Allego N.V. Annual and transition report of foreign private issuers pursuant to Section 13 or 15(d)

Annual and transition report of foreign private issuers pursuant to Section 13 or 15(d)

Financial risk management (Tables)

Financial risk management (Tables)

12 Months Ended

Dec. 31, 2021

Summary of Nature and Extent of Risks Arising From Financial Instruments

This note explains the Group’s exposure to financial risks and how these risks could affect the Group’s future financial performance.


Risk	Exposure arising from	Measurement	Management
Market risk – interest rate risk	Long-term borrowings at variable rates	Sensitivity analysis	Economic hedge with an interest rate cap
Credit risk	Cash and cash equivalents, trade receivables, derivative financial instruments and contract assets.	Aging analysis	Doing business with creditworthy companies and a strict policy of cash collection.
Liquidity risk	Borrowings and other liabilities	Cash flow forecasts	Availability of borrowing facilities.

Summary of Sensitivity Analysis of Fair Value Measurement to Changes in Unobservable Inputs, Liabilities

The impact on loss after tax for the years ended December 31, 2021 and 2020 as a result of a change in interest rates is as follows:


	Impact on post-tax loss
(in €‘000)	2021			2020
Interest rates – increase by 10 basis points*		76			23
Interest rates – decrease by 10 basis points*		(68	)		(16	)

*	Keeping all other variables constant.

Summary of Provision Matrix

On that basis, the loss allowance as at December 31, 2021 and December 31, 2020 was determined as follows for both trade receivables and contract assets:


(in €‘000)	Current			1 – 30 days past due			31 –60 days past due			61 –90 days past due			91+ days past due			Total
As at December 31, 2020
Expected loss rate (in %)		0.00	%		0.01	%		0.02	%		0.02	%		0.01	%
Gross carrying amount – trade receivables		12,526			6,531			2,174			406			1,556			23,193
Gross carrying amount – contract assets		41			—			—			—			—			41
Loss allowance		2			—			—			—			—			2
As at December 31, 2021
Expected loss rate (in %)		0.00	%		0.00	%		0.00	%		0.00	%		0.00	%
Gross carrying amount – trade receivables		33,439			909			480			382			4,353			39,563
Gross carrying amount – contract assets		1,226			—			—			—			—			1,226
Loss allowance		1			—			—			—			—			1

Summary of Undrawn Borrowing Facilities

The Group had access to the following undrawn borrowing facilities for each reporting period presented:


(in €‘000)	December 31, 2021		December 31, 2020
Expiring beyond one year—Senior debt		—		44,315

Summary of Maturity Analysis For Non-Derivative Financial Liabilities

The amounts disclosed in the table are the contractual undiscounted cash flows (including interest payments). Balances due within 12 months equal their carrying balances as the impact of discounting is not significant.


	Contractual cash flows
(in €‘000)	Carrying amount of liabilities		Total		Less than 6 months		6–12 months		1–2 years		2–5 years		More than 5 years
As at December 31, 2020
Borrowings		159,610		474,597		1,877		2,633		6,151		20,255		443,681
Lease liabilities		13,903		16,313		1,101		1,091		2,003		3,774		8,344
Trade and other payables		12,627		12,627		12,627		—		—		—		—
Total		186,140		503,537		15,605		3,724		8,154		24,029		452,025

As at December 31, 2021
Borrowings		213,128		464,440		2,975		3,176		6,451		137,258		314,580
Lease liabilities		31,617		38,208		3,630		3,560		6,871		16,729		7,418
Trade and other payables		24,072		24,072		24,072		—		—		—		—
Total		268,817		526,720		30,677		6,736		13,322		153,987		321,998