Annual Report 2022

Annual
Report
2022
SimCorp A/S
Weidekampsgade 16
2300 Copenhagen S
Denmark
Company reg. no: 15505281

simcorp.com
The world of investment management is defined by ever
increasing complexity and pressure to generate alpha.
Every day, our clients are faced with new demands,
instruments, regulations, and technologies. But the real
problem is when the tools and services designed to deal
with this rapidly evolving set of challenges introduce yet
more fragmentation and complexity. Complexity that ties
up resources and prevents clients from reaching their full
potential and exploiting new opportunities.
That is why the SimCorp platform is designed to empower

the world’s institutional investors to simplify their operating
models so they can seize opportunities and grow profitably.
→ Learn more at simcorp.com

SimCorp Annual Report 2022 3
Contents
4 — 53 54 — 101 102 — 123

Management report Consolidated financial statements Financial statements of SimCorp A/S
05 SimCorp at a glance 54 Statements 104 Statements

06 Performance and progress 60 Section 1: Basis of preparation 108 Section 1: Basis of preparation
07 CEO and Chair letter 64 Section 2: Revenue and clients 109 Section 2: Revenue and clients
09 Financial highlights and key figures 74 Section 3: Employees 112 Section 3: Employees
12 Market and trends 81 Section 4: Tax 114 Section 4: Tax
14 Business model 84 Section 5: Invested capital 116 Section 5: Invested capital
15 Strategy update 90 Section 6: Financing items 120 Section 6: Financing items
18 Case: ADIA 98 Section 7: Other disclosures 122 Section 7: Other disclosures
20 Outlook
22 Business unit review
23 Financial review 2022
31 Risk management
36 Corporate governance report
41 Shareholder information
Sustainability Report 2022
https://www2.simcorp.com/SustainabilityReport2022
45 Board of Directors
48 Executive Committee
49 Statements and signatures
50 Independent Auditor’s Reports Remuneration Report 2022
https://www2.simcorp.com/RemunerationReport2022
SimCorp Annual Report 2022 Management report 4
Management
report
4 — 53
SimCorp Annual Report 2022 Management report SimCorp at a glance 5
SimCorp at a glance
SimCorp offers an industry-leading front-to-back investment management
platform and ecosystem comprising partners, services and third-party
connectivity. Be it on our software as a service (SaaS) platform or as an 300+
on-premise solution, we offer clients the operating efficiency and flexibility clients
they need to succeed in an increasingly complex world.
40%
of the top 100
global asset
managers/
asset owners.
More than More than USD
2,245 75 50 30
employees nationalities years of trillion
across experience managed on
27 locations our platform
SimCorp Annual Report 2022 Management report Performance and progress 6
Performance and progress
SimCorp delivered solid performance Transforming to a full SaaS provider

With Annual Recurring Revenue (ARR) (backward-looking)
and progress on its strategic priorities in
comprising more than half of total revenue, we are
2022. We achieved our financial guidance progressing well in our transformation of SimCorp into
Subscriptions
50%
for the year, added 11 new clients, and a technology-enabled service company. ARR (backward-
looking) constituted 57.4% of total revenue in 2022 clients on
strengthened existing client relations. compared with 55.9% in 2021.
subscriptions
We are well-positioned to continue our
in 20221
growth trajectory in the years ahead.
(88% of new clients)
1 SimCorp Dimension only.
Solid financial performance Recurring and non-recurring revenue

(EUR million) (%)
600 80
23.4% 9.4% 12.1%

450 60
300 40
150 20
EBIT margin Revenue growth ARR (backward- 0 0
(in local currencies) (in local currencies) 2020 2021 2022

looking) growth Non-recurring ARR (backward- ARR (backward-
(in local currencies) revenue looking) looking) share of
(left axis) (left axis) revenue (right axis)
Strengthening our
offering in a challenging
business environment
2022 was a defining year for SimCorp as we continue to
strengthen our front-to-back offering, delivering the industry's
strongest platform and partner ecosystem. Although the year
was characterized by turbulence and increasing geopolitical
turmoil, we expanded our engagement with existing and new
clients, delivering revenue of EUR 561.0 million, ARR-growth Christian Kromann Peter Schütze
(backward-looking) of 16.1% and EBIT of EUR 125.9 million. Chief Executive Officer Chair of the Board of Directors
In 2022, we took additional steps to focus our business. institution for our full SaaS product suite. In total, we added Having aligned our delivery roadmap with current market
To ensure that SimCorp has the right structure and people 11 new logos to our client portfolio in 2022. needs during the year, we are in a strong position to
as it transforms to a SaaS company, 2022 saw continued continue our growth and our journey towards 2025.
investments into our SaaS operations and innovation. As With the institutional investment industry facing new
our SaaS and tech-enabled services business continues to demands as a result of market turbulence, inflationary Across all markets in general, we signed a number of full
gain momentum, a key priority is to continuously strengthen pressure and added operational and strategic complexity, front-to-back SaaS deals, and, during the year, we also
our foundation and lay the steppingstones for the next phases we implemented several key initiatives to expand our signed our first-ever clients in Africa and Malaysia, with that
of our growth journey. As part of that, we have sharpened offering. This included a number of new tech-enabled continuing to increase our market presence in both EMEA
our core value proposition in 2022, equipping clients with business service solutions designed to remove complexity and APAC. In the latter, we also entered into a strategic
an ever-increasing array of choice when making key infra- from our clients’ non-core operations, as exemplified by the partnership with Challenger, a leading Australian investment
structure decisions and futureproofing their technology comprehensive investment operations services deal with US firm, to form a stand-alone investment operations company.
platforms. Among other things, this was illustrated by a asset manager Intech. Moreover, the signing of a number of significant clients in
significant front-to-back deal with a tier one US financial the US resulted in a stronger footprint in North America,
SimCorp Annual Report 2022 Management report CEO and Chair letter 8
and at the turn of the year, we have leveraged now our client deals in the years to come. In addition, we continue to Distribution of profit
offering towards new and broader market segments. see very high client retention rates and growing potential for In 2022, we paid dividends of EUR 39.9 million, equal to
upselling within our existing client base. DKK 7.50 per share, and acquired treasury shares for EUR
Challenging business environment 20 million. Based on the financial performance in 2022, the
2022 was also a year marked by the war in Ukraine. With To ensure that we further extend the breadth and depth of Board of Directors intends to propose to shareholders at
more than 240 colleagues based in Kyiv, we were shocked our SaaS offering, leveraging the strongest and most the AGM a dividend of EUR 39.7 million, equal to DKK 7.50
and saddened to witness the Russian invasion. The safety versatile front to back platform in the industry, we are per share, for the financial year 2022. We will continue to
and wellbeing of our employees remains a key priority, and investing in three growth levers. These are explained in maintain a conservative financial policy, and we will allocate
we have done and will continue to do whatever we can to greater detail on page 15: the necessary capital to successfully drive our trans-
safeguard and support our colleagues and their families, i.e. formation and sharpen our run-rate cost-efficiency.
by offering relocation and additional flexibility and support. • Platform leadership
• SaaS acceleration Our appreciations
It remains a testament to the resilience and determination • Ecosystem scaling Our highly committed and skilled staff remains the
of our Ukranian colleagues that our development saw foundation for us as a company. Our ability to deliver value
minimal short-term and no sustained disruption – and we As we continue our transformation towards 2025, the to our clients, to grow, to innovate and ultimately to deliver
thank them all for this. continued delivery of these three core priorities will allow us sustained long-term growth is based on the contribution of
to offer the optimal platform for supporting our clients’ our many colleagues around the world. We thank everyone
We extend our admiration, thoughts and support, not only evolving operating models, enabling them to seize business at SimCorp for your loyal commitment, true engagement,
to our strong Ukrainian employees, but to all the people of opportunities and support their operating model of choice. and relentless hard work, demonstrating the culture of our
Ukraine in these difficult times. company as captured in “the 5Cs”, by being caring, customer
Our sustainability promise success driven, collaborative, curious, and courageous.
Accelerating our growth In 2022, we took important steps on our sustainability
As we ramp up and continue to invest in our SaaS offering, journey to gain more data and knowledge, create more Our thanks also goes to our shareholders for their support
we are well positioned reach our strategic ambitions transparency, and – ultimately - achieve bigger impact. Our of our strategy and to our business partners for their trust
towards 2025, on which we made solid progress in 2022. sustainability agenda and our business strategy are fully and co-operation, all helping us in our efforts to increase
With more than 50 clients already running on our SaaS aligned, and we are integrating sustainability steadily in all our value creation. Last but by no means least, we extend
platform, and a growing number of clients either joining or our business operations, client offerings, and in our our gratitude to our clients, new as well as existing ones,
migrating to our SaaS offerings, we continue to progress our commitment to our people and stakeholders. who continue to show strong commitment to our company
transformation. in times of uncertainty.
We see a convergence of our goals and values with those of
Looking ahead, we see several attractive growth drivers, and our clients, investors, and other stakeholders, and with the
the strong fit between our products and general industry commitment of our employees to always do the right thing,
trends means that we continue to widen our target we are confident that we can reach new important
addressable market, yielding a substantial potential for new milestones in the coming year.
SimCorp Annual Report 2022 Management report Financial highlights and key figures 9
Financial highlights and key figures
EUR ’000 2022 2021 2020 2019 2018 Revenue (EUR million)
Income statement
Revenue 560,968 496,274 455,970 454,531 382,626 600
Earnings before interest, tax, depreciation, and amortization (EBITDA) 140,739 147,796 140,390 142,576 109,268 500
Operating profit (EBIT) 125,856 132,417 124,296 127,824 103,345
400
Financial items, net 2,292 5,001 -8,200 -23 -809
Profit before tax 128,148 137,418 116,096 127,801 102,536 300
Profit for the year 99,254 109,992 88,258 96,901 76,971
200
Statement of financial position
Share capital 5,441 5,441 5,441 5,441 5,441 100
Equity 375,557 323,107 278,250 230,020 169,059 0

Bank loan/credit facility 6,724 - - 20,000 - 2018 2019 2020 2021 2022
Intangible assets 88,984 92,691 95,725 99,557 40,444 Reported revenue
Property, plant, and equipment1 41,459 43,692 47,650 55,650 5,377 Revenue signed at Jan 1 for the coming year
Receivables 112,378 96,543 82,513 81,804 79,165

Contract assets 292,903 221,000 175,928 151,774 85,684 EBIT (EUR million)
Cash and cash equivalents 40,546 47,692 53,051 31,851 47,500
Total assets 604,328 526,312 470,842 437,912 270,267 150
Cash flow
Cash flow from operating activities 60,340 90.696 104,565 82,505 82,215 125
Cash flow from investing activities -2,767 -5,675 -2,681 -60,214 -1,720
Cash flow from financing activities -64,822 -90,996 -80,242 -38,249 -64,444 100
Free cash flow 47,155 78,628 91,809 70,903 80,153
Investment in property, plant, and equipment 1,524 1,259 2,399 1,722 1,950 75
Net change in cash and cash equivalents -7,249 -5,975 21,642 -15,958 16,051
EUR/DKK rate of exchange at December 31 7.4365 7.4365 7.4393 7.4697 7.4673 50
1 2018 does not include right-of-use-assets.

2018 2019 2020 2021 2022
Financial highlights and key figures (continued)
EUR ’000 2022 2021 2020 2019 2018 EBITDA margin (%)
Other non-IFRS measures
Ratable revenue (EUR '000) 489,065 451,202 431,816 388,441 346,888 35
Order book value (EUR ’000)

2
109,500 72,953 56,069 38,182 45,508 30
Order intake (EUR ’000)
2
190,600 137,604 115,102 99,679 105,877 25
Annual Recurring Revenue (ARR) (forward-looking) (EUR '000) 338,480 302,912 - - -
20
Annual Recurring Revenue (ARR) (backward-looking) (EUR ‘000) 321,948 277,352 250,902 220,943 -
15
Financial ratios
Revenue growth (%) 13.0 8.8 0.3 18.8 11.4 10
Organic revenue growth (%)

3
9.4 8.7 -0.1 15.5 9.5 5
Ratable revenue growth (%) 8.4 4.5 10.4 12.0 - 0
Organic3 ratable revenue growth (%) 5.3 4.5 10.2 8.8 6.2
2018 2019 2020 2021 2022
ARR (backward-looking) growth (%) 16.1 10.5 13.7 - -
Organic3 ARR (backward-looking) growth (%) 12.1 10.3 14.6 - -
ARR (backward-looking) as share of total revenue (%) 57.4 55.9 55.0 48.6 -
EBITDA margin (%) 25.1 29.8 30.8 31.4 28.6 EBIT margin (%)
EBIT margin (%) 22.4 26.7 27.3 28.1 27.0
Cash conversion 47.5 71.5 104.0 73.3 104.1 30
ROIC (return on invested capital) (%) 35.6 44.7 46.6 65.3 82.4 25
Receivables turnover ratio 8.4 8.9 8.7 9.3 8.2
20
Equity ratio (%) 62.1 61.4 59.1 52.5 62.6
Return on equity (%) 26.0 35.4 33.4 46.5 59.7 15
Employees
10
Number of employees at year-end 2,245 1,998 1,901 1,871 1,660
5
Average number of employees – FTE 2,067 1,871 1,840 1,703 1,554
2 2019 order book and order intake have been restated to include Subscription Services such as Datacare and
0
Regulatory Reporting Platform (RRP), and 2018 order intake has been restated to include SimCorp Italiana (Sofia). 2018 2019 2020 2021 2022
3 Organic figures adjust for M&A impact and currency impact.
Financial highlights and key figures (continued)
2022 2021 2020 2019 2018 Earnings per share (EUR)

Share performance
3
Earnings per share – EPS (EUR) 2.52 2.76 2.22 2.44 1.95
Diluted earnings per share – EPS-D (EUR) 2.50 2.74 2.20 2.42 1.93
Cash flow per share – CFPS (EUR) 1.53 2.27 2.64 2.08 2.08
2
Book value per share at year-end – BVPS (EUR) 9.55 8.11 7.02 5.81 4.27
Dividend per share – DPS (EUR) 1.01 1.01 1.01 0.90 0.87
Dividend per share – DPS (DKK) 7.50 7.50 7.50 6.75 6.50 1
Dividend payout ratio (%) 39.9 36.4 45.2 37.0 44.7
Total payout ratio (%) 60.3 72.9 56.5 49.9 44.7
Market value ratios 0
Share price at year-end – EUR 64.30 96.12 121.72 101.41 59.67 2018 2019 2020 2021 2022
Share price at year-end – DKK 478.2 714.8 909.5 757.5 445.6
Price/book value per share – P/BV (EUR) 6.73 11.9 17.3 17.5 14.0
Diluted price earnings (P/E diluted) 25.5 34.8 55.2 41.9 30.9
Price/cash flow (P/CF) 42.0 42.2 46.2 48.7 28.6 Market capitalization (EUR million)
Share capital (million) 40.5 40.5 40.5 40.5 40.5
Average number of shares (million) 39.3 39.9 39.7 39.7 39.5 5,000
Average number of shares – diluted (million) 39.7 40.1 40.0 40.1 39.9
4,000
Market capitalization – EUR million 2,529 3,831 4,826 4,016 2,362
3,000
2,000
1,000
0
2018 2019 2020 2021 2022
SimCorp Annual Report 2022 Management report Market and trends 12
Market and trends SimCorp market shares and

target addressable market 1
Total EMEA
Macroeconomic and geopolitical turmoil impacted the investment

management industry in 2022. Changing market environments, new
regulatory expectations and increasing complexity accelerated the
need for investment firms to optimize operating models and transform
23%
their business. As a result, the demand for cloud and SaaS offerings
continues to grow. 187 of 805
potential clients
North America
Good traction across regions For most players in the market, SaaS is now becoming a
Although 2022 saw significant market turbulence, the matter of “when” rather than “if”, and the long-term growth
EMEA business unit reported good traction within new and potential in all three regions remains strong with SimCorp
existing client segments, including the largest SaaS well positioned to increase its market share.
migration to date. Across most countries and jurisdictions in
the region, we see a strong fit between our solutions and
our clients' needs, coupled with a high and increasing
market penetration, illustrated by the signing of a deal with
a central bank and the successful closing of a deal with a
client in Africa.
8%
Market segments
In North America and APAC, market activity is also picking
up, and we continue to make significant investments into
Asset management
Fund management
Treasury
Central banks
15% 64 of 760
potential clients
our market profile and our capacity to further boost our

