
For this reason, we believe that a portion of the orders may have been placed for the purposes of stra-
tegic stockpiling.
Letter to the Shareholders Sensirion Annual Report 2021
11
The breakdown of consolidated sales according to the different markets changed drastically over the
previous year due to the drop in additional COVID-19-related business in the medical segment and
dynamic developments in the industrial and consumer segments (automobile industry 21.9 %, medical
technology 23.0 %, industry 45.7 %, consumer business 9.4 %).
The automobile market grew by 13.9 % to CHF 62.9 million due to Tier 2 business for sensor components
as well as the newer Tier 1 module business. In the components segment, demand – which was rather
lukewarm in the previous year due to the pandemic – largely recovered. In the automobile market, we
are also seeing a steady increase in market share along with a higher penetration rate for our sensor
solutions. Growth in the module-based Tier 1 business is being driven by initial ramp-ups with European
OEMs. In the case of numerous applications, our products have played a direct role in making more
energy-efficient, lower-emissions vehicles, thus supporting global efforts towards sustainable mobility.
In the medical market, COVID-19-driven demand for sensors used in ventilators leveled off as expected.
This special item fell from CHF 70 million in 2020 to CHF 22 million, most of which came during the first
half of 2021. The global supply situation for ventilators has finally eased, meaning that we do not expect
to see any notable spikes in sales, even in the event of new pandemic waves in the future. As a result
of this special item, sales figures in the medical market decreased from CHF 112.3 million to CHF 66.1
million (–41.2 %). When the figure is adjusted, it reflects moderate growth in the core business segment
(+4.3 %).
The highly diversified industrial market was extremely dynamic with sales increasing by 84.6 % to
CHF 131.4 million. The main driver here was strong demand for our new environmental sensors in the
appliances and heating, ventilation and air conditioning (HVAC) segments. Firstly, we benefited from
the increasing market share of air purifiers thanks to the formaldehyde sensor as well as the combo
sensor module, which can measure multiple environmental parameters such as PM2.5, humidity, tem-
perature and gas quality. Secondly, the pandemic has brought about a heightened awareness for indoor
air quality, whereby CO2 is the most relevant indicator. The launch of our innovative SCD40 CO2 sensor
has afforded us an excellent position in this emerging market. Along with these new applications, we
continue to see growing market share as well as greater penetration from our existing sensor solutions
for humidity and differential pressure.
Another equally dynamic development is the highly fragmented consumer market, where sales grew to
CHF 27.0 million (+81.5 %). This solid performance was mainly due to high demand in the broadly diver-
sified distribution market. Here, too, we benefited from increased demand for CO2 sensors used to
monitor indoor air quality.
Rough waters on the supply markets
In 2021, the supplier markets presented one major challenge in particular: in addition to the persisting
global shortage of semiconductor chips, raw materials were and continue to cause unexpected delivery
delays. Thanks to the tireless dedication of countless employees in Production and Sales, as well as the
flexibility of several customers, we have been able to limit the impact this has had on our customers.
While delivery times for our products did increase, we still managed to remain much more attractive
than most of our other industry competitors. We saw shortages accompanied by sharp spikes in the
cost of raw materials, some of which we unfortunately had to pass on to our customers. We do not
expect this tense and fickle situation to change in the coming months.
12
Sensirion Annual Report 2021 Letter to the Shareholders
Significant strategic progress in the area of environmental sensing
In March 2021, we hosted a capital market day to present our growth strategy, which has three main
focuses. We have made significant progress in implementing this strategy over the past year.
The first strategic focus is our traditional core market of humidity and flow sensors. Our goal here is to
further expand and strengthen our already strong market, technology and cost leadership position. One
key aspect is the successfully launched fourth generation of humidity sensors, which are again setting
new standards in terms of performance, size and cost. This will help us to further grow our already
formidable market share. In the summer of 2021, we had cause for celebration after reaching the one
billion mark for Sensirion sensors in the field.
In September, we reached another milestone as we celebrated the opening of our new production plant
in Debrecen, Hungary. The new plant has increased our production capacity; existing jobs in Switzer-
land and other locations are not affected by this.
Our second strategic focus is to attain market leadership in the environmental sector as a whole.
Thanks to numerous products launches over the past three years, environmental sensing now makes
up a strong contribution to sales growth and already accounts for more than 25 % of total sales. Partic-
ularly noteworthy here is the production start of the second generation of CO2 sensors. Innovative
MEMS and packaging methods have made it possible to maintain the same performance while signifi-
cantly reducing both size and cost compared to other CO2 solutions. We also see great potential for
further growth in the area of environmental sensing in the coming years.
Innovation in new business areas: strategic acquisitions for long-term growth
The third strategic focus is internal development and the targeted acquisition of sensor technologies to
lay a foundation for further long-term growth in new areas. Looking back, successful technology acqui-
sitions in recent years have often been the starting and acceleration point for successful internal
product developments. These are responsible for some of today’s growth areas, such as particulate
matter and formaldehyde sensing or the automotive Tier 1 business.
As part of this strategic goal, we successfully completed three major strategic acquisitions in the past
year: in February 2021, we acquired the Dutch company Qmicro. The founder-run company makes a
compact, highly efficient gas chromatography device for continuously analyzing gas mixtures in envi-
ronmental monitoring and other applications in the gas market.
In May, having held a large minority stake in the company for several years, we fully acquired IRsweep
AG, an innovative maker of optical sensor solutions. IRsweep, which is based in Stäfa, Switzerland,
develops, produces and markets optical spectroscopy solutions that use semiconductor quantum
cascade laser (QCL) frequency chamber technology in the medium infrared range.
In September 2021, we also acquired the Berlin-based startup AiSight GmbH, which is an innovative
maker of scalable and easy-to-use machine diagnostics solutions for the rapidly growing segment of
condition monitoring and predictive maintenance for industrial plants. The tight interweaving of sensor
and data processing technology with artificial intelligence will allow Sensirion to tap into a complemen-
tary business segment, shifting the focus away from sensor hardware only for OEM providers and more
towards qualified and merged sensor data. All three of the companies acquired will still be managed
locally by the same teams of founders.
Letter to the Shareholders Sensirion Annual Report 2021
13
Anja König newly appointed to Board of Directors
At the Annual General Meeting in 2021, which the shareholders could only attend remotely once again
due to the pandemic, all proposals put forward by the Board of Directors were approved, including the
new appointment of Anja König to the Board of Directors. She will be replacing Heinrich Fischer, who
will be going into retirement and therefore leaving the Board of Directors after the Annual General
Meeting in 2022.
Outlook for 2022
Visibility will remain low due to geopolitical tensions and macroeconomic challenges. In particular, it is
not yet foreseeable how the war in Ukraine will affect the global economy. In the first months of the year
so far, we have continued to see solid demand in all markets. However, given the global shortage of
semiconductor products, we believe that part of the current demand is being driven by stockpiling and
could therefore slow down in several months. But this will greatly depend on further economic develop-
ments as well as solving the raw materials crisis. In the medical market, we expect the situation to
normalize fully in the case of ventilators. However, we foresee a one-time contribution to sales in the
CPAP area. Assuming exchange rates and the economy are stable, we expect to see consolidated sales
in the range of CHF 325-365 million (FY 2021: CHF 287.5 million) in 2022. This translates to a growth
projection of 13-27 % compared to 2021. Further, we expect to see a gross margin in the mid-fifties and
an EBITDA margin in the mid-twenties.
Many thanks to all our employees
The large growth, numerous product launches and successful handling of the raw materials situation
would not have been possible without the concerted efforts of our employees around the world. Partic-
ularly in challenging times like these, values such as agility, creativity and personal responsibility are
more than just buzzwords – they are crucial for overcoming the unexpected challenges together as a
team so that we may best serve our customers. All our employees deserve our sincerest thanks and
respect for that.
Once again, we saw just how essential our special company culture, the so called SensiSpirit, was in
getting us there. We are therefore also proud that the internationally renowned organization Great
Place to Work once again recognized our corporate culture by ranking us second among Switzerland’s
best employers in the “large companies” category – not to mention giving us a special award for our
management of the pandemic.
We would also like to thank you, our valued shareholders, for placing your trust in Sensirion and for
your willingness to be a part of building long-term, sustainable innovations.
Moritz Lechner
Felix Mayer
Marc von Waldkirch
Co-Chairman of the Board
Co-Chairman of the Board
CEO
14
Sensirion Annual Report 2021 Letter to the Shareholders
Markets
Automotive market
In the automotive market, revenue amounted to CHF 62.9 million, which corresponds to an increase of
13.9 % compared to 2020 and a contribution of 21.9 % to group revenue. Both the Tier 2 business with
sensor components and the newer Tier 1 module business contributed to the growth.
Revenue development in CHF million
55.2
62.9
2020
2021
In the components business, the previous year’s lower demand due to the pandemic largely recovered,
despite the numerous plant closures due to the chip shortage. We therefore assume that part of the
demand in the components business served to build up strategic inventories. Additionally, we are still
seeing a steadily increasing market share – not to mention an increased penetration rate – with respect
to our sensor solutions.
For the first time ever, growth in the module-based Tier 1 business benefited from ramp-ups with European
OEMs in cabin air control. In the South Korean market, we experienced a phase of consolidation following
strong growth in the previous year.
Reducing energy consumption and increasing passenger comfort are the main drivers behind Sensirion’s
sensors being used in the automotive segment. The passenger cabin climate can be controlled and the
windshield automatically defogged by incorporating humidity sensors, either directly at the windshield
or in the dashboard, or by using a combination of those two options. Sensirion’s gas flow sensors are
located in combustion engines’ air intake along with humidity sensors to improve precision control of the
combustion process. Among the latest applications, Lidar systems are benefiting from our humidity sensor
solutions and several design-ins have been implemented. Our sensors monitor the humidity level within the
Lidar system and output alerts for abnormally high values that may interfere with the system’s functionality.
In the automotive module business, prominently with ramp-ups of climate control modules in Europe and
project wins in other areas, Sensirion has continued along its path of expanding its portfolio of environ-
mental sensors and building up a track record as a direct supplier to automotive OEMs. This module
portfolio supports the strategy of continuously increasing content in existing and new applications alike.
Success in the automotive market depends on meeting rigorous product reliability, process quality and cus-
tomer proximity requirements. Accordingly, Sensirion’s automotive products meet the quality requirements
set out by the Automotive Electronics Council (AEC-Q100), and Sensirion’s manufacturing sites in Switzer-
land, China and South Korea are certified to the stringent international automotive standard IATF 16949.
Apart from the direct economic impact, the COVID-19 pandemic appears to have increased people’s
environmental awareness and accelerated the shift from combustion engines to hybrid and electric
vehicles. Sensirion is convinced that it will benefit from this shift in the mid to long term through the
increasing penetration rate of sensors in the auto-defogging and climate control applications.
Markets Sensirion Annual Report 2021
15
16
Sensirion Annual Report 2020 Markets
Medical market
In the medical market, revenue amounted to CHF 66.1 million, –41.2 % year-on-year, contributing 23.0 %
to group revenue.
Revenue development in CHF million
66.1
112.3
2020
2021
The medical market result in 2021 was dominated by the expected decline in sales in the COVID-19-
related, one-off business with medical ventilator sensors. Special demand for ventilator sensors
increasingly normalized, especially during the second half of the year, and sales for the pandemic-
related ventilator business decreased from CHF 70 million to CHF 22 million. The global ventilator
supply situation is now sufficient, so we do not expect any further significant special effects, even if
there are further waves to come as part of the pandemic.
Adjusted for these special effects, the core medical business without the ventilator baseline sales
grew by 4.3 % from CHF 42.3 million to CHF 44.1 million. This growth stems in part from the increase in
demand for sensors for CPAP devices because of a major customer’s recall action. It is essential to
point out that the underlying quality problems have nothing to do with our sensors.
In the medical market, Sensirion’s sensor solutions are used first and foremost in human respiratory
applications. In ventilators used in hospitals and emergency settings, gas flow sensors and meters
measure the flow into and out of the patient. This is performed at one or up to three locations. In expira-
tory and inspiratory flow, the air flow out of and into the patient is measured in the ventilator in
question. In the case of proximal flow, the flow is not measured in the device, but close to the patient.
Consequently, Sensirion supplies customers with up to three gas flow sensors per ventilator. To meet
the sudden spike in demand in 2020 and 2021 due to the pandemic, Sensirion developed a new gas flow
sensor optimized for respiratory applications: the SFM3019.
Apart from ventilation, the other important medical applications include continuous positive airway
pressure (CPAP) devices to treat sleep apnea and anesthesiology devices. In CPAP devices used in
home care settings, gas flow and humidity sensors enable them to maintain the correct air flow into the
patient and control humidification of the trachea, thus helping the patient to sleep better and wake up
feeling more rested in the morning. In anesthesiology, Sensirion’s mass flow meters play a mission-
critical role to correctly dose the applied amount of anesthetic agent.
In the future, other applications centered around real-time monitoring of gases and liquids entering and
exiting patients might emerge, such as in smart inhalers.
Markets Sensirion Annual Report 2021
17
Industrial market
In the broadly diversified industrial market, revenue grew strongly to CHF 131.4 million, which corres-
ponds to an 84.6 % increase compared with 2020 and amounts to 45.7 % of group revenue. Whereas
significant growth was achieved across all areas, projects that include Sensirion’s latest innovations, the
particulate matter and formaldehyde module, have been ramping very successfully in 2021.
Revenue development in CHF million
71.2
2020
131.4
2021
The home appliance market experienced strong growth on account of the continued integration of the
latest sensor generations for particulate matter sensing and formaldehyde, primarily in air purifiers.
Several key customers upgraded their product design and consequently started production. A notable
increase in sales was also recorded for humidity sensors sold for refrigerator applications, which is con-
sidered a successful long-term use case for Sensirion’s RH/T sensors. The adaptation of CO2 sensing in
the appliance segment was in line with expectations. However, several projects have been kicked off and
we expect positive developments for this growth segment. In the appliance market, application drivers
are optimized energy consumption and increased comfort. Applications include incorporating humidity
sensors in refrigerators to optimize energy consumption, using air quality sensors in air purifiers to
improve detection of harmful gases and pollutants and, finally, installing CO2 sensors in air conditioners
for enhanced efficiency in room ventilation based on actual occupancy and related CO2 levels.
In the heating, ventilation and air-conditioning (HVAC) segment, the strong demand for our CO2 sensors
was one of the main drivers of growth, next to significant growth in sales for our differential pressure
sensors used for VAV and burner control. Sales of humidity sensors for traditional thermostat customers
also experienced high-percentage growth.
Sales of humidity sensors in the hard disk segment were on a high, albeit mature, level with slightly
increased demand towards end of the year. Further development of this market is indeed monitored, but
rather complex, and, in addition to the pandemic-related effects, the shift from magnetic-based to
solid-state drives is still ongoing.
In the smart gas meter market, sales developed as expected at the beginning of the year. While the roll-
out in Italy has been slowing down, the UK customer ramped up towards the end of the year, both as
anticipated. As Sensirion’s smart gas meter products are ready from a technical standpoint, the market
regulations and requirements will also prove advantageous to Sensirion’s product portfolio, supporting a
growth trajectory over the coming years. The technical capability and readiness for the future has been
demonstrated by our customer, who successfully certified the world’s first 100 % H2 (hydrogen) meters
based on our technology developed within the Hy4Heat project by the UK Department for Business,
Energy and Industrial Strategy (BEIS). Following on from the certification in November 2021, we are happy
to start the new year with another win for our customer.
18
Sensirion Annual Report 2021 Markets
Consumer market
In the consumer market, revenues increased nicely to CHF 27.0 million, corresponding to an 81.5 % year-
on-year rise and contributing 9.4 % to group revenue. Growth was mostly driven by strong sales through
Sensirion’s distribution partners due to this market’s very diversified and vibrant customer base.
Revenue development in CHF million
14.9
27.0
2020
2021
Whereas the first half of the year saw declining revenues, the year-end result was overcompensated by
the respective sales achieved in the second half of the year. In the direct business, this was generated
by strong demand for humidity sensors for smart home applications (such as the smart thermostat).
Furthermore, the latest generation of Sensirion’s CO2 sensor is very attractive for this market, and
several projects have been ramping up with brand-new customer products throughout 2021.
The pandemic has illustrated the importance of indoor CO2 monitoring – not only for wellbeing, but for
optimized ventilation too. It is fair to assume that demand for CO2 sensors will continue to increase in
this market for various applications in the future.
The likes of the transmission of COVID-19 through small airborne microdroplets and the CO2 concentra-
tion can easily be reduced by increasing ventilation. For buildings that have no mechanical ventilation
(e.g. homes and restaurants), natural ventilation means opening doors and windows. A smart CO2
sensing device can help to make customers aware of the clearly changing CO2 levels and suggest
appropriate action.
Standalone smart air monitors also started to ramp up towards end of the year. These devices are fitted
with our particulate matter modules, which permit monitoring of the indoor air environment, with all its
relevant parameters, within a small and convenient form factor. Heavy traffic situations, not to mention
an increase in the number of wildfires breaking out around the globe, are boosting demand for residen-
tial, in-home particulate matter measurements.
Markets Sensirion Annual Report 2021
19
Strategy
Our growth strategy has three strategic focuses: driving our market and cost leadership in the core
markets of humidity and flow, becoming market leader in the entire environmental market and develop-
ing technologies for long-term growth. Finally, our unique culture of innovation and entrepreneurship
serves as the foundation for all of the above. Several megatrends support this growth strategy:
improving energy efficiency and quality of life, increased digitalization and automation, and the growing
urgency of environmental protection.
Our unique corporate culture: SensiSpirit
Our corporate culture, what we call SensiSpirit, is the product of the entrepreneurial, collaborative
mindset shared by the exceptional people who work at Sensirion. To ensure we stay innovative and
agile, our aim is to continue attracting highly qualified talent in all fields. We want our award-winning
company culture to keep evolving because it optimizes the hiring process, improves employee retention
and helps create the ideal environment for long-term innovation.
Driving technology and cost leadership in our core markets: humidity and flow
Our aim is to become an even stronger market leader in the area of humidity and flow sensing across
our various end markets and applications. In segments where we already dominate the market, we want
to solidify this position through cost and technology leadership. Elsewhere, the objective is to increase
market share by rolling out innovations and next-generation products while maintaining long-standing,
trusting customer relationships and expanding our customer base. In the area of customer acquisition,
our focus will be on manufacturers that are leaders and innovators in their own markets. We aim to
boost volume across all humidity and flow segments in order to leverage economies of scale in both
development and manufacturing. In addition, our strong market position is an optimal entry point for
additional environmental sensors in order to further increase our content in customer’s applications.
Becoming a market leader for the entire environmental market
Leveraging our strong market position in humidity and flow sensing will allow us to become a market
leader in the entire environmental sensor market. In the first stage already completed, we introduced a
first generation of sensors for carbon dioxide (CO2), particulate matter (PM2.5), formaldehyde and
volatile organic compounds (VOC). The development priorities were to speed up time-to-market and
rapidly gain market share. Accordingly, these generations were built using existing technology
platforms. In the next stage, we plan to introduce the second generation of these sensors. We have
already launched these in the case of CO2 and VOC, and we expect new PM2.5 and formaldehyde
sensors to be rolled out in the next few years. For these second-generation products, our strategy is to
use our entire technology value chain. Miniaturization and streamlining costs will help stimulate disrup-
tive innovation with the goal of securing and expanding market share.
In addition, we will take advantage of our in-house technologies in order to efficiently develop new
sensors for monitoring other gas parameters. Finally, we plan to expand our range of combo modules
for various environmental sensors, opening up possibilities for new applications and increasing
customer content.
20
Sensirion Annual Report 2021 Strategy
“We aim to drive volumes across all
applications of humidity and flow to leverage
and monetarize economies of scale, both in
development and manufacturing.
Developing technologies for long-term growth
We will continue investing in fundamental technological innovation with a view towards sustainable
company growth by systematically exploring and evaluating new sensor technologies, applications and
market opportunities. There are two primary avenues for ensuring long-term growth: firstly, to expand
our product portfolio beyond flow and environmental sensing by mobilizing our core competencies
across the entire value chain. Secondly, we will expand to offer high-end solutions in certain fields. To
uncover new growth opportunities, we will be closely monitoring the overall sensor market, identifying
market trends and evolving customer demands.
Additionally, we have established a disciplined approach to M&A that will benefit our strategic growth
fields. We will also make use of our ties to the global and local start-up community in order to discover
innovative new sensor technologies and selectively seize upon opportunities to acquire technologies,
companies or manufacturing capacities that complement and strengthen our competitive position.
Strategic
focus
Funda-
mentals
3
2
1
1 Drive market and cost
leadership in our core markets
of RHT and flow
2 Become market leader for the
entire environmental market
3 Develop technologies for
long-term growth
SensiSpirit
Unique culture of innovation
and entrepreneurship
Strategy Sensirion Annual Report 2020
21
22
Sensirion Annual Report 2021 Kapiteltitel Sustain
ability
23
Kapiteltitel Sensirion Annual Report 2021 24
We believe in a smarter and
more sustainable world
The key drivers here are energy efficiency, health, safety,
convenience, digitalization and automation. Our sensors
reduce energy consumption and greenhouse gas emissions
in numerous applications. Our carbon dioxide sensors, for
example, ensure that air conditioning is activated only when
offices are occupied. This saves energy and improves the
overall carbon footprint. Humidity and gas flow sensors in
cars measure air intake to ensure compliance with the latest
emission standards. The number of these environmental
applications will be increased in the future.
We strive to make more sustainable decisions throughout
the entire company, particularly in development and pro-
duction. The aim is always to increase the use of recyclable
materials in our products and their packaging, to optimize the
environmental impact of our sensor solutions throughout
their entire life cycle and increase the positive impact they
have when used.
Our future aim is to reduce our energy consumption in
production while increasing the share of renewable energy.
We also want to provide all employees with a work
environment that promotes sustainable business growth and
environmentally friendly, long-term value creation for all
of our stakeholders.
Marc von Waldkirch, CEO
Sustainability Sensirion Annual Report 2021
25
Stakeholder value creation
Going the extra mile
Although Sensirion has long enjoyed the status of a mature, global market leader in the sensor tech-
nology field, we are still fond of looking back on our company’s early days. Our brand story underscores
the great importance we still attach to the startup ethos. We want Sensirion to continue evolving
dynamically and with a pioneering spirit. Curiosity and passion have been our fundamental attributes for
the past two decades and strongly influence how we work together with our stakeholders.
Our company’s purpose also greatly impacts our relationships with them. We develop innovative sensor
solutions to help improve health, efficiency, safety, security and quality of life. From time to time, we also
revisit some fundamental questions: Why are we here? Would the world be better or worse off without
us? What new goals can we set for ourselves?
Cultivating long-term relationships
Our endeavors to maintain a youthful spirit, curiosity and passion – coupled with our company purpose
and SensiSpirit – help us forge lasting relationships with our customers, employees, prospective employ-
ees, shareholders, analysts, suppliers and the general public.
A message for our customers
We would not exist without our customers. And without us, our customers would take a different trajec-
tory. We develop complex solutions in sensor technology. Our customers tell us what they need. They
expand the specifications and look forward to seeing the excellent realization of groundbreaking
solutions. Mutual collaboration is picking up speed. It takes years to form the strong bonds and
reciprocal trust necessary to accomplish big things together.
Make good things even better
Employees
Act sustainably out of conviction
Develop continuously in
a rapidly changing environment
Sensirion
Identify and use chances
for cooperation
Talented Applicants
Customers
Shareholder /
Analysts
Community
Suppliers
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Sensirion Annual Report 2021 Sustainability
A message to our customers: “Dear loyal customers, we always look forward to new challenges when you
throw us a curveball and ask us to make the impossible possible. This is the only way to improve each and
every day. And it’s the only way for Sensirion to continue developing well into the future.”
A message for our employees
We would not exist without our employees. Sensirion owes its success to all the smart employees all over the
globe who are putting our SensiSpirit principles into practice to achieve big things. The foundation for this is
also a collaborative relationship. Sensirion takes care of its employees, supports them in the advancement
of their careers, advocates for diversity and fosters a positive and stimulating work atmosphere. Employees
share Sensirion’s values. Time and again, they go the extra mile needed to achieve success together in global
markets.
A message to our employees: “Dear employees, we’re proud of you. And maybe also just a little bit proud of
ourselves because we did, of course, choose you. Because we believed you were a good fit for our company
culture, were among the best in your field and possessed the ability and willingness to always push your limits,
to pass on the SensiSpirit and to share your expertise with others. For tomorrow’s generation of Sensirion
employees. It all comes full circle, ensuring the long-term success of the company.”
Sustainability Sensirion Annual Report 2021
27
Sensirion at a glance
Company information
Sensirion Holding AG is a joint stock company listed on the SIX Swiss Exchange and is headquartered in
Stäfa, Switzerland. Sensirion has eight offices in China, Germany, Hungary, Japan, South Korea, Taiwan,
the Netherlands and the United States. Sensirion develops and produces sensor solutions for measuring
environmental parameters, gas flow, liquid flow and machine diagnostics. The company enjoys
reputation as a global market leader in the automotive, medical, industrial and consumer goods sectors.
Customers integrate the company’s sensor solutions into their products.
974 Employees (FTE) worldwide
as of 31 December 2021
North America
Europe
Asia
Sensirion Inc.
(Chicago, United States)
Sensirion Holding AG
Sensirion AG
Sensirion Automotive Solutions Inc.
(Eaton Rapids, United States)
Sensirion Automotive Solutions AG
Sensirion Connected Solutions AG
AiSight Inc.
(San Francisco, United States)
(Stäfa, Switzerland)
Sensirion Hungary Kft.
Sensirion Automotive Solutions
Hungary Kft.
(Debrecen, Hungary)
Qmicro B.V. (Enschede, Netherlands)
AiSight GmbH (Berlin, Germany)
IRsweep AG (Stäfa, Switzerland)
Sensirion Automotive Solutions Korea Co., Ltd.
(Seoul, South Korea)
Sensirion Automotive Solutions (Shanghai) Co., Ltd.
(Shanghai, China)
Sensirion Korea Co., Ltd. (Dongan-Gu, South Korea)
Sensirion Japan Co., Ltd. (Tokyo, Japan)
Sensirion Taiwan Co., Ltd. (Zhubei City, Taiwan)
Sensirion China Co., Ltd. (Shenzhen, China)
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Sensirion Annual Report 2021 Sustainability
Organization
As a Swiss joint stock company, Sensirion has the following management structure: Board of Directors
and Executive Committee, with the Audit Committee, Nomination and Compensation Committee and the
Independent Directors Committee as subcommittees. The Executive Board, headed by CEO Marc von
Waldkirch, reports to the Board of Directors. The Executive Board is responsible for sustainability
matters at Sensirion. For detailed information on corporate governance, refer to the section beginning
on page 56 of this annual report.
Figures
As of December 2021, Sensirion had 974 employees (FTE). The group’s sales totaled CHF 287.5 million.
Total assets amounted to CHF 296.4 million. For detailed information on the company’s financial posi-
tion, refer to the section starting on page 100 of this annual report.
Gender
Teamleader
by gender*
Female identity
Male identity
33 %
67 %
Age*
< 30
30 - 50
> 50
* Switzerland only
21 %
21 %
Female identity
16 %
Male identity
84 %
58 %
* Teamleader and all levels above;
Switzerland only
Sustainability Sensirion Annual Report 2021
29
Employees as of December 31
Total employees
Full-time equivalents (FTEs)
Head count
Employees by employment type (FTEs)
Full-time
Part-time
Women
Men
Women
Men
APAC
EMEA Americas
Total 2021
Total 2020
228
228
133
94
0.6
0
728
801
133
421
53.4
121
18
18
3
15
0
0
974
1047
269
530
54
121
788
851
218
406
48
116
“
Our employees see the overriding objective,
accept tasks and responsibility, even if they have
not been assigned to them.
Heiko Lambach, Vice President Human Resources
Employees by department
Employees by region
31 %
15 %
2 %
24 %
16 %
38 %
74 %
Administration
Sales and distribution
EMEA
APAC
Americas
Operations
Research and development
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Sensirion Annual Report 2021 Sustainability
Supply chains
Sensirion is a major market player in Europe, Asia and the United States. Our suppliers, however, are
located all over the world. We work with regular suppliers for manufacturing our sensor components.
EMS suppliers (for PCBA) and plastic injection molding suppliers (for housing) are used in sensor module
products.
In 2021, global supply chains were disrupted by the COVID-19 pandemic. The semiconductor market and
sectors for associated materials, such as wafers, chemicals, lead frames and plastic resins, were hit
particularly hard. This resulted in understaffing, plant closures, raw materials shortages and transport
bottlenecks. On top of this, demand was still high.
Thankfully, Sensirion and its main suppliers have a bond forged through long-standing strategic partner-
ships. Materials warehouses were stocked with the high-demand materials in due time for 2021. In addi-
tion, Sensirion reached agreements with suppliers for rolling deliveries for a period of twelve months.
There is no apparent financial risk in this regard as the products and semiconductor components used in
the various products have long product life cycles.
