Accounting policy
Other liabilities are measured at amortized cost, which generally corresponds to the nominal value, or at fair value through profit and loss. The latter is mainly applied to acquisition-related liabilities.
|
|
2023 |
|
2022 |
|---|---|---|---|---|
Trade payables |
|
|
|
|
Received in advance |
|
8 |
|
4 |
Trade accounts payable |
|
2,063 |
|
1,410 |
Notes and cheques due |
|
- |
|
1 |
Total Trade payables |
|
2,071 |
|
1,415 |
|
|
|
|
|
Income tax payable |
|
177 |
|
64 |
|
|
|
|
|
Other current liabilities |
|
|
|
|
Other taxes and social security contributions |
|
85 |
|
46 |
Interest |
|
135 |
|
23 |
Pensions |
|
2 |
|
2 |
Investment creditors |
|
146 |
|
118 |
Employee-related liabilities |
|
310 |
|
246 |
Payables associates and joint ventures relating to cash facility |
|
3 |
|
2 |
Acquisition-/divestment-related liabilities |
|
748 |
|
53 |
Other |
|
7 |
|
- |
Total Other current liabilities |
|
1,436 |
|
490 |
|
|
|
|
|
Total current liabilities |
|
3,684 |
|
1,969 |
Included in trade accounts payable are amounts due to suppliers which could be part of a supply chain finance arrangement between the supplier and a third-party bank. dsm-firmenich suppliers have the option to enter into such supply chain finance arrangements with third party banks, which provides them with the option of earlier payment based on terms linked to dsm-firmenich’s investment grade credit rating. If a supplier chooses to participate in such an arrangement, this does not impact the classification of the trade payable for dsm-firmenich, as these supply chain finance arrangements are concluded between the banks and the suppliers and do not alter the payment conditions between the supplier and dsm-firmenich. Therefore, these amounts remain classified as trade payables.
In acquisition-/divestment-related liabilities, an amount of €649 million is related to the statutory buy-out of non-tendered shares of DSM N.V. See further Note 16 Equity.