Insurance Sovereign wealth APAC
commercial execution. For both regions, the SimCorp
Asset servicing Wealth management
8%
service offering has strong market potential, demonstrated
by a breakthrough in Malaysia and a number of compre- Life/pension
hensive deals with large institutions in the US.
271 of 1,815 20 of 250
1 SimCorp Dimension. potential clients potential clients
SimCorp Annual Report 2022 Management report Market and trends 13
Global investment management is

shaped by several macro trends, which
impact clients’ strategies and result in a
growing need to future-proof operating
models and drive efficiencies.
Overall, 2022 emphasized the constantly evolving need for

future-proof tools and technology, adding pressure on
Key trends impacting investment managers
clients and prospects who have yet to invest in long-term
platform solutions. The current macroeconomic environment
accelerates the industry's pursuit of scale benefits and
strategic ambitions to focus on core business activities.
With added regulatory complexity and changing customer
expectations, clients' efforts to digitize are advancing, Market drivers Clients' strategic Clients' operational
leading to more interest in integrated platform solutions and priorities concerns
technology-enabled outsourcing of business processes.
Increasing inflation Alternatives/private Data
Global investment managers are experiencing increasingly
and interest rates markets Security and compliance
complex strategic and operational environments, rooted in a
range of internal and external factors, including: Sustainable investing OTC Operational resilience
Geopolitical tensions ETF/passives Operational excellence
• Mounting regulatory and transparency demands
Fee and cost pressure Cloud System upgrades
• Increasing volume and diversity of data
• Cloud and other technology advances Increased client AI/ML Integrations
• Emergence of new instruments and trading strategies demands Third party business Staff and talent
• Rising security and compliance concerns New regulations Operating Model Design shortage
• Inflationary pressure, rising interest rates and recession risk
ESG Market ecosystem
As we progress our SaaS transformation, SimCorp has Innovation and quant Scalability
continued to strengthen its value proposition to match this strategies Cyber security
overall market development, with our offering catering well Digitization Regulatory complexity
for the operating models of tomorrow and those firms in the
Market expansion Manual processes
industry looking to optimize their investment infrastructure
and platforms.
SimCorp Annual Report 2022 Management report Business model 14
Business model Enhanced and expanded

Partner
by our partner ecosystem ecosystem
SimCorp’s business model empowers global

Empowered by our tech-
Business
institutional investors to tackle the growing enabled services services
complexity of the world around us. Offering scale,
efficiency, and choice, all based on solid data, our
business model supports investment decisions SaaS
Offering full front to back,
with an integrated front-to-back platform and the multi asset coverage platform
industry’s broadest ecosystem of partnerships.
Based on our Integrated data

strong data core & workflows
Front-to-back coverage across all asset classes
From front office to back office, SimCorp offers full
coverage across our clients’ investment management value Covering our clients’ Data Investment Accounting Analysis
value c
hain end-to-end management management & operations & reporting
chain. We support key workflows and functions from
portfolio construction to accounting and reporting.
Integrated data and workflows

Based on a strong data core comprising our market-leading
investment book of record (IBOR) and accounting book of
record (ABOR), our platform solves our clients’ data and for SaaS services. Today, our SaaS value proposition is made significant strides within managed business services,
integration challenges. Providing new insights for investment stronger than ever and offers unparalleled flexibility to successfully going live with Investment Accounting Services
decisions and process efficiency, we constantly evolve our clients’ operating environment. and Investment Operations Services.
data management services to replace complexity with
simplicity. Business services Ecosystem and partnerships
Our technology-enabled business services help our clients Our platform is uniquely enhanced and expanded through
SaaS platform optimize their operations and allow them to focus on value- our partner ecosystem, which offers an unparalleled choice
With new as well as existing clients who are accelerating creation in their core business, while we take responsibility of market-leading tools and third-party data and analytics,
their SaaS transformation, we continue to see high demand for their non-core business processes. In 2022, we have all seamlessly embedded and integrated into our offering.
SimCorp Annual Report 2022 Management report Strategy update 2022 15
Strategy update 2022
As our transformation accelerates, we In 2022, we accelerated our SaaS transformation, making

significant progress in the ways we work and deliver value
remain fully committed to our strategic
to clients. Looking to build on this momentum and further
ambition of offering everything as a ensure the continuous crystallization of our strategy into
service. Our principal objective remains outcomes, we have revisited our strategic imperatives
during 2022.
to provide the investment industry with
market leading operating model Having entered a full SaaS paradigm, our overall imperatives
have thus been further calibrated to cater for the rapidly
optionality through a superior SaaS changing client needs and an operating environment that is
platform and services offering. This changing at an ever-increasing pace. Continuing our growth
journey towards 2025, we will be guided by three strategic
strategy was first launched in 2019 and, growth levers, designed to deliver the best possible
since then, we have been continuously business outcomes for clients:
progressing on our priorities, achieving

several milestones over the past years. Platform leadership
With the implementation of a new
operating model program well underway,
we are reaching new maturity levels for
our SaaS and Business Process as a SaaS acceleration
Service (BPaaS) offerings and are
optimizing our ways of executing and
prioritizing. Ecosystem scaling
Platform leadership Management, Front Office, Operations and Accounting and

Client Communications
– a market leading A strong front office potential
front-to-back platform Today our value proposition is as relevant as ever,
• Several front office deals signed in 2022
supporting all asset classes representing an optimal route for clients looking to ensure
• Continued investment into front office offering
operational efficiency based on consistent data and a
• Faster, smarter, actionable analytics and data
single version of the truth for investment decisions,
points
compliance, and reporting. With full asset class and
• Increasingly leverage partnerships and
functional coverage, we offer the only truly front-to-back
embrace APIs
Our platform remains our stronghold, and with its natively platform providing seamless integration across clients’
• Natively integrated alternatives and ESG factors
integrated front-to-back functionality, it remains the value chain. Looking to 2025, a key focus for SimCorp will
• Workflow automation
backbone of our value proposition for our clients. In 2022, be to build on our front-office capabilities and invest
we have continued to invest a large portion of our R&D significantly into the SaaS platform, with that further
capacity into our platform and the four key offers Data optimizing our technology backbone.
SaaS acceleration Today, our SaaS value proposition is stronger than ever,
designed to remove complexity and offer flexibility to
- enabling an agile clients’ operating models. Our SaaS and BPaaS offerings A mature SaaS business
operating model enable clients to substantially increase competitiveness
• +50 SaaS clients
through unique possibilities for scaling and simplification
• First new tier 1 bank on SaaS
without foregoing the value that only a fully integrated data
• Client cloud transformations
foundation can deliver.
• Operations and investment accounting service
• Competitive advantage in total cost of ownership
The issue now faced by clients is that of addressing the
• Building competitive and profitable SaaS business,
fundamental question of which mission critical infra-
further enabled by strong BPaaS service
In 2019, we identified a series of strategic opportunities, structure serves them best in the next 10-15 years. As a
• Use the full potential of infrastructure as code
marking the beginning of our journey to become a full result, many are now advancing their evaluations of which
technology-enabled services provider, and since then we underlying technology platform they need to continually
have remained fully committed to execute on this strategy. evolve their business. To cater for that, we continue to
With the implementation of our operating model well invest in our engineering platform and the extended use of
progressed in 2022, we are now a more outcome-focused technology to further scale and accelerate our innovation
partner to our clients, delivering value through our full SaaS speed, with that continue to create value for clients and
platform and substantial BPaaS engine. their needs – today and as they evolve.
Ecosystem scaling Through our platform, we offer interoperability and

unparalleled optionality, while also leveraging technology
– the power of open partnerships such as Microsoft Azure for cloud solutions and The power of open
Snowflake for data solutions. Through that, we offer
• Curated fintech partners in functional areas where
enhanced competitiveness rooted in strong native solution
differentiation adds real value
coupled with a truly open platform and seamless ecosystem.
• Fintech partnerships for innovation and optionality
• Extended offering and market reach via servicing
Our architecture is based on a core conviction that openness In doing so, we adopt external innovation to strengthen our
partnerships and joint ventures
offers improved choice, flexibility and innovation. We call it own offering. Providing clients with the best of both worlds,
• Interoperability with financial ecosystem such as
“the power of open”, and that mindset is deeply embedded we have combined state of the art technology and
custodians
into our offerings, ultimately designed to play a key role in integrated partner solutions in the SimCorp Platform,
• Expanding our partnership channels
clients’ wider technology ecosystems. offering the market the full depth of our platform along with
third-party innovation. Combined with joint ventures and
From open innovation with fintech partners, co-creation channel partnerships, our ecosystem scaling strengthens
with clients, and connectivity with many players in the our core value proposition.
broader capital markets ecosystem, our strategic focus on
creating a truly open platform remains integral to our
strategy and our value proposition.
SimCorp Annual Report 2022 Management report Case: ADIA 18
Case: ADIA
ADIA leverages technology
to increase operational agility
and efficiency
With more than 40 years of experience, the Abu its creation in 1976, and we recognize that the
Dhabi Investment Authority (ADIA) is one of the pace of change today is faster than ever before.
world’s leading institutional investors. To sustain success in this dynamic environment,
we have pursued numerous initiatives aimed at
ADIA continually assesses how the external increasing agility and efficiency, including the
environment, and the business of investing is adoption of new technologies to build new
changing, looking beyond passing trends and operational capabilities” - ADIA
market cycles to focus on how ADIA can evolve
and prepare for the future. A core element of this ongoing, multi-year
project has been to develop a operating model
This long-term outlook requires an operating powered by a cloud infrastructure and services
model that embraces the latest technology to to help scale and secure investment operations.
enable greater agility, scale and efficiency. SimCorp's SaaS platform plays an important
part in ADIA’s consolidation of its operations
“ADIA has continued to adapt to the evolving across multiple asset classes, with its data
nature of the global investment landscape since management services ensuring high quality data.
ADIA expects to achieve significant optimization in and optimizing the overall investment transaction
IT administration, development and testing time. technology architecture. A prerequisite for those
objectives is a solid data foundation across all
In doing so, ADIA aims to continually intensify the asset classes with a modern cloud infra-
pace and agility of execution, while simplifying structure that facilitates ongoing innovation.
“ADIA has continued to adapt to the

evolving nature of the global investment
landscape since its creation in 1976, and
we recognize that the pace of change
today is faster than ever before. To sustain
success in this dynamic environment,
we have pursued numerous initiatives
aimed at increasing agility and efficiency,
including the adoption of new technolo-
gies to build new operational capabilities”. Read more about our services here
https://www2.simcorp.com/our-services
ADIA
SimCorp Annual Report 2022 Management report Outlook 20
Outlook
Mid-term financial target – returning to
record-high profitability
The current transformation to a full-scale SaaS provider is The drivers of the SaaS gross margin are a combination of This development represents a key milestone for achieving
materially changing the revenue, cost and profitability both time and number of clients (scale). By investing in record-high profitability such that the initial negative impact
structure of the company. The mid-term financial target is product enhancements and automation, costs related to from the adverse revenue mix is more than offset by a
to generate double-digit average growth rates and return to infrastructure and managed services reduce. This enables steadily increasing SaaS gross margin.
record-high profitability (above 28% EBIT-margin). service of a growing client base with fewer FTEs per client,
while maintaining the highest service quality. Revenue acceleration and operating leverage
The growth potential stems from the development of the The investments in SaaS are enabling growth potential
core platform combined with expansion opportunities in across the strategic pillars. Additional investments in Front
SaaS and BPaaS offerings. SaaS and BPaaS clients initially Office and the revamp of the commercial organization are
require higher cost to serve while building capabilities and key enablers for growth in SimCorp’s core stronghold, full
scale. The larger share of revenue from SaaS and BPaaS front-to-back functionality deals. The increasing growth
combined with accelerated investments to build scale are momentum is evidenced by two large and front-to-back
drivers of the current profitability development. The five key profitability drivers of the current deals signed in Q4 2022, in EMEA and US respectively.
transformation can be summarized as follows:
These negative margin drivers are targeted to be more than The SaaS investments will enable SimCorp to accommodate
offset by future scale and efficiency in the SaaS and BPaaS - 1) Higher share of revenue from SaaS and BPaaS
offerings (unfavorable gross margin mix)
the continued market demand for cloud solutions and
offerings combined with an acceleration of revenue growth. tech-enabled services. SimCorp continues to target new
Founded in these drivers, SimCorp targets to return to clients within the SaaS and BPaaS offerings, upsell of
record-high profitability at a significantly higher revenue - 2) Accelerated investments in the transformation
(building automation and scalability)
additional functionalities and more than 10 conversions of
level. current on-premise customers to the SaaS platform per
year.
Key drivers to reach record-high profitability + 3) Introduction of cost efficiency program
Improving gross margin of SaaS services Finally, SimCorp is entering new Fintech partnerships and
The gross margin of the SaaS offering has steadily improved + 4) Increasing scale and profitability of SaaS and
BPaaS offerings
strives to grow from ecosystem scaling growth and
since SimCorp onboarded its first SaaS customer. Today, expanding offering and market reach. In January 2023,
SimCorp has made the offering profitable through initial SimCorp’s Joint Venture with Challenger was formally estab-
automation and experience but with significant further + 5) Revenue acceleration (and operating leverage) lished with an already growing pipeline of customers.
potential.
SimCorp Annual Report 2022 Management report Outlook 21
Outlook for the financial year 2023

The financial outlook for 2023 represents the ongoing SaaS will be partly offset by the current inflationary environment, EBIT-margin bridge (local currencies and excl. special items)
transformation, with accelerated transformation investments, including high cost increases related to salaries, cloud storage
+1% to 3% -1% to -2%
and the initiation of a new cost efficiency programme. The and offices. More revenue is also expected to be derived from
investments are expected to generate solid business growth SaaS and BPaaS with relatively lower gross margin and, 24.2%
-2.5%
in 2023, while the profitability deterioration from investments simultaneously, SimCorp is ramping up and front-loading
is roughly offset by the cost efficiency program. SimCorp is new SaaS and BPaaS customers (such as Intech) creating a -3.5%
+4.0% 21-24%
building scale and is targeting to return to increasing margin time lag between cost incurred and revenue generation.
development and operating leverage in coming years.
Finally, SimCorp’s accelerated investments are expected to
Forward-looking ARR was EUR 338.5 million by the end of add costs corresponding to 3.5%-points to the current
2022, representing organic growth of 11.7% compared to run-rate. These investments are more than offset by the
ARR by the end of 2021. The business is expected to cost efficiency program targeting EUR 25 million of in-year
continue to grow at accelerating growth rates throughout cost reductions, equivalent to approximately 4%-points
2023, ending with forward-looking ARR growth of 12-17% EBIT-margin effect.
by the end of 2023.
Based on the exchange rates at the end of January 2023, it
With the strong finish of 2022, SimCorp enters 2023 with is estimated that the foreign exchange rate development
2022
Operating
leverage
Gross margin
mix effect
SaaS/BPaaS
front-loading
Accelerated
investments
Cost efficiency
program
2023
signed revenue of EUR 364 million for 2023, compared with will impact revenue negatively by 1-2% and EBIT-margin
EUR 323 million at the same time in 2022. Ratable revenue negatively by 0-1%.
is expected to grow by 6-11% in 2023. Reported revenue
growth is expected to be in line with Ratable revenue growth.
Exchange rates
The EBIT-margin is impacted by a number of factors. The Exchange rates ARR (forward-looking) development during 2022
positive impact from revenue growth (operating leverage) Main currencies January 31, Average Average (EUR million)
EUR per 100 2023 rates 2022 rates 2021 36 339
USD 92.31 95.43 84.65
303
Financial Outlook for 2023 CAD 68.63 73.05 67.52
AUD 64.62 66.04 63.39
All numbers in local currencies, 2022 2023 Financial
excluding special items Achieved Outlook SGD 70.09 69.17 63.02
Forward-looking ARR growth, (%) 11.7% 12-17% GBP 113.54 117.03 116.52
Ratable revenue growth (%) 5.3% 6-11% CHF 99.68 99.90 92.60
Total cost growth (incl. investments) (%) 14.3% 7-15% NOK 9.17 9.90 9.85
ARR end Net new wins, ARR end
EBIT-margin (%) 24.2% 21-24% SEK 8.81 9.39 9.85 of 2021 net expansions, of 2022
indexation & other
SimCorp Annual Report 2022 Management report Business unit review 22
Business unit review