Sustainability Sensirion Annual Report 2021
31
32
In 2021, Sensirion opened a new
production site in Debrecen, Hungary,
and acquired three startups
in the Netherlands, Germany and
Switzerland.
Construction site of the new business and production building in Debrecen, Hungary
33
Company
culture,
company
values
Sensirion was founded by entre-
preneurs who live by entrepreneurial
values and leave their mark on its
corporate culture – the cornerstone
of business success.
What came first?
Corporate culture or company values? How do corporate culture and company values affect success in
business? Is there an interplay between corporate culture and company values?
Sensirion was founded in 1998 as an ETH Zurich spin-off. It goes without saying that its founders Moritz
Lechner and Felix Mayer had a vision. After all, without a vision and expertise, a startup could never
become a global enterprise. But there’s still more than meets the eye, much like the human spirit. The
first employees developed a company style to reflect their own nature. Today, we affectionately refer to
it as the SensiSpirit.
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Sensirion Annual Report 2021 Sustainability
What is SensiSpirit?
All its ambition and drive to succeed aside, the founding generation never forgot that the human factor
comes first. The company values, which are still as present as ever, derive from the SensiSpirit and, in
turn, shape our company’s culture.
Fair and honest
These values are still the guiding principle for how we work with all involved parties here at Sensirion,
be it customers, suppliers and partners externally or our employees internally.
Together
One thing was clear from the outset: “If we are to succeed, we must succeed together.” Every employee
and supplier can and should be actively involved. The journey to find workable solutions is a construc-
tive process. Teams are not opponents; they are partners who work in concert. And the goals of the
individual dovetail into the overall mission.
Top performance
Those who better understand the needs of customers will come out on top. This is because they offer
innovative solutions and set themselves apart from the competition. SensiSpirit also means having a
competitive drive – in other words, bringing an entrepreneurial mindset and expertise to the table,
thinking innovatively, sharing responsibility and achieving extraordinary things. Day in and day out.
Well-established culture and values
Culture crystallizes, and values emerge. It is important for corporate culture and company values to be
part of a long-term commitment. The SensiSpirit is the reason why so many talented individuals choose
to work for us. Employees must be a good fit for our company culture, which is something we cultivate
during workshops, regularly scrutinizing and solidifying it and the values it creates. We hold town hall
meetings every two weeks – sometimes internationally – to foster an open and transparent communica-
tion policy and to ensure that all stakeholders are on the same page. And true to the motto “work hard,
play hard”, the after-work beer with the team to wrap up the working week and company outings are of
course part of the package. This interaction bolsters team spirit and builds trust, paving the way for
excellence. In the face of challenges like the ongoing pandemic, it becomes clear just how important this
is. This overarching philosophy also explains why our company is regularly recognized as an outstand-
ing employer.*
* In 2021, the international Great Place to Work Institute ranked Sensirion second
among Swiss employers in the Large Enterprise category.
Sustainability Sensirion Annual Report 2021
35
Social topics
Making the difference
At Sensirion, we know that our people make the difference –
employee engagement is therefore paramount.
We provide a safe and healthy work environment where our
“Sensis” can be at their best.
93 %
of employees name Sensirion
as a great place to work
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Sensirion Annual Report 2021 Sustainability
Top rankings
We are always committed to providing
an inspiring and motivating environment
to keep employees passionate in their
day-to-day performance. In 2021, Great
Place to Work ranked Sensirion second
among Swiss employers in the category
of large companies with more than 250
employees. Great Place to Work also
gave Sensirion a special prize for its han-
dling of the pandemic. Sensirion has com-
missioned Great Place to Work to collect
anonymized data from employees for the
purpose of monitoring our work culture.
On Europe’s leading employer rating
platform, kununu.com, employees can
rate their employers anonymously in the
categories of Career & Salary, Company
Culture, Work Environment and Diversity. Prospective employees can check kununu.com to find out how
many stars their potential employer has. Since 2010, 218 people have submitted ratings for Sensirion, with
an average of 4.2/5 stars. The industry average is currently 3.1 stars. Sensirion is a cut above the rest. The
reason lies in its culture.
Our open, honest, appreciative and communicative culture is the basis for long-term employee satisfaction,
meaningful performance reviews that benefit both sides of the table as well as promising career paths.
Employee satisfaction
Year
Subjective personal well-being in team
Subjective personal well-being in organization
Scale*
2019
2020
2021
0-10
0-10
8.3
8.1
8.4
7.9
8.3
8.1
* 0 = very bad, 10 = excellent
We meet with employees for performance reviews twice each year, in June and in December. The main
purpose of the meeting in June is to discuss the development of the respective employee, their learning
curve and to reveal their potential. What specific tasks might they be able to take on at Sensirion in a few
years? The purpose of the year-end review in December is a general “taking stock” together: which of the
employee’s solutions were the most and least successful, and why? What challenges lie ahead in the
coming year? Is the employee happy working with the team, and vice versa?
Sustainability Sensirion Annual Report 2021
37
Employee well-being
Living with the pandemic
On March 16, 2020, the Federal Council of Switzerland
declared a state of emergency and instituted a lockdown.
So many things changed globally overnight. Since then,
Sensirion continuously expanded its internal protection
concept and implemented further safety and protection
measures. This involved setting up additional mobile and
location-independent workspaces. The IT infrastructure
underwent extensive development to guarantee secure
data communication. Meeting rooms were converted to
accommodate hybrid conference formats. Training was
conducted virtually and social events also took place
virtually. For example, employees had their Friday after-
work beer delivered and kept up the SensiSpirit ritual of
kicking off the weekend in front of their screens.
Complaint management
The term “whistleblowing” makes some people flinch
when they hear it. Employees may feel mistreated or have
witnessed unlawful or unethical conduct. The only solu-
tion might seem to turn to the media. The damage to the
company’s reputation – not to mention the whistleblowers
“
To achieve a good work-life
balance, family life should never
fall by the wayside.
We exercise or play sports together, enjoy meals together
themselves – is often enormous.
and work together. There is a broad range of possibilities:
football, table tennis or floorball – or perhaps working out
Sensirion has clear processes in place for complaint man-
at the gym, a yoga class or enjoying a massage. When
agement and conducts regular audits. The fundamental
it’s time to eat, employees can go to the canteen for a
idea behind this is “those whose complaints are justified
delicious meal, salad or bowl of muesli. During the week,
need not fear the consequences”. Complaints can also be
there are also several food trucks nearby serving up
submitted anonymously. Complaints about Executive Board
gourmet quick bites.
members are handled discreetly by a member of the Board
of Directors; complaints about employees are handled by
To achieve a good work-life balance, family life should
the Vice President of Human Resources. For complaints
never fall by the wayside. During our Sensi Weekend, at the
about other stakeholders (e.g. suppliers), there is an ethics
Santa Claus event or for the New Year’s feast, employees
complaint form on our website.
and sometimes their families have the chance to be part of
some lovely cultural and social get-togethers.
Employees also regularly participate in training aimed at
raising awareness about issues related to quality, health,
safety and security. They can even get their annual flu shot
directly on site.
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Sensirion Annual Report 2021 Sustainability
Bike ride to work
6:30 a.m: leaving his home in the Swiss town of Hirzel, Jürg Eugster gets on his rugged “gravel bike” as
it’s known in cyclocross circles and zooms down hiking trails through Wädenswil and to the passenger
ferry, which leaves for Stäfa at 7 a.m. During the ten-minute ferry ride, Jürg already bumps into a few
colleagues who are also on their way to work by bike. The ride from the dock in Stäfa to Sensirion takes
another ten minutes. Jürg’s trip each day takes a good 45 to 50 minutes one way. To be on the safe side,
he plans in 60 minutes per journey, although traveling from Stäfa back home again takes a bit longer
because of the 350 meters he has to pedal uphill. Jürg adds, “Things get sticky in nasty weather, when
it rains or snows. This makes the bike ride from Wädenswil back to Hirzel really strenuous. Passing cars
splash dirt in my face.”
Jürg bikes to work every day. One reason is that his family needs the car during the day. Another reason
is that driving would take him almost as long. By cycling, he can also check his daily exercise off the list.
And sure, thinking about the environment also plays a part. Jürg is forty, has two sons, age five and
seven, is a physicist and has been working at Sensirion as Team Leader Sensor Integration Processes
since October 2014. He began biking to work in 2017.
Things get sticky in
nasty weather, when it rains
or snows.
“
Sustainability Sensirion Annual Report 2021
39
Talents
Building career
foundations
98 %
of apprentices say:
I believe my work can make a
real difference.
”
40
Sensirion Annual Report 2021 Sustainability
All of Sensirion’s 19 apprentices who completed the company’s survey agree. The flow of information,
clearly communicated expectations, the feedback culture, satisfaction in the workplace and celebrating
milestones as a team continue to get top ratings in this survey. Sensirion takes these young people seri-
ously from the start. And this lasting sense of value has a motivating effect; it is obviously something
people appreciate.
Each year, five or six apprentices start out in one of the nine different apprenticeships we offer. Sensirion
is an advocate of the dual-track vocational education and training system. For one, it offers young people
excellent basic training with our company, building a
foundation for taking the next steps in their careers.
The vocational school also gives them the necessary
theoretical knowledge.
Apprentices can choose from the following:
•
Federally Certified Electronics Engineer (EFZ)
• Federally Certified Computer Scientist with focus
on business IT (EFZ)
• Federally Certified ICT Specialist (EFZ)
• Federally Certified Design Engineer (EFZ)
• Federally Certified Business Administrator (EFZ)
• Federally Certified Maintenance Specialist (EFZ)
• Federally Certified Logistics Specialist (EFZ)
• Federally Certified Automation Engineer (EFZ)
(in partnership with “libs Industrielle Berufslehren
Schweiz”, www.libs.ch)
Our apprentices are treated like permanent employees from the very
• And, beginning in 2022: Federally Certified Physics
beginning and are well integrated.
Lab Technician (EFZ)
Programs for trainees and interns
During the reporting year, two trainees began our company’s 18-month Tour d’Horizon program. The
journey takes them through the Sales division, where they learn about everything from market analyses
and product development to marketing campaigns. A stint in the Technical Customer Support depart-
ment helps familiarize them with Sensirion’s products and customers. In addition to the already men-
tioned program, thirty interns spend six months working for Sensirion. During this time, they gain exten-
sive insights into the Research & Development, Marketing, Sales and Product Management divisions.
Ongoing employee development
Veteran employees have a wealth of experience and knowledge. Our HR strategy focuses on furthering
employees in their careers, discovering new talent and maximizing employee retention. The methods for
achieving this include vocational education and further training, a culture of personal responsibility and
proactiveness, the opportunity to rotate between different jobs and promoting international exchange.
Sustainability Sensirion Annual Report 2021
41
36
nationalities
Diversity
is a top priority
Austria, Bosnia and Herzegovina, Brazil, Bulgaria, China,
company. A comparison of salaries in Switzerland commis-
Croatia, Eritrea, Estonia, France, Germany, Hungary, Iraq,
sioned by Sensirion in 2021 revealed that women and men
Ireland, Italy, Kosovo, Luxembourg, Montenegro, Morocco,
at Sensirion earn equivalent salaries for the same function
Netherlands, New Zealand, North Macedonia, Poland,
and performance.
Portugal, Romania, Russia, Serbia, Slovakia, Slovenia,
South Korea, Spain, Sweden, Switzerland, Taiwan, Turkey,
Sensirion supports the career advancement of all genders
the United Kingdom, the USA. Sensirion employed people
equally. We also observe that more and more women are
from these thirty-six countries in 2021.
showing a stronger interest in technology. At Sensirion, we
encourage and support qualified people of all genders to
Our culture and values are what unite these people to form
take up leadership positions and inspire others with our
a global team. Discrimination is always off-bounds at our
culture of diversity and inclusion.
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Sensirion Annual Report 2021 Sustainability
Product responsibilities –
Innovation for a sustainable future
It is our mission
to contribute
with innovation
and technology to
a better world
tomorrow. Today,
our products are already contributing
to a better quality of life or helping to
reduce energy efficiency and CO2
emissions in a wide range of applications.
This is also our commitment for the
future.
As a customer-focused company, it
is important for Sensirion to collaborate
with its customers and partners
to explore promising new technologies
and develop cutting-edge products
that enable customers to be responsible
providers and market leaders.
Sustainability Sensirion Annual Report 2021
43
Medical ventilators
The demand for ventilators increased sharply
during the pandemic. Sensirion was already a market
leader in this market segment. Then it had to
increase production tenfold within three months.
Thanks to the incredible dedication of all employees
who were part of this effort, it was a success.
SDP3x – sensor technology for lightweight
portable CPAP devices
Every year, sensors made by Sensirion are
used to monitor more than 15 million patients with
sleep apnea: airflow and pressure are precisely
controlled to keep the airways open.
Refrigerators
Air conditioning systems in vehicles
Heaters are installed in the doorframes of
Over 160 million sensors made by Sensirion have
refrigerators to prevent condensation. Depending on
been integrated into automotive applications.
the design, the reduction in energy consumption
Sensor-controlled air conditioning systems ensure a
achieved with the smart dew point can improve the
year-round comfortable climate in passenger
IEC standard energy rating.
compartments, increase safety and reduce fuel
consumption.
Engines in vehicles
One-third of all new cars around the world
are equipped with humidity and temperature sensor
solutions. Sensor production volume: 90 million.
Advantages: less pollutant emissions, lower
fuel consumption and optimized engine control
with air flow regulation.
44
Sensirion Annual Report 2021 Sustainability
4.8 mio t
Sustainable facts
10
×
increase of ventilator production
within three months due to COVID-19
15 mio
patients with sleep
apnea monitored daily
4.8 mio t
of CO2 saved in total in air conditioning
applications in vehicles
3-4 %
reduced energy consumption
due to smart humidity sensors
in refrigerators
2.7 mio t
additional CO2 savings through intelligent
air-flow sensor technology in engine vehicles
Sustainability Sensirion Annual Report 2021
45
Susanne Pianezzi, a physicist at Sensirion since 2016 and Sales Director
for the recently founded subsidiary Sensirion Connected Solutions,
is in charge of sales and business development for all markets. She also
manages distribution for Nubo Sphere and any future environment
and sustainability solutions.
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Sensirion Annual Report 2021 Sustainability
Sensirion enjoys a reputation as
an expert in environmental sensing,
and sustainability is in its company
DNA. An interview with Susanne
Pianezzi, Sales Director at Sensirion
Connected Solutions.
Sensirion was founded in 1998 as an ETH Zurich spin-off.
Sustainability is a key aspect of its mission. Was this the
right path?
Back in 1998, I’m not sure if I would have been able to artic-
ulate the complex reasoning surrounding sustainability in
the same way Sensirion’s founders do today. Today, it is
appropriate and important that Sensirion uses innovation to
make sustainability a guiding principle in its mission and
to actively embody these principles – which is also interest-
ing from a business standpoint.
Generally speaking, does sustainability make final
Susanne, you're working on our new IoT solution, Nubo
products more expensive?
Sphere. What are the goals of Nubo Sphere?
Production costs can indeed be somewhat higher when
Nubo Sphere is our brand-new “fully integrated, end-to-end
you’re trying to make the final product sustainable. In addi-
IoT solution” (Internet of Things) for detecting, locating and
tion to sustainable production costs, follow-up costs should
quantifying methane emissions. Its development began
also be considered. Those are impacted by future regulations
in mid-2021, and we will be launching the first generation in
on minimum prices, consumer tariffs or emissions penalties.
mid-2022. Methane escapes from oil and gas production
plants, sewage treatment plants and biogas plants, for
Can companies make money with sustainability?
example. If we are to meet the targets of the Paris Climate
By using Nubo Sphere, natural gas operators invest in a
Accords, we will also need to reduce methane emissions in
path towards net zero and thus actively contribute to the
addition to carbon dioxide.
fight against global warming. More and more, consumers
are also willing to pay a surcharge for environmentally
What is unique and innovative about this solution?
friendly or sustainable products. In the context of the energy
Solving this complex problem requires deep application
industry, natural gas can be said to be responsibly sourced
know-how as well as close interaction between innovative
if it is extracted and transported under low methane emis-
sensors and advanced data analytics. This fits perfectly with
sions. New regulations and best practices evolve worldwide
Sensirion’s DNA to solve complex problems in an inter-
to support those efforts.
disciplinary manner. Our strength is to cover the entire value
chain from sensors, high-performing algorithms to a user-
Lastly, if we could grant you three wishes, what would
friendly dashboard, so this interaction can be maximally
they be?
optimized.
For our society to return to a more normal life, in practical
terms, the health of everyone. In the long run, we work
So, Nubo Sphere detects methane emissions and helps
together to address the challenges of climate change on
reduce environmental impact. Does Nubo Sphere address
a global scale. To achieve this, every individual, society,
any other sustainability aspects?
politics and also the economy must make their contribution.
Nubo Sphere consists of a sensor node with solar panel, wind
Only in this way can we leave a stable, safe and healthy
sensor, wireless communication and a methane sensor. One
environment for future generations.
key feature of the solution and the sustainability of Nubo
Sphere is that it runs on solar power and can even be used
in remote locations that are not connected to the power
grid. Another feature is the solution’s sustainable sensor
cartridge design: for example, if gases other than methane
need to be measured for safety and environmental applica-
tions in the future, the cartridges in the sensor node can
simply be replaced with different ones. This is good for the
environment because you don’t have to replace remaining
hardware that is already installed in the field.
Sustainability Sensirion Annual Report 2020
47
The new production building in
Debrecen comprises two storage
tanks (cooling and heating with
geothermal energy) to maintain the
required production environment.
Fab-in of the hot water storage tank into the new business and production building in Debrecen, Hungary
48
Sensirion Annual Report 2020 Sustainability
Sustainibility Sensirion Annual Report 2020
49
Attentiveness
Caring for our
environment
The concept of “sustainability” plays a key role in our relation-
ships with customers, employees and suppliers. Sustainability is
critical to the work we do in developing and manufacturing
our products.
But another important part of how Sensirion defines sustainability is taking a sensible approach to our
use of environmental resources. This includes consuming less energy and water, sourcing renewable
energy, locating production closer to customers, keeping our employees comfortable, cutting CO2
emissions and manufacturing products without hazardous substances whenever possible. We want to
take care of the environment for those who come after us.
Energy
Sensor production is an energy intensive business. There are two main drivers that dominate energy
consumption: the buildings to keep the production within the given environmental specification, e.g.
humidity, temperature or cleanness, and the production equipment (mainly in the MEMS cleanrooms). In
order to increase comparability over the years, Sensirion has decided to report in accordance with GRI
standards scope 1 and 2 by calculating energy consumption as an intensity in relation to gross profits*.
This approach is also used for CO2 emissions.
Between 2017 and 2021, energy intensity could be reduced by almost 30 % thanks to various efficiency
measures and economies of scale. However, compared to 2020, energy intensity in 2021 remained at the
same level, mainly due to the one-off effect of Sensirion putting the new site in Debrecen, Hungary, into
operation. Sensirion is committed to sustainably reducing its energy intensity further in the coming years
by launching more efficiency initiatives.
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Sensirion Annual Report 2021 Sustainability
30 %
reduced
energy intensity
Environmentally friendly humidification
At the end of 2020, Sensirion began replacing the two air handling units for air purification in the main
building in Stäfa. Air handling units contain filters, components for heat recovery, ventilators, air heaters,
etc. The new air handling units meet the criteria for the A+ energy rating as defined by the EUROVENT
RS 4/C/001-2019 standard. The adiabatic air humidification system is the best choice for environmentally
friendly air humidification. It uses an ultrafine spray generated at high pressure to achieve highly
effective, economical air humidification. This eliminates dry air to ensure workers inside the building
are comfortable.
Renewable energy
In 2019, we installed solar panels on the roof of our office building in Stäfa, Switzerland. In 2021, the solar
panels generated 112 MWh of energy despite the mediocre summer weather. This was just slightly below
the figure from 2020. The energy requirements of the building fitted with solar panels were met. Starting
in 2022, Sensirion plans to source sustainable hydropower for its headquarters which will further improve
its carbon footprint.
CO2 emissions
CO2 emissions are produced at various places along our value chain. The main drivers are manufacturing
process gases, fossil-based electrical power (mainly in Asia) and fossil heating. Our goal is to minimize
these emissions and reduce our ecological footprint. For example, climate-damaging process gases,
which are indispensable for the processing of MEMS chips, have been treated for years with state-of-
the-art filter systems. Sensirion uses the same reporting approach as in the previous paragraph (Energy)
and calculates a CO2 intensity that sets CO2 in relation to gross profits*.
In 2021, Sensirion managed – with a reduction of 4 % in comparison to 2020 – to again reach the CO2e
intensity level of 2017/18. The peak in 2019 was mainly due to a one-time effect of putting the new
Shanghai site into full operation.
* Gross profits = sales minus material expenses
Sustainability Sensirion Annual Report 2021
51
Energy / CO2e emissions intensity
]
F
H
C
k
/
h
W
k
[
100
90
80
70
60
50
40
30
20
10
0
16
14
12
10
8
6
4
2
0
]
F
H
C
k
/
e
2
O
C
g
k
[
2017
2018
2019
2020
2021
CO2e emissions intensity
Formula: CO2 intensity [kgCO2e/kCHF] = Total CO2e emission [kgCO2e] / Gross profits* [kCHF]
Energy emissions intensity
Formula: energy intensity [kWh/kCHF] = Total energy consumption [kWh] / Gross profits* [kCHF]
Can we reduce emissions by miniaturizing components?
The production of silicon chips is an environmental stress factor. One way to mitigate this is by building
our sensors with smaller silicon chips. We are also replacing glue processes with ultrasonic welding.
Small sensor components consume less energy in production, are more economical to ship and produce
lower CO2 emissions.
How can the ecological footprint of the supply chain be reduced?
In our manufacturing process, we are striving to produce less waste. This is achieved with innovation in
the product development process as well as shorter transport routes. Goods are sourced locally when-
ever possible. Our suppliers also comply with strict packaging requirements and recycle used materials.
Can emissions from business trips also be reduced?
We have learned a lot from the pandemic. For example, many previous in-person meetings are now held
virtually – and will likely continue to be so in the future. We have also decided to compensate for our
business flights with myClimate. The total came to 66 tons of CO2 in 2021.
Does Sensirion create any incentives for its employees to use public transportation?
A parking fee was introduced in 2019 for employees who drive to work. This money is collected and
returned to all employees in the form of an eco-bonus that subsidizes the purchase of SBB Half-Fare
subscriptions or other transit passes. Then we have “Franz”, the Sensi e-car, that can be used for busi-
ness as well as private trips. And because e-cars are becoming more popular all the time, we have
installed charging stations.
Debrecen: a sustainably built production site
July, 2021. The production site in Debrecen, Hungary, begins operations. The advantages of the site
include its proximity to European customers, high standard of training for potential employees on site
and the network of local partners. Using the headquarters in Stäfa as a model (clarification: geothermal/
heat recovery coupled with an accumulator system), the new site was designed and built to operate
without fossil fuels.
52
Sensirion Annual Report 2021 Sustainability
Water intensity*
0.30
0.25
0.20
0.15
0.10
0.05
2017
2018
2019
2020
2021
Water intensity [l]/Production unit
15 %
reduction of water
consumption per unit
of output.
Features and benefits of sustainable construction
The building was designed and constructed with two floors, unlike the conventional single-story building
with high ceilings. This requires less space for construction and the lower ceilings reduce air volume for
air purification and conditioning. As a result, less energy is required for cooling, heating and (de)humidi-
fication. The site is operated without fossil fuels (natural gas, oil). The heating and cooling systems use
reversible heat pumps that recover and store heat in large containers, each with a volume of 60 m3.
Water
In Stäfa as well as in our production facilities and warehouses in Shanghai, Seoul and Debrecen, we are
committed to the responsible management of a precious resource: water.
We use water primarily for the separation of silicon wafers for the individual sensors (dies). The wafer
saw dices the wafers using a high-speed rotating diamond saw blade. The saw blade is cooled with water.
Thanks to the most state-of-the-art saws and ever tinier sensors (more dies per wafer), water consump-
tion has continued to drop compared to the units we produced five years ago. Since water consumption
correlates well with the number of units produced, Sensirion has decided to calculate water consumption
as intensity in relation to production units (PU). Between 2017 and 2021, water consumption per produc-
tion unit dropped 15 % (from 0.265 liters/PU in 2017 to 0.220 liters/PU in 2021).
Hazardous substances
We have minimized the use of hazardous chemicals in our production processes. In production, we only
use hazardous chemicals in closed and fully automatized installations and machines. In our R&D labs, all
employees have completed an apprenticeship or a degree in technology or the sciences. They are regu-
larly trained and well protected with appropriate personal protective equipment. The hazardous sub-
stances in our sensors are compliant with the relevant laws (REACH, RoHS and others) and customer
requirements. Even during the development stage for new sensors, we ensure that all materials provided
by our suppliers are fully compliant. We also regularly analyze the materials used in our sensors in a
specialized laboratory to ensure that these high standards are regularly maintained. Our production sites
are always subject to inspection by the local authorities as well as customer and third-party audits.
* Gross profits = sales minus material expenses
Sustainability Sensirion Annual Report 2021
53
Quality and
certifications
54
“By disclosing its environmental reporting data to CDP in
2021, Sensirion Holding AG has demonstrated a commitment
to corporate environmental transparency.
The highest standards of quality
Aging tests are used to measure reliability when developing new products. During the product qualifi-
cation phase, sensors undergo repeated testing before receiving approval for mass production. All
Sensirion locations are ISO 9001 and IATF 16949 certified, except Debrecen in Hungary, to ensure the
highest quality management standards. Our location in Stäfa, Switzerland, is accredited according to the
ISO 17025 standard for the testing and calibration of our temperature measurements.
Quality policy
Our strategy is to maintain a zero-tolerance-for-defects policy, and our number one priority is to ensure
customer satisfaction. This is what shapes our corporate philosophy and code of conduct, which is why
we regularly monitor, evaluate and take measures to improve customer satisfaction. Here, we rely on
specific processes and instruments that constantly undergo further development. We regularly monitor,
evaluate and improve the quality of our products and services. Accordingly, we carefully select our
suppliers and also audit the major ones at regular intervals.
Awards
We are proud of our achievements. Great Place to Work named us the “Number two employer in
Switzerland in the ‘large companies’ category” and gave us the “Special prize for Bold Leadership in the
Corona crisis”. We also received a “Top Company” seal from kununu, as well as the “Jiutin Employee
Award” for SAS China, presented by the local Chinese municipality.
CDP – the world’s leading environmental data platform
CDP is a global non-profit organization and the world’s leading platform for environmental reporting and
disclosure. David Lammers, Deputy Director for Corporate Engagement at CDP Europe: “By disclosing
its environmental reporting data to CDP in 2021, Sensirion Holding AG has demonstrated a commitment
to corporate environmental transparency and made an important contribution to an economy that works
for both people and planet.”
Sustainability Sensirion Annual Report 2021
55
Corporate Governance
This report on corporate governance describes Sensirion’s principles of management and control at the
highest corporate level of Sensirion in accordance with the Directive on Information relating to Corporate
Governance of SIX Exchange Regulation (DCG). Unless stated otherwise, the information in this report is
provided as of 31 December 2021.
Sensirion’s corporate governance largely follows the guidelines and recommendations set out in the
Swiss Code of Best Practice for Corporate Governance issued by economiesuisse in July 2002, as
amended in 2007, 2014 and 2016 (the “Swiss Code”). Sensirion has made some adjustments and simplifi-
cations to suit its management and shareholder structure.
Sensirion’s principles and rules of corporate governance are set forth in its Articles of Association, its
Organizational Regulations (including committee charters) and its Regulations on the Registration of
Shareholders in the Share Register and the Maintenance of the Share Register (“Share Register Regula-
tions”), which are all available on our website (https://www.sensirion.com/articles-of-association-
internal-regulations). The Nomination and Compensation Committee of the Board of Directors of
Sensirion Holding AG regularly reviews Sensirion’s corporate governance framework and ensures
compliance with corporate governance requirements.
Group structure and shareholders
Group structure
Sensirion Holding AG (or the “Company”) is a stock corporation organized under the laws of Switzerland
which was incorporated on 7 October 1998 and is registered in the commercial register of the Canton of
Zurich under the register number CHE-104.836.469 (LEI: 894500ANJ9YNE8YCTT04). Its registered
address is at Laubisrütistrasse 50, 8172 Stäfa, Switzerland. The shares of Sensirion Holding AG have
been listed on the SIX Swiss Exchange since the Company’s initial public offering (“IPO”) on 22 March
2018 (ISIN CH0406705126, Swiss Security Number 40670512) according to the International Reporting
Standard and since 1 July 2021 according to the Swiss Reporting Standard.
The Sensirion Group (“Sensirion” or the “Group”) consists of Sensirion Holding AG and its consolidated
subsidiaries, which are listed in the Consolidated Financial Statements on page 123.
Sensirion operates as a single operating and reporting segment that encompasses the development,
production, sale and servicing of sensor systems, modules and components. This structure is described
in more detail in the segment information in the Consolidated Financial Statements on page 107.
