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Notes for P&L

All amounts in SEKm unless otherwise stated

Note 15 Intangible non-current assets

  2025
  Goodwill Supplier relationships Customer relationships Technology Capitalised development Software Other intangible asset Total
Accumulated cost                
Opening balance 5,546 3,708 77 399 289 276 14 10,309
Acquisitions 0
Investments 206 62 4 13 13 28 0 326
Reclassifications 28 28
Divestments and disposals -24 -24
Translation effect -292 -197 -3 -10 -4 -13 -1 -520
Closing balance 5,460 3,573 78 402 298 295 13 10,119
Accumulated amortisation and impairment losses                
Opening balance -9 -1,651 -41 -266 -184 -210 -8 -2,369
Depreciation and amortisation 0 -340 -8 -33 -16 -26 -1 -424
Reclassifications -6 -6
Divestments and disposals 24 24
Translation effect -2 84 3 5 3 10 0 103
Closing balance -11 -1,907 -46 -294 -197 -208 -9 -2,672
Carrying amount at year-end 5,449 1,666 32 108 101 87 4 7,447
Carrying amount at start of year 5,537 2,057 36 133 105 66 6 7,940
  2024
  Goodwill Supplier relationships Customer relationships Technology Capitalised development Software Other intangible asset Total
Accumulated cost                
Opening balance 5,313 3,549 75 394 277 243 12 9,863
Acquisitions 68 57 0 0 0 125
Investments 1 15 27 1 44
Reclassifications 0 0
Divestments and disposals -3 -1 0 -4
Translation effect 165 102 2 4 0 7 1 281
Closing balance 5,546 3,708 77 399 289 276 14 10,309
Accumulated amortisation and impairment losses                
Opening balance -10 -1,269 -32 -229 -168 -183 -7 -1,898
Depreciation and amortisation -353 -8 -35 -18 -23 -1 -438
Reclassifications 0 0
Divestments and disposals 2 1 3
Translation effect 1 -29 -1 -2 0 -5 0 -36
Closing balance -9 -1,651 -41 -266 -184 -210 -8 -2,369
Carrying amount at year-end 5,537 2,057 36 133 105 66 6 7,940
Carrying amount at start of year 5,303 2,280 43 165 109 60 5 7,965
Goodwill distributed by business area 2025 2024
Labtech 688 706
Medtech 4,761 4,831
Total 5,449 5,537
  Software
Parent Company 2025 2024
Accumulated cost    
Opening balance 1 1
Closing balance 1 1
Accumulated amortisation    
Opening balance -1 -1
Depreciation and amortisation 0 0
Closing balance -1 -1
Carrying amount at year-end 0 0
Carrying amount at start of year 0 0

Accounting principle

Goodwill represents the difference between the acquisition value in the event of a business combination and the fair value of acquired assets, assumed liabilities and contingent liabilities and is reported as an intangible asset with an indefinite useful life. Goodwill is valued at acquisition value minus any accumulated write-downs. Goodwill is allocated to cash-generating units and is not written off but is tested annually for impairment.

Supplier relations, customer relations and technology are valued in connection with business acquisitions at fair value. AddLife applies a model where an average historical customer acquisition cost, alternatively the present value of expected future cash flows, is used to value these.

Intangible assets other than goodwill are reported at acquisition value after deductions for accumulated depreciation and write-downs. Depreciation mainly takes place on a straight-line basis and is based on the assets' useful periods, which are reviewed annually. Periods of use are based on historical experience of using similar assets, areas of use and also other specific characteristics of the asset. Depreciation is included in cost of goods sold, sales or administration costs depending on where in the business the assets are used.

Expenditure for development, in which the results of research or other knowledge are applied to achieve new or improved products or processes, is recognised as an asset in the balance sheet if the product is technically and commercially viable and the company has sufficient resources to complete development and subsequently use or sell the intangible asset. Other development expenditure is expensed as it is incurred. 

Amortisation is charged primarily on a straight line basis and is based on the useful lives of the asset. 

  Useful life
Supplier and customer relations 10 years
Software 3-5 years
Technology 5-15 years
Capitalised development 5-10 years
Goodwill indefinite
Impairment testing of goodwill

AddLife’s reported goodwill amounts, as of the end of the financial year, to SEK 5,449 million (5,537). Goodwill is tested for impairment at least annually. If there is an indication that an asset has decreased in value, such an assessment is made more often. When AddLife carries out an acquisition, the acquired business is integrated into the Group to such an extent that it is not possible to distinguish assets and cash flows per company, whereby an impairment test is performed on the cash flow generating units which are made up of the business areas. The recovery value has been calculated based on the value in use, which is calculated using discounted cash flows. Assumptions have been made about net sales, gross margin, overhead level, working capital needs and investment needs based on previous experience. The Group applies a forecast period of five years, where the parameters for the first year of the forecast are based on the Group’s budget for the 2026 financial year for each business area, as approved by the Board of Directors. For the remaining years in the forecast period, the parameters are based on assumed changes compared with the budget year.

For cash flows beyond the budget period, a growth rate of 2 percent (2) per year for Labtech and 2 percent (3) per year for Medtech has been assumed. The long-term growth rate is based on historical developments in each respective market segment. Calculated residual value at the end of the useful life is included in the value in use. Cash flows were discounted using a weighted cost of capital corresponding 11.4 percent (11.1) before tax. These calculations show that value in use significantly exceeds the carrying amount. Consequently, impairment testing indicated no impairment. No reasonable possible changes in key assumptions are expected to lead to impairment. 

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