EMEA North America APAC SimCorp Sofia
The EMEA business unit performed well After a difficult 2021 due to COVID-19, the The APAC business units total revenue SimCorp Sofia delivered a solid performance
with total revenue increasing by 17% activity in North American business unit has increased by 25% y-o-y in 2022 with two in 2022, driven by continued performance
compared with 2021. Three new SimCorp returned throughout 2022. Total revenue new clients signed. Both of the new clients within professional services mainly focused
Dimension clients were signed, of which increased by 5% compared with 2021. SimCorp signed in 2022 are based in Malaysia and by the concentration of IFRS 9 with projects
most notable is an asset owner to leverage signed five new clients in North America in covers front-to-back delivered as SaaS. The for several insurance clients. SimCorp Sofia
on SimCorp’s full front-to-back product 2022. In the beginning of the year, SimCorp clients have selected a full front-to-back signed two new clients in 2022 in Italy
suite across the institution’s entire range of signed its first Investment Operations Service SaaS offering that will provide a flexible and confirming the competitiveness of SimCorp
assets, including public and private (IOS) client with a Canadian Asset manager. In scalable investment monitoring solution with Sofia as the main investment management
markets. The move to SimCorp will enable late 2022, SimCorp signed its second IOS client full transparency on exposure and financial system for the Italian insurers. Four clients
the client more efficient execution of its with an US based asset manager. The agree- returns, all consolidated into one automated canceled their contracts.
global investment strategies, streamlining ments cover the integration of SimCorp's full platform. SimCorp also signed a strategic
and consolidating the institution's solution lifecycle management service to support all of partnership with Australian based investment
landscape and setup - driving efficiency Intech's post-trade, performance, compliance, manager Challenger to launch a new stand-
and ensuring agility. Furthermore, SimCorp and IBOR-related activities. Furthermore, alone company. The new company will be
signed a new standalone front-office client SimCorp signed a new SimCorp Dimension full Australia’s first cloud-based front-to-back
in Luxembourg highlighting SimCorp’s front-to-back SaaS client in the US. The client investment operations platform, providing
competitiveness within front office. Finally, selected SimCorp in order to modernize its fully integrated investment administration
SimCorp signed its first client in Africa in infrastructure and enabling innovation to services for asset managers and owners
2022 to automate the client's front-to-back keep up with new investment mandates and across Australia and APAC. Two SimCorp
operations. regulatory requirements. In addition, the client Dimension clients canceled their contracts,
expects to reduce operational complexity and bringing the total number of clients to 20.
costs. Finally, a US based asset manager
selected SimCorp for client reporting in order
to reduce operational complexity.
EUR million 2022 2021 Change EUR million 2022 2021 Change EUR million 2022 2021 Change EUR million 2022 2021 Change
Total segment Total segment Total segment Total segment
revenue 418.5 357.6 17% revenue 120.1 114.9 5% revenue 58.5 46.3 25% revenue 23.6 23.6 0%
Financial
review 2022
SimCorp generated revenue of EUR 2022 review

2022 was characterized by unusually high macroeconomic
561.0 million in 2022, an increase of turmoil. The increase in inflation and interest rates combined
13.0% compared with 2021 and Annual with the Russian invasion in Ukraine negatively impacted
the business environment and customers from the beginning
Recurring Revenue (ARR) (backward- of the year. The deal activity was low in the first half of 2022
looking) of EUR 321.9 million, a growth of but improved during the year and ended with a strong
fourth quarter, both with respect to number of deals signed
16.1%. The order intake was EUR 190.6
and revenue.
million an increase of EUR 53.0 million or
38.5% compared with 2021, and the SimCorp was shocked and saddened by the Russian invasion.
The safety of our employees has been top priority throughout
order book increased in 2022 by EUR the year, and SimCorp has offered all the help and support
36.5 million to EUR 109.5 million, it can. SimCorp offered relocation to all affected employees
and their families at the outbreak of the invasion and again
contributing to positive business growth. during the winter period. SimCorp remains fully committed
SimCorp generated EBIT of EUR 125.9 to its employees and presence in Ukraine, where SimCorp Financial expectations and results 2022
has been for the last 15 years.
million. The EBIT margin was 22.4%. In local Achieved Annual Report 2021
currencies 2022 Feb. 15, 2022
2022 was also a year where additional investments were
Revenue growth 9.4% 7-12%
made in the SaaS transformation to expand the long-term
ARR (backward-
business opportunities and further enhance competitiveness. 12.1% 10-15%
looking) growth
The investments related predominantly to the SaaS offering
EBIT margin 23.4% 23-26%
including initiation of technology-enabled services offerings
(BPaaS). As part of the transformation, SimCorp also imple-
mented a large operating model restructuring to change the
SimCorp Annual Report 2022 Management report Financial review 2022 24
Revenue development (EUR million) leadership structure and improve collaboration and Datacare order intake was EUR 6.0 million compared with
integration of functions. an order intake of EUR 17.5 million in 2021.
600
Financial expectations and results 2022 SimCorp Dimension license solutions were sold to eight new
500 In the 2021 Annual Report, SimCorp announced 2022 clients in 2022, all except one on subscription-based terms,
expectations for revenue growth measured in local with a total order intake of EUR 17.0 million, compared with
400
currencies of between 7% and 12%, backward-looking ARR sales to four new clients in 2021 with a total order intake of
300 growth of between 10% and 15% and an EBIT margin EUR 16.4 million. The average size of initial SimCorp
measured in local currencies of between 23% and 26%. Dimension license deals decreased from EUR 4.1 million
200 in 2021 to EUR 2.1 million in 2022. Of the initial SimCorp
100
During 2022, SimCorp announced that exceptional costs Dimension license orders entered into in 2022, three of the
would impact EBIT with EUR 3 – 5 million related to the orders were signed in North America, two orders in APAC
0 support of our Ukrainian colleagues and with additional and three orders in EMEA.
2018 2019 2020 2021 2022 EUR 8 – 10 million in one-off costs related to the operating
model restructuring program. Excluding these costs, the EUR 93.5 million of the additional order intake was due to
financial results were in line with expectations. eighteen clients converting their perpetual contracts to
subscription-based license contracts. For the eighteen clients
EBIT (EUR million) and EBIT margin % The realised revenue growth measured in local currencies converting in 2022, the annual subscription-based payments
(%) was 9.4%, backward-looking ARR growth was 12.1% and will be higher than the software updates and support fees
EBIT margin before exceptional costs measured in local under the perpetual contracts due to the sale of additional
140 30
currencies was 23.4%. Reported EBIT margin was 22.4%. functionality in connection with the conversions, but the
120 25 The financial guidance and the realized financial results annual software updates and support fees will be around
100 can be seen in the table on page 23. EUR 15.3 million lower, as the subscription license revenue
20
under IFRS 15 is recognized up-front on contract completion.
80
15 Order intake and order book
60 In 2022, total order intake of EUR 190.6 millon was an Total order book increased by EUR 36.5 million from January
10 increase of EUR 53.0 million compared with 2021. The 1, 2022 to EUR 109.5 million on December 31, 2022. The
40
5 increase was primarily due to higher order intake for order book includes SimCorp license solutions EUR 56.3
20
SimCorp Dimension, primarily driven by several significant million, SimCorp Dimension Client-Driven Development
0 0 deals signed with existing clients. (CDD) of EUR 9.2 million and EUR 44.6 million related to
2018 2019 2020 2021 2022 subscription services. The order book is a consequence of
income recognition being deferred until certain conditions Total contract value outstanding, excluding as a Service 2022 revenue (EUR million)
are fulfilled or subscription services revenue recognized offering, at December 31, 2022, was around EUR 567 million
over the contract period. (December 31, 2021: EUR 423 million), of which around EUR 72 561
144 million is payable in 2023 (2021: EUR 107 million 489
The total value of the installed SimCorp Dimension license payable in 2022).
base is EUR 926 million in 2022 compared with EUR 934
million in 2021. The total value of the installed license base At the end of 2022, 64 clients covering Dimension, Coric,
for SimCorp Dimension clients who have an installed license and Gain, are as a Service clients on a SaaS solution.
base above EUR 2 million accounted for 93% of the value of
the total installed license base compared with 92% in 2021. In 2022, six clients canceled SimCorp Dimension and three
clients canceled SimCorp Gain contracts. The annual
The share of subscription-based license agreements in the software updates and support fee for the canceled Ratable Upfront Reported
installed SimCorp Dimension license base increased from contracts amounted to EUR 4.3 million, equivalent to 0.7% revenue revenue revenue
recognition
35% at the end of 2021 to 50% at the end of 2022. In total, of 2022 revenue compared with EUR 1.8 million in 2021,
impact
103 (equivalent to 50%) out of 207 SimCorp Dimension equivalent to 0.4% of 2021 revenue.
clients are on subscription-based license agreements, while
the remaining 104 SimCorp Dimension clients are on a
perpetual license agreement. In comparison, 79 (equivalent
to 38%) out of 206 SimCorp Dimension clients were on
subscription-based license agreements in 2021.
At year-end 2022, the average length of subscription-based

license agreements at signing was around six years for
SimCorp Dimension, around five years for SimCorp Coric,
around six years for SimCorp Gain, and approximately one
year for SimCorp Sofia. The remaining average length before
renewal was 3.7 years for SimCorp Dimension, 2.7 years
for SimCorp Coric, 5.6 years for SimCorp Gain, and around
one year for SimCorp Sofia as most agreements are
renewed annually at the beginning of the year.
Income statement 2022

Revenue On-premise software updates and support revenue was License revenue split
SimCorp is transforming from a traditional Software company EUR 168.4 million or 2.3% higher than last year. Growth in
to a full-scale Software-as-a-Service provider. As a conse- on-premise software updates and support from new and Conversions 46%
quence of the transformation to a SaaS company, SimCorp existing customers is partly offset by customer conversions 11% (2021: 21%)
Additional regular
will steadily change its business focus from license and from on-premise to SaaS. license 19%
maintenance revenue to subscription, hosting and technology-
13%
(2021: 32%)
enabled services. SimCorp is converting perpetual license Total SaaS revenue was EUR 88.7 million an increase of Renewals 13%
contracts to SaaS subscription agreements, and the gradual
transition into a full SaaS business will inherently be a
EUR 21.0 or 31.1% compared with 2021 mainly driven by
SaaS services with the completion and implementation of
46% (2021: 14%)
Initial license 11%
(2021: 16%)
multi-year journey. Therefore SimCorp has changed it new client installations and new functionalities to existing Other license 11%
revenue segmentation to reflect the transformation. clients. SaaS revenue consists of SaaS license sales and
19% (2021: 17%)
In 2022, the ARR was EUR 321.9 million, which was equiva-
SaaS Services including software updates and support.
SaaS License sales was EUR 17.0 million a decline of EUR
11%
lent to 57.4% of total revenue. In 2021, the ARR was EUR 0.7 million compared with last year.
277.4 million, which was equivalent to 55.9% of total
revenue. The ARR growth in 2022 was 16.1% in EUR, and
12.1% in local currencies. The current ARR is based on the
backward-looking revenue. In 2023, SimCorp will report on a
forward-looking ARR (see definition on page 63). Revenue Share of Share of Revenue
revenue revenue Revenue growth local
EUR '000 2022 2022 2021 2021 growth currencies
SimCorp generated total revenue of EUR 561.0 million in
On-premise initial licenses 14,045 2.5% 15,679 3.2% -10.4% -4.6%
2022 compared with EUR 496.3 million in 2021, equivalent
On-premise additional licenses 117,612 21.0% 84,107 16.9% 39.8% 37.4%
to an increase of 13.0%. Exchange rate fluctuations for the
period had a positive impact on revenue of 3.6%. Measured On-premise other licenses 8,411 1.5% 12,403 2.5% -32.2% -33.5%
in local currencies, revenue thus increased organically by 9.4%. On-premise software updates and support 168,367 30.0% 164,645 33.2% 2.3% -1.2%
Total on-premise revenue 308,435 55.0% 276,834 55.8% 11.4% 8.9%
Total on-premise revenue was EUR 308.4 million, an increase SaaS initial licenses 3,831 0.7% 5,854 1.2% -34.6% -39.2%
of EUR 31.6 million or 11.4% compared with 2021. On-premise SaaS additional licenses 7,784 1.4% 8,399 1.7% -7.3% -14.9%
revenue consists of on-premise license sales from initial SaaS other licenses 5,371 1.0% 3,466 0.7% 55.0% 45.5%
licenses to new clients and additional licenses to existing
Saas services incl. software updates and support 71,704 12.8% 49,944 10.1% 43.6% 36.8%
clients and on-premise software updates and support revenue.
Total SaaS revenue 88,690 15.9% 67,663 13.7% 31.1% 24.2%
Professional services 163,843 29.1% 151,777 30.5% 7.9% 3.9%
On-premise license sales was EUR 140.1 million corre-
sponding to a growth of 25.0% compared with 2021. Total revenue 560,968 100.0% 496,274 100.0% 13.0% 9.4%
SaaS Services including software updates and support was signed revenue for the full year of EUR 364 million – an The increase in operating costs was primarily a result of
EUR 71.7 million corresponding to a growth of 43.6% increase of EUR 41 million or 12.6% compared with the increased staffing and an increase of around 5% in annual
compared with last year driven by completion and imple- beginning of 2022. salaries. The average number of full-time employees
mentation of new client installations and new functionalities increased by 196 or 10.5% from 1,871 in 2021 to 2,067 in
to existing clients. Costs 2022. The number of employees (headcount) was 2,245 at
Total operating costs and other operating costs (including the end of 2022 compared with 1,998 at the end of 2021, an
Professional Services which now mainly consists of imple- depreciation and amortization) increased by 16.8% from EUR increase of 247 employees. 67% of SimCorp’s total operating
mentation of new or existing clients was EUR 163.8 million 364.6 million in 2021 to EUR 426.0 million excluding EUR 9.9 costs were directly related to employees compared with 70%
compared to EUR 151.8 million in 2021. million in special items. Currency fluctuations decreased the in 2021.
total operating costs by 2.5%. Measured in local currencies,
Revenue distribution the operating costs increased by 14.3% compared with 2021. Cost of sales increased by 16.0% to EUR 228.6 million.
The ten largest clients generated 25% (2021: 23%) of SimCorp’s Measured in local currencies, the organic increase in cost
total revenue. In 2022, the largest client accounted for 5.8% of sales was 12.7%. The increase was partly related to an
(2021: 4.0%) of the revenue. SimCorp entered 2023 with increase in the new SaaS operations. Cost of sales
represented 40.7% of revenue compared with 39.7% in 2021.
Research and development costs increased by 15.8% to EUR