Significant shareholders
As of 31 December 2021, the following shareholders or group of shareholders have reported to Sensirion
Holding AG holding 3 % or more of the voting rights in Sensirion Holding AG:
56
Sensirion Annual Report 2021 Corporate Governance
Shareholder
% of voting rights
Moritz Lechner, Uerikon, Switzerland; Felix Mayer, Stäfa, Switzerland; Fondation des
Fondateurs, Zurich, Switzerland; 7-Industries Holding B.V., Amsterdam, Netherlands; EGS
Beteiligungen AG, Zurich, Switzerland; Sensirion Holding AG , Stäfa, Switzerland1
Gottlieb Knoch, Zug, Switzerland
Davent Holding AG, Zug, Switzerland 2
32.4 %
4.9 %
3.5 %
1 The beneficial owner of 7-Industries Holding B.V. is Mrs. Ruthi Wertheimer, Herzliya, Israel. The beneficial owner of EGS
Beteiligungen AG, Zurich, Switzerland, is the Ernst Göhner Stiftung, Zug, Switzerland. The shareholders act in concert within
the meaning of Article 121 FMIA by virtue of a shareholders’ agreement, as a result of which they, together with the Company,
act in concert. Moritz Lechner, Felix Mayer, Fondation des Fondatuers, 7-Industries Holding B.V. and EGS Beteiligungen AG
together hold 32.2 % of the voting rights. Percentages are based on the shareholdings known by the Company as of
31 December 2021.
2 The beneficial owner of Davent Holding AG is Dr. Thomas Knecht, Zug, Switzerland.
Moritz Lechner, Felix Mayer (together the “Founders”), Fondation des Fondateurs, 7-Industries Holding
B.V. and EGS Beteiligungen AG (together the “Anchor Shareholders”) have entered into a shareholders’
agreement to govern their rights and obligations as shareholders and/or members of the Board of Direc-
tors of Sensirion Holding AG. According to the shareholders’ agreement, the Anchor Shareholders can
propose a majority of the candidates nominated for election to the Board of Directors and one of these
candidates as Chairman (or two as Co-Chairmen) of the Board of Directors. In addition, each Founder has
the right to be (re-)elected by the Anchor Shareholders as member and as Co-Chairman of the Board of
Directors. Further, the Anchor Shareholders have also entered into voting undertakings with regard to
shareholder resolutions requiring a qualified majority. With respect to the disposal of shares, the Anchor
Shareholders have granted each other (and, failing them, Sensirion Holding AG) a right of first refusal and
a right of first offer. Finally, the Anchor Shareholders have undertaken that they will only sell all their
shares (as long as they hold more than 25 % but less than 33 1⁄3 % of the Company’s voting rights) or
shares corresponding to 33 1⁄3 % or more of the Company’s voting rights to a third party if such third party
agrees to launch a public tender offer for all publicly held shares of Sensirion Holding AG for a consider-
ation not lower than the consideration promised to the selling Anchor Shareholders.
The announcements related to the disclosure notifications made by shareholders during 2021 can be
found via the search facility on the platform of the Disclosure Office of the SIX Swiss Exchange:
https://www.ser-ag.com/en/resources/notifications-market-participants/significant-shareholders.html#/.
For the purposes of this section, percentages are based on the issued share capital of Sensirion Holding
AG recorded in the commercial register as of 31 December 2021.
Cross shareholdings
The Group has no cross-shareholdings that exceed 5 % of the holdings of capital or voting rights on both sides.
Capital structure
Capital
As of 31 December 2021, the share capital of Sensirion Holding AG amounts to CHF 1,557,335.00 divided
into 15,573,350 fully paid-in registered shares with a par value of CHF 0.10 each. In addition, Sensirion
Holding AG has authorized share capital in the amount of CHF 145,581.70 (corresponding to 9.3 % of the
share capital). Further, Sensirion Holding AG has conditional share capital for employee participations in
the amount of CHF 143,162.00 (corresponding to 9.2 % of the share capital) and conditional share capital
for financing, acquisitions and other purposes in the amount of CHF 145,581.70 (corresponding to 9.3 % of
the share capital). The following table summarizes the capital structure of Sensirion Holding AG.
Corporate Governance Sensirion Annual Report 2021
57
Share capital
As per 31 December 2021
% of capital
Shares
In CHF
Share capital
Authorized share capital1
Conditional share capital
Reserved for employee participation plans
Reserved for financing, acquisitions and other purposes
100.0 %
9.3 %
9.2 %
9.3 %
15,573,350
1,557,335.00
1,455,817
145,581.70
1,431,620
143,162.00
1,455,817
145,581.70
1 Expiring on 11 May 2022
Authorized capital
The annual general meeting of shareholders of Sensirion Holding AG (the “Annual General Meeting”)
resolved on 11 May 2020, among other things, to create authorized share capital and authorized the Board
of Directors to increase the share capital any time until 11 May 2022 by a maximum amount of
CHF 145,581.70 by issuing a maximum of 1,455,817 fully paid-in registered shares with a par value of
CHF 0.10 each (see Article 3a of the Articles of Association). Increases in partial amounts are allowed. The
subscription and acquisition of the new shares as well as any subsequent transfer of the shares is subject
to the restrictions set out in the Articles of Association (see “Limitations on Transferability and Nominee
Registrations”). The Board of Directors determines the issue price, the type of contribution, the date of
issue, the conditions for the exercise of pre-emptive rights and the beginning date for dividend entitle-
ment. It may issue new shares by means of a firm underwriting with a subsequent offer to the existing
shareholders or, if pre-emptive rights have been excluded or not duly exercised, to third parties. The
Board of Directors may permit, restrict or exclude the trade with pre-emptive rights. It may permit the
expiry of unexercised pre-emptive rights, or it may place such rights or the respective shares at market
conditions or may use them otherwise in the interest of Sensirion Holding AG. Further, the Board of Direc-
tors is authorized to restrict or exclude pre-emptive rights of existing shareholders and allocate such
rights to third parties or the Group for the acquisition of companies, part(s) of companies or participa-
tions, for the acquisition of products, intellectual property or licenses by or for investment projects of the
Group, or for the financing or refinancing of any of such transactions through a placement of shares.
Conditional capital
As of 31 December 2021, the Articles of Association provide for two categories of conditional capital.
First, the share capital of Sensirion Holding AG may be increased by an amount not to exceed
CHF 143,162.00 by issuing up to 1,431,620 fully paid-in registered shares with a par value of CHF 0.10 per
share through the direct or indirect issuance of shares, options or related subscription rights to members
of the Board of Directors, members of the Executive Committee or employees of the Group (see Article
3b of the Articles of Association). The pre-emptive rights and advance subscription rights of existing
shareholders are excluded. Shares, options or related subscription rights are issued pursuant to regula-
tions issued by the Board of Directors and taking into account the compensation principles pursuant to
the Articles of Association. Shares or subscription rights may be issued to employees at a price lower
than the respective market price quoted on the stock exchange. Second, the share capital may be
increased by an amount not to exceed CHF 145,581.70 by issuing up to 1,455,817 fully paid-in registered
shares with a par value of CHF 0.10 per share through the exercise or mandatory exercise of conversion,
exchange, option, warrant or similar rights for the subscription of shares granted to shareholders or third
parties alone or in connection with bonds, notes, options, warrants or other securities or contractual
obligations of Sensirion Holding AG or a Group company (see Article 3c of the Articles of Association).
58
Sensirion Annual Report 2021 Corporate Governance
The pre-emptive rights of existing shareholders are excluded upon the exercise of any such financial
instruments in connection with the issuance of shares. The then-current owners of such financial instru-
ments are entitled to acquire the new shares issued upon exercise. The Board of Directors is authorized
to restrict or withdraw advance subscription rights of existing shareholders in connection with the issu-
ance of financial instruments if the issuance is for purposes of financing or refinancing the acquisition of
companies, parts of a company, participations or investments. If the advance subscription rights are not
granted, the financial instruments must be issued at market conditions, the exercise price must be set
with reference to the prevailing market conditions and the maximum exercise period is 10 years.
The subscription and acquisition of the new shares under any conditional capital as well as any
subsequent transfer of the shares is subject to the restrictions set out in the Articles of Association (see
“Limitations on Transferability and Nominee Registrations”).
Changes in capital
There were no changes in the share capital of Sensirion Holding AG between 1 January 2021 and 31 Decem-
ber 2021.
For information on changes of the share capital during 2020 and 2019, see our Annual Report 2020 on page
63 and our Annual Report 2019 on page 45, respectively.
Shares and participation certificates
All shares of Sensirion Holding AG are registered shares (Namenaktien) with a par value of CHF 0.10
each and are fully paid-in and non-assessable. All shares rank pari passu in all respects with each other,
including in respect of entitlements to dividends, to a share in the liquidation proceeds in the case of a
liquidation and to pre-emptive rights. Each share carries one vote at the general meeting of share-
holders of Sensirion Holding AG, provided that shareholders and their shares are registered with voting
rights in the share register of Sensirion Holding AG. The shares have been issued as uncertificated secu-
rities (Wertrechte) within the meaning of Article 973c of the Swiss Code of Obligations (“CO”), are regis-
tered in the main register (Hauptregister) maintained by SIX SIS Ltd. and constitute intermediated secu-
rities (Bucheffekten) within the meaning of the Swiss Federal Act on Intermediated Securities.
As of 31 December 2021, Sensirion Holding AG has not issued any participation certificates.
Profit sharing certificates
As of 31 December 2021, Sensirion Holding AG has not issued any profit sharing certificates (Genuss-
scheine).
Limitations on transferability and Nominee registrations
Persons acquiring shares will be registered in the share register as shareholders with voting rights upon
their request if they expressly declare to have acquired these shares in their own name and for their own
account. The Board of Directors may refuse the registration of an acquirer in the share register as a
shareholder with voting rights if such acquirer would, directly or indirectly, acquire, or hold in the aggre-
gate, more than 5 % of the shares of Sensirion Holding AG recorded in the commercial register (the
“Percentage Limit”; see Article 5 of the Articles of Association). According to Article 5 para. 7 of the
Articles of Association, a group clause applies to determine whether the Percentage Limit is crossed.
Even if the Percentage Limit is exceeded, the Board of Directors may grant an exception and enter a
shareholder with voting rights in the share register (i) if such shareholder held or was allotted more than
5 % of the shares recorded in the commercial register before completion of the IPO, (ii) if such incum-
Corporate Governance Sensirion Annual Report 2021
59
bent shareholder (or their legal successor) acquires additional shares after the IPO, provided that the
opting-up threshold of 40 % of voting rights is not exceeded or (iii) if a person acquires such shares
recorded with voting rights from such an incumbent shareholder off-market.
Details on the implementation of such exceptions are set out in the Share Register Regulations, in partic-
ular, the rule that no shareholder or group of shareholders will be registered in the share register with
more than 40 % of the Company’s voting rights. The decision on the granting of exceptions to the Percent-
age Limit lies with the Board of Directors who may, with the approval of all members of the Board of
Directors, in its own discretion grant further exceptions.
In the financial year 2021, the Board of Directors granted no exceptions from the Percentage Limit
pursuant to Article 5 para. 3 of the Articles of Association.
Further, any person that does not expressly state in its application for registration that the relevant
shares were acquired for its own account (a “Nominee”) may be entered in the share register as a
shareholder with voting rights regarding up to 5 % of the share capital recorded in the commercial
register, provided that the Nominee has entered into an agreement with the Company regarding its
position and is subject to a recognized bank or financial market supervision. Beyond such registration
limit, the Board of Directors may register Nominees as shareholders with voting rights in the share
register if such Nominees undertake to disclose the full name, address, citizenship and shareholdings
of those persons for whose account the Nominee holds 0.5 % or more of the share capital recorded in
the commercial register. The group clause pursuant to Article 5 para. 7 of the Articles of Association
also applies to Nominees.
A resolution passed at a general meeting of shareholders with a qualified majority of at least two-thirds
of the votes represented and the absolute majority of the par value of shares represented at such meeting
is required for the restriction on the transferability of shares or the cancellation of such a restriction and
for the amendment or cancellation of Article 5 of the Articles of Association regarding the share register
and restrictions on the registration of shareholders and nominees (see Article 13 para. 2 of the Articles of
Association).
Convertible bonds and options
Except for Sensirion’s employee participation plans, neither Sensirion Holding AG nor any of its Group
companies has any convertible bonds or options on the equity securities of Sensirion Holding AG
outstanding as of 31 December 2021. For information on Sensirion’s employee participation plans, see the
Compensation Report on pages 82 to 94 as well as Note 6.2 of the Consolidated Financial Statements on
pages 126 to 127.
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Sensirion Annual Report 2021 Corporate Governance
Board of Directors
The duties and responsibilities of the Board of Directors of Sensirion Holding AG are defined by the
Swiss Code of Obligations, the Articles of Association and the Organizational Regulations.
Members of the Board of Directors
The Board of Directors consists of at least three and no more than seven members (see Article 14 of the
Articles of Association). As of 31 December 2021, the Board of Directors consisted of seven members. All
members of the Board of Directors are non-executive directors. None of the members of the Board of
Directors held an executive position with Sensirion during the last three financial years preceding the
financial year 2021. Other than as set forth below, none of the members of the Board of Directors has any
significant business connections with the Group.
The following table sets forth the name, function and committee membership of each member of the
Board of Directors as of 31 December 2021.
Name
Function
Committee membership
First elected
Elected until AGM
Dr. Moritz Lechner 1 Co-Chairman Member of the Nomination and
Dr. Felix Mayer 1
Co-Chairman
Compensation Committee
Chairman of the Nomination and
Compensation Committee
1998
(formation)
1998
(formation)
Ricarda Demarmels2 Member
Chairwoman of the Audit Committee
2018
2022
2022
2022
Heinrich Fischer2
Member
Member of the Audit Committee
2011
2022
Member of the Independent
Directors’ Committee
Member of the Nomination and
Compensation Committee
Chairman of the Independent
Directors’ Committee and Lead
Independent Director
Member of the Independent
Directors’ Committee
Member of the Independent
Directors’ Committee
2019
2021
François Gabella2
Member
Dr. Anja König2
Member
Dr. Franz Studer2
Member
Member of the Audit Committee
2019
2022
2022
2022
1 Dr. Moritz Lechner and Dr. Felix Mayer act for Sensirion AG, each on a 50 % basis, where they are responsible for sensor
innovation and strategic tasks.
2 Independent in the sense of the Swiss Code.
Corporate Governance Sensirion Annual Report 2021
61
Board of Directors
Felix Mayer, Co-Chairman
Ricarda Demarmels, Non-Executive Director
Moritz Lechner, Co-Chairman
François Gabella, Non-Executive Director
62
Sensirion Annual Report 2021 Corporate Governance
Anja König, Non-Executive Director
Heinrich Fischer, Non-Executive Director
Franz Studer, Non-Executive Director
Corporate Governance Sensirion Annual Report 2021
63
Board of Directors
Dr. Moritz Lechner Co-Chairman, Swiss national, born in 1969
Moritz Lechner is one of the two founders and Co-Chairman of the Board of Directors of Sensirion Holding AG
and a member of the Nomination and Compensation Committee. He has been a member of the Board of
Directors, acting as Chairman or Vice-Chairman, since the incorporation of Sensirion in 1998. Until June 2016,
he served as Co-CEO of the Company together with Felix Mayer. Moritz Lechner has received numerous entre-
preneurial awards. Currently, he serves on the Board of Directors of Dectris AG, as well as 3db Access AG and
IRsweep AG. Moritz Lechner worked in the fields of microelectronics and detector technology research at the
Swiss Federal Institute of Technology (ETH Zurich) and the Paul Scherrer Institute, and studied Physics at ETH
Zurich, from which he also received his PhD in Microelectronics and Detector Technology.
Dr. Felix Mayer Co-Chairman, Swiss national, born in 1965
Felix Mayer is one of the two founders and Co-Chairman of the Board of Directors of Sensirion Holding AG and
Chairman of the Nomination and Compensation Committee. He has been a member of the Board of Directors,
acting as Chairman or Vice-Chairman, since the incorporation of Sensirion in 1998. Until June 2016, he served
as Co-CEO of the Company together with Moritz Lechner. Felix Mayer worked at Siemens for five years and
conducted research in the area of microtechnology at the Swiss Federal Institute of Technology (ETH Zurich)
for four years. He is a recipient of numerous entrepreneurial awards. Currently, Felix Mayer serves on the Board
of Directors of Luma Beef AG, Lumiphase AG, Nextlens AG and Optotune AG. He studied Physics at ETH Zurich,
from which he also received his PhD in Physics.
Ricarda Demarmels Non-Executive Director, Swiss national, born in 1979
Ricarda Demarmels has been a non-executive member of the Board of Directors of Sensirion Holding AG since
2018. She serves as Chairwoman of the Audit Committee and is a member of the Independent Directors’
Committee. Prior to joining the Board of Directors, she held various positions. Since June 2019, she has served
as Group CFO and a member of the Group Management of the Emmi Group. Between 2015 and 2018, Ricarda
Demarmels served as Group CFO and member of the Management Board at Orior AG. From 2009 until 2014,
she worked for Capvis Equity Partners AG, where she was in charge of various acquisitions and divestitures
and supported the strategic development of portfolio companies. From 2005 to 2009, Ricarda Demarmels led
various strategy, M&A and integration projects for Oliver Wyman, a global management consulting firm.
She studied Finance and Accounting at the University of St. Gallen and holds a Master’s degree in Business
Administration from the University of St. Gallen (lic.oec. HSG).
Heinrich Fischer Non-Executive Director, Swiss national, born in 1950
Heinrich Fischer has been a non-executive member of the Board of Directors of Sensirion Holding AG since 2011.
He serves as Chairman of the Independent Directors’ Committee and Lead Independent Director and is a member
of the Audit Committee and the Nomination and Compensation Committee. Prior to joining the Board of Direc-
tors, he was CEO of the Saurer Group for eleven years until 2007. Prior to that, he was Head of Plant Engineering
for optics and microelectronics at Oerlikon Balzers Coating AG for ten years and a member of the Group Man-
agement of the Oerlikon-Bührle Group for six years. Between 2012 and 2017, he served on the Board of Directors
of Orell Füssli Holding AG (as Chairman of the Board), as well as on the Board of Directors of SWH Inc. He also
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Sensirion Annual Report 2021 Corporate Governance
served on the Board of Directors of Schweiter Technologies AG between 2004 and 2012. Heinrich Fischer is the
Co-Founder of ISE AG, where he was Chairman of the Board of Directors from 1993 to 2005. Currently, he serves
on the Board of Directors of Hilti AG (Chairman of the Board), Tecan Group AG (Vice-Chairman of the Board),
and CAMOX Fund. He received a Master’s degree in Applied Physics and Electrical Engineering from the Swiss
Federal Institute of Technology (ETH Zurich) and an MBA from the University of Zurich.
François Gabella Non-Executive Director, Swiss national, born in 1958
François Gabella has been a non-executive member of the Board of Directors of Sensirion Holding since 2019.
He serves as member of the Independent Directors’ Committee. Prior to joining the Board of Directors, he
served as CEO of LEM Holding AG for eight years until 2018. Between 2006 and 2010, he was a member of the
Metrology Executive Board and CEO of TESA AG at Hexagon Metrology, Sweden. Prior to that, François Gabella
served as Senior Vice President, Power Transmission & Distribution Division, at ARVEDA T&D for three years.
From 1999 until 2001, he served as Group CEO of a portfolio company at Texas Pacific Group, USA. Prior to that,
he held various positions in the ABB Group. Currently, François Gabella is Chairman of the Board of Directors on
Natron Energy, he serves on the Board of Directors of Fischer Connectors AG, LEM Holding AG, Optotune AG,
Nextlens AG and Sonceboz AG. He is Vice President of Swissmem and Vicepresident of the Advisory Board of
Switzerland Global Enterprise. He received a Master’s degree in Microengineering from Ecole Polytechnique
Fédérale de Lausanne (EPFL) and an MBA from IMD Lausanne.
Dr. Anja König Non-Executive Director, Swiss national, born in 1970
Anja König has been a non-executive member of the Board of Directors of Sensirion Holding since 2021. She
serves as a member of the Independent Director’s Committee. Since 2017, Anja König has been Global Head of
the Novartis Venture Fund (NVF) in Basel, Switzerland. Prior to that, she held the position of Managing Director
at NVF for 10 years. In the context of her work at NVF, she has served on more than fifteen private biotech and
foundation boards in the US, Europe and Asia. From 2000 to 2006, Anja König was an Associate Partner at
McKinsey & Company in New York. She is currently also a member of the Foundation Board and Foundation
Board Committee at the Swiss National Science Foundation (SNF). Anja König holds a master’s degree (Diploma)
in physics from Ludwig-Maximilians-Universität in Munich and a PhD in theoretical physics from Cornell
University.
Dr. Franz Studer Non-Executive Director, Swiss national, born in 1965
Franz Studer has been a non-executive member of the Board of Directors of Sensirion Holding since 2019. He
serves as member of the Audit Committee. Since 2012, he has served as Investment Director and Member of the
Executive Committee of EGS Beteiligungen AG. In 2010 and 2011, he was CEO/COO of aizo group. Prior to that,
for more than ten years, Franz Studer held various management positions at Bühler AG, including Commercial
Director, Vice President, Engineered Products. From 1994 until 1999, he served as attorney at a law firm in
Zurich. Currently, he serves on the Board of Directors of Roth Gerüste AG (Chairman of the Board), FAES AG
(Chairman of the Board), Kantonsspital Winterthur (Chairman of the Board) and HUBER + SUHNER AG. Franz
Studer received both a Master’s and PhD degree from the Faculty of Law, University of Zurich, bar admission
from the Canton of Zurich and an Executive MBA from the University of St. Gallen.
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65
Changes in the Composition of the Board of Directors
At the Annual General Meeting on 18 May 2021, all members of the Board of Directors were re-elected for
another term of office until completion of the next Annual General Meeting to be held in 2022, and Anja
König was elected as an additional member of the Board of Directors. As part of its long-term succession
planning, the Board of Directors decided that a temporary extension to seven members for one year will
ensure a sustainable transition until Heinrich Fischer will reach the extended age limit for members of the
Board of Directors in 2022.
Other functions and activities
Pursuant to Article 29 of the Articles of Association, no member of the Board of Directors may hold more
than ten mandates on the supreme governing body of companies other than Sensirion Holding AG or its
subsidiaries, of which not more than four may be in listed companies.
Elections and terms of office
The members of the Board of Directors and the Chairman (or the two Co-Chairmen) of the Board of
Directors are elected individually by the general meeting of shareholders for a term of office until com-
pletion of the next Annual General Meeting. Re-election is permitted. If the office of both Co-Chairmen is
vacant, the Board of Directors has to appoint a new Chairman from among its members for a term of
office until completion of the next Annual General Meeting. The Organizational Regulations of Sensirion
Holding AG provide that the Board of Directors shall not propose any candidate for election to the Board
of Directors who is aged 70 years or above. On an exceptional basis, the Board of Directors may propose
candidates aged up to 75 years.
Internal organization
The Board of Directors may appoint one or several vice-chairmen from among its members. The Board
also has to appoint a secretary, who need not be a member of the Board of Directors. According to the
Articles of Association and the Organizational Regulations, the Board of Directors meets at the invitation
of the competent Co-Chairman as often as required and at least four times a year, or whenever a member
of the Board of Directors so requests in writing. In 2021, the Board of Directors held eleven meetings, six
of which were telephone conferences. The meetings lasted on average approximately eight hours each
and the telephone conferences approximately one hour. All on-site meetings were attended by all
members of the Board of Directors. The CEO and CFO regularly participate in meetings of the Board of
Directors in an advisory capacity. Other members of the Executive Committee are invited to advise on
individual items of the agenda.
According to Article 3.6 of the Organizational Regulations and subject to certain exceptions, the Board of
Directors is quorate when the majority of its members (including at least one Co-Chairman) is present.
Generally, the Board of Directors may adopt a resolution by the majority of the votes cast. In case of a tie,
the Co-Chairman who chairs the meetings of the Board of Directors has the casting vote. However,
according to the Organizational Regulations, (i) decisions regarding the registration or non-registration of
acquirers of shares as shareholders with voting rights in deviation from the regulations governing such
registrations and (ii) amendments to the Organizational Regulations that are not of a merely formal nature
or made to conform to statutory requirements require the consent of all members of the Board of
Directors. Resolutions of the Board of Directors may also be passed by way of written consent (including
consent by e-mail or other electronic communication), provided that no member of the Board of Directors
requests oral deliberations.
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Powers and duties
The Board of Directors is responsible for the ultimate direction of the Company and the Group’s business
and the supervision of the persons entrusted with the management of Sensirion. The Board of Directors
represents Sensirion Holding AG vis-à-vis third parties and manages all matters that have not been dele-
gated to another corporate body by law, the Articles of Association, the Organizational Regulations or
other internal regulations.
Pursuant to Article 19 of the Articles of Association, the non-transferable and inalienable duties of the
Board of Directors include:
•
•
•
•
the ultimate management of the Company and the issuance of necessary instructions;
the determination of the organization of the Company;
the structuring of the accounting system, the financial controls and the financial planning;
the appointment and dismissal of the persons entrusted with management and representation of the
Company and issuance of rules on the signature authority;
•
the ultimate supervision of the persons entrusted with management, in particular in view of compliance
•
•
•
with the law, the Articles of Association, regulations and directives;
the preparation of the annual report and the compensation report;
the preparation of the general meeting of shareholders and the implementation of its resolutions;
the adoption of resolutions on the increase of the share capital to the extent that such power is vested
in the Board of Directors, the confirmation of capital increases, the preparation of the report on the
capital increase and the respective amendments to the Articles of Association (including deletions);
•
the non-transferable and inalienable duties and powers of the Board of Directors pursuant to the Swiss
Merger Act;
the notification of the judge if liabilities exceed assets; and
other powers and duties reserved to the Board of Directors by law or the Articles of Association.
•
•
In addition, Article 3.3 of the Organizational Regulations reserves the powers of the Board of Directors
(i) to approve the annual investment and operating budgets of the Company and the Group, (ii) to approve
certain major transactions, including the purchase and sale of real estate, the raising of financial indebt-
edness outside of the ordinary course of business, the granting of unsecured loans and guarantees
exceeding CHF 2 million, any unbudgeted non-recurring investment exceeding CHF 2 million and any
recurring expenses exceeding CHF 500,000 per year, (iii) to adopt or amend the Company’s compensa-
tion and benefits strategy and the basic elements of the compensation system for the members of the
Board of Directors and of the Executive Committee, (iv) to adopt or amend any participation or incentive
plans for the members of the Board of Directors, the Executive Committee, or other employees,
(v) subject to shareholder approval of the maximum aggregate compensation, to approve the compensa-
tion of each member of the Board of Directors, (vi) to establish the Company’s dividend policy and to
approve share buy-back programs, and (vii) to exercise shareholder rights in other Group companies and
to supervise their business operations. Further, the Nomination and Compensation Committee proposes
the individual fixed and variable compensation of the members of the Executive Committee to the Board
of Directors for approval.
In accordance with and subject to Swiss law, the Articles of Association and the Organizational
Regulations, the Board of Directors has delegated the Company’s management to the Executive
Committee under the direction of the CEO.
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67
The Co-Chairmen
According to Article 4 of the Organizational Regulations, each Co-Chairman may exercise all powers of a
Chairman externally and may represent the Company like a Chairman using the title of Co-Chairman. One
Co-Chairman is to chair the meetings of the Board of Directors (as of 31 December 2021 Moritz Lechner)
and the other Co-Chairman is to chair the annual general meeting of shareholders (as of 31 December
2021 Felix Mayer). The Co-Chairman who is to chair the meetings of the Board of Directors has the casting
vote at meetings of the Board of Directors. Further, the Board of Directors has delegated the preparation
and implementation of its resolutions as well as the supervision of particular matters to the Co-Chairmen.
Should a Co-Chairman be unable to exercise his functions, his functions are assumed by the other
Co-Chairman or, if the latter should also be unavailable, by another member of the Board of Directors
appointed by the Board of Directors.
Board Committees
The Board of Directors has established three standing board committees: an audit committee (the
“Audit Committee”), a nomination and compensation committee (the “Nomination and Compensation
Committee”), and an independent directors’ committee (the “Independent Directors’ Committee”).
According to the Organizational Regulations, each standing board committee has the power to procure
any information and assistance from within the Company and the Group that it needs to discharge its
responsibilities and is authorized to obtain subject-specific professional consultancy services from third
parties at the expense of the Company. The chairperson of a board committee reports to the Board of
Directors on the committee’s activities. The minutes of the meetings of the board committees are avail-
able upon request to the members of the Board of Directors.
Audit Committee
The chairperson and the other members of the Audit Committee are appointed by the Board of Directors.
According to Article 5.2 of the Organizational Regulations, a majority of the members of the Audit Com-
mittee shall be independent as defined by the Swiss Code of Best Practice for Corporate Governance of
2016, published by economiesuisse (the “Swiss Code”), and a majority of the members of the Audit
Committee, including its chairperson, shall be experienced in financial and accounting matters. As of
31 December 2021, the Audit Committee consisted of Ricarda Demarmels (Chairwoman), Heinrich Fischer
and Franz Studer.
