Petrol : Explanatory Notes to CFS for the period ended September 30, 2021

Petrol Group

INTERIM CONSOLIDATED FINANCIAL STATEMENTS OF PETROL GROUP

AND CONDENSED EXPLANATORY NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS FOR THE PERIOD ENDED SEPTEMBER 30, 2021

(This document is a translation of the original Bulgarian document, in case of divergence the Bulgarian original shall prevail)

1

Petrol Group

CONSOLIDATED STATEMENT OF PROFIT OR LOSS

AND OTHER COMPREHENSIVE INCOME

For the period ended September 30

	2021	2020
	BGN'000	BGN'000
Revenue	366,889	295,976
Other income	4,283	1,824
Cost of goods sold	(318,073)	(250,407)
Materials and consumables	(3,013)	(2,659)
Hired services	(25,909)	(26,223)
Employee benefits	(16,477)	(14,535)
Depreciation and amortisation	(4,307)	(4,183)
Impairment losses	6	(2,181)
Other expenses	(822)	(501)
Finance income	1,096	1,432
Finance costs	(3,656)	(3,809)
Profit (loss) before tax	17	(5,266)
Tax income	(32)	474
Loss for the period	(15)	(4,792)
Other comprehensive income
Items that will not be reclassified to profit or loss:
Revaluation	-	27,730
Income tax relating to items not reclassified	-	(2,767)
Other comprehensive income for the period	-	24,963
Total comprehensive income for the period	(15)	20,171
Loss attributable to:
Owners of the Parent company	(15)	(4,792)
Non-controlling interest	-	-
Loss for the period	(15)	(4,792)
Total comprehensive income attributable to:
Owners of the Parent company	(15)	20,171
Non-controlling interest	-	-
Total comprehensive income for the period	(15)	20,171
Loss per share (BGN)	(0.00)	(0.18)

Explanatory notes for the period ended September 30, 2021

2

Petrol Group

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

	Sept. 30	Dec. 31
	2021	2020
	BGN'000	BGN'000
Non-current assets
Property, plant and equipment and intangible
assets	39,583	40,479
Investment properties	1,662	1,699
Right-of-use asset	10,856	14,176
Goodwill	19,844	19,844
Deferred tax assets	2,049	1,977
Total non-current assets	73,994	78,175
Current assets
Inventories	22,291	18,779
Loans granted	23,601	23,202
Trade and other receivables	35,143	26,779
Non-current assets held-for-sale	1,422	8
Cash and cash equivalents	2,969	2,773
Total current assets	85,426	71,541
Total assets	159,420	149,716
Equity
Registered capital	109,250	109,250
Reserves	43,329	43,682
Accumulated loss	(123,815)	(124,153)
Total equity attributable to the owners of the Parent
company	28,764	28,779
Non-controlling interests	23	23
Total equity	28,787	28,802
Non-current liabilities
Loans and borrowings	36,289	36,543
Liabilities under lease agreements	7,195	9,796
Employee defined benefit obligations	773	773
Total non-current liabilities	44,257	47,112
Current liabilities
Trade and other payables	75,778	59,543
Loans and borrowings	6,740	10,008
Liabilities under lease agreements	3,754	4,251
Income tax liability	104	-
Total current liabilities	86,376	73,802
Total liabilities	130,633	120,914
Total equity and liabilities	159,420	149,716

Explanatory notes for the period ended September 30, 2021

3

Petrol Group

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

		Equity attributable to the owners of the Parent	Non-	Total equity
			company		controlling
						interests
	Register	General	Reval.	Accumula	Total
	ed	reserves	reserve	ted profit
	capital			(loss)
	BGN'000	BGN'000	BGN'000	BGN'000	BGN'000	BGN'000	BGN'000
Balance at January 1, 2020	109,250	18,864	-	(113,564)	14,550	23	14,573
Comprehensive income for the
period
Loss for the period	-	-	-	(8,929)	(8,929)	-	(8,929)
Revaluation of defined benefit			-
obligations	-	-		(27)	(27)	-	(27)
Revaluation of property, plant and
equipment	-	-	27,730	(1,968)	25,762	-	25,762
Tax effect on revaluation of
property, plant and equipment	-	-	(2,774)	197	(2,577)	-	(2,577)
Total comprehensive income	-	-	24,956	(10,727)	14,229	-	14,229
Transfer of revaluation reserve of
sold assets to retained earnings, net	-			138
of taxes	-	(138)	-	-	-
Balance at December 31, 2020	109,250	18,864	24,818	(124,153)	28,779	23	28,802
Comprehensive income for the
period
Loss for the period	-	-	-	(15)	(15)	-	(15)
Total comprehensive income	-	-	-	(15)	(15)	-	(15)
Transfer of revaluation reserve of
sold assets to retained earnings, net
of taxes	-	-	(353)	353	-	-	-
Balance at September 30, 2021	109,250	18,864	24,465	(123,815)	28,764	23	28,787

Explanatory notes for the period ended September 30, 2021

4

Petrol Group

CONSOLIDATED STATEMENT OF CASH FLOWS

For the period ended September 30

	2021	2020
	BGN'000	BGN'000
Cash flows from operating activities
Receipts from customers	534,891	441,255
Payments to suppliers	(470,500)	(378,262)
VAT and excise paid to the budget, net	(42,070)	(42,513)
Payments related to personnel	(15,796)	(13,815)
Income tax paid	-	(3)
Other cash flows from operating activities, net	1,621	(1,274)
Net cash flows from operating activities	8,146	5,388
Cash flows from investing activities
Payments for purchase of property, plant and equipment	(643)	(454)
Proceeds from sale of property, plant and equipment	1,818	40
Payments for loans granted	(535)	(2,470)
Proceeds from loans granted	439	3,146
Interest received on loans and deposits	7	97
Proceeds from other investments	20	158
Net cash flows used in investing activities	1,106	517
Cash flows from financing activities
Proceeds from loans	152	-
Repayment of loans and borrowings	(1,957)	(241)
Lease payments	(3,591)	(3,532)
Interest, bank fees and commissions paid, net	(3,490)	(2,567)
Other cash flows from financing activities, net	(210)	(168)
Net cash flows from financing activities	(9,096)	(6,508)
Net decrease in cash flows during the period	156	(603)
Cash at the beginning of the period	2,773	3,486
Effect of movements in exchange rates	(11)	4
Cash as per cash flow statement at the end of the period	2,918	2,887
Restricted cash	51	130
Cash as per statement of financial position	2,969	3,017

Explanatory notes for the period ended September 30, 2021

5