106.3 million. Measured in local currencies, research and
development costs increased by 15.7%. The increase was
due to continued investment in our offerings. Research and
development costs were 18.9% of revenue in 2022,
compared with 18.5% in 2021.
Operating costs
Sales and marketing costs increased by 20.6% to EUR 60.6
Costs
million. Measured in local currencies, sales and marketing
Reported Special excl. special Growth local
costs items items Costs Growth currencies costs increased by 15.9%. The cost increase primarily relates
EUR million FY 2022 FY 2022 FY 2022 FY 2021 FY 2022 FY 2022 to higher staff costs, user meetings, and higher travel and
Cost of sales 228.6 - 228.6 197.0 16.0% 12.7% meeting activities. Sales and marketing costs represented
Research and development costs 107.0 0.7 106.3 91.8 15.8% 15.7%
10.8% of revenue compared with 10.1% in 2021.
Sales and marketing costs 61.5 0.9 60.6 50.2 20.6% 15.9%
Administrative expenses increased by 19.2% to EUR 30.5
Administrative expenses 35.9 5.4 30.5 25.6 19.2% 18.8%
million. Measured in local currencies, administrative
Other operating costs 2.9 2.9 - - - - expenses Increased by 18.8%. Administrative expenses were
Total operating costs 435.9 9.9 426.0 364.6 16.8% 14.3% 5.4% of revenue compared with 5.2% in 2021.
Other operating costs of 2.9 million occurred in 2022, are tax was EUR 99.3 million compared with EUR 110.0 million 2022 EBIT margin
related to help and support for our Ukrainian colleagues. in 2021. After the net effect of foreign currency translation
differences and remeasurements of defined benefit plans
1.8% 24.2% -0.8% 23.4%
Profitability of EUR 0.1 million, the total comprehensive income amounted 22.4%
SimCorp generated an EBIT of EUR 125.9 million compared to EUR 99.4 million against EUR 114.0 million in 2021.
with EUR 132.4 million in 2021, a decrease of EUR 6.5 million.
The reported EBIT margin was 22.4% compared with the Statement of financial position
EBIT margin of 26.7% in 2021. When measured in local SimCorp had total assets of EUR 604.3 million at December
currencies, the EBIT margin was 21.6% in 2022. 31, 2022 compared with EUR 526.3 million at December 31,
2021. The increase of EUR 78.0 million was primarily related
EBIT adjusted for special items (EUR 9.9 million), covering to changes in contract assets of EUR 71.9 million. Cash
costs related to the operating model programme for the trans- holdings decreased by EUR 7.2 million from EUR 47.7 million
Reported Special Reported FX Local
formation to a SaaS company, EUR 7.0 million and support at December 31, 2021 to EUR 40.5 million. items excl. impact currencies
of our Ukrainian colleagues EUR 2.9 million, was EUR 135.7 special excl. special
items items
million. The adjusted EBIT margin was 24.2% and measured Compared with December 31, 2021 contract assets
in local currencies, the adjusted EBIT margin was 23.4%. increased by EUR 71.9 million from EUR 221.0 million to
EUR 292.9 million. New and additional subscription-based
Share of profit after tax in associates of EUR 0.1 million, licenses added EUR 133.9 million to contract assets, foreign 2021 EBIT margin
financial income of EUR 3.2 million, and financial expenses exchange adjustments added EUR 6.6 million, and finance
of EUR 1.0 million resulted in a net financial income of EUR income recognized added EUR 2.2 million. Reductions in 26.7% 0.2% 26.9%
2.3 million in 2022 compared with a net financial income of 2022 stem from invoiced subscription-based license fees of
EUR 5.0 million in 2021. The net financial income in 2022 EUR 70.8 million. There was no change to expected credit
and 2021 were primarily related to foreign exchange loss provision in 2022.
adjustments.
Receivables increased by EUR 15.9 million from EUR 96.5
Profit before tax was EUR 128.1 million against EUR 137.4 million at December 31, 2021 to EUR 112.4 million. In
million in 2021. The estimated tax charges for 2022 amounted accordance with IFRS 9 ‘Financial Instruments’, SimCorp
to EUR 28.9 million against EUR 27.4 million in 2021. The has made an expected credit loss provision of EUR 1.3
effective tax rate was 22.5% compared with 20.0% in 2021, million related to contract assets and receivables at Reported FX Organic/
impact Local
the effective tax rates were impacted by refunds of with- December 31, 2022 (December 31, 2021: EUR 1.4 million). currencies
holding taxes related to prior years. The effective tax rate of
22.5% was slightly lower than the expectation announced in The Group’s total non-current assets were EUR 142.4
the 2021 Annual Report of an expected effective tax rate million compared with EUR 147.3 million on December 31,
for 2022 of between 23% and 25%. The Group profit after 2021. Goodwill was EUR 61.3 million at December 31, 2022
compared with EUR 61.6 million at December 31, 2021. Changes in contract assets were EUR 70.6 million compared Treasury shares
No impairment of goodwill was made in 2022. with EUR 44.9 million in 2021, due to higher subscription- In 2022, SimCorp purchased 269,795 treasury shares with
based license revenue in 2022 than in 2021. Changes in a nominal value of DKK 1 at an average price of DKK 514.47
The carrying amount of acquired software was EUR 8.1 working capital were negative at EUR 4.7 million. Payment of per share, totaling EUR 20.0 million. SimCorp delivered
million compared with EUR 9.8 million at the end of 2021 income taxes amounted to EUR 22.3 million, against EUR 134,558 treasury shares with a nominal value of DKK 1 on
and the value of client relationships was EUR 19.6 million 23.3 million in 2021. Other non-cash items of EUR 4.0 the vesting of restricted stock units.
compared with EUR 21.2 million at the end of 2021. The million were primarily related to unrealized exchange gains
decreases were due to amortization. and other adjustments. There was a net cash outflow of Furthermore, 2,532 treasury shares will be delivered after
EUR 2.8 million from investing activities compared with EUR publication of this annual report as remuneration to the
The carrying amount of leasehold assets was EUR 38.3 5.7 million in 2021. Board of Directors in accordance with a resolution adopted
million compared with EUR 40.1 million at the end of 2021. by shareholders at the Annual General Meeting 2022.
The decreases were due to amortization. Other property, Free cash flow (cash flow from operations reduced by
plant, and equipment amounted to EUR 3.2 million compared CAPEX and lease payments) was EUR 47.2 million compared
with EUR 3.6 million at the end of 2021. Other financial assets with EUR 78.6 million in 2021, a decrease of EUR 31.4
amounted to EUR 4.8 million. Deferred tax assets were EUR million. Cash conversion, defined as free cash flow divided
2.8 million compared with EUR 3.1 million at the end of 2021. by profit for the year, was 48% compared with 71% in 2021.
The cash conversion of 48% was below the expectation
SimCorp’s total liabilities were EUR 228.8 million at announced in the 2021 Annual Report of an expected cash Free cash flow/ Cash flow to shareholders (EUR million)
December 31, 2021, compared with EUR 203.2 million a year conversion for 2022 of between 70% and 80%.
earlier. The increase relates mainly to higher trade payables. 100
The lower cash conversion was primarily due to lower profit
Changes in equity for the year and larger effect on the cash generation from
75
The Group’s equity amounted to EUR 375.6 million on change in contract assets (higher effect of IFRS 15 upfront
December 31, 2022. This was an increase of EUR 52.5 revenue recognition in 2022 compared to 2021).
million compared with December 31, 2021. Equity was 50
reduced by the purchase of treasury shares of EUR 20.0 Cash used in financing activities in 2022 of EUR 64.8 million
million and dividends of EUR 39.9 million. Equity was related to dividend payments of EUR 39.9 million, purchase 25
increased by comprehensive income in 2022 of EUR 99.4 of treasury shares of EUR 20.0 million, repayment of lease
million as well as effects of share-based remuneration of liabilities of EUR 11.7 million, proceeds from credit facilities
EUR 12.9 million, net of tax. / loans of EUR 26.9 million and repayment from credit 0
facilities of EUR 20.1 million. Cash used in financing activities 2018 2019 2020 2021 2022
Cash flow statement in 2021 of EUR 91.0 million was dividends of EUR 40.1
Free cash flow
Operating activities generated a net cash inflow of EUR 60.3 million, purchase of treasury shares of EUR 40.1 million, and Dividends
million against EUR 90.7 million last year. repayment of lease liabilities of EUR 10.8 million in 2021. Purchase of treasury shares
At December 31, 2022, SimCorp held 1,228,084 treasury

shares with a nominal value of DKK 1 each (3.0% of the total
share capital) at a cost of EUR 98.1 million and a market
value of EUR 79.0 million. At December 31, 2021, SimCorp
held 1,072,118 treasury shares with a nominal value of DKK
1 each (2.6% of the total share capital) at a cost of EUR 85.6
million and a market value of EUR 103.1 million.
The parent company SimCorp A/S

In 2022, the parent company generated revenue of EUR
263.4 million, an increase of EUR 13.2 million compared
with 2021. The parent company received dividends totalling
EUR 31.5 million from subsidiaries in 2022 compared with
EUR 20.3 million in 2021. Profit before tax for the year was
EUR 108.5 million against EUR 110.7 million in 2021.
Income tax amounted to EUR 16.1 million compared with
EUR 15.8 million in 2021. Net profit was EUR 92.4 million
compared with EUR 94.9 million in 2021. Equity increased
from EUR 291.2 million at December 31, 2021 to EUR 336.7
million at December 31, 2022.
Profit allocation
The Board of Directors intends to recommend to shareholders
at the Annual General Meeting 2023 that, of the total
recognized comprehensive income of EUR 92.5 million,
dividends of EUR 39.7 million be declared, representing
DKK 7.50 per share of DKK 1, and that EUR 52.7 million be
transferred to retained earnings.
SimCorp Annual Report 2022
01 31
Risk analysis
Risk
management An Enterprise Risk Management
process is applied to identify
relevant risks in SimCorp’s
major units.
As SimCorp operates in a continually

changing and volatile business
environment, its Board of Directors and 02
management regard it as essential that Risk evalution
its enterprise risk exposure is thoroughly
assessed, monitored and controlled on
an ongoing basis. This happens through SimCorp management
a structured and constantly improved continually monitor risk
development in the
enterprise risk management process, SimCorp Group.
which is closely linked to our strategy
execution, applying a framework of risk
policies and risk mitigating procedures.
03
Risk control
The Board of Directors and management are deeply

committed to prepare the company for different risks and
uncertainties which could, in circumstances we may or may The Audit and Risk Committee
not be able to accurately predict, recognize, or control, have oversees the ongoing process
a material adverse effect on our business, reputation, future for identifying, managing and
activities, results and liquidity. reporting risks.
SimCorp Annual Report 2022 Management report Risk management 32
Risk category Risk mitigation
Cyber attack As a software company with a core business based on modern information
technology, a failure to adequately protect itself against IT security risks would
SimCorp monitors its technical infrastructure to identify and minimize risk to the
company’s production and operations. Established procedures and solutions enable
represent a particular risk. Cybercrime, including unauthorized access to SimCorp’s a quick restoration of critical business services. SimCorp upholds a high data security
network and data that could endanger SimCorp’s infrastructure and applications. level and strict access control to the environments and network. Controls are moni-
This also applies to malware attacks and theft of code or know-how which could also tored and reviewed to improve information security, and SimCorp regularly employs
result in prolonged system breakdowns impairing productivity and potentially third-party testers to perform penetration testing, security reviews and auditing.
rendering SimCorp unable to service its clients.
SimCorp reviews third-party hosting providers’ compliance with security
SimCorp currently delivers SimCorp Dimension as a Service (hosted) for 34 clients, commitments, and we receive and review third-party assurance and penetration
operating the clients’ systems in a third-party hosted environment. Any failure of the testing reports.
hosting provider could result in prolonged system breakdowns that would impair
productivity and potentially render SimCorp unable to service clients. SimCorp management and employees are regularly updated on new potential
cybercrime threats and how to minimize the risk of phishing and hacking.
SimCorp has a disaster recovery plan for restoring all critical business services.
People and SimCorp’s business is based on specialized expertise and innovation. It is imperative
that SimCorp continues to attract, develop, and retain skilled employees and
To strengthen SimCorp’s employer brand and this way increase awareness of what
SimCorp has to offer as an employer, an ‘Employer Value Proposition’ (EVP) program
corporate culture management talent. Failure to do so constitutes a risk to the Group. has recently been developed. Furthermore, to retain talent in SimCorp, substantial
resources have been allocated to mentoring and leadership programs in 2022.
The supply of talent is provided internally through development as well as from the
market. For some roles, there is fierce competition for talent. Hence, SimCorp’s ability Culture and behaviors are key and our focus is both on adapting our culture to
to successfully attract, hire, onboard and retain our talent – and do this in a scalable support our growth, as a company as well as how we operate around the world.
and efficient way – is critical for our long-term success. Actively listening to the voice of the organization is key to preserve our culture and
ensuring retention. Hence, in 2022, we have introduced a number of councils and
For us to be able to attract and retain the right talent, we must offer a diverse, boards in the People and Culture area, a number of employee resource groups have
equitable and inclusive workplace and culture. We have a strong culture today and been formed and we are doing bi-monthly pulse surveys with all employees – all
that culture has brought us to where we are and made us perform and win. these initiatives are put in place to collect feedback and input from employees
across SimCorp.
In order to map where we lack critical resources, a company-wide capability review

has been rolled-out and a gap analysis is being created. A new leadership model
focusing on improving the entire leadership skillset, including talent enablement, has
been developed and is being implemented.
To ensure SimCorp’s business is conducted in accordance with corporate values, a

Guideline for Good Business Behavior for all employees and a Code of Conduct for
Suppliers has been established, and annual online training is conducted. In addition,
SimCorp maintains a whistleblower system as a means of increasing focus on transpa-
rency and enabling reporting and action on any suspected irregularities.
Markets and Responding timely to investment management market trends is critical to SimCorp’s
ability to stay competitive. Failing to spot these trends represents a risk. Competitors’
Through extensive ongoing market research and industry analysis, SimCorp keeps
abreast of trends and movements in the global financial markets. Its close and
clients expansion of service-offerings and distribution could also endanger SimCorp’s longstanding client relationships allow SimCorp to anticipate and respond to new
market-leading position. New local requirements or legislation may also influence the preferences and requirements. In addition, SimCorp actively monitors contracts to
demand for SimCorp’s offerings. manage risks. Although 40% of SimCorp’s clients are among the top 100 global
investment managers, the SimCorp Group has no client with revenue of more than
5.8% (2021: 4.0%) of total revenue.
Political and With offices and sales across the world, SimCorp is from time to time affected by
geopolitical uncertainties and unrest.
Potential political and economic unrest in countries and regions where SimCorp
operates or plans to operate is monitored and fully considered when making
pandemic risks operational and strategic decisions. SimCorp continuously monitors the political
Since 2007, SimCorp has had a development unit based in the Ukraine. situation in countries where we and our clients operate. The situation in Ukraine is
being monitored closely, and we have business continuity plans for operations and
The possible close down of countries due to pandemic, terror, war etc. could pose a our employees. Structured sales reviews, the ability to do remote demos and
threat to SimCorp’s product offering, sales, and service efforts. The same goes for implementations, as well as our standard platform initiative mitigate the risk of
our employees’ well-being. discontinuity. Finally, SimCorp has a Group Policy on restricted countries and parties
in place to ensure compliance with international sanctions, export controls and
requirements of our internal and external stakeholders.
Regulatory issues Protecting SimCorp’s long-term business interests is vital to its continued operations.
This includes legal risk that may impact SimCorp’s business.
SimCorp ensures that all contracts entered into are carefully worded. SimCorp’s due
diligence and procurement processes, as well as the ‘Guideline for Good Business
and fiscal policies Behavior’ and Code of Conduct for Suppliers, ensure that the company’s values are
Failure to meet or implement regulatory requirements in a timely fashion with respect adhered to, including safeguarding against corruption.
to, for instance, data protection, confidentiality agreements, IPR, corruption and fraud
constitutes a risk. SimCorp’s Group Finance department manages the company’s currency and
financial exposures pursuant to the treasury policy approved by the Board of
SimCorp is subject to tax and fiscal policies in the countries in which the Group Directors, including keeping overall currency and financial exposure within defined
operates. Changes in local jurisdictions may affect SimCorp’s tax and fiscal position. limits.
As SimCorp operates in multiple countries, the Group is exposed to changes in
currency exchange rates. Furthermore, Group Finance ensures that SimCorp is at all times tax compliant in
the countries in which SimCorp conducts business.
SimCorp’s Group Legal and Compliance department monitors and ensures data
privacy compliance, including compliance with GDPR and data privacy regulation in
jurisdictions outside of the EU. Both in terms of handling of employee and client
data, SimCorp has in place adequate technical and administrative processes
including security measures, data processing agreements and due diligence and
audit of suppliers.
Software Implementation projects not being priced correctly or clearly scoped poses a risk of
cost overruns, as well as causing delivery risk.
SimCorp professional services apply a global delivery model leveraging a standard
methodology based on industry best practices and standard components. This
implementation approach includes comprehensive project plans and regular client meetings. It is key
After going live with the solution, the most apparent risk is possible breach of service for SimCorp to provide standardized end-to-end serviced solutions, both during
and services level agreements, security requirements, or other committed standards. implementation, and after clients have gone live.
Offering SimCorp Dimension as a Service introduces operational risks from running SimCorp has established various measures to control both external and internal risk
clients’ operational IT environments. This in turn exposes SimCorp to potential to the provision of full-service packages. Externally, a due diligence process is
financial and reputational risks should operations be negatively impacted by errors or conducted on each subcontractor to ensure it meets SimCorp’s requirements;
downtime. financially, organizationally, and product-wise. Internally, a clear description and
overview of each delivery component allows for a clear segregation of duties.
Services are provided by subcontractors engaged by SimCorp. If SimCorp fails to
balance the requirements of clients and agreements with these subcontractors, SimCorp’s consultants undergo regular training, and have relevant industry standard
SimCorp risks impairing the clients’ businesses as well as its own. and SimCorp specific certifications, to maintain and develop the required knowledge
and experience in relation to the operational services.
Larger complex implementation contracts are evaluated, approved, and monitored