According to the Charter of the Audit Committee attached to the Organizational Regulations, the Audit
Committee’s responsibilities include:
•
assessing the quality and effectiveness of the external audit and the internal control system,
•
•
•
•
•
•
including risk management;
reviewing the Company’s financial statements and the auditors’ management letter;
making recommendations to the Board of Directors regarding the submission of the Company’s
financial statements to the Annual General Meeting;
assessing the performance, costs and independence of the external auditors;
reviewing the scope of the external audit and any other matters pertaining thereto;
ensuring appropriate reporting by the external auditors;
reviewing any questions, comments or suggestions the external auditors may have regarding
internal control, risk management, accounting practices and procedures with the external auditors
and the CFO;
•
supporting the Board of Directors in preparing the proposal to the general meeting of shareholders
to elect or remove the external auditors;
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•
•
discussing any material legal or risk matters with the Executive Committee;
supporting the Board of Directors with regard to financial planning and the principles of accounting
and financial control;
•
reviewing the appropriateness of the Audit Committee’s powers and responsibilities at least annually
and proposing any amendments to the Board of Directors; and
•
any other tasks delegated to the Audit Committee by the Board of Directors.
The Audit Committee holds meetings as often as required, but in any event at least twice a year, or as
requested by any of its members. In 2021, the Audit Committee held three meetings, which lasted on
average approximately three hours each. All members of the Audit Committee, the CEO as well as the
CFO in an advisory capacity, attended all meetings. External statutory auditors also participated in the
meetings on specific topics.
Nomination and Compensation Committee
The members of the Nomination and Compensation Committee are elected by the general meeting of
shareholders for a term of office until completion of the next Annual General Meeting. Re-election is
possible. According to the Articles of Association, the compensation committee shall consist of at least
three members of the Board of Directors, which also applies to the Nomination and Compensation
Committee for so long as the functions of a nomination committee and a compensation committee are
combined in one committee. In case of vacancies, the Board of Directors may appoint substitute members
from among its members for a term of office until completion of the next Annual General Meeting. The
chairperson of the Nomination and Compensation Committee is appointed by the Board of Directors.
According to the Organizational Regulations, at least one member of the Nomination and Compensation
Committee shall be independent as defined by the Swiss Code. As of 31 December 2021, the Nomination
and Compensation Committee consisted of Felix Mayer (Chairman), Moritz Lechner and Heinrich Fischer,
who were re-elected by the Annual General Meeting on 18 May 2021. Moritz Lechner and Felix Mayer,
Co-CEOs until June 2016, have been proposed as members of the Nomination and Compensation
Committee due to their long-standing experience with the Group and its workforce.
According to the Charter of the Nomination and Compensation Committee attached to the Organizational
Regulations, the Nomination and Compensation Committee’s responsibilities include:
•
reviewing and submitting proposals to the Board of Directors regarding the Company’s compensation
and benefits strategy and the basic elements of the compensation for members of the Board of
Directors and the Executive Committee;
•
developing the compensation system for the members of the Board of Directors and of the Executive
Committee and ensuring its implementation;
•
reviewing and submitting proposals to the Board of Directors regarding any participation or incentive
plans for the members of the Board of Directors, the Executive Committee or other employees;
•
making grants under participation or incentive plans to members of the Executive Committee and
delegating authority to make grants to beneficiaries other than members of the Executive Committee;
•
reviewing and submitting proposals to the Board of Directors regarding the compensation of each
member of the Board of Directors;
•
resolving on the performance criteria and target values of the compensation of the members of the
Executive Committee;
•
proposing the fixed and variable compensation of the CEO and, upon recommendation of the CEO, of
the other members of the Executive Committee to the Board of Directors for approval, subject to
approval of the aggregate compensation by the Annual General Meeting;
Corporate Governance Sensirion Annual Report 2021
69
•
determining selection criteria for the succession of the members of the Board of Directors and its
committees, the CEO and the other members of the Executive Committee (upon motion of the CEO)
and establishing the related succession planning;
•
assessing the performance of the members of the Board of Directors and its committees, as well as
that of the members of the Executive Committee, on an annual basis;
•
reviewing proposals to be made to the Board of Directors for the amendment of the Articles of
Association, the Organizational Regulations or any other rules or regulations;
•
reviewing the appropriateness of the Nomination and Compensation Committee’s powers and
responsibilities at least annually and proposing any amendments to the Board of Directors; and
•
any other tasks delegated to the Nomination and Compensation Committee by the Board of Directors
The Nomination and Compensation Committee holds meetings as often as required, but in any event at
least twice a year, or as requested by any of its members. In 2021, the Nomination and Compensation
Committee held two meetings, which lasted on average approximately two hours each. All members, as
well as in one instance the CEO in an advisory capacity, attended all meetings.
Independent Directors’ Committee
According to the Organizational Regulations, all members of the Board of Directors who are non-
executive, have not been members of the Executive Committee for at least three years, have no or
comparatively minor business relations with the Company and are not the Founders or other represen-
tatives of the shareholder pool to which the Founders belong collectively form the Independent
Directors’ Committee. The chairperson of the Independent Directors’ Committee is appointed by the
members of the Independent Directors’ Committee and also acts as Lead Independent Director. As of 31
December 2021, the Independent Directors’ Committee consisted of Heinrich Fischer (Chairman and
Lead Independent Director), Ricarda Demarmels, François Gabella and Anja König.
The responsibilities of the Independent Directors’ Committee include:
•
approving any transactions between Anchor Shareholders (or their representatives on the Board
of Directors) and the Group;
•
resolving any matters in which an Anchor Shareholder (or its representative on the Board of Directors)
has a conflicting interest;
•
reviewing the appropriateness of the Independent Directors’ Committee’s powers and responsibili-
ties at least annually and proposing any amendments to the Board of Directors;
resolving any changes to the Independent Directors’ Committee’s powers; and
any other tasks delegated to Independent Directors’ Committee by the Board of Directors.
•
•
The Independent Directors’ Committee holds meetings as often as required or as requested by any of its
members. The Independent Directors’ Committee held no meeting in 2021 since no matter to be reviewed
or approved by the Independent Directors’ Committee was pending.
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Areas of responsibility of the Board of Directors and the Executive Committee
The Board of Directors has the ultimate responsibility for the business strategy of Sensirion and super-
vises the management of the Group. In particular, it decides on the strategic, organizational, accounting
and financial planning framework of Sensirion.
The Board of Directors has delegated the management to the Executive Committee under the direction
of the CEO. The powers and duties of the CEO and the Executive Committee are set forth in the
Organizational Regulations. The CEO has all powers and duties that are not reserved to the Board
of Directors or the Co-Chairmen by virtue of law, the Articles of Association or the Organizational
Regulations. The CEO chairs the Executive Committee and is responsible for:
•
preparing and implementing resolutions of the Board of Directors and making proposals to the Board
•
•
of Directors;
organizing, managing and supervising the day-to-day business;
making proposals regarding the appointment of other members of the Executive Committee and for
the approval of certain major transactions;
•
organizing the Executive Committee and preparing, calling and chairing Executive Committee meetings;
and
•
ensuring a timely and orderly flow of information between the Executive Committee and the Board
of Directors.
The Executive Committee shall support the CEO in the discharge of his duties and shall consider and
decide on all matters and decisions material to the Group that are within its purview. The Executive
Committee meets on a regular basis in accordance with the guidelines and instructions established from
time to time by the CEO.
Information and control instruments vis-à-vis the Executive Committee
The CEO informs the Board of Directors at its meetings on the current course of business and all major
business matters of the Company or the Group companies. On a quarterly basis, the CEO informs the
Board of Directors on quarterly results (with a comparison to the budget and the result of the
previous quarter and the same quarter of the previous year), the Company’s financial situation, as well
as any developments that might have a significant impact on the course or conduct of business.
Any extraordinary matters must be reported by the CEO to the members of the Board of Directors
without delay.
The Co-Chairmen maintain close contact with the CEO and the other members of the Executive
Committee. The course of business and all major issues are discussed at regular meetings with the
CEO and/or the CFO scheduled at least once a month. Each member of the Board of Directors may
request information from the CEO and from the other members of the Executive Committee on the
course of business.
The Executive Committee updates the Board of Directors on the status of the business plan and key
financial figures on a monthly basis. Disruptive differences to the business plan are reported by the
CEO to the Co-Chairmen on a case-by-case basis. The yearly forecast and business plan are approved
by the Board of Directors.
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71
The internal audit, control and risk management systems within the Group are based on structured and
assigned competencies, which are implemented in the ERP system based on function and legal entity.
To mitigate financial risks, the subsidiaries may not take out any credit lines nor any bank loans with
third parties. Furthermore, clear delimitations of responsibilities and process-integrated controls such
as the use of the dual control principle constitute additional control measures. During the financial
year, specific control activities have been performed at subsidiary level to ensure a proper and reliable
accounting from a stand-alone but also from a group view.
The correctness and effectiveness of the internal control system is ensured on an annual basis by
process-independent auditing activities by internal audit team members and is regularly reported to
the Executive Committee and the Audit Committee. The internal audit reports are made available to the
external statutory auditors.
The subsidiaries report their financial results to the Executive Committee on a monthly basis. Recruit-
ing of new staff at the subsidiary level has to be approved by the respective board of directors.
In addition, the Board of Directors of Sensirion Automotive Solutions AG, Qmicro B.V. and Sensirion
Connected Solutions AG receive a separate financial and business update from its businesses on a
quarterly basis.
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Executive Committee
In accordance with and subject to Swiss law, the Articles of Association and the Organizational Regulations,
the Board of Directors has delegated the Company’s management to the Executive Committee under the
direction of the CEO.
Members of the Executive Committee
According to the Organizational Regulations, the CEO is appointed by the Board of Directors and shall not
be a member of the Board of Directors. The other members of the Executive Committee are appointed or
removed by the Board of Directors upon motion of the CEO.
As of 31 December 2021, the Executive Committee consisted of six members (including the CEO). The
following table sets forth the name and position of each member of the Executive Committee.
Name
Appointed
Position
Dr. Marc von Waldkirch
Dr. Johannes Bleuel
Matthias Gantner
Heiko Lambach
Dr. Andrea Orzati
Dr. Johannes Schumm
2016
2012
2012
2011
2013
2016
Other functions and activities
CEO
VP Operations
CFO
VP Human Resources
VP Sales & Marketing
VP Research & Development
Pursuant to Article 29 of the Articles of Association, no member of the Executive Committee may hold
more than five mandates on the supreme governing body of companies other than Sensirion Holding AG
or its subsidiaries, of which not more than one may be in listed companies.
Management contracts
Sensirion Holding AG has not entered into any management contracts with other companies (or
individuals) not belonging to the Group.
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73
Executive Committee
Matthias Gantner, CFO
Marc von Waldkirch, CEO
Heiko Lambach, VP Human Resources
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Andrea Orzati, VP Sales & Marketing
Johannes Bleuel, VP Operations
Johannes Schumm, VP Research & Development
Corporate Governance Sensirion Annual Report 2021
75
Executive Committee
Executive Committee
Dr. Marc von Waldkirch CEO, Swiss national, born in 1974
Marc von Waldkirch has been serving as the Company’s CEO since 2016. Before becoming CEO, he held a
variety of management positions in the Group from 2005 to 2016, including Vice President Research &
Development and Head of the Research & Development Liquid Flow Sensors. Before joining the Group, he
worked as Research Assistant at the Swiss Federal Institute of Technology (ETH Zurich). Currently, Marc von
Waldkirch serves on the Board of Directors of Tannerberg AG. He received a MSc in Physics and a PhD in
Electrical Engineering, both from ETH Zurich.
Dr. Johannes Bleuel VP Operations, German national, born in 1971
Johannes Bleuel has been the Vice President Operations since 2012. Prior to joining the Group, he was COO of
E-Senza Technologies GmbH for three years. Prior to that, he worked at Siemens Communications in Germany
and the United States for nine years, where he held various management positions in R & D and Operations.
He studied Physics at the Technical University Darmstadt (Dipl.Phys.) and holds a PhD in Physics from the
Technical University Munich.
Matthias Gantner CFO, German national, born in 1964
Matthias Gantner has been serving as the Company’s CFO since 2012. He has many years of experience in
finance and, prior to joining the Group, he held the position of Head of Service and Sales Order Processing at
allsafe Jungfalk for one year, where he was a member of the Executive Committee for the same period. Prior to
that, he held various functions related to finance and controlling at Norican Group for thirteen years and worked
as Controller at Schiesser Eminence Group for three years. He holds a degree in Business Administration from
the University of Applied Sciences, Pforzheim (Dipl.-Betriebswirt).
Heiko Lambach VP Human Resources, German national, born in 1968
Heiko Lambach has been the Vice President Human Resources since 2011. Prior to joining the Group, he held
various human resources positions, including the position of Director Human Resources at Shot Blast Europe
(Georg Fischer) DISA Industrie AG for eight years. Prior to that, he worked as Human Resources Manager at
FJA Feilmeier & Junker AG in Germany for five years. After studying Economics at the University of Applied
Sciences in Bochum, he joined Orsay GmbH in Germany, where he started his career as Personnel Officer. Heiko
Lambach holds a degree in Business Administration (Dipl.-Betriebswirt).
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Dr. Andrea Orzati VP Sales & Marketing, Italian and Swiss national, born in 1973
Andrea Orzati has been Vice President Sales & Marketing since 2013. After joining the Group in 2008, he held
various positions, including Vice President of Mobile & Consumer Business, Director International Sales and
Manager Distribution Network. Before that, he worked for u-blox AG as Design Manager for three years and was
a Research Group Leader at the Swiss Federal Institute of Technology (ETH Zurich) for two years. Currently,
Andrea Orzati is partner of ILA Wine SCL. He studied Electronic Engineering at the University of Cagliari and
holds a PhD in Microwave Electronics from ETH Zurich, as well as a joint MBA from the Ecole Poly technique
Fédérale de Lausanne (EPFL) and the Faculty of Business and Economics of the University of Lausanne (HEC
Lausanne).
Dr. Johannes Schumm VP Research & Development, German national, born in 1979
Johannes Schumm has been the Vice President Research & Development since 2016. Before that, he worked as
Director of Research & Development Pressure Sensors and Project Manager. Prior to joining the Group in 2010,
he was Research Assistant at the Swiss Federal Institute of Technology (ETH Zurich) for four years. He studied
Electrical Engineering and Information Technology at RWTH Aachen University and received a PhD in Electrical
Engineering from ETH Zurich.
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77
Compensation, shareholdings and loans
Information on the compensation and shareholdings of the members of the Board of Directors and the
Executive Committee are set forth in the Compensation Report starting on page 82.
Shareholders’ participation rights
Voting rights restrictions and representation
At the general meeting of shareholders of Sensirion Holding AG, each registered share of Sensirion
Holding AG entitles the owner to one vote. A shareholder may only exercise voting rights or rights
associated therewith to the extent that such shareholder has been recorded in the share register as a
shareholder with voting rights. No shareholder or proxy may, directly or indirectly, exercise voting rights
attached to shares that he or she owns or represents that would collectively exceed 5 % of the shares of
Sensirion Holding AG recorded in the commercial register (the “Voting Limit”; see Article 12 of the
Articles of Association). According to Article 12 para. 3 of the Articles of Association, a group clause
applies to determine whether the Voting Limit is crossed. The Voting Limit does not apply to (i) the exer-
cise of voting rights by shareholders or their proxies, respectively, to the extent that their shares are
registered with voting rights in the share register (see above “Limitations on Transferability and Nominee
Registrations” on page 59) or (ii) to the independent proxy to the extent that he has been appointed as
proxy by shareholders. A resolution passed at a general meeting of shareholders with a qualified major-
ity of at least two-thirds of the votes represented and the absolute majority of the par value of shares
represented at such meeting is required for the amendment or cancelation of Article 12 para. 1 to 4 of
the Articles of Association regarding the Voting Limit.
Shareholders of Sensirion Holding AG may elect to be represented at a general meeting of shareholders
by the independent proxy, by their legal representative or, by means of a written proxy, by any other
proxy, who need not be a shareholder. On 18 May 2021, the Annual General Meeting re-elected Law
Office Keller Partnership, Zurich, as the independent proxy of Sensirion Holding AG for a term of office
until completion of the next Annual General Meeting.
Quorum and majorities required by the Articles of Association
There is no provision in the Articles of Association requiring the presence of shareholders to constitute a
quorum for general meetings of shareholders.
Shareholders’ resolutions generally require the approval of an absolute majority of the votes represented
at the general meeting of shareholders, unless otherwise required by Swiss law or the Articles of Asso-
ciation. A resolution passed at a general meeting of shareholders with a qualified majority of at least two-
thirds of the votes represented and the absolute majority of the par value of shares represented at such
meeting is required by law and the Articles of Association for (i) any amendment of the Company’s
purpose; (ii) the creation or cancelation of shares with privileged voting rights; (iii) restrictions on the
transferability of registered shares and the cancelation of such a restriction; (iv) an authorized or
conditional share capital increase; (v) a share capital increase by conversion of equity surplus, against
contributions in kind or for purposes of an acquisition of assets, or the granting of special benefits;
(vi) the limitation or withdrawal of pre-emptive rights of shareholders; (vii) the relocation of the registered
office of the Company; (viii) the dissolution of the Company; and (ix) mergers, demergers and conver-
sions pursuant to the Swiss Merger Act. In addition, such qualified majority is also required pursuant to
Article 13 para. 2 section 10 of the Articles of Association for the amendment or cancellation of the follow-
ing provisions of the Articles of Association, with the exception of editorial or technical amendments:
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Sensirion Annual Report 2021 Corporate Governance
(w) the provisions regarding the share register, restrictions on the registration of shareholders therein,
and nominees (Article 5), (x) the provisions regarding shareholders’ right to vote, including the Voting
Limit (Article 12 para. 1 to 4), (y) the provision regarding the size of the Board of Directors (Article 14) and
(z) the provision regarding the opting-up in relation to the obligation to make a mandatory tender offer
(Article 33).
Calling and agenda of the general meeting of shareholders
General meetings of shareholders are convened by the Board of Directors or, if necessary, by the exter-
nal auditors in accordance with Swiss law. An extraordinary general meeting of shareholders must be
convened upon resolution of a general meeting of shareholders or upon written request by one or several
shareholders who represent an aggregate of at least 10 % of the Company’s share capital recorded in the
commercial register, provided that such request specifies the agenda items and the proposals or, in case
of elections, the names of the proposed candidates. One or several shareholders who represent an
aggregate of at least 3 % of the Company’s share capital recorded in the commercial register have the
right to request that a specific proposal be put on the agenda for the next general meeting of share-
holders. The Articles of Association require that such request is communicated to the Board of Directors
at least 45 calendar days prior to the next general meeting.
A general meeting of shareholders is convened at least 20 calendar days prior to such meeting by pub-
lishing a notice of the meeting in the Swiss Official Gazette of Commerce (Schweizerisches Handelsamts-
blatt). Registered shareholders may in addition be notified of a general meeting of shareholders in writing.
Registration in the share register
Prior to a general meeting of shareholders, the Board of Directors will determine the date on which a
shareholder has to be registered in the share register in order to exercise his or her participation and
voting rights in the general meeting of shareholders. This record date will be published, together with the
invitation to the general meeting of shareholders, in the Swiss Official Gazette of Commerce. As a rule, the
share register will be closed for new entries around 10 days prior to the general meeting of shareholders.
Changes of control and defense measures
Duty to make an offer and opting-up
Pursuant to the Swiss Federal Financial Market Infrastructure Act (“FMIA”), any person that acquires
equity securities of a company whose shares are listed on a Swiss stock exchange, whether directly or
indirectly or acting in concert with third parties, and, as a result, exceeds the threshold of 33 1/3 % of the
voting rights (whether exercisable or not) of such company must submit a public tender offer to acquire
100 % of the listed equity securities of such company. Article 33 of the Articles of Association of Sensirion
Holding AG provides for an opting-up pursuant to art. 135 para. 1 FMIA by raising such threshold to 40 %
of the voting rights of Sensirion Holding AG. Accordingly, the rules regarding mandatory tender offers
would only be triggered if the threshold of 40 % of the voting rights is exceeded.
Clauses on changes of control
Sensirion Holding AG granted restricted share units (“RSUs”) outstanding as of 31 December 2021 to
employees of the Group, including members of the Executive Committee, under the Bonus and Restricted
Share Unit Plan of Sensirion Holding AG (see Compensation Report on pages 85 to 87). In the event of a
change of control of Sensirion Holding AG, the Board of Directors may in its sole discretion (i) terminate
unvested RSUs against compensation, (ii) convert, replace or roll over unvested RSUs and (iii) in the event
of a conversion, sell the shares resulting from such conversion.
Corporate Governance Sensirion Annual Report 2021
79
Auditors
Duration of the mandate and term of office of the lead auditor
KPMG AG (“KPMG”), Badenerstrasse 172, 8036 Zurich, Switzerland has acted as statutory external auditor
of Sensirion Holding AG since 2008. The Annual General Meeting re-elected KPMG as external auditors
on 18 May 2021. Silvan Jurt (Partner) has been acting as the responsible lead auditor since 2019. In
accordance with Swiss law, the lead auditor will rotate at least every seven years.
Auditing fees and additional fees
In the financial year 2021, total auditing fees charged by KPMG for the audit of the consolidated financial
statements of Sensirion Holding AG and its Group companies as well as the audit of the statutory financial
statements of Sensirion Holding AG amounted to CHF 342,000. This includes audit-related additional fees
of CHF 104,000.
For additional services performed by KPMG in the financial year 2021, Sensirion was charged total non-
auditing fees as follows.
Additional fees, in thousand of CHF
Tax advice
Equal pay analysis
Total
Information instruments
Amount
61
7
68
The Board of Directors exercises its responsibility for the supervision of the auditors through the Audit
Committee which assesses the quality and effectiveness of the external audit on a regular basis. The
Audit Committee reviews the scope of the external audit, the audit plan, as well as the results of the
external audit. Further, the Audit Committee reviews any questions, comments or suggestions of the
external auditors regarding internal control, risk management and accounting practices and procedures
with the external auditors and the CFO.
In addition to the audit reports on the consolidated financial statements and the statutory financial state-
ments of Sensirion Holding AG, the external auditors prepare a comprehensive report for the Board of
Directors pursuant to Article 727a CO. The Audit Committee discusses the comprehensive report and the
results of the external audit in detail with the external auditors.
The lead auditor attended all meetings of the Audit Committee. Further, the Audit Committee assesses
the performance, costs and independence of the external auditors on an annual basis and supports the
Board of Directors in preparing the proposal to the general meeting of shareholders to elect the external
auditors.
The Audit Committee verifies that any additional services of the external auditors not relating to the audit
services are provided within the independence requirements pursuant to Swiss law. The external auditors
are required to confirm that their performance of these additional services will not affect their indepen-
dence for the audit mandate.
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Sensirion Annual Report 2021 Corporate Governance
Information policy
Sensirion Holding AG publishes its annual report and its interim report on the dates listed in the financial
calendar set forth below and published on its Investor Relations website at https://www.sensirion.com/
financial-calendar. Financial reports, press releases, information on corporate governance and share
information are available on the Investor Relations website at https://www.sensirion.com/investors.
The CEO, the CFO and the Director Investor Relations regularly take part in various external investor
meetings.
Sensirion Holding AG publishes price-sensitive information in accordance with its disclosure obligations
pursuant to the rules of the SIX Swiss Exchange (rules on ad hoc publicity). Interested persons may join
Sensirion’s mailing list for ad hoc disclosures by subscribing for the company’s financial media releases
at https://www.sensirion.com/financial-newsletter. Further information for shareholders is available at
https://www. sensirion.com/ad-hoc-notices.
General black-out periods
According to the Company's securities trading policy, members of the Board of Directors and the
Executive Committee and employees directly reporting to them including their respective staff having
access to inside information are prohibited from trading in shares and other securities of the Company
as well as related financial instruments during the following periods due to their access to confidential
information on a regular basis:
• the periods starting two weeks prior to the end of any half- and full-year reporting period of the
Company and ending one full trading day following the public release of the respective results;
• the period starting two weeks before any other public earnings release of the Company and
ending one full trading day following such public release; and
• the period starting four weeks prior to the first public release of an offering memorandum for the
issuance of shares or other securities of the Company and ending one full trading day following
such public release.
Contact
Sensirion Holding AG · Heiko Komaromi, Director Investor Relations and Business Development
Laubisrütistrasse 50 · 8712 Stäfa · Switzerland
Phone +41 44 544 1644 · heiko.komaromi@sensirion.com
Financial calendar
15 March 2022
2021 full-year results and annual report
16 May 2022
Annual general meeting
24 August 2022 2022 half-year results and interim report
Corporate Governance Sensirion Annual Report 2021
81
Compensation Report
This Compensation Report describes Sensirion’s principles of compensation and provides information on
the compensation awarded to the members of the Board of Directors and the Executive Committee in the
financial year 2021. The Compensation Report has been prepared in accordance with the Ordinance
against Excessive Remuneration in Listed Companies Limited by Shares (the “Compensation Ordinance”),
item 5 of the Directive on Information relating to Corporate Governance of SIX Exchange Regulation and
the Swiss Code of Best Practice for Corporate Governance issued by economiesuisse (the “Swiss Code”).
The Compensation Report will be presented to the annual general meeting of shareholders of Sensirion
Holding AG (the “Annual General Meeting”) on 16 May 2022 for a consultative vote.
Basic principles of compensation
The compensation system of Sensirion aims to attract, engage and retain talented, highly qualified and
motivated executives and employees to implement Sensirion’s strategy, to ensure sustainable corporate
growth, to foster an entrepreneurial mindset and to create long-term sustainable shareholder value. The
key principles of our compensation system are based on our company values “fair and honest, work
together, top performance” and are as follows:
•
•
•
Fairness, transparency and simplicity (reflecting “fair and honest”);
Reward for performance (reflecting “top performance”);
Focus on sustainable long-term value creation, thereby aligning executives’ and employees’ interests
with shareholders’ interests (reflecting “work together”).
In order to implement the above-mentioned principles, we treat all employees, including the Executive
Committee, in the same manner regarding remuneration. In addition, as a result of Sensirion’s long-term
business perspective based on the fact that the majority of projects worked on in a given year only
generate relevant revenues within a timeframe of two to four years, Sensirion does not believe that a very
short-term view reflects all considerations pertaining to an annual bonus. As a consequence, our guiding
principles for the annual bonus are as follows:
•
•
Employees participate in the long-term development of Sensirion by way of the Bonus and RSU Plan.
At Sensirion, individual performance is assessed against pre-defined individual performance
objectives and discussed with the supervisor as part of a year-end personal review meeting where
new individual performance objectives are determined for the following year.
•
Sensirion believes that individual performance cannot be fully measured by key performance
indicators only and that looking at quantitative targets only may create wrong incentives. Therefore,
(i) the major part of an employee’s compensation consists of a fixed base salary and the variable
bonus only accounts for a small portion of the total compensation and (ii) the bonus takes into account
the overall assessment of an employee’s individual performance by their direct supervisor. The annual
bonus typically amounts to up to 10 % of fixed compensation for employees and up to 20 % of fixed
compensation for members of the Executive Committee.
•
For the members of the Executive Committee, the aggregate variable compensation proposed to the
Annual General Meeting by the Board of Directors is subject to approval by the Annual General Meeting
before being executed.
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Sensirion Annual Report 2021 Compensation Report
Compensation governance
Responsibility for compensation
In accordance with the Articles of Association and the Organizational Regulations of Sensirion Holding
AG, the Board of Directors is responsible for the compensation and benefits strategy of Sensirion and for
the basic elements of the compensation system for the members of the Board of Directors and of the
Executive Committee. The Board of Directors approves the individual compensation of the members of
the Board of Directors and the Executive Committee subject to approval of the maximum aggregate
compensation by the Annual General Meeting.
The Nomination and Compensation Committee supports the Board of Directors in compensation-related
matters. It consists of at least three members of the Board of Directors, of which at least one member
must be independent as defined by the Swiss Code. As of 31 December 2021, the Nomination and
Compensation Committee consisted of Felix Mayer (Chairman), Moritz Lechner and Heinrich Fischer, who
were re-elected by the Annual General Meeting on 18 May 2021. According to the Charter of the Nomina-
tion and Compensation Committee attached to the Organizational Regulations, the Nomination and
Compensation Committee has the following main tasks:
•
developing the compensation system for the members of the Board of Directors and the Executive
Committee and ensuring its implementation;
•
making grants under participation or incentive plans to members of the Executive Committee and
delegating authority to make grants to beneficiaries other than members of the Executive Committee;
•
resolving on the performance criteria and target values of the compensation of the members of the
Executive Committee; and
•
proposing the fixed and variable compensation of the CEO and, upon recommendation of the CEO, of
the other members of the Executive Committee to the Board of Directors for approval, subject to
approval of the aggregate compensation by the Annual General Meeting.
