A N N UA L R E P O R T
Board of Directors’ report
INVESTMENTS
for the new issue and buyback was SEK 12, which corresponded to the share
quota price. Pursuant to a resolution by the Annual General Meeting on
7 May 2014, the remaining holding of Class B shares that were not used for
delivery to participants in the share-savings programme may be used to be
transferred to a third party that is listed or not listed on Nasdaq Stockholm
in accordance with the authorisation for the Board to decide on acquisitions
and transfers of treasury shares (see the section “Authorisations” below). The
aim of the remaining holding of treasury shares was that Addnode Group
would be able to transfer the shares in connection with company a cquisitions
or other types of strategic investments. In January 2015, 2,387 Class B shares
were transferred free of charge to the participants in Addnode Group’s sharesavings programme, after which all obligations under this programme have
been settled. In July 2015, 477, 497 Class B treasury shares were transferred
as partial payment for the acquisition of Transcat GmbH. The price per share
corresponded to the closing price of Addnode Group’s Class B shares on
Nasdaq Stockholm on the transfer date. Payment for the transferred shares
amounted to SEK 24.8 m. As at 31 December 2015 Addnode Group had no
holdings of treasury shares.
Investments in intangible non-current assets and in property, plant and
equipment amounted to SEK 61.1 m (53.9), of which SEK 43.2 m (29.9)
pertains to proprietary software, SEK 0.0 m (8.2) to customer
agreements,and SEK 17.2 m (13.8) to equipment.
SOFTWARE DEVELOPMENT
Through business development and acquisitions, the share of
proprietary software and applications has increased in the IT solutions
that the Group offers its customers. In 2015, capital expenditures of
SEK 43.2 m (29.9) in proprietary software and applications were
capitalised. Expenditures for customer-financed development and
certain other development work that do not meet the criteria for
capitalisation were expensed in the income statement.
GOODWILL AND OTHER INTANGIBLE ASSETS
The Group’s carrying amount of goodwill on 31 December 2015 was
SEK 889.2 m (738.7). Goodwill increased by SEK 169.6 m in 2015
in connection with the acquisition of Transcat GmbH. The carrying
amount of trademarks with indefinite useful life was SEK 12.1 m (12.4).
Other intangible assets amounted to SEK 159.9 m (123.8) and pertain
primarily to customer agreements and software.
PARENT COMPANY
The Parent Company’s operations consist of joint-Group functions for
market communication, financial reporting and control, financing, tax
issues, business development and company acquisitions. Net sales in 2015
amounted to SEK 7.3 m (6.6), pertaining mainly to invoicing to subsi