using a Group standard.
SimCorp regularly receives independent assurance reports from our third-party

service providers, and the hosting providers have undergone due diligence performed
by SimCorp and its external partners. SimCorp has a targeted security awareness
program on secure development standards. Patch and upgrade servers are part of
the product and are protected like other servers.
Product innovation Product innovation, improved technical infrastructure, and enhanced technical
capabilities are fundamental to meeting new system requirements in the market and
Quarterly, SimCorp offers updated versions of SimCorp Dimension, including
enhanced system functionality and technical infrastructure based on a systematic
and quality this continues to be a risk for SimCorp. Being unable to deliver those elements in a prioritization of client and market requirements. A best-practice agile development
timely fashion could mean that SimCorp’s product and services would end up as method enables quick adaptation to change in market and client demands. This also
legacy offerings. shortens the period of extensive testing prior to new version releases, securing an
even better software quality.
SimCorp’s ability to offer clients the best software with the highest possible
configurability and flexibility is paramount. Inadequate quality control and testing prior SimCorp continually raises and follows up on internal quality targets and has been
to the release of new software versions could increase the risk of reduced client able to minimise the number of errors in new software releases. As part of our
satisfaction and loyalty. To enable optimal use of resources, lower the total cost of transition to cloud, we have laid out the technical needs, ensured feasibility, done
operations (TCO), ease upgrade, and make cloud benefits available for our clients in an extensive estimation, and established burndown measurements. In addition, we have
efficient manner, we need SimCorp Dimension to operate in a 3-tier deployment model, increased our efforts to meet staff needs in all our locations, and we are engaging
on premises, in private, and in the public cloud. with subcontractors to increase our capacity.
The 3-tier deployment model is the first step in our cloud lift and is paramount for this In recent years, we made good progress on the cloud lift to move SimCorp
transition. The main risk associated with the transition is the lack of necessary Dimension, a journey that will continue.
development capacity or capabilities.
Security breaches in SimCorp sells software services to on-premise and cloud-based clients. Clients being
affected by security incidents directly from our product stack or supply chain poses
SimCorp’s products are subject to a range of security controls prior to release,
including peer review and static code analysis by automated code review tools.
products supported a significant risk. Furthermore, data breaches, including personal information and
market sensitive information, remain one of the top concerns for our clients. We recommend clients use Citrix as an additional protection layer. Governance of
by SimCorp third-party software components is performed, the suppliers of such software are
diligently screened, using both expert assessments of the product as well as
in-house proof of concept and on-going automated review.
Business Processes With Data Management Services (DMS) and Investment Account Services (IAS)
SimCorp has two BPaaS services in the market today. Both services have satisfied
We have sales teams around the world to focus on the sales of these services stand
alone or in connection with SimCorp Dimension. In addition, we invest in marketing
as a Service clients using them. In the next phase of the lifetime of these services we need to and branding to make ourselves better known in this space. To create the economies
further grow the client base and achieve the needed economies of scale. Not of scale we leverage the usage of our own technology to produce these services and
reaching economies of scale will put the margin of the services under pressure or continuously automate our processes and reduce the need for additional headcount.
make us vulnerable against low price competition.
Strategy execution SimCorp is going through transformational change. To succeed with our
transformation, our organization at all levels needs to understand and embrace our
SimCorp is increasing strategy and transformation communication and enablement
via a combination of more frequent, more targeted and granular, and more
corporate strategy and associated change agenda. Failing to do this will put the leadership-driven communication and people engagement. This entails providing
overall transformation and hence medium-long term company performance at risk. more information about the strategic journey, how we progress, why we are winning,
The strategy execution can also be hindered by inefficient change management and how it affects every individual in the company.
across the organization.
Moreover, we are embedding change leadership into our talent and leadership
development programs as well as building a “change community” to support change
efforts across the organization by providing training and guidance to the business/
project leaders owning the various transformation activities. Additionally, we are
implementing a new strategy execution governance framework to drive the necessary
focus and progress.
SimCorp Annual Report 2022 Management report Corporate governance report 36
Corporate
governance report
→ Corporate Governance Guidelines 2022 Composition and qualifications of the Board of Directors,
SimCorp’s Board of Directors has https://www2.simcorp.com/CorporateGovernanceGuidelines22 Executive Management Board, and committees
reviewed each of the recently revised The BoD is constituted to ensure its independence, adequate
→S
tatutory Report on the Recommendations on collective competences, and experiences within executive
recommendations on corporate
Corporate Governance 2022 management disciplines related to global corporations,
governance issued by Nasdaq https://www2.simcorp.com/StatutoryReport2022 information technology, and business-to-business sale and
Copenhagen and has concluded that, deployment of software and delivery of technology-enabled
SimCorp’s stakeholder relationships services, and to comprise a sufficient number of members
with one exception (severance payments), SimCorp’s overall management objective is to promote the to enable an appropriate distribution of tasks and an effective
SimCorp is in full compliance with the long-term interests of the company, and thus of all stake- decision-making process. As provided in the company’s
holders. Achieving this objective assumes that SimCorp articles of association, SimCorp’s BoD consists of between
recommendations. The Board has establishes lasting and constructive relationships with the four and eight members elected by the company’s share-
decided on specific measures on Group’s primary stakeholders: clients, employees, shareholders in addition to members elected by and among the
holders, and society. As part of its annual strategy objective company’s employees. The current BoD consists of six
the exception. setting, the Board of Directors (BoD) considered SimCorp’s shareholder-elected members and three employee-elected
purpose of “enabling a prosperous life in a liveable world” members. During 2022, 3 new employee-elected members
and agreed it is in support of the long-term value creation joined the BoD.
of the company and should be pursued on a daily basis.
Self-assessment
SimCorp’s Corporate Governance Guidelines are intended to The work of the Board of Directors As part of its annual cycle activities, the BoD carries out a
ensure an efficient and adequate management of SimCorp The BoD is a collective body for promoting the long-term self-assessment. In 2022, the Board decided to carry out
within the framework defined by applicable legislation, rules, interests of the company. The BoD has as its main three the evaluation internally. The self-assessment comprised an
and recommendations for listed companies in Denmark and responsibilities to ensure: (i) that the company at all times evaluation of the work and contribution of the EMB, the
by SimCorp’s Articles of Association, vision, and values. has the right Executive Management Board (EMB); (ii) that BoD, the Audit and Risk Committee, the Nomination and
The Statutory Report on the Recommendation on Corporate the strategic direction of the company is set; and (iii) that Remuneration Committee and the Technology Committee
Governance 2021 demonstrates that, with one exception the financial and managerial control of the Group is within the areas of strategy, finance, risk management,
(severance payments), SimCorp is in full compliance with the conducted adequately. sales, organization, management, operations and ESG.
recommendations.
Board of Directors and committees It was concluded that the BoD’s work is effective, that the Nomination and Remuneration Committee
– meeting participation in 2022 members collectively contribute to the required areas of The Nomination and Remuneration Committee assists
expertise, and that none of the directors is over-boarded the BoD with oversight of the competence profile and
Board Nomination Tech-
of Audit and Remu- nology The BoD concluded that they possess the necessary composition of the BoD, nomination of the BoD and
Board of Direc- and Risk neration Commit- competencies to and qualifications to perform their duties. committee members, succession plans for the EMB,
Directors tors Committee Committee tee The BoD also concluded that the diversity of the EMB remuneration packages and policies for the BoD and EMB,
Peter Schütze 8/8 3/3 2/2 and the BoD with regard to nationalities, educational and other tasks on an ad-hoc basis as decided by the BoD.
Morten Hübbe 8/8 3/3 backgrounds, gender, and age represented by its members The Nomination and Remuneration Committee consists of
Simon Jeffreys 8/8 5/5 is appropriate in light of the company’s strategy and four members elected by the BoD on a one-year term by
Adam Warby*** 8/8 5/5 2/2
markets. and among the BoD. Further, SimCorp’s CEO is a regular
attendee at meetings of the Nomination and Remuneration
Joan Binstock 8/8 5/5 2/2
Finally, the BoD concluded that SimCorp complies with the Committee. In 2022, the committee held three meetings.
Susan Standiford 8/8 2/2
Danish Corporate Governance Guidelines’ recommendation
Charlotte S. Klausen* 4/5 that at least half of the members elected by the AGM are Exception from the corporate governance
Sven Rinke* 5/5 independent. recommendations:
Neil Cook* 5/5 1/1
Else Braathen** 3/3 1/1 Risk management Severance payments
Vera Bergforth** 3/3 1/1 The BoD has overall responsibility for ensuring that SimCorp For one of the three existing executive services agreements,
Hugues Chabanis** 3/3 maintains appropriate procedures to monitor, measure, and the total severance pay during the notice period exceeds the
manage the company’s risks and that such procedures are recommended two years’ remuneration in the event of
* Elected on 24 March 2022 firmly embedded in the company’s organization. As part of change of ownership as the severance payment is up to nine
** Election period expired on 24 March 2022
*** Joined Nomination and Remuneration Committee on 24 March 2022
its risk management, the EMB and the BoD have defined months, and the notice period is extended to 36 months for
and described the most critical risks to SimCorp and the one executive. In future agreements, SimCorp will ensure the
related mitigating actions. For a more detailed description, total remuneration does not exceed the recommended
Each member of the BoD and EMB member provided written see ‘Risk Management’, pages 31-36. threshold. Refer to our Remuneration Report for more details
comments and feedback on a comprehensive questionnaire on severance payments.
which included questions on, inter alia, cooperation within Further, the company maintains a whistleblower hotline,
the BoD, the committees and between the BoD and EMB, which is intended to enable reporting on suspected → Remuneration Report 2022
https://www2.simcorp.com/Remunerationreport2022
quality and relevance of the material provided to the BoD, the irregularities in the business. SimCorp has engaged a third
time spent on various matters and the role of the chairman- party, Got Ethics, who provides an internet-based reporting
ship. This was followed up by a personal interview between tool. Reports sent through the whistleblower hotline are Audit and Risk Committee
each member of the BoD and EMB and the Chair of the Board electronically submitted directly to the Chair of the Audit The Audit and Risk Committee is responsible for assisting
and with a final report and discussion with the entire BoD and Risk Committee and another non executive. the BoD by monitoring SimCorp’s financial reporting, its
and EMB. internal financial control and enterprise risk management,
→ Whistleblower Policy as well as the quality, effectiveness, and independence of
https://www2.simcorp.com/whistleblower-policy
The BoD also evaluated, whether the total number of the external auditors for the SimCorp Group of companies.
functions, including their level and complexity, taken on by The Audit and Risk Committee consists of three members
each board member was appropriate. elected on a one-year term by and among the BoD.
Auditor fee – SimCorp A/S Danish corporate governance guidelines recommend that Technology Committee
the majority of the members of the Committee qualify as The Technology Committee is responsible for assisting the
EUR ’000 2022 2021
independent, and that the committee should possess the BoD with respect to the overall role of technology in
Audit fees 203 210
necessary financial expertise. The members of the Audit and executing the business strategy, including, but not limited
Other service fees 56 68 Risk Committee qualify, and are shown in the table on page to, major technology investments, technology strategy and
Total auditor fee 259 278 40. See SimCorp’s Corporate Governance Guidelines for a full transformation, operational performance and technology
Non-Audit Services (NAS)/Audit fee ratio 28% 32% description of the Audit and Risk Committee’s activities. trends that may affect SimCorp. The Technology Committee
consists of four members elected on a one-year term by
External auditor – tasks, objectivity, and independence and among the BoD. The Technology Committee meets as
The Audit and Risk Committee reviews and monitors the often as it and its Chair deem necessary, however, as a
company’s ongoing relations with and the independence of minimum, the Technology Committee will meet four times a
Auditor fee – SimCorp Group the external auditors. Based on recommendations from the year as the the committee was formed in March 2022. In
Audit and Risk Committee and the external auditors, the 2022, three meetings were held.
EUR ’000 2022 2021
Board of Directors decides whether there are areas to which
Audit fees 557 521
the external auditors should pay special attention. Data ethics
Tax and VAT advice fees 17 34
Statement on data ethics, cf. Section 99 d of the
Other service fees 62 71 During the year, the Audit and Risk Committee has been Danish Financial Statements Act.
Total auditor fee 636 626 informed about the external auditor’s policies and procedures
Non-Audit Services (NAS)/Audit fee ratio 14% 20% for safeguarding its objectivity and independence, and the → Data Ethics Policy
https://www2.simcorp.com/DataEthicsPolicy
audit partners and firm rotation requirements have been
routinely observed. During the year, the Committee has
The Audit and Risk Committee meets as often as it and its approved audit-related and non-audit related services fees SimCorp has adopted a Data Ethics Policy, the aim of which
Chair deem necessary, however, as a minimum, the according to the Audit and Risk Committee guidelines for is to raise awareness of and enhance SimCorp’s data ethical
Committee will meet four times a year at appropriate times approval of non-audit services. Audit fees are for the audit of values and their anchoring in our organization. The policy is
in the reporting and audit cycle. In 2022 five meetings were the consolidated and local company financial statements. applicable to all types of data processing, regardless of
held. whether it includes personal data. The policy is universal
Other ongoing activities and aims to embrace all scenarios in which data ethics
As part of its annual cycle activities, the Audit and Risk considerations are relevant.
Committee reviews SimCorp’s accounting policies, compliance
with reporting requirements, risk policy and assessment, SimCorp processes data on our employees, our clients’
internal controls, whistleblower policy, insurance principles, employees, our shareholders, and partners to administer
and interim reports. It does deep-dives into specific topics, for our relationships and to support our decisions. The nature
example, risk associated with long-term contracts. of the services which SimCorp provides requires that
SimCorp processes transactional and portfolio data on
Assessment behalf of our clients. SimCorp never engages in selling data
During 2022, the SimCorp Audit and Risk Committee was which it has obtained through such processes.
satisfied with auditor independence, and with the mana-
gement of risks within the areas it monitors for the BoD.
SimCorp Annual Report 2022 39
Furthermore, SimCorp has adopted significant safeguards

in order to provide a high degree of security and integrity of
such data.
All new and existing employees will participate in training

programs which include topics on data ethics.
Corporate social responsibility

Statement on corporate social responsibility,
cf. Section 99 a of the Danish Financial Statements Act.
→ Sustainability Report 2022

