18. Equity
Share capital
As at 31 December 2023, the authorized share capital totaled € 45.5 million, consisting of 182 million ordinary shares with a nominal value of € 0.25 each.
Movements in number of issued shares
Ordinary shares | |
As at 1 January 2023 | 59,242,792 |
As at 31 December 2023 | 59,242,792 |
Movements in number of shares with dividend rights
Ordinary shares | |
As at 1 January 2023 | 59,012,918 |
Share-based remuneration | 78,031 |
As at 31 December 2023 | 59,090,949 |
Movements in treasury stock ordinary shares
Number | |
As at 1 January 2023 | 229,874 |
Share-based remuneration | -78,031 |
As at 31 December 2023 | 151,843 |
As at 31 December 2023, Corbion had a treasury stock of 151,843 ordinary shares at its disposal with a nominal value of € 0.25 each (representing 0.26% of the total share capital issued). Treasury stock shares have no dividend rights.
Other reserves
Movements in legal reserves | |||||
Translation reserve | Hedge reserve | Development costs | Share plan reserve | Total | |
As at 1 January 2022 | 8.8 | 8.1 | 30.7 | 6.3 | 53.9 |
• Net investment hedge | |||||
- Exchange rate differences foreign currency loan | -16.8 | -16.8 | |||
- Tax effect | 4.3 | 4.3 | |||
• Translation difference | |||||
- Foreign group companies | 28.2 | 28.2 | |||
- Tax effect | -0.3 | -0.3 | |||
• Cash flow hedge | |||||
- Fluctuations in fair value derivatives | -7.0 | -7.0 | |||
- Tax effect | 1.7 | 1.7 | |||
• Share-based remuneration charged to result | 4.8 | 4.8 | |||
• Share-based remuneration transfers | -3.8 | -3.8 | |||
• Movement in capitalization of development costs | -3.1 | -3.1 | |||
As at 31 December 2022 | 24.2 | 2.8 | 27.6 | 7.3 | 61.9 |
• Net investment hedge | |||||
- Exchange rate differences foreign currency loan | 11.5 | 11.5 | |||
- Tax effect | -3.0 | -3.0 | |||
• Translation difference | |||||
- Foreign group companies | -28.9 | -28.9 | |||
- Tax effect | -0.1 | -0.1 | |||
• Cash flow hedge | |||||
- Fluctuations in fair value derivatives | -16.0 | -16.0 | |||
- Tax effect | 4.1 | 4.1 | |||
• Share-based remuneration charged to result | 4.1 | 4.1 | |||
• Share-based remuneration transfers | -4.5 | -4.5 | |||
• Movement in capitalization of development costs | -3.5 | -3.5 | |||
As at 31 December 2023 | 3.7 | -9.1 | 24.1 | 6.9 | 25.6 |
In specific circumstances legal reserves must be created in accordance with Part 9, Book 2 of the Dutch Civil Code. The legal reserves comprise the translation reserve, hedge reserve, and development cost reserve. Legal reserves cannot be distributed to shareholders.
A reserve for non-transferable profits is not applicable as Corbion has no restrictions to transfer profits from its operations in the different countries.
Nature and purpose of reserves
Translation reserve
The translation reserve comprises all foreign currency differences arising from the translation of the financial statements of foreign operations, as well as the effective portion of any foreign currency differences arising from hedges of a net investment in a foreign operation.
Hedge reserve
The hedge reserve comprises the effective portion of the cumulative net change in the fair value of hedging instruments used in cash flow hedges pending subsequent recognition in profit or loss as the hedged cash flows or items affect profit or loss.
Development cost reserve
The development cost reserve comprises a statutory reserve for capitalized development expenditure in accordance with the Dutch Civil Code.
Share plan reserve
The share plan reserve comprises all movements in equity-settled share-based remuneration plans.
Proposed dividend on ordinary shares
For the year 2023, a regular dividend in cash of € 0.61 per ordinary share (2022: € 0.56), in total € 36.0 million (2022: € 33.1 million) will be submitted for approval to the annual General Meeting of Shareholders, to be held on 15 May 2024. Proposed dividends on ordinary shares are subject to approval at the annual General Meeting of Shareholders and are not recognized as a liability as at 31 December.