The Nomination and Compensation Committee holds meetings as often as required, but in any event at
least two times a year, or as requested by any of its members. In 2021, the Nomination and Compensation
Committee held two meetings, which all members attended. The Chairman of the Nomination and
Compensation Committee reports to the Board of Directors on the committee’s activities. The minutes of
the meetings of the Nomination and Compensation Committee are available upon request to the members
of the Board of Directors.
Additional information on the Nomination and Compensation Committee is provided in the Corporate
Governance Report on page 69 and 70.
Compensation Report Sensirion Annual Report 2021
83
83
Authorities in compensation-related matters
AGM
Board
NCC
CEO
Compensation and benefits strategy;
basic elements of the compensation system
Approves
Proposes
Maximum aggregate compensation of the Board Approves
Proposes
Proposes
Individual compensation of Board members
Approves
Proposes
Maximum aggregate fixed compensation
of the EC (prospective)
Aggregate variable compensation of the EC
(retrospective)
Approves
Proposes
Proposes
Approves
Proposes
Proposes
Individual compensation of the CEO
Approves
Proposes
Individual compensation of other EC members
Approves
Proposes
Proposes
Performance criteria and target values
of compensation of EC members
Approves
Proposes
Compensation Report
Consultative vote Approves
Proposes
AGM: Annual General Meeting; Board: Board of Directors; NCC: Nomination and Compensation Committee; CEO: Chief
Executive Officer; EC: Executive Committee
Shareholders’ approval of compensation (Say on Pay)
In accordance with Article 18 of the Compensation Ordinance and Article 25 of the Articles of Association,
the Annual General Meeting must approve the proposals by the Board of Directors regarding the
aggregate amounts of:
(1) the maximum compensation of the Board of Directors until completion of the next Annual General Meeting;
(2) the maximum fixed compensation of the Executive Committee for the following financial year; and
(3) the variable compensation of the Executive Committee for the preceding financial year.
The following chart shows for which periods proposals on compensation will be submitted for approval
to the Annual General Meeting on 16 May 2022.
AGM 2022
(16 May 2022)
AGM 2023
1 Board of Directors
Max. aggregate compensation of Board
of Directors until completion of Annual
General Meeting 2023 (prospective)
2 Executive Committee fixed
Max. aggregate fixed compensation
of Executive Committee for financial
year 2023 (prospective)
3 Executive Committee variable
Aggregate variable compensation
of Executive Committee for financial
year 2021 (retrospective)
Financial year 2021
Financial year 2022
Financial year 2023
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Sensirion Annual Report 2021 Compensation Report
If the maximum aggregate amount of compensation of the Executive Committee already approved by the
Annual General Meeting is not sufficient to also cover the compensation of persons newly appointed to
or promoted within the Executive Committee, each such person may be paid up to 40 % (in the case of the
CEO) or 20 % (all other members of the Executive Committee), as applicable, of the aggregate amount of
(maximum) compensation of the Executive Committee last approved by the Annual General Meeting.
Compensation rules in the Articles of Association
The Articles of Association of Sensirion Holding AG, which can be found on our website (https://www.
sensirion.com/articles-of-association-internal-regulations), provide for the principles of compensation
applicable to the Board of Directors and the Executive Committee. These provisions include:
•
Approval of the compensation of the Board of Directors and the Executive Committee by the Annual
General Meeting (Article 25);
•
•
Supplemental amount for changes to the Executive Committee (Article 26); and
Principles of compensation of the members of the Board of Directors and the Executive Committee
(Article 27).
The Articles of Association do not provide for the granting of loans and credit facilities to the members
of the Board of Directors or the Executive Committee.
Compensation of the members of the Board of Directors
Compensation structure
The compensation for the members of the Board of Directors consists exclusively of a fixed compensa-
tion in cash to ensure that the Board of Directors remains independent in exercising its supervisory duties
towards the Executive Committee. In accordance with the Articles of Association, the Board of Directors
determines the amount of compensation of its members based on their position and level of responsibil-
ity on an annual basis.
The Co-Chairmen are both acting for Sensirion AG, Stäfa, Switzerland, each on a 50 % basis, and are
responsible for sensor innovation and strategic tasks. They are not involved in the day-to-day manage-
ment of Sensirion. For their work, each Co-Chairman receives a fixed compensation of CHF 250,000 p.a.,
consisting of CHF 100,000 for their role as Co-Chairman and CHF 150,000 for sensor innovation and stra-
tegic tasks. In addition, they participate in the occupational pension plans of Sensirion. The Co-Chairmen
are neither entitled to a performance-related compensation nor to any additional compensation as
Co-Chairmen and chairman or member of any committee.
The compensation awarded to the other members of the Board of Directors consists of a fixed board
membership fee of CHF 50,000 p.a. and additional fixed fees as chairperson or member of a committee
of the Board of Directors as set forth below.
Compensation Report Sensirion Annual Report 2021
85
Elements of Board compensation (in CHF per year)
Chairperson
Member
Board of Directors
Audit Committee (AC)
Nomination and Compensation Committee (NCC)
Independent Directors’ Committee (IDC)
250,0001
30,000
n/a2
10,000
50,000
20,000
10,0003
10,000
1 Each Co-Chairman receives a fixed compensation of CHF 250,000 p.a. by Sensirion AG, each on a 50 % basis, CHF 100,000 for
their role as Co-Chairman and CHF 150,000 for sensor innovation and strategic tasks. The Co-Chairmen do not receive any
additional compensation as Co-Chairmen of the Board of Directors.
2 Dr. Felix Mayer, Co-Chairman, does not receive any additional compensation as chairman of the NCC.
3 Dr. Moritz Lechner, Co-Chairman, does not receive any additional compensation as member of the NCC.
In 2021 for a second time after 2018, prior to the IPO at that time, Sensirion performed a comparison of
the compensation for the members of the Board of Directors with peers listed on the SIX Swiss Exchange
from the technology and manufacturing sectors with revenues in the range of CHF 50-600 million.
In addition, all members of the Board of Directors may be compensated with an additional fee in
exceptional circumstances for performing special tasks for Sensirion, assigned to them and approved by
the Board of Directors, that are outside of their regular duties and activities as members of the Board of
Directors.
The members of the Board of Directors are compensated in cash. The cash compensation is paid to the
Co-Chairmen on a monthly basis and to the other members of the Board of Directors on an annual basis
in arrears. Further, the members of the Board of Directors are reimbursed for all reasonable expenses
incurred by them in the discharge of their duties.
The Nomination and Compensation Committee reviews the annual compensation of the members of the
Board of Directors and submits a proposal to the Board of Directors regarding the compensation of each
member of the Board of Directors on an annual basis. The Co-Chairmen and the other members of the
Nomination and Compensation Committee participate in meetings of the Nomination and Compensation
Committee where their compensation is discussed. The Nomination and Compensation Committee
decides collectively on the overall proposal to the Board of Directors regarding the individual compensa-
tion of the members of the Board of Directors. The Board of Directors approves collectively in one vote
the individual compensation of the Co-Chairmen and its other members as well as the proposal to the
Annual General Meeting regarding the aggregate amount of the maximum compensation for all of its
members once per year in a meeting where all members are present..
Compensation awarded to the members of the Board of Directors
As of 31 December 2021, the Board of Directors consisted of seven members. At the Annual General
Meeting on 18 May 2021, all current members of the Board of Directors were re-elected for another period
and Anja König was elected as a new member of the Board of Directors. For the financial years 2021 and
2020, the compensation of the members of the Board of Directors is set out in the table below.
The compensation awarded to the members of the Board of Directors for the term up to the Annual General
Meeting 2021 was within the maximum aggregate amount of compensation approved by the Annual General
Meeting 2020 as set forth below. The maximum aggregate amount of compensation for the members of
the Board of Directors for the current term was approved at the Annual General Meeting on 18 May 2021.
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Sensirion Annual Report 2021 Compensation Report
Compensation period
Approved (CHF)
Effective (CHF
AGM 2020 – AGM 2021
AGM 2021 – AGM 2022
930,000
1,010,000
925,051
to be determined1
AGM: Annual General Meeting
1 The effective amount will be disclosed in the 2022 Compensation Report.
Compensation of the Board of Directors in 2021 (audited)
In CHF
Dr. Moritz Lechner, Co-Chairman
Dr. Felix Mayer, Co-Chairman
Ricarda Demarmels
Heinrich Fischer
François Gabella
Dr. Anja König1
Dr. Franz Studer
Total
Basic
compensation
Additional compensation
(committees,
special tasks)
Pension benefits
and social
security
contributions
Total
compensation
250,0002
250,0002
50,000
50,000
50,000
33,333
50,000
–
–
40,000
40,000
10,000
6,667
20,000
45,643
49,398
6,7673
4,6993
4,5113
2,9383
5,2633
295,643
299,398
96,767
94,699
64,511
42,938
75,263
733,333
116,667
119,219
969,219
1 Member of the Board of Directors since 18 May 2021.
2 Each Co-Chairman receives a fixed compensation of CHF 250,000 p.a. by Sensirion AG, each on a 50 % basis, consisting
of CHF 100,000 for their role as Co-Chairman and CHF 150,000 for sensor innovation and strategic tasks. The Co-Chairmen do
not receive any additional compensation as Co-Chairmen of the Board of Directors.
3 Social security contributions required by Swiss Law.
Compensation of the Board of Directors in 2020 (audited)
In CHF
Dr. Moritz Lechner, Co-Chairman
Dr. Felix Mayer, Co-Chairman
Ricarda Demarmels
Heinrich Fischer
François Gabella2
Dr. Franz Studer2
Total
Basic
compensation
Additional compensation
(committees, special
tasks)
Pension benefits
and social
security
contributions
Total
compensation
250,0001
250,0001
50,000
50,000
50,000
50,000
700,000
–
–
40,000
40,000
10,000
20,000
40,405
44,188
6,6542
4,6072
4,4362
5,0702
290,405
294,188
96,654
94,607
64,436
75,070
110,000
105,360
915,360
1 Each Co-Chairman received a fixed compensation of CHF 250,000 p.a. by Sensirion AG, each on a 50 % basis, consisting
of CHF 100,000 for their role as Co-Chairman and CHF 150,000 for sensor innovation and strategic tasks. The Co-Chairmen
did not receive any additional compensation as Co-Chairmen of the Board of Directors.
2 Social security contributions required by Swiss Law.
Compensation Report Sensirion Annual Report 2021
87
Loans or Credits to members of the Board of Directors (audited)
As of 31 December 2021, there were no outstanding loans or credit facilities between Sensirion and
current members of the Board of Directors.
Former members of the Board of Directors (audited)
In 2021, no compensation was paid to former members of the Board of Directors. As of 31 December 2021,
there were no outstanding loans or credit facilities between Sensirion and former members of the Board
of Directors.
Related parties of members of the Board of Directors (audited)
In 2021, no compensation was paid to parties closely related to current or former members of the Board
of Directors. As of 31 December 2021, there were no outstanding loans or credit facilities between
Sensirion and parties closely related to current or former members of the Board of Directors.
Compensation of the members of the Executive Committee
Compensation structure
The compensation for the members of the Executive Committee (or “EC”) consists of an annual base
salary, benefits and a bonus awarded in the form of restricted shares and restricted share units (“RSUs”).
Compensation components
Instrument
Purpose
Influenced by
Annual base salary
Bonus
(share-based compensation)
Benefits
Base salary
Basic fixed
compensation
Paid in cash on a
monthly basis
Annual variable
bonus
Paid in restricted
shares and RSUs
Attract and retain
talented and highly
qualified executives
Position
Experience
Competitive market
Reward individual and
company performance
Align to shareholders’
interest
Foster entrepreneurial
mindset
Contribution to
short-, mid- and long-
term goals of the
company
Personal initiative
Individual extra efforts
Pension benefits
and social security
contributions
Allowances in kind
Risk protection for
participants and their
dependents
Market practice and
position
Legal requirements
Members of the Executive Committee receive an annual base salary as fixed compensation paid in cash
on a monthly basis. It reflects the scope and key areas of responsibility of the position, the qualification
and skills required to perform the role, and the experience, seniority and skill set of the individual person.
The base salary is reviewed and determined on an annual basis by the Nomination and Compensation
Committee and approved by the Board of Directors. The CEO makes recommendations to the Nomination
and Compensation Committee for the base salary of the other members of the Executive Committee.
In 2021, Sensirion performed a comparison of the compensation for the members of the Executive
Committee with peers listed on the SIX Swiss Exchange from the technology and manufacturing sectors
with revenues in the range of CHF 50-600 million.
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Sensirion Annual Report 2021 Compensation Report
Bonus (Equity Award)
Members of the Executive Committee are awarded an annual bonus as variable compensation paid in
restricted shares subject to a blocking period of three years and in RSUs subject to a vesting period of
three years under Sensirion’s Bonus and Restricted Share Unit Plan (the “Bonus and RSU Plan”), as
further described below. As a result, the annual bonus consists of both a short-term incentive and a long-
term incentive. According to Article 25 of the Articles of Association, the aggregate amount of the annual
bonuses awarded to the members of the Executive Committee is subject to the approval of the variable
compensation for 2021 by the Annual General Meeting on 16 May 2022.
The Nomination and Compensation Committee proposes the annual bonus of the CEO, and upon recom-
mendation of the CEO, the annual bonus of each other member of the Executive Committee in its sole
discretion on an annual basis.
In determining variable compensation, Sensirion takes an encompassing approach that considers both
meeting measurable targets and qualitative factors. The number of restricted shares to be awarded is
determined by dividing the bonus amount by an average price of the shares as quoted on the SIX Swiss
Exchange over a period of time prior to the date of allocation of the shares as determined by the Company
in its sole discretion (in 2021, 10 (ten) trading days), rounded up to the nearest full number of shares. The
number of RSUs to be awarded is determined by the Board of Directors in its sole discretion upon recom-
mendation of the Nomination and Compensation Committee. In 2021, the RSUs awarded for the 2021
bonus of the members of the Executive Committee represented 100 % of the value of the restricted shares
to create long-term incentives and alignment with shareholders’ interests. The Nomination and Compen-
sation Committee submits the individual annual bonuses to be awarded to the members of the Executive
Committee to the full Board of Directors for approval on an annual basis.
As a result of Sensirion’s long-term business perspective based on sustainable innovation and resulting
long investment cycles, common, mainly short-term-oriented, quantitative target metrics are considered
inappropriate to determine the annual bonus of the members of the Executive Committee on a strictly
mathematical basis. Sensirion believes that individual performance cannot be fully measured by key
performance indicators only and that looking at quantitative targets only may create wrong incentives.
Therefore, the major part of the compensation consists of a fixed base salary, and the variable bonus,
which is based on performance criteria, only accounts for a small portion of the total compensation.
For the members of the Executive Committee and all other employees, individual performance objectives
are pre-defined prior to the relevant financial year by such person’s direct supervisor (for the CEO, the
Co-Chairmen; for the other members of the Executive Committee, the CEO) and discussed as part of the
year-end personal review meeting. At the end of each financial year, the individual performance of the
members of the Executive Committee and all other employees is assessed against those objectives and
considered when determining the annual bonus. In general, the annual bonus of the members of the
Executive Committee and all other employees is determined by taking into account the following perfor-
mance criteria, which are weighted by the Nomination and Compensation Committee in its sole discretion:
•
Individual criteria
Personal contribution to the short-, mid- and long-term goals of Sensirion and the team
Personal initiative and willingness to take on responsibility
Individual extra efforts to achieve short- and mid-term goals
Team player and interdisciplinary skills
Entrepreneurial approach to achieve Sensirion’s goals
Compensation Report Sensirion Annual Report 2021
89
•
Additional criteria for team and project leaders
Ability to attract, retain and coach talents in one’s team
Communication and motivation skills
•
Team criteria
Overall performance of the team
Achievement of the team’s goals
As a result of this method to determine the annual bonus for the Executive Committee, Article 25 of the
Articles of Association requires retrospective shareholder approval of the variable compensation. There-
fore, the Company will not deliver the restricted shares and the RSUs granted with the annual bonus in 2021
to the members of the Executive Committee prior to the approval by the Annual General Meeting 2022.
As a consequence of a strong performance in 2021, achieving growth in all business areas in spite of
challenging market conditions in connection with the COVID-19 pandemic, the Board of Directors, based
on a suggestion of the Nomination and Compensation Committee, increased the bonus for all employees,
including the Executive Committee, by 70 % compared to a reference level (for comparison: in 2020, the
bonus was increased by 50 % compared to the reference level). As a result, in 2021, the variable compen-
sation in the form of the annual bonus, including RSUs, awarded to members of the Executive Committee
represented around 27 % (in 2020 around 28 %) of the base salary for the CEO and between 17 % and 27 %
(in 2020 18 % to 29 %) of the base salary for the other members of the Executive Committee. As a rule, the
amount of the annual bonus, including RSUs, granted to each member of the Executive Committee must
not exceed 40 % of such member’s annual fixed base salary.
Details of the Bonus and RSU Plan
The Bonus and RSU Plan, which is applicable to all employees of Sensirion (including the members of the
Executive Committee) eligible for a bonus, includes special provisions applicable to the members of the
Executive Committee as set forth in this Compensation Report. In particular, members of the Executive
Committee are awarded their bonus only in the form of restricted shares and RSUs, whereas the other
employees may choose between a cash bonus or an equity bonus.
Restricted shares are subject to a blocking period of three years as from the date of grant, during which
the shares may not be sold, otherwise transferred, pledged or made the object of hedging transactions.
The Co-Chairmen, acting jointly, may waive this sale restriction in cases of hardship or in case of termina-
tion of employment to the extent permitted by law. As a rule, all restricted shares remain restricted until
the expiration of the blocking period.
The RSUs granted under the Bonus and RSU Plan are subject to a cliff vesting three years after the date of
grant, provided that the relevant participant has not given or received notice of termination of his or her
employment as set forth below by the vesting date, and has not sold or otherwise transferred the eco-
nomic benefit of or pledged any of the restricted shares allocated to him or her as part of the equity award.
On the vesting date, each RSU is automatically converted into one share of Sensirion Holding AG. Sensirion
may settle the RSUs with newly issued shares out of the Company’s conditional share capital and/or out
of the Company’s treasury shares and/or with shares purchased in the open market.
In case of termination of the employment of a participant as a result of ordinary retirement, disability or
death, such member’s RSUs vest at the relevant vesting date. In all other cases of termination, all unvested
90
Sensirion Annual Report 2021 Compensation Report
RSUs will be forfeited without any compensation. The Co-Chairmen, acting jointly, may provide for excep-
tions to the extent permitted by law.
In the event of the acquisition of 50 % or more of the voting rights of all outstanding shares of Sensirion
Holding AG, through the acquisition of securities or a merger or consolidation, or the sale of substantially
all of the Company’s assets to a third party, the Board of Directors may, in its sole discretion, (i) terminate
unvested RSUs against compensation, (ii) convert, replace or roll over unvested RSUs and (iii) in the
event of a conversion, sell the shares resulting from such conversion.
Benefits
Benefits consist mainly of retirement and insurance plans that are designed to provide a reasonable level
of protection for the employees and their dependents with respect to retirement, risk of disability, death
and illness or accident. The current members of the Executive Committee are all employed under a Swiss
employment agreement. They participate in Sensirion’s occupational pension plan offered to all
employees in Switzerland, whereby the base salary is insured up to the maximum amount permitted by
law. Sensirion’s pension benefits exceed the legal requirements of the Swiss Federal Act on Occupational
Retirement, Survivors’ and Disability Pension Plans (BVG).
In addition, members of the Executive Committee are eligible for standard benefits, such as a representa-
tion allowance and benefits in kind and, in particular, support when commuting by public transportation.
Shareholding ownership guideline
Pursuant to the Bonus and RSU Plan, no member of the Executive Committee shall sell or otherwise
transfer their shares in Sensirion Holding AG if, as a result, the value of their shareholdings in Sensirion
Holding AG falls below 100 % of their last annual fixed and variable compensation. The value of the
shareholdings held by an individual member of the Executive Committee is determined by multiplying
the number of shares (including restricted shares) owned by such member with the market price of
the shares.
Compensation awarded to members of the Executive Committee
In the financial year 2021, the Executive Committee consisted of six members. For the financial years 2021
and 2020, the compensation of the members of the Executive Committee is set out in the tables below.
Compared to 2020, the 2021 base salaries of the members of the Executive Committee were generally
increased marginally, except for one member whose salary was adjusted to reflect his extended
experience and seniority. The bonuses in 2021 take into account the strong performance in 2021 and the
comparison with peers prepared in 2018 prior to the IPO and repeated in 2021.
The fixed compensation awarded to the members of the Executive Committee for the financial year 2021
is within the maximum aggregate amount of fixed compensation of CHF 2,100,000 approved by the
Annual General Meeting 2020.
Compensation Report Sensirion Annual Report 2021
91
Fixed compensation for the financial year
Approved (CHF)
Effective (CHF)
2021 (approved by the AGM 2020)
2,100,000
1,956,403
AGM: Annual General Meeting
Compensation of the Executive Committee in 2021 (audited)
Compensation Components (in CHF)
Marc von Waldkirch
(CEO)
Other EC
(5 members)
Total EC
Base salary
Pension and social security, for base salary
Total fixed compensation
Variable bonus (restricted shares and RSUs)1
Social security, for variable bonus
Total compensation
430,868
77,161
508,029
116,966
9,357
634,352
1,232,092
1,662,960
216,283
293,444
1,448,375
1,956,404
276,100
22,088
393,066
31,445
1,746,563
2,380,915
1 Variable bonus is based on the average of the share prices over 10 (ten) trading days prior to the date of allocation
(CHF 125.60) and consists of 50 % restricted shares subject to a blocking period of three years and 50 % RSUs subject to
a vesting period of three years, and is subject to approval by the Annual General Meeting on 16 May 2022. Following such
approval, a revised fair value will be determined for accounting purposes only.
Compensation of the Executive Committee in 2020 (audited)
Compensation Components (in CHF)
Marc von Waldkirch
(CEO)
Other EC
(5 members)
Total EC
Base salary
Pension and social security, for base salary
Total fixed compensation
Variable bonus (restricted shares and RSUs)1
Social security, for variable bonus
Total compensation
430,868
71,099
501,967
122,645
9,812
634,424
1,193,544
1,624,412
195,640
266,739
1,389,184
1,891,151
278,680
22,294
401,325
32,106
1,690,158
2,324,582
1 Variable bonus was based on the average of the share prices over 10 (ten) trading days prior to the date of allocation
(CHF 53.51) and consisted of 50 % restricted shares subject to a blocking period of three years and 50 % RSUs subject to
a vesting period of three years, and was subject to approval by the Annual General Meeting on 18 May 2021. Following
such approval, a revised fair value was determined for accounting purposes only.
92
Sensirion Annual Report 2021 Compensation Report
Loans or credits to members of the Executive Committee (audited)
As of 31 December 2021, there were no outstanding loans or credit facilities between Sensirion and
current members of the Executive Committee.
Contracts with members of the Executive Committee
All members of the Executive Committee are employed under employment contracts of unlimited dura-
tion that are subject to a notice period of six months. None of the members of the Executive Committee
is contractually entitled to termination payments or any change of control provisions other than the
accelerated vesting and unblocking of equity awards as described above.
Former members of the Executive Committee (audited)
In 2021, no compensation was paid to former members of the Executive Committee. As of 31 December
2021, there were no outstanding loans or credit facilities between Sensirion and former members of the
Executive Committee.
Related Parties of members of the Executive Committee (audited)
In 2021, no compensation was paid to parties closely related to current or former members of the Execu-
tive Committee. As of 31 December 2021, there were no outstanding loans or credit facilities between
Sensirion and parties closely related to current or former members of the Executive Committee.
Employee participation plans
As of 31 December 2021, Sensirion maintains an employee participation plan for its employees in Switzer-
land as well as for employees of Sensirion’s foreign subsidiaries. The Bonus and RSU Plan applies to the
bonus granted to employees for their performance in the financial year 2021 (the “2021 Bonus”) and to
any future bonuses.
Bonus and RSU Plan
The purpose of the Bonus and RSU Plan is to provide employees eligible for a bonus with an opportunity
to participate in the creation of the long-term shareholder value of Sensirion. Sensirion Holding AG and
its subsidiaries may award a bonus to their employees under the Bonus and RSU Plan, provided that such
employees have not given or received notice of termination at the time of the award. The Executive
Committee determines the bonus of the employees in its sole discretion on an annual basis. As a rule, the
bonus amount shall not exceed 20 % of an employee’s annual fixed salary. The annual funding pool for the
Bonus and RSU Plan allocated to participants is determined by the Board of Directors in its sole discre-
tion upon recommendation of the Nomination and Compensation Committee.
As a consequence of a strong performance in 2021, achieving growth in all business areas in spite of
challenging market conditions in connection with the COVID-19 pandemic, the Board of Directors, based
on a suggestion of the Nomination and Compensation Committee, increased the bonus for all employees,
including the Executive Committee, by 70 % compared to a reference level (for comparison: in 2020 the
bonus has increased by 50 % compared to the reference level). In 2021, Sensirion awarded bonuses to
807 employees who, in accordance with the Bonus and RSU Plan, were given the opportunity to choose
between payment of their 2021 Bonus either in cash (the “Cash Bonus”) or in restricted shares of
Sensirion Holding AG subject to a blocking period of three years and additional RSUs subject to a vesting
period of three years (the “Equity Bonus”). Any bonus is subject to the condition that the eligible
employee has not been given notice of termination for cause by his or her employer during the election
period. If an eligible employee does not notify Sensirion of his or her election during the election period,
Compensation Report Sensirion Annual Report 2021
93
he or she receives his or her 2021 Bonus in the form of a Cash Bonus. The election period for the 2021
Bonus ended on 4 January 2022.
For the Equity Bonus, the number of restricted shares is determined by dividing the amount of the Cash
Bonus by an average price of the shares as quoted on the SIX Swiss Exchange over a period of time prior
to the date of allocation of the shares as determined by the Company in its sole discretion (in 2021, 10
(ten) trading days), rounded up to the nearest full number of shares. The number of RSUs to be awarded
is determined by the Board of Directors in its sole discretion upon recommendation of the Nomination
and Compensation Committee. In 2021, the RSUs awarded for the 2021 Bonus of all employees (other
than the members of the Executive Committee) represented 25 % of the value of the restricted shares.
For further information, please refer to the description of the Bonus and RSU Plan on page 90 and 91 of
this compensation report.
Shares held by members of the Board of Directors and the Executive Committee
The details on shareholdings of the members of the Board of Directors and the Executive Committee are
set forth in Note 3.5 of the statutory financial statements of Sensirion Holding AG on page 140 of the
annual report.
94
Sensirion Annual Report 2021 Compensation Report
Auditor’s Report
Compensation Report Sensirion Annual Report 2021
95
KPMG AG, Badenerstrasse 172, CH-8036 Zurich © 2022 KPMG AG, a Swiss corporation, is a subsidiary of KPMG Holding AG, which is a member of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee. All rights reserved. Report of the Statutory Auditor To the General Meeting of Sensirion Holding AG, Stäfa We have audited the accompanying compensation report of Sensirion Holding AG for the year ended 31 Decem-ber 2021. The audit was limited to the information according to articles 14-16 of the Ordinance against Excessive compensation in Stock Exchange Listed Companies (Ordinance) contained in the tables and sections labeled “au-dited” on pages 87, 88, 92 and 93 of the compensation report. Responsibility of the Board of Directors The Board of Directors is responsible for the preparation and overall fair presentation of the compensation report in accordance with Swiss law and the Ordinance against Excessive compensation in Stock Exchange Listed Com-panies (Ordinance). The Board of Directors is also responsible for designing the remuneration system and defining individual remuneration packages. Auditor's Responsibility Our responsibility is to express an opinion on the accompanying compensation report. We conducted our audit in accordance with Swiss Auditing Standards. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the compensation report complies with Swiss law and articles 14 – 16 of the Ordinance. An audit involves performing procedures to obtain audit evidence on the disclosures made in the compensation report with regard to compensation, loans and credits in accordance with articles 14 – 16 of the Ordinance. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstate-ments in the compensation report, whether due to fraud or error. This audit also includes evaluating the reasona-bleness of the methods applied to value components of remuneration, as well as assessing the overall presenta-tion of the compensation report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opin-ion. Opinion In our opinion, the compensation report for the year ended 31 December 2021 of Sensirion Holding AG complies with Swiss law and articles 14 – 16 of the Ordinance. KPMG AG Silvan Jurt Licensed Audit Expert Auditor in Charge Matthias Bachmann Licensed Audit Expert Zurich, 14 March 2022 96
Sensirion Annual Report 2021 Financial Report Finan
cial
Report
97
Kapiteltitel Sensirion Annual Report 2021 Table of Contents
Financial Report
Consolidated Financial Statements
Consolidated Income Statement
Consolidated Balance Sheet
Consolidated Statement of Cash Flows
Consolidated Statement of Changes in Equity
Notes to the Consolidated Financial Statements
1 Information on this report
2 Performance
3 Invested capital
4 Financing and risk management
5 Group structure
6 Other information
Auditor’s Report
Financial Statements of Sensirion Holding AG
Notes to the Financial Statements of Sensirion Holding AG
Proposed Appropriation of Available Earnings
Auditor’s Report
98
100
100
101
102
103
104
104
107
110
117
121
125
129
134
136
141
142
Sensirion Annual Report 2021 Financial Report
99
Financial Report Sensirion Annual Report 2021 Consolidated Financial Statements
Consolidated Income Statement
In thousands of CHF, for the year ended 31 December
Note
2021
in %
2020
Revenue
Cost of sales
Gross profit
– as % of revenue
Research and development expenses
Selling and distribution expenses
Administrative expenses
Operating profit (EBIT)1
– as % of revenue
Financial result
Result of equity-accounted investees
Profit before tax
Income taxes
Profit for the period, attributable to owners of Sensirion Holding AG
– as % of revenue
Earnings per registered share
Basic earnings per registered share (in CHF)
Diluted earnings per registered share (in CHF)
2.1
287,482
13.3 %
253,659
(110,220)
177,262
61.7 %
(46,408)
(23,753)
(30,320)
76,781
26.7 %
(166)
(215)
76,400
2.3
45.6 %
2.4
(10,491)
65,909
22.9 %
49.8 %
4.3
4.3
4.24
4.24
(107,491)
146,168
57.6 %
(45,676)
(23,697)
(24,045)
52,750
20.8 %
(4,587)
(203)
47,960
(3,957)
44,003
17.3 %
2.84
2.84
Earnings before interest, tax, depreciation and amortization (EBITDA)
Earnings before interest, tax, depreciation and amortization (EBITDA)
1.5
– as % of revenue
91,149
31.7 %
34.2 %
67,906
26.8 %
1 Defined as profit for the period before financial result, result of equity-accounted investees and income taxes (EBIT).