Corporate social responsibility (CSR) in SimCorp is firmly

based on the Group’s Sustainability Policy. SimCorp’s
commitment to corporate sustainable development is based
on combining financial performance with socially responsible
behavior and environmental awareness.
→ Sustainability Policy
https://www2.simcorp.com/SustainabilityPolicy
SimCorp’s commitment to CSR is described in its

policies and codes of conduct, including the company’s Sustainable Development Goals and our achievements on a for moving its own operations from on-premise data centers
‘Sustainability Policy’, ‘Diversity, Equity and Inclusion Policy’, wide range of non-financial ESG targets and metrics are to the cloud, offering its clients cloud hosting, and developing
‘Code of Conduct for Suppliers’, ‘Data Ethics Policy’, included in our Sustainability Report. and offering energy-efficient services.
‘Remuneration Guidelines’, and ‘Corporate Governance
Guidelines’. These documents include guidelines on ethics, Our cloud transformation, new technologies, and people Due to the nature of its business model and its associated
data privacy, human rights, the environment, stakeholder initiatives are key enablers of realizing our ambitions on risks, SimCorp does not have a specific human rights policy.
engagement, corporate governance, bribery, and anti- sustainability, which aim to reduce our own and our clients’ Our approach to human rights is outlined in our Guideline
corruption that govern our professional and commercial CO₂ emission, expand support for our clients’ ESG invest- for Good Business Behavior and our Code of Conduct for
relations with internal and external stakeholders. ments, create a truly diverse, equitable, and inclusive work- Suppliers. It is part of the procurement process that
place, and ensure meaning in work. suppliers are requested to confirm compliance with the
SimCorp joined the UN Global Compact in 2019 and commits Universal Declaration of Human Rights and the core
to submitting an annual Communication on Progress (CoP) CO₂ emission is the key environmental impact affected by Conventions of the International Labour Organization (ILO),
concerning our implementation of its Ten Principles. SimCorp’s business model (see page 14). To reduce its own and to respect an equal status between the sexes and
SimCorp’s contribution to specific targets related to the UN’s and its clients negative impact, SimCorp has a plan in place between persons of different races and religion. Further,
SimCorp does not knowingly accept products and services We maintain our global, company-wide ambition to have a room for improvement in both the ExCo and GMC, and this
which have directly or indirectly been designed, better gender balance across all levels of our organization will be a focus area going forward.
manufactured, produced, or procured in contravention of and have publicly committed to a target of at least 40% of
local environmental legislation or other legislation, or by the underrepresented gender (women) by 2030. SimCorp’s total employee population comprised 65.5% men
means of corruption, bribery, or other fraudulent behavior. (2021: 66.5%) and 34.3% women (2021: 33.3%) and 0.2%
Activities to help us reach our gender balance goals include: undeclared (2021: 0.2%).
→ Code of Conduct for Suppliers a women’s mentorship program, increased attention to
https://www2.simcorp.com/CodeofConductSuppliers gender bias in people processes, and target-setting. In EU Taxonomy
2023, efforts in this area will continue, and the new Report on EU Taxonomy Eligibility 2022 is included in our
SimCorp maintains high standards on confidentiality and legislation on the underrepresented gender will provide even Sustainability Report 2022
protection of personal data, which is ensured through more focus and structure to both targets and initiatives.
compliance with technical data security standards and → Sustainability Report 2022
processes, as well as ongoing employee training on how to Target-setting for a gender-balanced organization
handle data confidentially. A framework is in place to ensure As part of our commitment, we have made internal and
that SimCorp complies with the General Data Protection external commitments for gender representation at all levels. The EU Sustainable Finance Action Plan centers around the
Regulation (GDPR) and other similar national regulations. EU Taxonomy (Regulation (EU) 2020/852), which is a
Women are the underrepresented gender at SimCorp and classification system for identifying environmentally
Diversity we have a target to reach 36% women as a share of 1) the sustainable economic activities. For 2022, SimCorp has
Report on the underrepresented gender and diversity, cf. total full-time employee population, 2) people leaders, and identified hosting of its clients' operations of SimCorp
Sections 99 b and 107 d of the Danish Financial Statements 3) Global Management Committee (GMC) by 2025. By 2030, services as the only Taxonomy-eligible activity related to its
Act is included in our Sustainability Report 2022. our target is 40% women in all three of these categories. Our business model, which is considered relevant. Currently,
Corporate Scorecard includes a target of at least 34% of SimCorp’s Taxonomy-eligible hosting services are not
→ Sustainability Report 2022 promotions for women, as this is the equivalent to the Taxonomy-aligned. For our full EU Taxonomy disclosure, see
https://www2.simcorp.com/SustainabilityReport2022 actual percentage of women in our organization; in 2022, our Sustainability Report 2022.
this target has been met.
Our corporate stance
We acknowledge that gender diversity across SimCorp’s Gender representation at top leadership levels
organization is beneficial to our business and the societies In 2022, we maintained our target of at least two shareholder-
we operate in, which is why it is part of our local and global elected members from the underrepresented gender on our
sustainability targets and agenda. Increasing gender Board and women hold 33% of the BoD positions.
diversity increases diversity of thought and experiences,
improving our ability to find solutions to challenges and In 2021, we set a target of 25% women on the Executive
strengthening our ability to transform our company Management Board (EMB), which has not been met to date.
sustainably into the future. For the seven-member Executive Committee (ExCo), which
includes the three EMB members, the 2022 gender split is
In addition to gender, SimCorp tracks, reports, and advocates 14% women and 86% men. For 2030, our gender target is
for diversity of age and nationality globally, while encouraging 40% women and 60% men at all levels. There is significant
local initiatives and foci for additional diversity dimensions.
SimCorp Annual Report 2022 Management report Shareholder information 41
Shareholder information
Share capital
SimCorp’s nominal share capital is DKK 40,500,000 divided
into 40,500,000 shares of DKK 1. SimCorp holds 1,228,084
(2021: 1,071,389) treasury shares of DKK 1 equivalent to
3.0% (2021: 2.6%) of the share capital.
Shareholder structure
At December 31, 2022, SimCorp had more than 14,200
In 2022, SimCorp’s share price declined The SimCorp share registered shareholders representing around 96% of the
The share price at December 31, 2022 was DKK 478.20 company’s share capital, an increase of approximately 600
by 31% after having increased 108% in per share, equal to a market capitalization of EUR 2.5 billion registered shareholders during the year.
the period 2017 to 2021. Liquidity in the (DKK 18.8 billion). The share price declined by 31% in 2022.
By comparison, the Nasdaq Copenhagen Large Cap index, Approximately 59% (2021: 58%) of the share capital was held
SimCorp share measured by average which includes the SimCorp share, declined by 6%. In the or managed by the 25 largest shareholders, and around 81%
daily trading turnover was down by 40% period 2017 to 2021, the SimCorp share increased by 108%. (2021: 83%) of the registered share capital was held by
Relative to 2021, the average daily turnover of SimCorp shareholders based outside Denmark. At December 31,
to DKK 37.2 million. shares on Nasdaq Copenhagen declined by 40% to DKK 37.2 2022, around 5% (2021: 5%) of the company’s share capital
million, while the average number of trades per day declined was held by the company’s management and employees.
by 29% to 1,496. Furthermore, SimCorp estimates that Danish and foreign
institutional investors held some 81% of the company’s
shares, an decrease compared with the 82% at year-end
2021. Around 36% (2021: 41%) of SimCorp shares were
managed by investors who are also clients of SimCorp. In
Share price development and trading activity 2022 SimCorp OMXC Large Cap (rebased) Turnover EUR million (left axis)
accordance with section 55 of the Danish Companies Act,
200 800 the following investors have reported holding more than 5%
of SimCorp’s share capital:
160 640
• BLS Capital Fondsmæglerselskab A/S, 11.3%
• Mawer Investment Management Ltd., 5.3%
120 480
Share-based incentive schemes
80 320 In accordance with the remuneration policy, approved by
the shareholders at the Annual General Meeting 2022, the
Board of Directors approved the share-based LTIP for
40 160
management and key employees based on restricted stock
units. The fair value of the restricted stock units amounted
0 0 to EUR 4.0m at the time of allotment, and a total of 60,227
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec restricted stock units of DKK 1 were granted, including
23,821 restricted stock units to the Executive Management Shareholder structure by geography 2022 Shareholder structure by category 2022
Board and 187 restricted stock units to employee-elected
members of the Board of Directors. Denmark 19% Institutional
42% (2021: 17%) 81% investors 81%
(2021: 81%)
In addition, in December 2022, in connection with Michael North America
42% Private
Bjergby taking up the position as CFO, 446 restricted stock investors 11%
(2021: 41%)
units were granted to him for the 2022 LTIP program. (2021: 11%)
UK 18%
Furthermore, in connection with various appointments of (2021: 23%) Employees and
senior employees during 2022, 6,438 restricted stock units management
Europe 21%
5%
were granted. The fair value of these amounted to EUR (ex. DK and UK)
(2021: 5%)
(2021: 19%)
0.5m at the time of allotment.
21% Treasury
shares 3%
The above-mentioned LTIP restricted stock units will vest 5% (2021: 3%)
after three years, subject to continuing employment and

are subject to conditions with respect to average annual
minimum ARR growth and annual average net operating
profit after tax for the financial years 2022-2024. If the two
latter conditions are only partially met, the number of shares
transferred after three years will be reduced, potentially to
18% 19% 11% 3%
zero.
In addition, in December 2022, in connection with Michael

Bjergby taking up the position as CFO, 9,515 restricted
stock units were granted to him as part of his sign-on and
his investment of EUR 0.3m in SimCorp shares. The fair
value of the restricted stock units amounted to EUR 0.6m 540 restricted stock units to employee-elected members of SimCorp’s share-based incentive schemes are further
at the time of allotment. The restricted stock units will vest the Board of Directors. The restricted stock units will vest detailed in note 3.2 to the financial statements. In accor-
1/3 after 3 years, 1/3 after 4 years and 1/3 after 5 years one third after one year, a further one third after two years, dance with SimCorp’s Remuneration Policy, members of the
conditional upon continued service. and the last third after three years, subject to vesting Board of Directors will in 2023 continue to receive SimCorp
conditions. The fair value of the restricted stock units shares with a total value equal to one third of their total
During 2022, 4,775 LTIP and 12,791 other incentive amounted to EUR 7.8m at the time of allotment remuneration.
restricted stock units were canceled, including 8,171
incentive restricted stock units allotted to the former The share-based incentive program based on restricted It is the assessment of the Board of Directors that these
CFO Michael Rosenvold. stock units will continue in 2023 and comprises restricted remuneration principles ensure an appropriate alignment of
stock units with a market value of approximately EUR 4.0m the interests of the Board of Directors with SimCorp’s
In addition, 64,620 restricted stock units relating to the on the date of grant and for the corporate bonus program shareholders in general.
corporate bonus program for 2021 were granted in 2022 for 2022 the restricted stock units will have a market value
and distributed among employees in the Group, including of approximately EUR 7.9m on the date of grant.
Financial Share data Management shares/restricted stock units → Remuneration Policy 2022
https://www2.simcorp.com/RemunerationPolicy
As at December 31, 2022, the members of the company’s
calendar 2023 2022 Board of Directors held a total of 41,343 SimCorp shares
and 1,202 restricted stock units were held by employee- The Board of Directors further intends to propose that the
elected members of the Board. The members of the Group’s shareholders authorize the company to acquire treasury
Executive Management Board held a total of 134,847 shares of up to 10% of the company’s share capital. See
March 23, 2023 Stock exchange SimCorp shares and 60,098 restricted stock units. section 198 of the Danish Companies Act.
Annual General Nasdaq
Meeting 2023 Copenhagen A/S Additional information on the holdings of SimCorp shares
and restricted stock units by members of the Board of Dividends and share buyback
March 28, 2023 Index Directors, the Executive Management Board, and other Maintaining a sound liquidity buffer is vital to SimCorp’s
Expected date for OMXC25
related parties is disclosed in note 7.2 to the financial continued international expansion. Management considers
payout of dividend
statements. this objective will be achieved when the cash holdings and
Sector
May 17, 2023 Technology credit lines exceed 10% of the projected costs for the
Publication of Annual general meeting coming year. On this basis, the company intends to pay
interim financial ISIN code The Annual General Meeting of SimCorp A/S will be held on: dividends of at least 40% of the free cash flow. Additional
report Q1 2023 DK0060495240 Thursday, March 23, 2023 at 3pm at SimCorp’s head- cash will, unless other cash requirements are foreseen, be
(early morning) quarters, Weidekampsgade 16, Copenhagen, Denmark. used to buy treasury shares. The purchase of treasury
Short code shares is expected to be carried out in compliance with the
August 11, 2023 SIM It will also be possible to participate in Annual General
Publication of Meeting via webcast. Agenda and proposed resolutions will
interim financial Share capital be published on Tuesday, February 28, 2023.
report H1 2023 DKK 40,500,000
(early morning)
Nominal size
November 10, 2023 DKK 1
Publication of
interim financial Number of shares
report 9 months 40,500,000
2023 (early morning)
Negotiable papers
All times are CET. Yes
Restriction in
voting rights
No
provisions of Regulation No. 596/2014 of the European handles all contact with investors and the press on issues
Parliament and of the Council on market abuse, the Market relating to the company’s shares.
Abuse Regulation (MAR), and delegated legislation under
MAR. The Board of Directors has considered SimCorp’s cash Please contact: Anders Hjort, Head of Investor Relations,
position and liquidity forecast, and on the basis thereof, phone: +45 35 44 88 00, investor@simcorp.com,
the Board of Directors intends to recommend to the www.simcorp.com/en/investor/contact-investor-relations
shareholders at the Annual General Meeting that dividends
of EUR 39.7 million, equal to DKK 7.50 per share of DKK 1, Announcements to Nasdaq Copenhagen in 2022 can be
be distributed for the financial year 2023. The dividends of found at www.simcorp.com/en/news-and-announcements
EUR 39.7 million are equivalent to 40.0% of Group profit for
the year and 84.2% of free cash flow in 2022. In order to be
eligible for dividends, shares must be registered before
March 23, 2023. The ex-dividend date is March 24, 2023.
Dividends for the financial year 2022 are expected to be

paid on March 28, 2023. Based on the current cash position
and business outlook, SimCorp does not expect to initiate a
share buyback program in 2023. Instead, SimCorp intends
to invest excess proceeds into the SaaS transformation and
future growth initiatives.
Investor relations
SimCorp pursues an open dialogue with investors and
analysts about the company’s business and financial
performance. In order to ensure that all SimCorp’s
stakeholders have equal access to corporate information,
news is released to Nasdaq Copenhagen, the media, and
on SimCorp’s website, where users can also subscribe to
SimCorp’s news service. SimCorp’s Investor Relations team
SimCorp Annual Report 2022
Board of 4 9
2
5 3
Directors
1
6
1. Peter Schütze, Chair

2. Morten Hübbe, Vice-chair
3. Simon Jeffreys 7 8
4. Adam Warby
5. Joan A. Binstock
6. Susan Standiford
7. Charlotte Søndergaard Klausen
8. Sven Rinke
9. Neil Cook
SimCorp Annual Report 2022 Management report Board of Directors 46
Peter Schütze Morten Hübbe Simon Jeffreys Adam Warby Joan A. Binstock
Chair Vice-chair
Personal and educational background Personal and educational background Personal and educational background Personal and educational background Personal and educational background
Born 1948, Danish citizen, M.Sc. (Econ.). Born 1972, Danish citizen, B.Sc. Born 1952, British citizen, B.Com Born 1960, British citizen, B.Sc. in Born 1954, US citizen, MBA from
(Int. BA & Modern Languages), MSc (Hons) from University of Cape Town, Mechanical Engineering from Imperial NYU Stern School of Business, B.A.
Directorships (Fin. & Acc.). CA(SA), FCA, CPA. College, London. from State University of New York at
Former CEO of Nordea Bank Danmark Binghamton. Certified Public
A/S. Chair of SimCorp A/S’ Board of Directorships Directorships Directorships Accountant.
Directors since 2019 and Vice-chair Group CEO of Tryg since 2011. Formerly Chair of Aon UK Ltd. and Former CEO of Avanade Inc.
2012-2019. Member of SimCorp A/S’ From 2002-2011 Group CFO of Tryg. Henderson International Income (Microsoft & Accenture joint venture) Directorships
Nomination and Remuneration Member of SimCorp A/S’ Board of Trust plc, PwC Global Investment from 2008-2019. Member of SimCorp Former CFO and COO at Lord, Abbett
Committee since 2017 and SimCorp Directors since 2018 and Vice-chair Management Leader and senior audit A/S’ Board of Directors since 2017. & Co. LLC. (1999-2018). Prior to
Technology Committee since 2022. since 2019. Chair of SimCorp A/S’ partner, and Chief Operating Officer Member of SimCorp A/S’ Audit joining Lord Abbett, Joan worked inter
Chair of the Board of Directors of DSB Nomination and Remuneration of the Wellcome Trust. Member of Committee since 2019. Chair of the alia for Goldman Sachs within the
SOV, Nordea-fonden and Tietgenfonden. Committee since 2019. Board SimCorp A/S’ Board of Directors since Board of Heidrick & Struggles. Capital Markets Group and for
Vice-chair of Lundbeckfonden and member of TJM Forsikring. Chair of 2011. Chair of SimCorp A/S’ Audit Chair of Junior Achievement Europe. PricewaterhouseCoopers, LLC as a
Lundbeckfond Invest A/S. Member of Conscia and Siteimprove. and Risk Committee since 2013. Board Member of SoftwareONE manager, Financial Services Audit
Falck A/S, Axelfuture, the Systemic Director and Chair of the Audit Holding AG and Senior Advisor to KKR Practice. Member of SimCorp A/S’
Risk Council, and Gösta Enboms Fond. Independence Committee of the Boards of Directors PE European Portfolio. Board of Directors and SimCorp A/S’
Chair of the investment committee of Is regarded as independent. of St James’s Place plc. Chair of the Audit and Risk Committee since 2018.
Danish SDG Investment Fund and Audit and Risk Committees of Independence Member of the Board of Directors of
Dronning Margrethe den II’s Relevant competences and Templeton Emerging Markets Is regarded as independent. Brown Brothers Harriman US Mutual
Arkæologiske Fond. experiences Investment Trust plc., and the Crown Funds, KKR Real Estate Trust, and
Chief executive management Prosecution Service. Relevant competences and Morgan Stanley Direct Lending Funds.
Independence experience from a listed company and experiences
Is regarded as independent. solid know-how of working with key Independence More than 30 years of international Independence
market players like investors and Is regarded as independent. experience in the software and Is regarded as independent.
Relevant competences and regulators. technology services industries,
experiences Relevant competences and including responsibility for strategy, Relevant competences and
More than 30 years of management experiences M&A, enterprise sales, consulting, and experiences
experience from an international Group executive experience in a managed service delivery from a Experience from the financial services
financial company as well as several multinational corporation, including career spanning IBM, Microsoft, and industry within finance, risk
board positions both as chair and responsibility for strategy development Avanade. management and operations,
member. Involvement in IT develop- and implementation, information tech- including software selection and
ment and trading operations in nology and finance. Involved in the implementation.
financial institutions. development and governance of
companies with IT and consultancy
activities.
SimCorp Annual Report 2022 Management report Board of Directors 47
Susan Standiford Charlotte Søndergaard Klausen Sven Rinke Neil Cook
Personal and educational background Personal and educational background Personal and educational background Personal and educational background
Born 1967, US citizen, BA, Born in 1993, Danish citizen, M.Sc. Born in 1974, German citizen, M.Sc. Born in 1977, British Citizen.
Anthropology & Mathematics, (Economics) from University of (Physics) from TU Dresden and Ph.D. BSc in Information Systems from
University of Illinois, IL, USA Copenhagen. (Physics) from Duke University. Canterbury Christ Church University.
Directorships Directorships Directorships Directorships

Chief Product and Technology Officer, Employee-elected member of Former board member of a US-based Employee-elected member of
StepStone. Previous positions include SimCorp A/S’ Board of Directors food cooperative from 2002 – 2008. SimCorp A/S’ Board of Directors
Chief Technology Officer of IKEA IT AB since 2022. Employee-elected member of since 2022.
and CTO and COO within international SimCorp A/S’ Board of Directors
technology companies. Relevant competences and since 2022 Relevant competences and
experiences experiences
Independence Since 2018 working in the Investments Relevant competences and Platform Development Line Manager
Is regarded as independent. Service Line of SimCorp’s Consulting experiences in Product Division in London and
Services division (DACH). Previous More than 13 years’ experience in 15 years +experience in the finance
Relevant competences and experience from Front Office and positioning, selling, and delivering industry and a background in
experiences Product Lifecycle Management in SimCorp’s solutions across a broad technology.
30 years of technical and managerial Asset and Investment Management at range of institutions in the financial
experience from various industries leading Pension and Insurance Funds. services industry.
including software. Technology
visionary leader with knowledge how
to market and deliver innovative
value-based solutions.
SimCorp Annual Report 2022 Management report Executive Committee 48
Executive Committee
1. Christian Kromann* 5. Johan Rosengren Kringel

Chief Executive Officer Chief of Staff
Employed since 2019 Employed since 2018
Present position held since 2021 Present position held since 2018
2. Michael Bjergby* 6. Oliver Johnson

Chief Financial Officer Chief Commercial Officer
Employed since 2022 Employed since 2017 5 2
7 3
6
3. Georg Hetrodt* 7. Marc Schröter
Chief Operating Officer Chief Product Officer
Employed since 1998 Employed since 1995
4. Marlene Nyholm Voss

1
Chief Human Resources Officer, 4
Senior Vice President
Employed since 2014
Present position held since 2019
* The Executive Committee members (see above) are also members of Executive Management Board.
SimCorp Annual Report 2022 Management report Statements and signatures 49
Statements and signatures
Statement by the Board of Directors and the Executive In our opinion, the Consolidated Financial Statements and a description of the most significant risks and elements of
Management Board the Parent Company Financial Statements give a true and uncertainty facing the Group and the Parent Company.
fair view of the financial position at December 31, 2022 of
The Board of Directors and Executive Management Board the Group and the Parent Company and of the results of In our opinion, the Annual Report of SimCorp A/S for the
have today considered and adopted the Annual Report the Group and Parent Company operations and cash flows financial year January 1 – December 31, 2022 with the file
of SimCorp A/S for the financial year January 1 for 2022. name simcorp-2022-12-31-en.zip is prepared, in all material
– December 31, 2022. respects, in compliance with the ESEF Regulation.
In our opinion, the Management Report includes a true
The Annual Report has been prepared in accordance with and fair account of the development in the operations and We recommend that the Annual Report be adopted at the
International Financial Reporting Standards as adopted by financial circumstances of the Group and the Parent Annual General Meeting.
the EU and further requirements in the Danish Financial Company, of the results for the year and of the financial
Statements Act. position of the Group and the Parent Company as well as Copenhagen, 9 February 2023
Executive Management Board Board of Directors
Christian Kromann Michael Bjergby Peter Schütze Morten Hübbe Simon Jeffreys Adam Warby
Chief Executive Officer Chief Financial Officer Chair Vice-chair
Georg Hetrodt Joan Binstock Susan Standiford Charlotte Søndergaard Klausen Sven Rinke Neil Cook
Chief Product Officer
SimCorp Annual Report 2022 Management report Independent Auditor’s Reports 50
Independent Auditor’s Reports

To the shareholders of SimCorp A/S
Report on the audit of the Financial Basis for opinion Key audit matters
We conducted our audit in accordance with International Key audit matters are those matters that, in our professional
Statements Standards on Auditing (ISAs) and the additional judgement, were of most significance in our audit of the
requirements applicable in Denmark. Our responsibilities Financial Statements for 2022. These matters were
Our opinion under those standards and requirements are further addressed in the context of our audit of the Financial
In our opinion, the Consolidated Financial Statements and described in the Auditor’s responsibilities for the audit of Statements as a whole, and in forming our opinion thereon,
the Parent Company Financial Statements give a true and the Financial Statements section of our report. and we do not provide a separate opinion on these matters.
fair view of the Group’s and the Parent Company’s financial
position at 31 December 2022 and of the results of the We believe that the audit evidence we have obtained is
Group’s and the Parent Company’s operations and cash sufficient and appropriate to provide a basis for our opinion. Key audit matter
flows for the financial year 1 January to 31 December 2022 Revenue recognition
in accordance with International Financial Reporting Independence The Group and the Parent Company provide its products and
Standards as adopted by the EU and further requirements We are independent of the Group in accordance with the services to customers in bundled packages as multi-element
in the Danish Financial Statements Act. International Ethics Standards Board for Accountants’ contracts, and recognition of revenue is subject to the inherent
complexities in the software industry.
International Code of Ethics for Professional Accountants
Revenue is recognized when control is passed and if the revenue
Our opinion is consistent with our Auditor’s Long-form (IESBA Code) and the additional ethical requirements criteria for recognizing revenue over time or at a point of time
Report to the Audit Committee and the Board of Directors. applicable in Denmark. We have also fulfilled our other have been met.
ethical responsibilities in accordance with these requirements We focused on this area due to the judgmental and complex
What we have audited and the IESBA Code. To the best of our knowledge and nature of revenue recognition for multiple element arrangements
that include identification of performance obligations in the
The Consolidated Financial Statements and Parent Company belief, prohibited non-audit services referred to in Article
contracts and allocation of the relative standalone selling prices
Financial Statements of SimCorp A/S for the financial year 5(1) of Regulation (EU) No 537/2014 were not provided. to the identified performance obligations.
1 January to 31 December 2022 comprise income Further, we focused on presentation in the statement of financial
statement and statement of comprehensive income, cash Appointment position of contracts assets and revenue recognition for fixed fee
projects due to the inherent estimation uncertainty.
flow statement, statement of financial position, statement We were first appointed auditors of SimCorp A/S on 31 March
Refer to note 2.1 “Revenue”, 2.2 “Segment information”, 2.3
of changes in equity and notes, including summary of 2014 for the financial year 2014. We have been reappointed “Future performance obligations” and note 2.4 “Contract balances”
significant accounting policies for the Group as well as for annually by shareholder resolution for a total period of in the Consolidated Financial Statements and note 2.1 “Revenue”,
the Parent Company. Collectively referred to as the uninterrupted engagement of 9 years including the financial 2.2 “Future performance obligations” and note 2.3 “Contract
“Financial Statements”. year 2022. balances” in the Parent Company Financial Statements.
Key audit matter

Statement on Management Report
How our audit addressed the key audit matter
Management is responsible for Management Report.
We performed risk assessment procedures to obtain an Accounting for taxation
understanding of the IT systems, business processes and relevant The Group operates in a complex multinational tax environment
controls over the Group’s revenue cycle. We assessed whether the Our opinion on the Financial Statements does not cover
and there are open tax and transfer pricing cases with domestic
controls were designed and implemented to effectively address and foreign tax authorities. Management Report, and we do not express any form of
the risk of material misstatement. We tested relevant controls We focused on this area as the amounts involved are material and assurance conclusion thereon.
including application controls and Management’s review controls. the valuation of tax assets and liabilities are associated with
For revenue recognized we evaluated and challenged estimation uncertainty and judgement.
Management’s assessment that the customers have the ability to In connection with our audit of the Financial Statements,
Refer to note 4.1 “Income tax” and 4.2 “Deferred tax” in the
direct use and obtain substantially all benefits for the licenses Consolidated Financial Statements as well as in the Parent our responsibility is to read Management Report and, in
transferred. Company Financial Statements. doing so, consider whether Management Report is
For revenue recognized point in time we evaluated and challenged materially inconsistent with the Financial Statements or our
Management’s documentation for right to payment and that the How our audit addressed the key audit matter
licenses have been transferred and made available to the
knowledge obtained in the audit, or otherwise appears to be
customer. For revenue recognized over time we evaluated and We performed risk assessment procedures in order to obtain an materially misstated.
challenged Management’s assessment that customers over time understanding of the IT systems and processes regarding the
consumes and benefit from the services delivered. calculation and recognition of tax assets and liabilities that
address the risk of material misstatement.
Moreover, we considered whether Management Report
For multi-element contracts, we evaluated and challenged
In understanding and evaluating Management’s judgement, we includes the disclosures required by the Danish Financial
Management’s allocation of revenue to the identified performance
obligations in the contracts and assessed the allocation of the used our own tax specialists to consider the status of recent and Statements Act.
standalone selling prices to the performance obligations including current tax authority audits and enquiries, the outcome of
rebates, discounts, allowances, inherent interests and previous claims, judgmental positions taken in tax returns and
Based on the work we have performed, in our view,
presentation in the Financial Statements. current year estimates and developments in the tax environment.
We evaluated the adequacy of Management’s significant Management Report is in accordance with the Consolidated
We assessed the percentage of completion on specific fixed fee
projects based on Management reports, project estimates and assumptions to assess the valuation of deferred tax assets and Financial Statements and the Parent Company Financial
interview of project managers. We also assessed the outcome of read correspondence with tax authorities. Statements and has been prepared in accordance with the
prior period estimates. requirements of the Danish Financial Statements Act. We
did not identify any material misstatement in Management
Report.
Management’s responsibilities for