100
Sensirion Annual Report 2021 Financial Report Consolidated Balance Sheet
In thousands of CHF
Note 31 December
2021
in %
31 December
2020
in %
Assets
Cash and cash equivalents
Financial assets (short term deposit)
Trade receivables
Prepaid expenses
Other receivables
Inventories
Total current assets
Property, plant and equipment
Financial assets
Equity-accounted investees
Intangible assets
Total non-current assets
Total assets
Liabilities
Trade payables
Accrued expenses
Employee benefits
Provisions
Other liabilities
Total current liabilities
Employee benefits
Provisions
Deferred tax liabilities
Total non-current liabilities
Total liabilities
Equity
Share capital
Capital reserve
Treasury shares
Retained earnings
4.1
3.4
3.1
3.1
3.2
3.3
3.4
3.5
3.6
3.7
3.6
3.7
2.4
112,104
–
27,824
1,866
7,277
38,294
61,933
30,000
26,402
1,325
7,455
26,469
187,365
63.2 %
153,584
59.7 %
64,845
25,129
4,650
14,432
62,992
19,113
6,587
15,100
109,056
36.8 %
103,792
40.3 %
296,421
100.0 %
257,376
100.0 %
9,242
14,085
10,439
2,897
5,729
7,032
9,544
8,070
1,876
5,916
42,392
14.3 %
32,438
12.6 %
6.1 %
20.4 %
3,718
7,551
6,766
18,035
60,427
1,557
153,999
(472)
80,910
4.1 %
16.7 %
3,202
3,959
3,508
10,669
43,107
1,557
151,211
(1,735)
63,236
Total equity, attributable to owners of Sensirion Holding AG
4.2
235,994
79.6 %
214,269
83.3 %
Total liabilities and equity
296,421
100.0 %
257,376
100.0 %
101
Financial Report Sensirion Annual Report 2021 Consolidated Statement of Cash Flows
In thousands of CHF, for the year ended 31 December
2021
2020
Cash flows from operating activities
Profit for the period
Adjustments for:
– Depreciation and amortization
– Gain on sale of property, plant and equipment
– Other non-cash expense (income)
– Financial result without foreign exchange (gain) loss
– Result of equity-accounted investees
– Equity-settled share-based payment transactions
– Tax expense
Changes in:
– Trade and other receivables
– Prepaid expenses
– Inventories
– Trade and other payables
– Accrued expenses
– Employee benefits
– Asset from employer contribution reserve (in financial assets)
– Provisions
Interest and bank charges paid
Income taxes paid
Net cash from operating activities
Cash flows from investing activities
Investments in property, plant and equipment
Proceeds from sale of property, plant and equipment
Acquisition of business, net of cash acquired
Investment in financial assets (short term deposit)
Proceeds from financial assets (short term deposit)
Investments in financial assets (equity securities)
Change of loans receivable
Investments in equity-accounted investees
Investments in intangible assets
Development expenditure capitalized
Net cash from investing activities
Cash flows from financing activities
Proceeds from issue of share capital
Transaction costs related to issue of share capital
Net cash from financing activities
Net change in cash and cash equivalents
Cash and cash equivalents at 1 January
Currency translation
Cash and cash equivalents at 31 December
102
65,909
44,003
14,368
15,156
–
(375)
138
215
3,996
10,491
(1,559)
(473)
(11,346)
(1,267)
622
2,885
(5,612)
(1,343)
(297)
(3,322)
73,030
(32)
(45)
1,394
203
3,121
3,957
(8,839)
195
(4,491)
2,814
785
2,540
(14,400)
5,835
(44)
(686)
51,466
(11,266)
(8,784)
–
(34,673)
32
–
–
(30,000)
30,000
(388)
(1,818)
–
(898)
(3,272)
(22,315)
–
–
–
50,715
61,933
(544)
–
(3,000)
(1,900)
(1,861)
(3,568)
(49,081)
28
(125)
(97)
2,288
60,321
(676)
112,104
61,933
Sensirion Annual Report 2021 Financial Report Consolidated Statement of Changes in Equity
In thousands of CHF
Balance at 1 January 2020
Profit for the period
Currency translation of foreign operations
Capital increases
Equity-settled share-based payment transactions
Attributable to owners of Sensirion Holding AG
Share
capital
Capital
reserve
Treasury
shares
Translation
reserve
Other
retained
earnings
Total
retained
earnings
Total
equity
1,529
147,888
(1,735)
–
–
28
–
–
–
(125)
3,448
–
–
–
–
–
–
(533)
–
–
19,766
19,766
167,448
44,003
44,003
44,003
–
–
–
(533)
–
–
(533)
(97)
3,448
Balance at 31 December 2020
1,557
151,211
(1,735)
(533)
63,769
63,236
214,269
Balance at 1 January 2021
Profit for the period
Currency translation of foreign operations
Transaction with treasury shares
Goodwill offset
Equity-settled share-based payment transactions
1,557
151,211
(1,735)
(533)
63,769
63,236
214,269
–
–
–
–
–
–
–
–
–
(1,263)
1,263
–
4,051
–
–
–
65,909
65,909
65,909
(1,155)
–
–
–
–
–
(1,155)
(1,155)
–
–
(47,080)
(47,080)
(47,080)
–
–
4,051
Balance at 31 December 2021
1,557
153,999
(472)
(1,688)
82,598
80,910 235,994
103
Financial Report Sensirion Annual Report 2021 Notes to the Consolidated Financial
Statements
1
Information on this report
1.1 Reporting entity
Sensirion Holding AG (the “Company”) is domiciled in Switzerland. The Company’s registered office is at Laubisrütistrasse 50,
8712 Stäfa. These consolidated financial statements comprise the Company, its subsidiaries (collectively the “Group” and
individually “Group companies”) and their investments in equity-accounted investees.
Sensirion is one of the world’s leading manufacturers of digital microsensors and microsystems. The product range
includes gas and liquid flow sensors, differential pressure sensors, as well as environmental sensors for the measurement
of humidity and temperature, volatile organic compounds (VOCs), carbon dioxide (CO2), and particulate matter (PM2.5).
Using Sensirion’s microsensor solutions, OEM customers benefit from the proven CMOSens® Technology.
1.2 Basis of accounting
The consolidated financial statements have been prepared in compliance with all existing guidelines of Swiss GAAP FER
(Swiss Accounting and Reporting Recommendations). They provide a true and fair view of the net assets, financial position
and results of operations and meet the requirements of Swiss law.
The consolidated financial statements are presented in Swiss francs. Unless otherwise stated, all financial information in
Swiss francs has been rounded to the nearest thousand. For this reason, rounding differences may occur.
The valuation basis used in these consolidated financial statements is based on historical acquisition or production costs,
unless a standard requires a different valuation basis for an item or a different valuation basis has been used to exercise
an option. In this case, it is explicitly mentioned in the accounting principles. Accounting principles that are relevant to an
understanding of the consolidated financial statements are set out in the specific notes. The consolidated income state-
ment is presented according to the activity-based costing method.
1.3 Explanation of transition to Swiss GAAP FER
The consolidated financial statements as at 31 December 2021 were prepared for the first time in accordance with the
entire Swiss GAAP FER accounting and reporting recommendations instead of the International Financial Reporting
Standards (IFRS). The prior-year figures have been restated accordingly for the purposes of comparability.
Goodwill and intangible assets from acquisitions
Goodwill from acquisitions is offset with retained earnings in equity at the date of the acquisition in accordance with the
option allowed by Swiss GAAP FER. Under IFRS, goodwill was capitalized and tested for impairment on an annual basis.
Furthermore, under IFRS, all separately identifiable intangible assets (such as trademarks and customer lists) were capi-
talized at their fair values as of the date of the acquisition and amortized over their expected useful lives. Under Swiss
GAAP FER, Sensirion has decided not to recognize separately any intangible assets that were not already recognized
before the acquisition. Consequently, they are allocated to goodwill.
104
Sensirion Annual Report 2021 Financial Report Goodwill in share of associated companies
The goodwill from the acquisition of shares in associated companies was included in the carrying value of the associated
companies under IFRS. Under Swiss GAAP FER, Sensirion has decided to offset this goodwill with retained earnings in
equity as of the date of the acquisition.
Pension benefit obligations and provisions
In accordance with Swiss GAAP FER, the economic benefits or economic obligations of Swiss pension plans are deter-
mined on the basis of the financial statements of the pension plans prepared in accordance with Swiss GAAP FER. The
economic impact of the pension plans of foreign subsidiaries is calculated using generally accepted valuation principles.
An economic obligation is recognized as a liability if the conditions for the recognition of a provision are met. In accordance
with IFRS, defined benefit obligations were calculated using the projected unit credit method and recognized in accor-
dance with IFRS.
Leases
Under Swiss GAAP FER, the Group applies either finance or operating lease accounting. At the time of transition, no finance
leases were classified. In accordance with IFRS, where the Group was a lessee, leases were recognized as a right-of-use
asset and a corresponding liability at the commencement date. The right-of-use asset was measured at cost less any
depreciation and any accumulated impairment losses, and adjusted for any remeasurement of the lease liability. The lease
liability was measured at amortized cost using the effective interest method. The carrying amount of the lease liability was
subsequently increased to reflect the interest on the lease liability and reduced to reflect the lease payments made (and
potentially remeasured to reflect any reassessment or lease modifications, or to reflect revised in-substance fixed lease
payments).
Financial assets
Investments with a long-term investment purpose and less than 20 % capital rights are considered financial assets. Under
IFRS, such financial assets were initially measured at fair value. On initial recognition, the Group irrevocably elected to
present subsequent changes in the investment’s fair value in OCI. In accordance with Swiss GAAP FER, the Group decided
that such investments are recognized at acquisition cost, taking account of any reductions in value (impairment) through
corresponding devaluations in the income statement.
Deferred income tax
The adjustments to the accounting policies and valuation rules mentioned above resulted in adjustments to the deferred
taxes in the balance sheet and income statement.
Translation reserve
As part of the change to Swiss GAAP FER, the cumulative translation reserve was offset with retained earnings as of
1 January 2020. Under Swiss GAAP FER, therefore, the result from divestitures only contains foreign exchange translation
differences that have occurred after 1 January 2020.
105
Financial Report Sensirion Annual Report 2021 Effects of the adjustments on consolidated equity
In thousands of CHF
Equity according to IFRS
Offset goodwill from acquisitions
Offset intangible assets from acquisitions
Adjustment to pension benefit obligations
Adjustment from leases
Adjustment to financial assets
Adjustment to deferred income taxes
Total adjustments
Equity according to Swiss GAAP FER
Effects of the adjustments on consolidated profit (loss) for the period
In thousands of CHF
Profit for the period according to IFRS
No consideration of depreciation related to intangible assets from acquisitions
No consideration of service costs related to pension benefit obligations
Adjustment from leases
Adjustment to deferred income taxes
Total adjustments
Profit for the period according to Swiss GAAP FER
1.4 Use of judgments and estimates
31 December 2020
1 January 2020
196,053
156,239
(5,195)
(1,569)
34,203
691
(2,682)
(7,232)
18,216
214,269
(5,360)
(1,862)
27,053
407
(2,394)
(6,635)
11,209
167,448
January–December
2020
41,902
235
1,541
290
35
2,101
44,003
In preparing these consolidated financial statements, management has made judgments, estimates and assumptions that
affect the application of the Group’s accounting policies and the reported amounts of assets, liabilities, income and
expenses. Actual results may differ from these estimates. Estimates and underlying assumptions are reviewed on an
ongoing basis. Revisions to estimates are recognized prospectively. Information about assumptions and estimation uncer-
tainties at 31 December 2021 that have a significant risk of resulting in a material adjustment to the carrying amounts of
assets and liabilities is included in the following notes:
• Note 3.5 – Intangible assets (recoverability of development costs);
• Note 3.2 – Inventories (recoverability);
• Note 3.7 – Provisions (measurement).
1.5 Performance measures not defined by Swiss GAAP FER
Internally and externally, the Group uses EBITDA as an additional performance measure, which is not defined by Swiss GAAP
FER. EBITDA is calculated as the sum of operating profit and depreciation and amortization.
In thousands of CHF, for the year ended 31 December
2021
2020
Reconciliation of operating profit to EBITDA for the period
Operating profit (EBIT)
Depreciation and amortization
Earnings before interest, taxes, depreciation and amortization (EBITDA)
76,781
14,368
91,149
52,750
15,156
67,906
106
Sensirion Annual Report 2021 Financial Report 2 Performance
2.1 Segment reporting and breakdown of revenue
2.1.1 Basis for segmentation
The Group operates in one industry segment which encompasses the development, production, sales and servicing of
sensor systems, modules and components. The allocation of resources and performance assessment is made at Group
level. The Group’s organization is not divided into business units, neither in the management structure nor in the internal
reporting system.
2.1.2 Breakdown of revenue
In thousands of CHF, for the year ended 31 December and as % of revenue
2021
2020
Revenue – geographic information by regions
APAC
EMEA
Americas
Total
138,396
48.2 %
110,759
86,385
30.0 %
70,614
62,701
21.8 %
72,286
43.7 %
27.8 %
28.5 %
287,482
100.0 %
253,659
100.0 %
The geographic information on revenues in the table above is based on the customers’ location.
As an additional voluntary information, revenue is allocated to end markets as follows:
In thousands of CHF, for the year ended 31 December and as % of revenue
2021
2020
Revenue – per customer markets
Automotive
Medical
Industrial
Consumer
Total
62,921
21.9 %
55,221
66,093
23.0 %
112,334
131,444
45.7 %
71,214
27,024
9.4 %
14,890
21.7 %
44.3 %
28.1 %
5.9 %
287,482
100.0 %
253,659
100.0 %
Accounting principles
Revenue is measured based on the consideration specified in a contract with a customer and excludes amounts
collected on behalf of third parties. The Group recognizes revenue when the risks and benefits incidental to ownership
are transferred to a customer. Our contracts generally include a standard warranty clause to guarantee tha t the
products comply with agreed specifications.
Sensors
The Group sells its standardized sensors generally via purchase orders to customers (i.e. end customers
and distributors) and recognizes as revenue when the sensor is delivered to the customer. This generally
occurs in accordance with the applicable Incoterms which are usually FCA (Free carrier named place of
delivery) or DAP (Delivered at place). Sales are stated before value added tax, sales tax and after any
deduction of discounts and credits. Appropriate warranty provisions are recognized for anticipated claims.
Customers usually pay within 30 to 60 days from the delivery of the products.
107
Financial Report Sensirion Annual Report 2021 2.2 Expenses by nature
In thousands of CHF, for the year ended 31 December
2021
2020
Changes in inventories
Raw materials and consumables
Employee benefits
Depreciation, amortization and impairment loss
Other
Total cost of sales, research and development expenses, selling
and distribution expenses and administrative expenses
2.3 Net finance costs
11,825
(75,850)
(107,955)
(14,368)
(24,353)
4,491
(70,208)
(97,425)
(15,156)
(22,611)
(210,701)
(200,909)
In thousands of CHF, for the year ended 31 December
2021
2020
Finance income
Interest income
Net foreign exchange gains
Other financial income
Finance income
In thousands of CHF, for the year ended 31 December
Finance costs
Interest expense
Net foreign exchange losses
Bank charges
Other financial costs
Finance costs
42
500
323
865
2021
(200)
(528)
(97)
(206)
(1,031)
56
818
90
964
2020
(83)
(4,687)
(59)
(722)
(5,551)
Net finance costs recognized in profit
(166)
(4,587)
108
Sensirion Annual Report 2021 Financial Report 2.4 Income taxes
In thousands of CHF, for the year ended 31 December
2021
2020
Current income taxes
Deferred income taxes
Total
(7,213)
(3,278)
(10,491)
(5,404)
1,447
(3,957)
Average applicable tax rate
19.2 %
17.6 %
In thousands of CHF
2021
2020
Details on change of tax claims from tax loss carryforwards
Recognized tax claims from tax loss carryforwards
Unrecognized tax claims from tax loss carryforwards
Total tax claims from tax loss carryforwards
Recognized tax claims from tax loss carryforwards at 1 January
Additions
Utilization
Recognized tax claims from tax loss carryforwards at 31 December
1,680
2,547
4,227
7,476
–
(5,796)
1,680
7,476
1,234
8,710
4,747
2,729
–
7,476
The effective tax rate of 13.7 % (2020: 8.3 %) has increased due to the effects of the Swiss tax reform in 2020.
The income tax effect from the utilization of non-capitalized loss carryforwards in 2021 amounts to CHF 593 thousand
(2020: CHF 0). In 2021, there were no reassessments in relation to non-capitalized loss carryforwards and no loss carry-
forwards expired.
109
Financial Report Sensirion Annual Report 2021
Accounting principles
Current income tax
Current income tax comprises the expected tax payable or receivable on the taxable income or loss for the year and
any adjustment to the tax payable or receivable in respect of previous years. It is measured using tax rates enacted or
substantively enacted at the reporting date. Current tax also includes any tax arising from dividends. Current tax
assets and liabilities are offset only if certain criteria are met.
Deferred income tax
Deferred income tax is recognized in respect of temporary differences between the carrying amounts of assets and
liabilities for financial reporting purposes and the amounts used for taxation purposes. Deferred tax is not recognized
for temporary differences related to investments in subsidiaries and associates to the extent that the Group is able to
control the timing of the reversal of the temporary differences and it is probable that they will not reverse in the
foreseeable future.
Deferred tax assets are recognized for unused tax losses, unused tax credits and deductible temporary differences to
the extent that it can be assumed with sufficient probability that the respective company will have sufficient taxable
income against which temporary differences and unutilized loss carryforwards can be used. Deferred tax assets are
reviewed at each reporting date and are reduced to the extent that it is no longer probable that the related tax benefit
will be realized; such reductions are reversed when the probability of future taxable profits improves. Unrecognized
deferred tax assets are reassessed at each reporting date and recognized to the extent that it has become probable
that future taxable profits will be available against which they can be used.
Deferred tax is measured at the tax rates that are expected to be applied to temporary differences when they reverse,
using tax rates enacted or substantively enacted at the reporting date. The measurement of deferred tax reflects the
tax consequences that would follow from the manner in which the Group expects, at the reporting date, to recover or
settle the carrying amount of its assets and liabilities.
Deferred tax assets and liabilities are offset when the income taxes are levied by the same taxation authority and when
there is a legally enforceable right to offset them.
3 Invested capital
3.1 Trade and other receivables
In thousands of CHF
31 December 2021
31 December 2020
Trade receivables, gross
Allowance for doubtful receivables
Total trade receivables
Non-income tax receivables
Social security
Other
Total other receivables
27,902
(78)
27,824
3,898
632
2,747
7,277
26,702
(300)
26,402
3,852
1
3,602
7,455
Trade receivables result from transactions in the ordinary course of business where Sensirion has provided goods and
services and has a right to receive the payment.
110
Sensirion Annual Report 2021 Financial Report Accounting principles
Receivables are reported at nominal value. Business default risks are taken into account by individual and general
value adjustments. General value adjustments are made for items which have not already been subject to individual
value adjustments. General value adjustments are based on the past experience of Sensirion.
3.2 Inventories
In thousands of CHF
Purchased parts
Semi-finished and finished goods
Work in progress
Total
Allowance on purchased parts
Allowance on semi-finished and finished goods
Total
Total Inventories
31 December 2021
31 December 2020
14,017
24,744
5,673
44,434
(3,318)
(2,822)
(6,140)
11,541
18,739
5,012
35,292
(2,312)
(6,511)
(8,823)
38,294
26,469
In addition, during 2021 inventory allowances have decreased by CHF 2,683 thousand (2020: increased by CHF 5,576 thousand).
Accounting principles
Inventories are measured at the lower of cost and net realizable value. The cost of inventories is based on the weighted
average method. In the case of manufactured inventories and work in progress, cost includes an appropriate share
of production overheads based on normal operating capacity. Inventory allowances are recognized for slow- and
non-moving stock. Technically obsolete items are written off.
The valuation of work in progress, semi-finished and finished goods is underlying management judgment with regards
to planned production capacities which impact standard costs. Valuation allowances are calculated based on histori-
cal experience including management’s judgement which directly affects the carrying amount of inventories.
111
Financial Report Sensirion Annual Report 2021 3.3 Property, plant and equipment
In thousands of CHF
Land
and buildings
Production
facilities
Under
construction
Other
Total
Cost
Opening amount 1 January 2021
Change in scope of consolidation
Additions
Disposals
Reclassifications
Currency translation differences
49,968
80,983
2,425
16,903
150,279
–
972
–
571
(365)
353
3,363
(897)
1,388
42
–
211
564
5,319
1,612
11,266
–
(2,317)
(39)
(365)
338
(2)
(1,262)
(20)
(364)
Closing amount 31 December 2021
51,146
85,232
5,388
18,697
160,463
Accumulated depreciation and impairment
Opening amount 1 January 2021
Change in scope of consolidation
Depreciation
Disposals
Currency translation differences
Closing amount 31 December 2021
Total carrying amount
17,088
59,560
–
1,956
–
(23)
19,021
32,125
155
5,491
(871)
(24)
64,311
20,921
–
–
–
–
–
–
5,388
10,639
87,287
68
1,964
(365)
(20)
12,286
6,411
223
9,411
(1,236)
(67)
95,618
64,845
Carrying amount pledged as security for liabilities
–
–
–
–
–
Cost
Opening amount 1 January 2020
Additions
Disposals
Reclassifications
Currency translation differences
49,876
300
–
–
(208)
74,833
6,210
(2,895)
3,005
(170)
5,315
1,180
–
(4,015)
(55)
16,339
146,363
1,094
(1,404)
1,010
(136)
8,784
(4,299)
–
(569)
Closing amount 31 December 2020
49,968
80,983
2,425
16,903
150,279
Accumulated depreciation and impairment
Opening amount 1 January 2020
Depreciation
Disposals
Currency translation differences
Closing amount 31 December 2020
Total carrying amount
15,197
1,898
–
(7)
17,088
32,880
56,920
5,544
(2,873)
(31)
59,560
21,423
–
–
–
–
–
2,425
10,070
2,013
82,187
9,455
(1,398)
(4,271)
(46)
(84)
10,639
6,264
87,287
62,992
Carrying amount pledged as security for liabilities
–
–
–
–
–
112
Sensirion Annual Report 2021 Financial Report Accounting principles
Recognition and measurement
Items of property, plant and equipment are measured at cost less accumulated depreciation and any accumulated
impairment losses. If significant parts of an item of property, plant and equipment have different useful life, then they
are accounted for as separate items (major components) of property, plant and equipment. Any gain or loss on
disposal of an item of property, plant and equipment is recognized in the income statement.
Subsequent expenditures
Subsequent expenditure is capitalized only if it is probable that the future economic benefits associated with the
expenditure will flow to the Group.
Depreciation
Depreciation is calculated to write off the cost of items of property, plant and equipment less their estimated residual
values using the straight-line method over their estimated useful life and is generally recognized in the income
statement. Land is not depreciated. The estimated useful life of property, plant and equipment for current and com-
parative periods is as follows:
Class
Land
Buildings
Production facilities
Other property, plant and equipment
Years
No depreciation
20–40
2–8
4–8
Depreciation methods, useful life and residual values are reviewed at each reporting date and adjusted if appropriate.
3.4 Financial assets
In thousands of CHF
Current financial assets
Time deposit
Total current financial assets
Non-current financial assets
Assets from employer contribution reserve
MaxWell Biosystems AG
Other
Total non-current financial assets
Accounting principles
Investments
31 December 2021
31 December 2020
–
–
20,034
3,688
1,407
25,129
30,000
30,000
14,406
3,300
1,407
19,113
Investments with a long-term investment purpose and less than 20 % capital rights are considered financial assets.
Such investments are recognized at acquisition cost, taking into account any reductions in value (impairment) through
corresponding devaluations in the income statement.
Other financial assets
Other financial assets are valued at acquisition cost less impairment charges.
Assets from employer contribution reserve
Please refer to Note 6.1
113
Financial Report Sensirion Annual Report 2021 –
–
–
–
(1,031)
–
377
–
–
–
–
–
–
–
–
–
–
(82)
–
990
199
3,272
898
(1,150)
20
(5)
36,145
1,007
17,811
–
–
–
(17)
990
–
97
4,957
(1,150)
(2)
21,713
14,432
3.5 Intangible assets
In thousands of CHF
Cost
Patents and
trademarks
Development
costs
Software
Under
construction
Other
intangibles
Total intangible
assets
Opening amount 1 January 2021
11,449
16,055
2,927
1,408
1,072
32,911
Change in scope of consolidation
Additions – internally developed
Additions – separately acquired
Disposals
Reclassifications
Currency translation differences
162
–
–
3,272
660
(1,029)
121
(10)
–
–
1,031
-
37
–
238
(121)
(19)
5
Closing amount 31 December 2021
11,353
20,358
3,067
Accumulated amortization and impairment
Opening amount 1 January 2021
4,730
9,572
2,502
66
–
1,734
2,994
31
229
(121)
14
–
–
12,566
2,655
7,792
412
377
Change in scope of consolidation
Amortization
Disposals
Currency translation differences
Closing amount
Total carrying amount 31 December 2021
Cost
Opening amount 1 January 2020
Additions – internally developed
Additions – separately acquired
Disposals
Reclassifications
Currency translation differences
(1,029)
1
5,502
5,851
10,429
–
1,647
(622)
–
(5)
13,229
2,541
–
(1,060)
1,345
–
2,718
–
214
–
–
(5)
1,726
1,027
–
–
(1,345)
–
1,072
29,174
–
–
–
–
–
3,568
1,861
(1,682)
–
(10)
Closing amount 31 December 2020
11,449
16,055
2,927
1,408
1,072
32,911
Accumulated amortization and impairment
Opening amount 1 January 2020
Amortization
Disposals
Currency translation differences
Closing amount
Total carrying amount 31 December 2020
Accounting principles
Research and Development
3,927
1,427
(622)
(2)
4,730
6,719
7,011
3,621
(1,060)
–
9,572
6,483
1,851
653
–
(2)
2,502
425
–
–
–
–
–
1,408
1,007
–
–
–
1,007
65
13,796
5,701
(1,682)
(4)
17,811
15,100
Expenditure on research activities is recognized in the income statement as incurred. Development expenditure is
capitalized only if the expenditure can be measured reliably, the product or process is technically and commercially
feasible, future economic benefits are probable and the Group intends to and has sufficient resources to complete
development and to use or sell the asset. Otherwise, it is recognized in the income statement as incurred. Directly attrib-
utable borrowing costs are capitalized as part of the respective development costs. Subsequent to initial recognition,
development expenditure is measured at cost less accumulated amortization and any accumulated impairment losses.
114
Sensirion Annual Report 2021 Financial Report Patents and trademarks
Patents, trademarks and capitalized customer relationships that are acquired by the Group have finite useful life and
are measured at cost less accumulated amortization and any accumulated impairment losses.
Amortization
Amortization is calculated to write off the cost of intangible assets less their estimated residual values using the
straight-line method over their estimated useful life and is generally recognized in the income statement.
The estimated useful life for current and comparative periods is as follows:
Class
Patents and trademarks
Development costs
Software
Other intangible assets
Years
10
5
4
4–10
Amortization methods, useful life and residual values are reviewed at each reporting date and adjusted if appropriate.
Effects of the theoretical capitalization of goodwill
In thousands of CHF
2021
2020
Cost at 1 January
Acquisition of subsidiaries
Exchange differences
Cost at 31 December
Accumulated amortization at 1 January
Amortization for the year
Exchange differences
Accumulated amortization at 31 December
Theoretical net book value at 31 December
Equity according to balance sheet
Theoretical book value of goodwill
Theoretical shareholders’ equity at 31 December including goodwill
Profit for the year
Theoretical amortization of goodwill
Theoretical profit for the year after goodwill amortization
12,449
47,080
(2,677)
56,852
10,056
6,125
(854)
15,327
41,525
235,994
41,525
277,519
65,909
(6,125)
59,784
12,844
–
(395)
12,449
8,893
1,430
(267)
10,056
2,393
214,269
2,393
216,662
44,003
(1,430)
42,573
Accounting principles
Goodwill is offset with equity at the date of the acquisition of a subsidiary or an investment in an associated company.
The theoretical capitalization of goodwill with straight-line amortization over five years would impact the consolidated
balance sheet and consolidated income statement as shown above.
115
Financial Report Sensirion Annual Report 2021
3.6 Employee benefits
In thousands of CHF
31 December 2021
31 December 2020
Short-term employee benefits
Total employee benefit liabilities, current
Other long-term employee benefit liabilities
Total employee benefit liabilities, non-current
Accounting principles
Short-term employee benefits
10,439
10,439
3,718
3,718
8,070
8,070
3,202
3,202
Short-term employee benefits are expensed as the related service is provided. A liability is recognized for the amount
expected to be paid if the Group has a present legal or constructive obligation to pay this amount as a result of past
service provided by the employee and the obligation can be estimated reliably.
Other long-term employee benefits
The Group’s net obligation in respect of other long-term employee benefits is the amount of future benefit that
employees have earned in return for their service in the current and prior periods. That benefit is discounted to deter-
mine its present value. Remeasurements are recognized in the income statement in the period in which they arise.
3.7 Provisions
In thousands of CHF
Warranty provisions
Earn-out provisions
Total
31 December 2021
Current provisions
Non-current provisions
Total provisions
Opening amount 1 January 2021
Additions
Utilization
Reversal
Currency translation differences
Closing amount 31 December 2021
2,897
1,595
4,492
5,835
–
(177)
(909)
(257)
4,492
–
5,956
5,956
–
5,956
–
–
–
2,897
7,551
10,448
5,835
5,956
(177)
(909)
(257)
5,956
10,448
In thousands of CHF
31 December 2020
Warranty provisions
Earn-out provisions
Total
Current provisions
Non-current provisions
Total provisions
Opening amount 1 January 2020
Additions
Closing amount 31 December 2020
1,876
3,959
5,835
–
5,835
5,835
–
–
–
–
–
–
1,876
3,959
5,835
–
5,835
5,835
The warranty provisions have been estimated based on incurred warranty expenses to date as well as expected future
costs. The calculation is based on various weighted scenarios and discounted with a discount rate of 3.5 % (2020: 3.5 %).
116
Sensirion Annual Report 2021 Financial Report Accounting principles
Provisions are recognized when the Group has a present obligation as a result of a past event and it is probable that
an outflow of resources will be required to settle the obligation, and a reliable estimate can be made of the amount of
the obligation. The amount recognized as a provision is the best estimate of the expenditure required to settle the
present obligation at the balance sheet date. Where the effect of the time value of money is material, the amount
recognized is the present value of the estimated expenditures.
Provisions for warranty commitments are recognized as a consequence of the Group’s policy to cover the cost of
repair of defective products.
3.8 Contingent liabilities and other commitments
In thousands of CHF
31 December 2021
31 December 2020
Operating lease liabilities
Due within 1 year
Due within 1 to 5 years
Due after more than 5 years
Total undiscounted lease payments
Accounting principles
3,526
10,323
5,375
19,224
3,441
11,406
7,397
22,244
Contingent liabilities and other obligations not to be recognized are valued and disclosed on each balance sheet date.
Payments from operating leases are recognized in the income statement on a straight-line basis over the lease term.
4 Financing and risk management
4.1 Cash and cash equivalents
In thousands of CHF
31 December 2021
31 December 2020
Cash and bank accounts
Short-term money market investments
Cash and cash equivalents
Accounting principles
72,104
40,000
112,104
61,933
–
61,933
Cash and cash equivalents are defined as short-term, liquid financial investments that are readily convertible to
defined cash amounts within 90 days from the balance sheet date.
117
Financial Report Sensirion Annual Report 2021 4.2 Equity
4.2.1 Share capital
As of 31 December 2021, the fully paid-up share capital of the parent company, Sensirion Holding AG, in the total amount
of CHF 1,557,335 (2020: CHF 1,557,335) is divided into 15,573,350 registered shares (2020: 15,573,350) with a nominal value
of CHF 0.10. Holders of these shares are entitled to dividends and to one vote per share at general meetings of the
Company. All rights attached to the Company’s shares held by the Group are suspended until those shares are reissued.
In shares
Total in issue at 1 January
Total in issue at 31 December
In shares
Total in issue at 1 January
Capital increase from conditional share capital
Total in issue at 31 December
2021
Registered shares
15,573,350
15,573,350
2020
Registered shares
15,292,984
280,366
15,573,350
In 2020, a total of 259,757 employee options were exercised at an exercise price of the nominal value of CHF 0.10 through
a conditional capital increase. The costs arising from the capital increase were deducted from the capital reserve and
amounted to CHF 125 thousand.
4.2.2 Conditional capital
As of 31 December 2021, the Company’s conditional capital amounts to CHF 289 thousand, encompassing 2,887,437 shares
each with a nominal value of CHF 0.10. In prior year, the company’s conditional capital amounted to CHF 289 thousand,
encompassing 2,887,437 shares with a nominal value of CHF 0.10.
The Company’s conditional capital is composed as follows:
In shares
31 December 2021 31 December 2020
Conditional share capital for employee participations
Conditional share capital for financing, acquisitions and other purposes
Total conditional share capital
1,431,620
1,455,817
2,887,437
1,431,620
1,455,817
2,887,437
4.2.3 Non-distributable legal reserves
Non-distributable legal reserves amounted to CHF 783 thousand as at 31 December 2021 (previous year: CHF 2,046
thousand).
4.2.4 Nature and purpose of reserves
4.2.4.1 Capital reserve
The capital reserve comprises share premiums, the gain or loss on sale of treasury shares, the effect of modification of
cash-settled to equity-settled plans, and the effects of equity-settled share-based payment transactions, including any
tax effects such as excess tax deductions.
118
Sensirion Annual Report 2021 Financial Report 4.2.4.2 Treasury shares
The reserve for the Company’s treasury shares comprises the cost of the Company’s shares directly held by the Group.
As of 31 December 2021, the Group held 20,599 of the Company’s registered shares (2020: 75,857 registered shares).
The treasury shares held at 31 December 2021 account for 0.13 % of the issued capital.
Accounting principles
When shares recognized as equity are repurchased, the amount of the consideration paid, which includes directly
attributable costs, net of any tax effects, is recognized as a deduction from equity. Repurchased shares are classified
as treasury shares and are presented in the treasury shares reserve. When treasury shares are sold or reissued
subsequently, the amount received is recognized as an increase in equity and the resulting surplus or deficit on the
transaction is presented within the capital reserve.
4.2.4.3 Translation reserve
The translation reserve comprises all foreign currency differences arising from the translation of the financial statements
of foreign operations, including foreign currency differences on dedicated intra-group loans.
4.2.4.4 Retained earnings
The retained earnings include the accumulated net profits of the Group and offsetting of goodwill.
4.3 Earnings per registered share
4.3.1 Basic earnings per share
The weighted-average number of registered shares for the period ended 31 December 2021 for the purpose of calculating
basic earnings per registered share amounts to 15,550,792 (2020: 15,486,851).
4.3.2 Diluted earnings per share
The calculation of diluted earnings per share has been based on the profit or loss attributable to ordinary shareholders as
presented in the consolidated income statement and the weighted-average number of registered shares outstanding after
adjustment for the effects of all dilutive potential ordinary shares.
The weighted-average number of registered shares for the purpose of calculating diluted earnings per registered share
amounts to 15,570,741 (2020: 15,491,081).
The dilutive effect results from the outstanding restricted share units under the bonus and restricted share unit plan. Upon
conversion at the beginning of the reporting year, the average number of outstanding shares would increase by 19,949
shares (2020: 4,229 shares) with no impact on net profit. This results in a potential dilution of earnings per share of CHF 0
in the reporting year (2020: CHF 0).
4.4 Capital management
The objectives when managing capital are to safeguard the Group’s ability to continue as a going concern in order to provide
returns for shareholders and benefits for other stakeholders, and to maintain an optimal capital structure. In order to maintain
or adjust the capital structure, the Group may repay capital to shareholders, issue new capital or sell assets to reduce debt.
By ensuring the Group adheres to defined debt/equity ratio covenant limits and other covenants under the Group’s financing
arrangements, management meets the primary capital risk objective.
119
Financial Report Sensirion Annual Report 2021 In thousands of CHF
31 December 2021
31 December 2020
Total liabilities
Less: cash and cash equivalents
Net cash (debt)
Total equity
Net cash (debt) to equity ratio
(60,427)
112,104
51,677
235,994
21.9 %
(43,107)
61,933
18,826
214,269
8.8 %
4.5 Financial risk management
The Group’s international operations expose it to a variety of financial risks, such as credit, liquidity, market and currency risks.
4.5.1 Risk management framework
The Company’s Board of Directors has overall responsibility for the establishment and oversight of the Group’s risk man-
agement framework. The Group’s management is assisted in its oversight role by internal audits. Internal audits take place
on both a regular and ad-hoc basis, the results of which are reported to the Group’s management and the Company’s
Board of Directors.
4.5.2 Credit risk
Credit risk is the risk of incurring financial loss when a counterparty to a financial instrument fails to meet its contractual
obligations.
Credit risks are most likely to be associated with trade receivables and cash or cash equivalents. The Group minimizes the
credit risk associated with cash and cash equivalents by only doing business with reputable financial institutions and by
dealing with a range of such institutions rather than just one. To reduce the risk associated with trade receivables,
customers are subject to internal credit limits. Creditworthiness is reviewed on an ongoing basis according to internal
guidelines. Credit limits are set based on financial situation, previous experience and other factors. The Group’s extensive
customer base, which covers a variety of regions and sectors, means that the credit risk on receivables is limited. For
incurred and expected losses on receivables, value adjustments are recognized. In the past, actual losses have not
exceeded the management’s expectations. Details of concentration of revenue are included in Note 2.1.
The Group’s policy is to provide financial guarantees to subsidiaries. At 31 December 2021, the Company has issued a guar-
antee to certain banks in respect of credit facilities granted to Sensirion AG in the amount of CHF 40,000 thousand (2020:
CHF 40,000 thousand). The credit line is used with a guarantee to CHF 546 thousand as of 31 December 2021 (2020: CHF 0).
4.5.3 Liquidity risk
A liquidity risk arises if future payment obligations of the Group cannot be covered by its available liquidity or correspond-
ing credit facilities. The Group’s objective when managing liquidity is to ensure, as far as possible, that it will have sufficient
liquidity to meet its liabilities when they are due, under both normal and stressed conditions, without incurring unaccept-
able losses or risking damage to the Group’s reputation. Suitable processes are in place within the Group with which cash
inflows or outflows and maturities are monitored and controlled on an ongoing basis.
Within the frame of a rolling liquidity plan, the Group ensures that sufficient liquidity to cover the short-term operational
needs is continuously available. Within the liquidity plan, the Group includes cash and cash equivalents, lines of credit and
possibilities to increase share capital. As part of the Group’s liquidity management, lines of credit are maintained.
120
Sensirion Annual Report 2021 Financial Report 4.5.4 Market risk
Market risk is the risk that changes in market prices – such as foreign exchange rates and interest rates – will affect the
Group’s income or the value of its holdings of financial instruments.
4.5.5 Currency risk
The functional currencies of the Group companies are in the currency of the local legislation. The Group is exposed to currency
risk to the extent that there is a mismatch between the currencies in which sales, purchases and borrowings are denominated
and the respective functional currencies of the Group companies. The main exposure arises from sales transactions denomi-
nated in USD and EUR and other currencies deviating from the functional currency of the respective Group company.
Generally, cash flows generated by the underlying operations of the Group are primarily in USD, EUR and CHF or in the cur-
rency of the local legislation. The Group’s cash outflows are denominated mainly in CHF due to the significant amount of per-
sonnel costs generated in Switzerland. To a certain extent, there is an economic hedge by sourcing activities in USD and EUR.
The following significant exchange rates have been applied:
In CHF
Euro (EUR) 1
US Dollar (USD) 1
South-Korean Won (KRW) 1,000
4.5.6
Interest risk
Average rate
Year-end spot rate
2021
2020
2021
2020
1.0968
0.9205
0.8115
1.0825
0.9581
0.8077
1.0339
0.9127
0.7669
1.0822
0.8812
0.8110
The Group has no significant interest-bearing financial assets. Therefore, the income is not exposed to significant interest
rate risk. Furthermore, the tenure for fixing interest rates on financial liabilities are one year as maximum. Therefore, interest
rate risk is not considered to be significant for the Group.
5 Group structure
5.1 Changes in the scope of consolidation
5.1.1 Acquisition of Qmicro B.V.
On 11 February 2021, and with economic effect from the same date, Sensirion Holding AG acquired 100 % of the shares of
Qmicro B.V. based in Enschede, the Netherlands. Qmicro B.V. develops, manufactures and supplies micro gas analyzers
based on microelectromechanical gas chromatography technology. With this acquisition, Sensirion expands its gas sensing
portfolio from components and modules to stand-alone micro gas analyzers for industrial applications.
At the time of acquisition, the values of net assets according to Swiss GAAP FER are as follows:
In thousands of CHF
Fair value of assets (liabilities)
Current assets
Non-current assets
Current liabilities
Total net identifiable assets
Total
770
125
(428)
467
121
Financial Report Sensirion Annual Report 2021 5.1.2 Step acquisition of IRsweep AG
On 7 May 2021, and with economic effect from the same date, Sensirion Holding AG acquired the residual 67 % of the
shares of IRsweep based in Stäfa, Switzerland. IRsweep develops, manufactures and supplies optical spectroscopy
solutions based on semiconductor quantum cascade laser (QCL) frequency comb technology in the mid-infrared. With this
acquisition, Sensirion expands its optical sensing technology portfolio from components and modules to stand-alone
infrared spectrometers for research and industrial applications.
At the time of acquisition, the values of net assets according to Swiss GAAP FER are as follows:
In thousands of CHF
Fair value of assets (liabilities)
Current assets
Non-current assets
Current liabilities
Non-current liabilities
Total net identifiable assets (liabilities)
5.1.3 Acquisition of AiSight Inc.
Total
752
266
(696)
(1,064)
(742)
On 17 September 2021, and with economic effect from the same date, Sensirion Holding AG acquired 100 % of the shares
of AiSight Inc. based in San Francisco, CA, USA. AiSight develops and supplies plug-and-play solutions for condition
monitoring and predictive maintenance for industrial equipment. With this transaction, the Group continues along the
innovation path of developing technologies.
If specific conditions according to the share purchase price agreement are met, an additional purchase price up to EUR
31.5 million will be due. The estimate additional purchase price is recorded in the earn-out provisions until the date of
payment (see note 3.7).
At the time of acquisition, the values of net assets according to Swiss GAAP FER are as follows:
In thousands of CHF
Fair value of assets (liabilities)
Current assets
Non-current assets
Current liabilities
Non-current liabilities
Total net identifiable assets (liabilities)
Total
1,858
55
(2,197)
(1,818)
(2,102)
A detailed breakdown of the identified assets and liabilities is not disclosed due to materiality considerations.
122
Sensirion Annual Report 2021 Financial Report 5.2 Subsidiaries
The Company has direct or indirect control over the following subsidiaries or significant influence over the following
associates.
For the year ended 31 December
Company, principal place of business
Share capital
in %
Sensirion AG, Stäfa (Switzerland)
Sensirion China Co. Ltd., Shenzhen (China)
Sensirion Inc., Chicago (USA)
CHF
CNY
USD
2,000,000
1,260,000
660,000
Sensirion Japan Co. Ltd., Yokohama (Japan)
JPY
25,000,000
100
100
100
100
2021
Voting rights
in %
100
100
100
100
in %
100
100
100
100
KRW
100,000,000
100
100
100
Sensirion Korea Co. Ltd., Anyang-Si
(South Korea)
Sensirion Taiwan Co. Ltd., Hsinchu
(Taiwan)
Sensirion Hungary Kft., Debrecen (Hungary)
HUF
3,010,000
TWD
25,000,000
100
100
100
100
100
100
Sensirion Automotive Solutions AG,
Stäfa (Switzerland)
Sensirion Automotive Solutions Inc.,
Eaton Rapids (USA)
CHF
USD
100,000
100
100
100
250,000
100
100
100
Sensirion Automotive Solutions Korea Co. Ltd.,
Seoul (South Korea)
Sensirion Automotive Solutions (Shanghai) Co.
Ltd., Shanghai (China)
Sensirion Automotive Solutions Hungary Kft.,
Debrecen (Hungary)1
Sensirion Connected Solutions AG,
Stäfa (Switzerland)2
AiSight GmbH, Berlin (Germany)
AiSight Inc., San Francisco (USA)
IRsweep AG, Stäfa (Switzerland)
Qmicro B.V., Enschede (Netherlands)
Lumiphase AG, Zürich (Switzerland)
KRW 38,543,000,000
100
100
100
CNY
28,450,000
100
100
100
HUF
3,000,000
100
CHF
EUR
USD
CHF
EUR
CHF
100,000
30,870
2,631,099
166,667
1,000
133,323
100
100
100
100
100
25
100
100
100
100
100
100
20
–
–
–
–
33
–
25
1 Founded on 28 May 2021
Consolidation
2 Founded on 30 September 2021
Fully consolidated company
∆ Equity method
Consoli-
dation
2020
Voting rights
in %
100
100
100
100
100
100
100
100
100
100
100
–
–
–
–
33
–
20
∆
Accounting principles
Business combinations
Business combinations are accounted for using the acquisition method. The assets and liabilities of the acquired
company are valued at fair values using uniform accounting policies. The differences between the cost of acquisition
and the fair value of the net assets acquired are recognized as goodwill and offset with equity. In a step acquisition,
the fair value of any non-controlling equity interest in the acquiree that is held immediately before obtaining control is
used in the determination of goodwill. Therefore, the non-controlling interest is remeasured to fair value at the date of
acquisition with any resulting gain or loss recognized in the income statement. When a company is divested, the
original cost of the goodwill is included in the gain or loss on disposal. Transaction costs in connection with acqui-
123
Financial Report Sensirion Annual Report 2021
sitions and divestments are recognized directly in the income statement. Upon acquisition of minority interests in a
fully consolidated company, the difference between the purchase price and the carrying value of the minority interests
is recognized directly in retained earnings. A reduction in the ownership interest without the loss of control is also
recognized in equity.
The acquisition costs also include deferred or owed purchase price payments. Contingent purchase price payments
(e.g. earn-out) are recognized if they are considered probable. They are recorded in provisions until the date of
payment. Changes in the estimate of the contingent purchase price payment are recognized directly in equity. Contin-
gent purchase price payments affect goodwill and are offset directly against retained earnings.
Subsidiaries
Subsidiaries are entities controlled by the Group. The Group controls an entity directly or indirectly, either by holding
more than half of the voting rights or by having the power to govern their operating and financial policies. The financial
statements of subsidiaries are included in the consolidated financial statements from the date on which control
commences until the date on which control ceases.
Associated companies
Companies in which Sensirion Group can exercise a decisive influence are included in the consolidation using the
equity method. The investment is valued at the Group’s share of the equity, and the Group’s share of the net result is
included in the consolidated income statement. A decisive influence is assumed if the Group holds at least 20 % but
less than 50 % of the voting rights. Goodwill arising from the acquisition of an associated company is offset with equity.
Transactions eliminated on consolidation
Intra-group balances and transactions, and any income and expenses arising from intra-group transactions, are
eliminated. Unrealized gains arising from transactions with equity-accounted investees are eliminated against the
investment to the extent of the Group’s interest in the investee. Unrealized losses are eliminated in the same way as
unrealized gains, but only to the extent that there is no evidence of impairment.
Foreign currency transactions in Group companies
Transactions in foreign currencies are translated into the respective functional currencies of Group companies at the
exchange rates at the dates of the transactions. Monetary assets and liabilities denominated in foreign currencies are
translated into the functional currency at the exchange rate at the reporting date. Foreign currency differences are
generally recognized in the income statement. Non-monetary items that are measured based on historical cost in a
foreign currency are not translated.
Translation of financial statements to be consolidated
Group financial statements are presented in Swiss francs. Assets and liabilities of Group companies with a functional
currency other than the Swiss franc are translated at the exchange rates at the reporting date, equity is translated at
historical rates, while the income statement is translated using average rates for the reporting period. Any resulting
exchange differences are recognized in shareholders’ equity.
Translation differences on long-term loans which are similar in nature to equity are posted in translation reserves in
equity. In the event of loss of control of a subsidiary or loss of significant influence of an associate, the corresponding
accumulated exchange differences of foreign companies recognized in equity are reclassified to the income state-
ment. Accumulated exchange differences arising from equity-like loans are reclassified to the income statement
upon disposal of the subsidiary.
124
Sensirion Annual Report 2021 Financial Report 6 Other information
6.1 Pension benefit obligations
The Group has pension plans in Switzerland and South Korea in accordance with the relevant national regulations. The
Swiss plan is the most important, as the majority of staff operate from Switzerland.
6.1.1 Economical benefit/economical obligation and pension benefit expenses
In thousands of CHF
Surplus/
Deficit
Economical part of the
organization
Change
from
previous
year
Contributions
concerning
the business
period
Pension benefit
expenses within
personnel expenses
31 Dec 2021 31 Dec 2021 31 Dec 2020
2021
Pension plans with surplus
Pension fund without own assets
Total economical benefit/economical obligation
and pension benefit expenses
–
–
–
–
–
–
–
–
–
–
–
–
2021
851
2021
851
2020
746
4,008
4,008
2,937
4,859
4,859
3,683
Swiss employees are insured with Swisscanto Sammelstiftung. As of 31 December 2021, the statutory funding ratio of this
pension plan is 108.0% (31 December 2020: 103.6%). Due to the comprehensive solidarities in the pension fund, the surplus
cannot be allocated to the affiliated companies. Therefore, no economic share of the Group can be claimed.
6.1.2 Employer contribution reserves (ECR)
In thousands of CHF
Nominal
value
Waiver
of use
Balance
sheet
Accumu-
lation
Balance
sheet
Result from ECR in
personnel expenses
Pension plans with surplus
Total employer contribution reserves
20,033
20,033
–
–
20’033
20’033
5,627
5,627
14,406
14,406
–
–
–
–
31 Dec 2021
2021 31 Dec 2021
2021
31 Dec 2020
2021
2020
Accounting principles
Assets and liabilities from employee benefits (incl. employer contribution reserve)
The employee benefit plans are either financially independent entities and foundations outside of the Group (funded
plans) or unfunded plans with a corresponding liability in the balance sheet. Financing is provided by employee and
employer contributions. The actual economic impact of all employee benefit plans that provide benefits for retirement,
death or disability are calculated as at the balance sheet date. In the case of foreign plans, the provisions calculated
according to local regulations are included in the consolidated financial statements. A benefit resulting from employer
contribution reserves is recognized as an asset. Any additional economic benefit (from a surplus in pension fund
cover) is not capitalized. An economic obligation is recognized as a liability if the conditions for the recognition of a
provision are met.
125
Financial Report Sensirion Annual Report 2021 6.2 Share-based payment arrangement
6.2.1 Description of share-based payment arrangements
At 31 December 2021, the Group had the following share-based payment arrangements.
Bonus and Restricted Share Unit Plan (settlement choice for employees and equity-settled for members of the
Executive Committee)
The Group established a recurring bonus program under which an eligible employee who has not given or received notice
of termination may choose between the payment of its annual bonus entirely in cash (“Cash Bonus”) or entirely in shares
of the Company and additional RSU (“Equity Bonus”), provided that the employee has not been given notice of termination
for cause by its employer. For the Equity Bonus, the number of shares is determined by dividing the bonus amount by the
average price of the Company’s shares on the SIX Swiss Exchange over a period of time before the date of the allocation
of the shares. Such shares may not be sold, otherwise transferred, pledged or made the object of hedging transactions for
a period of three years after the end of the election period. The number of RSU granted within the Equity Bonus will be
determined by the Group in its sole discretion at the grant date. The RSU vest over a period of three years starting from
the end of the election period.
The number of shares granted to employees amounts to 26,308 (2020: 51,352) and the number of RSU granted amounts to
6,704 (2020: 12,930). The fair value of one share at grant date amounts to CHF 124.70 (2020: CHF 52.90) and the fair value
of one RSU at grant date amounts to CHF 124.70 (2020: CHF 52.90). The values correspond to the listed share price of the
Company’s shares at grant date.
Contrary to employees, members of the Executive Committee have no settlement choice; they will receive their annual
bonus entirely in the form of an Equity Bonus. Approval of the aggregate amount of variable compensation for the
Executive Committee by Sensirion Holding AG’s annual general meeting pursuant to the articles of association of the
Company is required. All other conditions are similar to the other employees. The number of shares granted to members
of the Executive Committee amounts to 1,566 (2020: 3,749) and the number of RSU granted amounts to 1,566 (2020: 3,749).
The estimated fair value of one share at grant date amounts to CHF 133.30 (2020: CHF 57.20) and the estimated fair value
of one RSU at grant date amounts to CHF 133.30 (2020: CHF 57.20). The values correspond or are derived from the listed
share price of the Company’s shares at 31 December 2021. These estimated fair values will be updated to reflect the
circumstances at the date of the next annual general meeting.
For 2021, the Group granted a total annual bonus amount of CHF 8,671 thousand (2020: CHF 7,152 thousand). The amount
is split between cash bonus of CHF 4,137 thousand (2020: CHF 3,323 thousand) and equity bonus of CHF 4,534 thousand
(2020: CHF 3,829 thousand).
6.2.2 Outstanding instruments at the reporting date
Details on the number of instruments outstanding under the share-based payment arrangements at the reporting date are
as follows:
In units
31 December 2021
31 December 2020
Restricted share units – Bonus and Restricted Share Unit Plan
45,542
38,995
126
Sensirion Annual Report 2021 Financial Report 6.2.3 Reconciliation of outstanding RSU
The number and weighted-average exercise prices of RSU under the share-based payment arrangements were as follows:
In options
2021
Outstanding at 1 January
Exercised during the year
Granted during the year
Forfeited during the year
Outstanding at 31 December
Exercisable at 31 December
2020
Outstanding at 1 January
Exercised during the year
Granted during the year
Forfeited during the year
Outstanding at 31 December
Exercisable at 31 December
Number of RSU
Weighted-average
exercise price
(in CHF)
38,995
(156)
8,270
(1,567)
45,542
–
282,289
(259,757)
16,679
(216)
38,995
–
0.10
0.10
0.10
0.10
0.10
–
0.10
0.10
0.10
0.10
0.10
–
The RSU outstanding at 31 December 2021 had an exercise price of CHF 0.10 (31 December 2020: CHF 0.10) and a
weighted-average contractual life of 1.4 years (31 December 2020: 2.0 years).
Accounting principles
Cash-settled share-based payment transactions
The fair value of the amount payable to employees is recognized as an expense with a corresponding increase in
liabilities. The liability is remeasured to fair value at each reporting date and at settlement date. Any changes in the
liability is recognized as part of personnel costs.
Equity-settled share-based payment transactions
The grant-date fair value of equity-settled share-based payment arrangements granted to employees is generally
recognized as an expense, with a corresponding increase in equity, over the vesting period of the awards, if any. The
amount recognized as an expense is adjusted to reflect the number of awards for which the related service condition,
if any, is expected to be met, such that the amount ultimately recognized is based on the number of awards that meet
the related service condition at the vesting date.
Share-based payment transactions with settlement choice for the counterparty
When the counterparty has a choice of settlement in a share-based payment transaction, the Group grants a com-
pound financial instrument which includes a debt component (i.e. the counterparty’s right to demand payment in cash)
and an equity component (i.e. the counterparty’s right to demand settlement in equity instruments rather than in cash).
The Group first measures the fair value of the debt component and then measures the fair value of the equity compo-
nent. The fair value of the debt component is recognized over the vesting period, if any, as employee benefit expenses
with a corresponding entry to cash-settled share-based payment liabilities, whereas the equity component is recog-
nized as employee benefit expenses with a corresponding entry to capital reserves. At the date of settlement, the
Group remeasures the cash-settled share-based payment to its fair value. If the counterparty chooses to receive
equity instruments, the remeasured liability is transferred directly to capital reserves.
127
Financial Report Sensirion Annual Report 2021 6.3 Related parties
As part of its normal business activities, the company maintains relations with associated companies as well as transac-
tions with key management personnel.
Transactions with key management personnel
There were no transactions with key management personnel outside of the ordinary compensation from their activities as
employees or as specifically appointed bodies.
Other related party disclosures
In thousands of CHF
Trade receivables
Other receivables
In thousands of CHF, for the year ended 31 December
Sales and other income
6.4 Subsequent events
31 December 2021
31 December 2020
55
–
2021
205
–
858
2020
114
The consolidated financial statements were approved for publication by the Board of Directors on 14 March 2022. The
approval of the consolidated financial statements by the shareholders will take place at the Annual Shareholders’ Meeting.
No events have occurred between 31 December 2021 and 14 March 2022 which would necessitate adjustments to the
carrying values of the Sensirion Group’s assets or liabilities, or which require additional disclosure.
128
Sensirion Annual Report 2021 Financial Report Auditor’s Report
129
Financial Report Sensirion Annual Report 2021 1 Statutory Auditor's Report To the General Meeting of Sensirion Holding AG, Stäfa Report on the Audit of the Consolidated Financial Statements Opinion We have audited the consolidated financial statements of Sensirion Holding AG and its subsidiaries (the Group), which comprise the consolidated balance sheet as at 31 December 2021 and the consolidated statement of in-come, consolidated statement of changes in equity and consolidated statement of cash flows for the year then ended, and notes to the consolidated financial statements, including a summary of significant accounting policies. In our opinion the consolidated financial statements (pages 100 to 128) give a true and fair view of the consoli-dated financial position of the Group as at 31 December 2021, and its consolidated results of operations and its consolidated cash flows for the year then ended in accordance with Swiss GAAP FER and comply with Swiss law. Basis for Opinion We conducted our audit in accordance with Swiss law and Swiss Auditing Standards. Our responsibilities under those provisions and standards are further described in the Auditor’s Responsibilities for the Audit of the Consoli-dated Financial Statements section of our report. We are independent of the Group in accordance with the provi-sions of Swiss law and the requirements of the Swiss audit profession and we have fulfilled our other ethical re-sponsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opin-ion. Key Audit Matters REVENUE RECOGNITION INVENTORY VALUATION Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the consolidated financial statements of the current period. These matters were addressed in the context of our audit of the consolidated financial statements as a whole, and in forming our opinion thereon, and we do not pro-vide a separate opinion on these matters. 130
Sensirion Annual Report 2021 Financial Report 2 REVENUE RECOGNITION Key Audit Matter Our response Revenue is the basis for evaluating the course of busi-ness of the Group and is thus a focus area of internal target setting and external expectations. These expec-tations create potential pressure on management to achieve the set targets, which leads to an increased risk in revenue recognition, in particular the risk that the ac-crual principle is not correctly applied. We analysed the processes set up to ensure a correct application of the accrual principle. We identified inter-nal controls with regards to revenue recognition and tested operating effectiveness of selected controls ap-plying a sampling method. Furthermore, we performed, amongst others, the follow-ing procedures: — We evaluated the application of the accrual principle as of 31 December 2021 on a sample basis by com-paring invoices to delivery papers and assessing the effect of incoterms. — We inspected a sample of credit notes issued after year-end and evaluated whether the related adjust-ments to revenue had been recognised in the ap-propriate financial period. — We assessed profit margins and deviation analyses, identifying significant or unusual deviations to prior year and to our expectations. We discussed such analyses with management and where appropriate corroborated with additional documentation. — Additionally we identified transactions that deviated from the standard processes, such as entries by management or unusual counter-entries, for further investigation and validated the existence and accu-racy of this population. For further information on revenue recognition refer to the following: — Note 2.1 to the consolidated financial statements 131
Financial Report Sensirion Annual Report 2021 3 INVENTORY VALUATION Key Audit Matter Our response Inventory forms a significant part of the Group’s assets, amounting to MCHF 38.3 as at 31 December 2021. The valuation of work in progress, semi-finished and finished goods is underlying management judgements with re-gards to planned production capacities which impact standard costs. The valuation allowances are set up based on historical experience and management’s judgement on projected future sales and usage of inventory items. This judge-ment directly affects the carrying amount of inventories. Our audit procedures in this area included, amongst others: — We challenged the Group’s calculation of production costs. Relating to the allocation of overhead costs we compared the key parameters used in the calcu-lation to underlying actual data, and we evaluated underlying labour costs by comparing actual rates to budget rates and the deviations thereof. — We assessed the Group’s historical experience on slow moving inventory items as compared to the amounts used in the calculation of allowances, and we evaluated consistency of application. — We evaluated the Group’s controls on the valuation of slow moving items by sample testing key controls for operating effectiveness. For further information on inventory valuation refer to the following: — Note 1.2 to the consolidated financial statements — Note 3.2 to the consolidated financial statements Responsibility of the Board of Directors for the Consolidated Financial Statements The Board of Directors is responsible for the preparation of the consolidated financial statements that give a true and fair view in accordance with Swiss GAAP FER and the provisions of Swiss law, and for such internal control as the Board of Directors determines is necessary to enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud or error. In preparing the consolidated financial statements, the Board of Directors is responsible for assessing the Group’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Board of Directors either intends to liquidate the Group or to cease operations, or has no realistic alternative but to do so. Auditor’s Responsibilities for the Audit of the Consolidated Financial Statements 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 to issue an auditor’s report that in-cludes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit con-ducted in accordance with Swiss law and Swiss Auditing Standards will always detect a material misstatement when it exists. 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. As part of an audit in accordance with Swiss law and Swiss Auditing Standards, we exercise professional judg-ment and maintain professional skepticism throughout the audit. We also: — Identify and assess the risks of material misstatement of the consolidated financial statements, 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 opinion. The risk of not detecting a material mis-statement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, for-gery, intentional omissions, misrepresentations, or the override of internal control. 132
Sensirion Annual Report 2021 Financial Report 4 — Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Group’s internal control. — Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made. — Conclude on the appropriateness of the Board of Directors’ 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 our auditor’s report to the related disclosures in the consolidated financial statements or, if such disclosures are inadequate, to modify our opinion. 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 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 represent the underlying transactions and events in a manner that achieves fair presentation. — Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business ac-tivities within the Group to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision and performance of the Group audit. We remain solely responsible for our audit opinion. We communicate with the Board of Directors or its relevant committee regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in inter-nal control that we identify during our audit. We also provide the Board of Directors or its relevant committee with a statement that we have complied with rel-evant ethical requirements regarding independence, and communicate with them all relationships and other mat-ters that may reasonably be thought to bear on our independence, and where applicable, actions taken to elimi-nate threats or safeguards applied. From the matters communicated with the Board of Directors or its relevant committee, we determine those mat-ters 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 law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a mat-ter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication. 133
Financial Report Sensirion Annual Report 2021 5 Report on Other Legal and Regulatory Requirements In accordance with article 728a para. 1 item 3 CO and the Swiss Auditing Standard 890, we confirm that an inter-nal control system exists, which has been designed for the preparation of consolidated financial statements ac-cording to the instructions of the Board of Directors. We recommend that the consolidated financial statements submitted to you be approved. KPMG AG Silvan Jurt Licensed Audit Expert Auditor in Charge Matthias Bachmann Licensed Audit Expert Zurich, 14 March 2022 KPMG AG, Badenerstrasse 172, CH-8036 Zurich © 2022 KPMG AG, a Swiss corporation, is a subsidiary of KPMG Holding AG, which is a member of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee. All rights reserved. Financial Statements
of Sensirion Holding AG
Income Statement
In thousands of CHF, for the year ended 31 December
Revenue from royalties
Total income
Personnel expenses
Other operating expenses
Amortization on intangible assets
Financial income
Financial expense
Income taxes
Total expenses
Profit for the year
Note
1.6
2.5
2.5
2021
7,644
7,644
(1,027)
(1,320)
(15)
822
(758)
(488)
(2,786)
2020
7,738
7,738
(1,024)
(1,110)
(16)
583
(1,084)
(712)
(3,363)
4,858
4,375
134
Sensirion Annual Report 2021 Financial Report Balance Sheet
In thousands of CHF
Note 31 December 2021 31 December 2020
Assets
Cash and cash equivalents
Financial assets
Other short-term receivables
– from companies in which the entity holds an investment
Prepaid expenses and accrued income
Total current assets
Financial assets
Investments
Intangible assets
Total non-current assets
Total assets
Liabilities
Trade payables
– to third parties
Other liabilities
– to third parties
– to companies in which the entity holds an investment
Accrued expenses
Total current liabilities
Provisions
Total non-current liabilities
Total liabilities
Equity
Share capital
Legal capital reserves
– Reserves from capital contributions
– Other capital reserves
Legal retained earnings
– General legal retained earnings
– Reserves for treasury shares
Voluntary retained earnings
– Retained earnings brought forward
– Profit for the year
Total equity
Total liabilities and equity
2.1
2.1
2.2
2.4
54,129
–
205
90
54,424
52,616
69,776
23
122,415
176,839
20
88
3,100
542
3,750
5,955
5,955
9,705
14,740
30,000
1,025
95
45,860
98,606
21,522
37
120,165
166,025
23
127
3,100
500
3,750
–
–
–
1,557
1,557
127,311
4,597
603
472
27,736
4,858
167,134
176,839
127,438
4,469
603
1,735
22,098
4,375
162,275
166,025
135
Financial Report Sensirion Annual Report 2021 Notes to the Financial Statements
of Sensirion Holding AG
1 Principles
1.1 General aspects
These financial statements were prepared according to the principles of the Swiss Law on Accounting and Financial
Reporting (32nd title of the Swiss Code of Obligations). Where not prescribed by law, the significant accounting and valu-
ation principles applied are described below. It should be noted that, to ensure the company’s going concern, the
company’s financial statements may be influenced by the creation and release of hidden reserves.
1.2 Financial assets
Financial assets include long-term loans. Loans granted in foreign currencies are translated at the exchange rate at the
balance sheet date, unrealized losses are recognized immediately whereby unrealized profits are not recognized. Invest-
ments with a long-term investment purpose and less than 20 % capital rights are considered financial assets. Investments
with long-term investment purpose with more than 20 % capital rights are considered investments.
1.3 Investments
Investments are accounted for at costs less any impairment losses.
1.4 Treasury shares
Treasury shares are held in the subsidiary Sensirion AG.
1.5 Share-based payments
The purpose of the Bonus and Restricted Share Plan (see Note 6 of the Consolidated Financial Statements) is to provide
eligible employees with an opportunity to participate in the creation of long-term shareholder value of the Sensirion Group.
Members of the Executive Committee shall be awarded their bonus in the form of an equity bonus only, not having the right
to choose between a cash bonus and an equity bonus. Except for exceptions as determined by the Executive Committee,
eligible employees who are awarded a bonus from time to time may choose between
(a) payment of the bonus in cash (the Cash Bonus); or
(b) payment of the bonus in shares of Sensirion Holding AG (Shares) and additional restricted share units (RSUs), in each
case subject to the terms, conditions and restrictions set forth in the plan.
An eligible employee can only elect to receive either the full bonus in the form of a Cash Bonus or an Equity Bonus. The
number of Shares to be awarded shall be determined by dividing the bonus amount by an average price of the Shares as
quoted on the SIX Swiss Exchange over a period of time prior to the date of allocation of the Shares as determined by
Sensirion Holding AG in its sole discretion, rounded down to the nearest full number of Shares. The number of RSUs to be
awarded shall be determined by Sensirion Holding AG in its sole discretion.
136
Sensirion Annual Report 2021 Financial Report
1.6 Revenue from royalties
Sensirion Holding AG charges its subsidiaries royalties. The royalties are based on the revenue that is generated by the
subsidiaries using the patented technology of Sensirion Holding AG.
1.7 Foregoing a cash flow statement and additional disclosures in the notes
As Sensirion Holding AG has prepared its consolidated financial statements in accordance with a recognized accounting
standard (Swiss GAAP FER), it has decided to forego presenting additional information on interest-bearing liabilities and
audit fees in the notes as well as a cash flow statement in accordance with the law.
2 Disclosure on balance sheet and income
statement items
2.1 Financial assets
In thousands of CHF
31 December 2021
31 December 2020
Current financial assets
Time deposit
Total current financial assets
Non-current financial assets
Clarity Movement Co.
MaxWell Biosystems AG
Loans to subsidiaries
Total non-current financial assets
–
–
524
3,688
48,404
52,616
30,000
30,000
524
3,300
94,782
98,606
137
Financial Report Sensirion Annual Report 2021 100
100
100
100
100
100
100
100
–
–
33
–
25
100
100
100
–
–
2.2 Investments
In thousands of CHF
a) Direct investments
Company, location
Sensirion AG, Stäfa (Switzerland)
Sensirion China Co. Ltd., Shenzhen (China)
Sensirion Inc., Chicago (USA)
Sensirion Japan Co. Ltd., Yokohama (Japan)
Sensirion Korea Co. Ltd., Anyang-Si (South Korea)
Sensirion Taiwan Co. Ltd., Hsinchu (Taiwan)
Sensirion Hungary Kft., Debrecen (Hungary)
Sensirion Automotive Solutions AG, Stäfa (Switzerland)
Sensirion Connected Solutions AG, Stäfa (Switzerland)
AiSight Inc., San Francisco (USA)
IRsweep AG, Stäfa (Switzerland)
Qmicro B.V., Enschede (Netherlands)
Lumiphase AG, Zürich (Switzerland)
b) Significant indirect investments
31 December 2021
31 December 2020
Share capital
in %
Share capital
in %
CHF
CNY
USD
JPY
KRW
TWD
HUF
CHF
CHF
USD
CHF
EUR
CHF
2,000,000
1,260,000
660,000
25,000,000
100,000,000
25,000,000
3,010,000
100,000
100,000
2,631,099
166,667
1,000
133,323
100
100
100
100
100
100
100
100
100
100
100
100
25
2,000,000
1,260,000
660,000
25,000,000
100,000,000
25,000,000
3,000,000
100,000
–
–
166,667
–
133,323
Sensirion Automotive Solutions Inc., Eaton Rapids (USA)
USD
250,000
100
250,000
Sensirion Automotive Solutions Korea
Co. Ltd., Seoul (South Korea)
Sensirion Automotive Solutions
(Shanghai) Co. Ltd., Shanghai (China)
Sensirion Automotive Solutions Hungary Kft., Debrecen
(Hungary)
AiSight GmbH, Berlin (Germany)
KRW 38,543,000,000
100
15,000,000,000
CNY
28,450,000
100
28,450,000
HUF
EUR
3,000,000
30,870
100
100
–
–
2.3 Treasury shares
Held by subsidiary Sensirion AG
In thousands of CHF
2021
2020
75,857
1,735
(55,258)
(1,263)
20,599
472
75,857
1,735
–
–
75,857
1,735
Treasury shares nom. CHF 0.10
Stock at 1 January
Book value at 1 January
Sales
Selling price
Stock at 31 December
Book value at 31 December
138
Sensirion Annual Report 2021 Financial Report
2.4 Legal capital reserves
Reserves from capital contributions in the amount of CHF 127,311 thousand have been confirmed by the Federal Tax Authority.
2.5 Financial result
In thousands of CHF, for the year ended 31 December
Financial income
Financial expenses
Total
2021
822
(758)
64
2020
583
(1,084)
(501)
The financial income of CHF 822 thousand (prior year: CHF 583 thousand) arises mainly from interest income from loans
to subsidiaries. Financial expenses in the amount of CHF 758 thousand (prior year: CHF 1,084 thousand) mainly include
valuation differences of financial assets and exchange losses as of 31 December 2021.
3 Other information
3.1 Full-time equivalents
Sensirion Holding AG has no employees.
3.2 Collateral provided for liabilities of third parties
Collateral provided for liabilities of third parties amount to CHF 40,000 thousand (prior year: CHF 40,000 thousand). These
are guarantees issued on behalf of subsidiaries of which CHF 546 thousand are used.
3.3 Letter of comfort
Sensirion Holding AG has undertaken to provide Sensirion Automotive Solutions AG (as a supplier to a customer) with the
necessary financial resources on an ongoing basis. The obligation to provide financial resources amounts to EUR
4,500 thousand per calendar year and to a maximum total amount of EUR 45,000 thousand during the term of the contract.
This contract may be terminated for the first time on 31 December 2046 with 12 months’ notice.
3.4 Equity-settled share-based payment transactions
Value in thousands of CHF
Allocated shares to employees excluding the EC
Allocated RSUs to employees excluding the EC
Total
2021
Quantity
Value
Quantity
26,308
6,704
33,012
3,507
894
4,401
51,352
12,930
64,282
2020
Value
2,942
741
3,683
139
Financial Report Sensirion Annual Report 2021
3.5 Shares held by members of the Board of Directors
and the Executive Committee
The members of the Board of Directors and the Executive Committee (including related parties) held the following number
of shares and RSUs as of 31 December:
Board of Directors
Dr. Moritz Lechner, Co-Chairman
Dr. Felix Mayer, Co-Chairman1
Ricarda Demarmels, member
Heinrich Fischer, member
François Gabella, member
Dr. Franz Studer, member
Anja König, member, appointed on 18 May 2021
Total Board of Directors
Executive Committee
Dr. Marc von Waldkirch, CEO
Dr. Johannes Bleuel, VP Operations
Matthias Gantner, CFO
Heiko Lambach, VP Human Resources
Dr. Andrea Orzati, VP Sales & Marketing
Dr. Johannes Schumm, VP Research & Development
Total Executive Committee
Shares
871,900
871,900
250
117,781
–
–
–
1,861,831
Shares
43,590
2,735
6,986
11,720
19,446
7,444
91,921
2021
RSUs
–
–
–
–
–
–
–
–
2021
RSUs2
2,094
921
889
662
1,195
1,126
6,887
Shares
871,900
871,900
250
117,781
–
–
–
1,861,831
Shares
42,052
5,827
11,006
12,490
19,031
8,338
98,744
2020
RSUs
–
–
–
–
–
–
–
–
2020
RSUs2
2,700
1,218
1,207
891
1,584
1,307
8,907
1 Related parties: including shares held by Fondation des Fondateurs, Zürich, Switzerland.
2 Includes RSUs from the Bonus.
3.6 Significant shareholders
As of 31 December 2021, the following shareholders held more than 3 % of the shares:
Shareholder
Moritz Lechner, Uerikon, Switzerland; Felix Mayer, Stäfa, Switzerland;
Fondation des Fondateurs, Switzerland; 7-Industries Holding B.V.,
Amsterdam, Netherlands; EGS Beteiligungen AG, Zürich, Switzerland;
Sensirion Holding AG1
Chase Nominees Ltd.2
Gottlieb Knoch, Zug, Switzerland
Davent Holding AG, Wollerau, Switzerland3
2021
% of
voting rights
32.4 %
3.8 %
4.9 %
3.5 %
Shares
5,039,412
593,116
768,666
547,164
1 The beneficial owner of 7-Industries Holding B.V. is Mrs. Ruthi Wertheimer, Herzliya, Israel. The beneficial owner of EGS Beteiligungen AG, Zürich,
Switzerland, is the Ernst Göhner Stiftung, Zug, Switzerland. The shareholders act in concert within the meaning of Article 121 FMIA by virtue
of a shareholders' agreement as a result of which they, together with the Company, act in concert. Moritz Lechner, Felix Mayer, Fondation des
Fondateurs, 7-Industries Holding B.V. and EGS Beteiligungen AG together hold 32.4 % (31 December 2020: 32.2 %) of the voting rights.
2 Pursuant to the share register, holding shares as nominee for third-party beneficial owners.
3 The beneficial owner of Davent Holding AG is Dr. Thomas Knecht, Wollerau, Switzerland.
140
Sensirion Annual Report 2021 Financial Report 4 Subsequent events
There are no significant events after the balance sheet date which could impact the book value of the assets or liabilities,
or which should be disclosed here.
.
Proposed appropriation
of available earnings
In thousands of CHF
Retained earnings brought forward
Net profit for the year
Available earnings
2021
27,736
4,858
32,594
The Board of Directors proposes to the General Meeting of Shareholders the following appropriation of available earnings.
In thousands of CHF
Balance to be carried forward
2021
32,594
141
Financial Report Sensirion Annual Report 2021
Auditor’s Report
142
Sensirion Annual Report 2021 Kapiteltitel 1 Statutory Auditor's Report To the General Meeting of Sensirion Holding AG, Stäfa Report on the Audit of the Financial Statements Opinion We have audited the financial statements of Sensirion Holding AG, which comprise the income statement for the year then ended, the balance sheet as at 31 December 2021, and notes to the financial statements, including a summary of significant accounting policies. In our opinion the financial statements (pages 134 to 141) for the year ended 31 December 2021 comply with Swiss law and the company’s articles of incorporation. Basis for Opinion We conducted our audit in accordance with Swiss law and Swiss Auditing Standards. Our responsibilities under those provisions and standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are independent of the entity in accordance with the provisions of Swiss law and the requirements of the Swiss audit profession and we have fulfilled our other ethical responsibilities in ac-cordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opin-ion. Report on Key Audit Matters based on the circular 1/2015 of the Federal Audit Oversight Authority Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the financial statements of the current period. We have determined that there are no key audit matters to com-municate in our report. Responsibility of the Board of Directors for the Financial Statements The Board of Directors is responsible for the preparation of the financial statements in accordance with the provi-sions of Swiss law and the company’s articles of incorporation, and for such internal control as the Board of Direc-tors determines is necessary to enable the preparation of financial statements that are free from material mis-statement, whether due to fraud or error. In preparing the financial statements, the Board of Directors is responsible for assessing the entity’s ability to con-tinue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Board of Directors either intends to liquidate the entity or to cease operations, or has no realistic alternative but to do so. Auditor’s Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opin-ion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accord-ance with Swiss law and Swiss Auditing Standards will always detect a material misstatement when it exists. Mis-statements 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 financial state-ments. 1 Statutory Auditor's Report To the General Meeting of Sensirion Holding AG, Stäfa Report on the Audit of the Financial Statements Opinion We have audited the financial statements of Sensirion Holding AG, which comprise the income statement for the year then ended, the balance sheet as at 31 December 2021, and notes to the financial statements, including a summary of significant accounting policies. In our opinion the financial statements (pages 134 to 141) for the year ended 31 December 2021 comply with Swiss law and the company’s articles of incorporation. Basis for Opinion We conducted our audit in accordance with Swiss law and Swiss Auditing Standards. Our responsibilities under those provisions and standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are independent of the entity in accordance with the provisions of Swiss law and the requirements of the Swiss audit profession and we have fulfilled our other ethical responsibilities in ac-cordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opin-ion. Report on Key Audit Matters based on the circular 1/2015 of the Federal Audit Oversight Authority Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the financial statements of the current period. We have determined that there are no key audit matters to com-municate in our report. Responsibility of the Board of Directors for the Financial Statements The Board of Directors is responsible for the preparation of the financial statements in accordance with the provi-sions of Swiss law and the company’s articles of incorporation, and for such internal control as the Board of Direc-tors determines is necessary to enable the preparation of financial statements that are free from material mis-statement, whether due to fraud or error. In preparing the financial statements, the Board of Directors is responsible for assessing the entity’s ability to con-tinue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Board of Directors either intends to liquidate the entity or to cease operations, or has no realistic alternative but to do so. Auditor’s Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opin-ion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accord-ance with Swiss law and Swiss Auditing Standards will always detect a material misstatement when it exists. Mis-statements 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 financial state-ments. 143
Kapiteltitel Sensirion Annual Report 2021 2 As part of an audit in accordance with Swiss law and Swiss Auditing Standards, we exercise professional judg-ment and maintain professional skepticism throughout the audit. We also: — Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or er-ror, design and perform audit procedures responsive to those risks, and obtain audit evidence that is suffi-cient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement re-sulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, inten-tional omissions, misrepresentations, or the override of internal control. — Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of in-ternal control. — Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made. — Conclude on the appropriateness of the Board of Directors’ 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 entity’s ability to continue as a going concern. If we conclude that a ma-terial uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or condi-tions may cause the entity to cease to continue as a going concern. We communicate with the Board of Directors or its relevant committee regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in inter-nal control that we identify during our audit. We also provide the Board of Directors or its relevant committee with a statement that we have complied with rel-evant ethical requirements regarding independence, and communicate with them all relationships and other mat-ters that may reasonably be thought to bear on our independence, and where applicable, actions taken to elimi-nate threats or safeguards applied. From the matters communicated with the Board of Directors or its relevant committee, we determine those mat-ters that were of most significance in the audit of the financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditor’s report, unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication. Report on Other Legal and Regulatory Requirements In accordance with article 728a para. 1 item 3 CO and the Swiss Auditing Standard 890, we confirm that an inter-nal control system exists, which has been designed for the preparation of financial statements according to the instructions of the Board of Directors. We further confirm that the proposed appropriation of available earnings complies with Swiss law and the com-pany’s articles of incorporation. We recommend that the financial statements submitted to you be approved. 3 KPMG AG Silvan Jurt Licensed Audit Expert Auditor in Charge Matthias Bachmann Licensed Audit Expert Zurich, 14 March 2022 KPMG AG, Badenerstrasse 172, CH-8036 Zurich © 2022 KPMG AG, a Swiss corporation, is a subsidiary of KPMG Holding AG, which is a member of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee. All rights reserved. 3 KPMG AG Silvan Jurt Licensed Audit Expert Auditor in Charge Matthias Bachmann Licensed Audit Expert Zurich, 14 March 2022 KPMG AG, Badenerstrasse 172, CH-8036 Zurich © 2022 KPMG AG, a Swiss corporation, is a subsidiary of KPMG Holding AG, which is a member of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee. All rights reserved. 2 As part of an audit in accordance with Swiss law and Swiss Auditing Standards, we exercise professional judg-ment and maintain professional skepticism throughout the audit. We also: — Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or er-ror, design and perform audit procedures responsive to those risks, and obtain audit evidence that is suffi-cient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement re-sulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, inten-tional omissions, misrepresentations, or the override of internal control. — Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of in-ternal control. — Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made. — Conclude on the appropriateness of the Board of Directors’ 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 entity’s ability to continue as a going concern. If we conclude that a ma-terial uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or condi-tions may cause the entity to cease to continue as a going concern. We communicate with the Board of Directors or its relevant committee regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in inter-nal control that we identify during our audit. We also provide the Board of Directors or its relevant committee with a statement that we have complied with rel-evant ethical requirements regarding independence, and communicate with them all relationships and other mat-ters that may reasonably be thought to bear on our independence, and where applicable, actions taken to elimi-nate threats or safeguards applied. From the matters communicated with the Board of Directors or its relevant committee, we determine those mat-ters that were of most significance in the audit of the financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditor’s report, unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication. Report on Other Legal and Regulatory Requirements In accordance with article 728a para. 1 item 3 CO and the Swiss Auditing Standard 890, we confirm that an inter-nal control system exists, which has been designed for the preparation of financial statements according to the instructions of the Board of Directors. We further confirm that the proposed appropriation of available earnings complies with Swiss law and the com-pany’s articles of incorporation. We recommend that the financial statements submitted to you be approved. Shareholder Information
Valor symbol
Reuters symbol
Bloomberg symbol
Valor number
ISIN
End of fiscal year
Exchange
Trading currency
Listed since
SENS
SENSI.S
SENS.SW
40,670,512
CH 040 670512 6
31 December
SIX Swiss Exchange
CHF
22 March 2018
Number of issued shares
(as recorded in the commercial register)
Nominal value
15,573,350
CHF 0.10
Accounting standard
Swiss GAAP FER
Financial Calendar
15 March 2022
16 May 2022
24 August 2022
Contact
2021 full-year results and annual report
Annual general meeting
2022 half-year results and interim report
For further information, please contact:
Heiko Komaromi, Director Investor Relations and Business Development
Phone +41 44 544 16 44
heiko.komaromi@sensirion.com
144
Sensirion Annual Report 2021 Financial Report Disclaimer
Certain statements in this document are forward-looking statements, including, but not limited to, those using words such
as “believe”, “assume”, “expect” and other similar expressions. Such forward-looking statements are based on assump-
tions and expectations and, by their nature, involve known and unknown risks, uncertainties and other factors that could
cause actual results, performance or achievements to differ materially from those expressed or implied by the for-
ward-looking statements. Such factors include, but are not limited to, future global economic conditions, changed market
conditions, competition from other companies, effects and risks of new technologies, costs of compliance with applicable
laws, regulations and standards, diverse political, legal, economic and other conditions affecting markets in which
Sensirion operates, and other factors beyond the control of Sensirion. In view of these uncertainties, you should not place
undue reliance on forward-looking statements. Sensirion disclaims any intention or obligation to update any forward-look-
ing statements, or to adapt them to future events or developments.
Sensirion uses certain key figures to measure its performance that are not defined by Swiss GAAP FER. These alternative
performance measures may not be comparable to similarly titled measures presented by other companies. Additional
information on these key figures can be found at http://www.sensirion.com/alternative-performance-measures.
This document is not an offer to sell, or a solicitation of offers to purchase, any securities.
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Phone +41 44 306 40 00
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info@sensirion.com
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Sensirion AG
145
Financial Report Sensirion Annual Report 2021