the Financial Statements
Management is responsible for the preparation of
consolidated financial statements and parent company
financial statements that give a true and fair view in
accordance with International Financial Reporting
Standards as adopted by the EU and further requirements
in the Danish Financial Statements Act, and for such
internal control as Management determines is necessary to
enable the preparation of financial statements that are free
from material misstatement, whether due to fraud or error.
In preparing the Financial Statements, Management is • Obtain an understanding of internal control relevant to the We communicate with those charged with governance
responsible for assessing the Group’s and the Parent audit in order to design audit procedures that are regarding, among other matters, the planned scope and
Company’s ability to continue as a going concern, disclosing, appropriate in the circumstances, but not for the purpose timing of the audit and significant audit findings, including
as applicable, matters related to going concern and using of expressing an opinion on the effectiveness of the any significant deficiencies in internal control that we
the going concern basis of accounting unless Management Group’s and the Parent Company’s internal control. identify during our audit.
either intends to liquidate the Group or the Parent Company
or to cease operations, or has no realistic alternative but • Evaluate the appropriateness of accounting policies used We also provide those charged with governance with a
to do so. and the reasonableness of accounting estimates and statement that we have complied with relevant ethical
related disclosures made by Management. requirements regarding independence, and to communicate
Auditor’s responsibilities for the audit with them all relationships and other matters that may
of the Financial Statements • Conclude on the appropriateness of Management’s use of reasonably be thought to bear on our independence and,
Our objectives are to obtain reasonable assurance about the going concern basis of accounting and based on the where applicable, actions taken to eliminate threats or
whether the Financial Statements as a whole are free from audit evidence obtained, whether a material uncertainty safeguards applied.
material misstatement, whether due to fraud or error, and to exists related to events or conditions that may cast
issue an auditor’s report that includes our opinion. Reasonable significant doubt on the Group’s and the Parent Company’s From the matters communicated with those charged with
assurance is a high level of assurance, but is not a guarantee ability to continue as a going concern. If we conclude that governance, we determine those matters that were of most
that an audit conducted in accordance with ISAs and the a material uncertainty exists, we are required to draw significance in the audit of the Financial Statements of the
additional requirements applicable in Denmark will always attention in our auditor’s report to the related disclosures current period and are therefore the key audit matters. We
detect a material misstatement when it exists. Misstatements in the Financial Statements or, if such disclosures are describe these matters in our auditor’s report unless law or
can arise from fraud or error and are considered material if, inadequate, to modify our opinion. Our conclusions are regulation precludes public disclosure about the matter.
individually or in the aggregate, they could reasonably be based on the audit evidence obtained up to the date of
expected to influence the economic decisions of users taken our auditor’s report. However, future events or conditions
on the basis of these Financial Statements. may cause the Group or the Parent Company to cease to
continue as a going concern.
As part of an audit in accordance with ISAs and the
additional requirements applicable in Denmark, we exercise • Evaluate the overall presentation, structure and content
professional judgement and maintain professional scepticism of the Financial Statements, including the disclosures,
throughout the audit. We also: and whether the Financial Statements represent the
underlying transactions and events in a manner that gives
• Identify and assess the risks of material misstatement of a true and fair view.
the Financial Statements, whether due to fraud or error,
design and perform audit procedures responsive to those • Obtain sufficient appropriate audit evidence regarding the
risks, and obtain audit evidence that is sufficient and financial information of the entities or business activities
appropriate to provide a basis for our opinion. The risk of within the Group to express an opinion on the
not detecting a material misstatement resulting from Consolidated Financial Statements. We are responsible
fraud is higher than for one resulting from error, as fraud for the direction, supervision and performance of the
may involve collusion, forgery, intentional omissions, group audit. We remain solely responsible for our audit
misrepresentations, or the override of internal control. opinion.
Report on compliance with

the ESEF Regulation
As part of our audit of the Financial Statements we Our responsibility is to obtain reasonable assurance on In our opinion, the annual report of SimCorp A/S for the
performed procedures to express an opinion on whether the whether the annual report is prepared, in all material financial year 1 January to 31 December 2022 with the
annual report of SimCorp A/S for the financial year 1 respects, in compliance with the ESEF Regulation based on file name simcorp-2022-12-31-en.zip is prepared, in all
January to 31 December 2022 with the filename simcorp- the evidence we have obtained, and to issue a report that material respects, in compliance with the ESEF Regulation.
2022-12-31-en.zip is prepared, in all material respects, in includes our opinion. The nature, timing and extent of
compliance with the Commission Delegated Regulation (EU) procedures selected depend on the auditor’s judgement,
2019/815 on the European Single Electronic Format (ESEF including the assessment of the risks of material departures
Regulation) which includes requirements related to the from the requirements set out in the ESEF Regulation,
preparation of the annual report in XHTML format and whether due to fraud or error. The procedures include:
iXBRL tagging of the Consolidated Financial Statements Hellerup, 9 February 2023
including notes. • Testing whether the annual report is prepared in XHTML
format; PricewaterhouseCoopers
Management is responsible for preparing an annual report Statsautoriseret Revisionspartnerselskab
that complies with the ESEF Regulation. This responsibility • Obtaining an understanding of the company’s iXBRL CVR no 3377 1231
includes: tagging process and of internal control over the tagging
process;
• The preparing of the annual report in XHTML format;
• Evaluating the completeness of the iXBRL tagging of the
• The selection and application of appropriate iXBRL tags, Consolidated Financial Statements including notes;
including extensions to the ESEF taxonomy and the Rasmus Friis Jørgensen
anchoring thereof to elements in the taxonomy, for all • Evaluating the appropriateness of the company’s use of State Authorised Public Accountant
financial information required to be tagged using iXBRL elements selected from the ESEF taxonomy and mne28705
judgement where necessary; the creation of extension elements where no suitable
element in the ESEF taxonomy has been identified;
• Ensuring consistency between iXBRL tagged data and the
Consolidated Financial Statements presented in human- • Evaluating the use of anchoring of extension elements to
readable format; and elements in the ESEF taxonomy; and
Thomas Baunkjær Andersen
• For such internal control as Management determines • Reconciling the iXBRL tagged data with the audited State Authorised Public Accountant
necessary to enable the preparation of an annual report Consolidated Financial Statements. mne35483
that is compliant with the ESEF Regulation.
SimCorp Annual Report 2022 Consolidated financial statements 54
Consolidated
financial statements
54 — 101
SimCorp Annual Report 2022 Consolidated financial statements 55
Consolidated
financial statements
Statements Section 2 Section 4 Section 6
Revenue and clients Tax Equity, capital structure
and Financing items
056 Income statement 64 2.1 Revenue 81 4.1 Income tax 90 6.1 Equity, treasury shares,
056 Statement of comprehensive income 67 2.2 Segment information 82 4.2 Deferred tax and dividends
057 Cash flow statement 70 2.3 Future performance obligations 91 6.2 Risk
058 Statement of financial position 71 2.4 Contract balances 96 6.3 Financial assets and liabilities
059 Statement of changes in equity 73 2.5 Receivables 97 6.4 Financial income and expenses
060 Notes
102 SimCorp A/S
Section 1 Section 3 Section 5 Section 7

Basis of preparation Employees Invested capital Other disclosures
60 1.1 Accounting policies, estimates, 74 3.1 Employee cost 84 5.1 Acquisition of enterprises 098 7.1 Earnings per share
and judgments 75 3.2 Share based remuneration 85 5.2 Intangible assets 099 7.2 Related party transactions
78 3.3 Pension and similar liabilities 87 5.3 Property, plant, and equipment 100 7.3 Special items
80 3.4 Provisions 100 7.4 Auditors’ remuneration
100 7.5 Contingent liabilities
100 7.6 Events after statement of
financial position date
100 7.7 Associates
100 7.8 Subsidiaries
SimCorp Annual Report 2022 Consolidated financial statements Statements 56
Consolidated financial statements

Income statement Statement of comprehensive income
EUR ’000 Note 2022 2021 EUR ’000 Note 2022 2021
Revenue 2.1, 2.2 560,968 496,274 Profit for the year 99,254 109,992
Cost of sales 3.1, 3.2, 5.2, 5.3 228,588 196,982 Other comprehensive income
Gross profit 332,380 299,292 Items that will not be reclassified subsequently
Other operating income 830 709 to the income statement:
Research and development costs 3.1, 3.2, 5.2, 5.3 107,039 91,771 Remeasurements of defined benefit plans 3.3 1,268 1,934
Sales and marketing costs 3.1, 3.2, 5.2, 5.3 61,534 50,230 Tax, remeasurement of defined benefit plans -275 -396
Administrative expenses 3.1, 3.2, 5.2, 5.3 35,867 25,583 Items that may be reclassified subsequently to the
income statement, when specific conditions are met:
Other operating costs 2,914 -
Foreign currency translation differences for foreign operations -850 2,500
Operating profit (EBIT) 125,856 132,417
Other comprehensive income after tax 143 4,038
Share of profit after tax in associates 122 174
Total comprehensive income 99,397 114,030
Financial income 6.4 3,191 5,774
Financial expenses 6.4 1,021 947
Profit before tax 128,148 137,418
Tax on the profit for the year 4.1 28,894 27,426
Profit for the year 99,254 109,992
Earnings per share

EUR ’000 Note 2022 2021
Earnings per share – EPS (EUR) 7.1 2.52 2.76
Diluted earnings per share – EPS-D (EUR) 7.1 2.50 2.74

Cash flow statement Cash flow 2022 (EUR '000)
EUR ’000 Note 2022 2021
Amortization and depreciation 5.2, 5.3 14,883 15,379
60,340 -2,767
Share of profit after tax in associates -122 -174 -64,822
Financial income 6.4 -3,191 -5,774

Financial expenses 6.4 1,021 947
Tax on profit for the year 4.1 28,894 27,426
Other non-cash items 3,954 12,904
Adjustment share based remuneration 13,527 11,332
Changes in provisions 3.4 -32 -1,663
Changes in contract assets 2.4 -70,576 -44,861
47,692
Changes in working capital -4,756 -11,169
103 40,546
Financial income received 80 5
Financial expenses paid -345 -319
Income tax paid 4.1 -22,251 -23,329
Net cash from operating activities 60,340 90,696
Purchase of property, plant, and equipment 5.3 -1,524 -1,259
Sale and purchase of financial assets, net -1,377 -4,507
Dividends from associates 6.4 134 91
Cash and cash

equivalents at January 1
Cash flow from

operating activities
Cash flow from

investing activities
Cash used in
financing activities
FX adjustment
Cash and cash equivalents

at December 31
Net cash used in investing activities -2,767 -5,675
Dividends paid -39,836 -40,086
Purchase of treasury shares 6.1 -20,049 -40,102
Repayment of lease liability 5.3 -11,661 -10,808
Proceeds, credit facilities / loans 26,891 -
Repayment of credit facilities/loans -20,167 -
Net cash used in financing activities -64,822 -90,996
Change in cash and cash equivalents -7,249 -5,975
Cash and cash equivalents at January 1 47,692 53,051
Foreign exchange adjustment of cash and cash equivalents 103 616
Cash and cash equivalents at December 31 40,546 47,692

Statement of financial position December 31
EUR ’000 Note 2022 2021 EUR ’000 Note 2022 2021
Assets Liabilities and equity
Goodwill 5.2 61,266 61,645 Share capital 5,441 5,441
Software 5.2 8,132 9,801 Exchange adjustment reserve -3,075 -2,225
Client relationships 5.2 19,586 21,245 Retained earnings 333,459 280,003
Total intangible assets 88,984 92,691 Proposed dividend 39,732 39,888
Leasehold 5.3 38,259 40,095 Total equity 375,557 323,107
Technical equipment 5.3 851 860 Lease liabilities 5.3 29,437 32,088
Other equipment, fixtures, fittings and prepayments 5.3 2,349 2,737 Deferred tax 4.2 46,596 33,121
Total property, plant and equipment 41,459 43,692 Provisions 3.4 9,132 9,743
Investments in associates 827 909 Total non-current liabilities 85,165 74,952
Deposits 6.3 3,517 2,123 Credit facilities/loans 6.2 6,724 -
Deferred tax 4.2 2,755 3,091 Lease liabilities 5.3 9,401 8,577
Other financial assets 4,843 4,843 Prepayments from clients 2.4 35,975 31,239
Total other non-current assets 11,942 10,966 Trade payables 6.2 33,351 29,126
Total non-current assets 142,385 147,349 Other payables 51,079 49,993
Receivables 2.5 112,378 96,543 Income tax payables 6,065 8,886
Contract assets 2.4 292,903 221,000 Provisions 3.4 1,011 432
Income tax receivables 5,480 2,060 Total current liabilities 143,606 128,253
Prepayments 10,636 11,668 Total liabilities 228,771 203,205
Cash and cash equivalents 40,546 47,692 Total liabilities and equity 604,328 526,312
Total current assets 461,943 378,963
Total assets 604,328 526,312

Statement of changes in equity Exchange Movements in equity 2022 (EUR '000)
Share adjustment Retained Dividends
EUR ’000 capital reserve earnings for the year Total 99,397 -39,836
2022 13,527 -589 -20,049
Equity at January 1 5,441 -2,225 280,003 39,888 323,107 375,557
Net profit for the year - - 99,254 - 99,254

Total other comprehensive income - -850 993 - 143 323,107
Total comprehensive income for the year - -850 100,247 - 99,397
Transactions with owners
Dividends paid to shareholders - - 52 -39,888 -39,836
Share-based payment - - 13,527 - 13,527
Tax, share-based payment - - -589 - -589
Purchase of treasury shares - - -20,049 - -20,049
Proposed dividends to shareholders - - -39,732 39,732 -
Equity at December 31 5,441 -3,075 333,459 39,732 375,557
2021
Equity at January 1 5,441 -4,725 237,409 40,125 278,250
Net profit for the year - - 109,992 - 109,992
Total other comprehensive income - 2,500 1,538 - 4,038
Total comprehensive income for the year - 2,500 111,530 - 114,030
Equity at January 1
Comprehensive
income for the year
Dividends paid to
shareholders
Share-based payment
Tax, share-based
payment
Purchase of
treasury shares
Equity at December 31
Dividends paid to shareholders - - 39 -40,125 -40,086
Share-based payment - - 11,332 - 11,332
Tax, share-based payment - - -317 - -317
Purchase of treasury shares - - -40,102 - -40,102
Proposed dividends to shareholders - - -39,888 39,888 -
Equity at December 31 5,441 -2,225 280,003 39,888 323,107
SimCorp Annual Report 2022 Consolidated financial statements Section 1 60
Section 1 1.1 Accounting policies, estimates, and judgments

General Basis of measurement
The annual report for the period January 1 The annual report has been prepared on a
Basis of preparation – December 31, 2022, includes the going concern basis and in accordance with
This section provides an overview of the accounting consolidated financial statements of the historical cost convention, except where
policies and key accounting estimates. Accounting policies, SimCorp A/S (the Parent) and its subsidiary IFRS explicitly requires use of other values.
undertakings (the Group), as well as
management judgments and sources of estimation
separate financial statements for SimCorp Basis of consolidation
uncertainty are presented together with other related A/S. Reference is made to page 108 for the The consolidated financial statements have
disclosures in the notes that deal with the relevant subject. Parent’s specific accounting policies. been prepared by including the financial
Accounting policies, judgments and estimates that do not SimCorp A/S is incorporated and domiciled statements of the Parent and the subsi-
relate to a specific subject are presented in this section. in Denmark. diaries, which have all been prepared in
accordance with the Group’s accounting
Statement of compliance policies. Subsidiaries are entities controlled
Accounting policies focus on the accounting choices within The consolidated financial statements of by the Parent. Control is established when
the framework of the prevailing IFRS and refrain from the Group have been prepared in accor- SimCorp A/S is exposed to, or has rights to,
repeating the underlying promulgated IFRS guidance, unless dance with International Financial Reporting variable returns from its involvement with
considered particularly important to the understanding of a Standards (IFRS) as endorsed by the EU the entity and has the ability to affect those
note’s content. and additional requirements in the Danish returns through its power over the entity.
Financial Statements Act.
On consolidation, intra-group income and
Notes to the financial statements are grouped into seven On 9 February, 2023 the Board of Directors expenses, shareholdings, balances,
sections with the aim of reducing complexity and improving and the Executive Management Board dividends and realized and unrealized gains
the reader’s experience. The notes are organized into the considered and approved the annual report and losses on intra-group transactions are
following sections: for 2022 of SimCorp A/S and the Group. eliminated. Unrealized gains and losses on
The annual report will be presented to the transactions with associates are eliminated
shareholders for approval at the Annual in proportion to the Group’s shares in the
Section 1 Basis of preparation General Meeting to be held on March 23, associates.
Section 2 Revenue and clients 2023. The directors have the power to
Section 3 Employees amend and reissue the financial statements. Foreign currency translation
Section 4 Tax Income and expenses and operating cash
Section 5 Invested capital Presentation currency flows of foreign subsidiaries that use a
The financial statements are presented in functional currency other than the euro
Section 6 Equity, capital structure and financing items
EUR, rounded to the nearest EUR 1,000. The are translated at average rates of foreign
Section 7 Other disclosures functional currency of the Parent is DKK. exchange computed on a monthly basis.
Exchange rate differences resulting from
foreign currency transactions as well as from
1.1 Accounting policies, estimates, and judgments (continued)

the translation at year-end exchange rates of Cash flow statement Specific disclosures required by IFRS are Sales and marketing costs comprise
monetary assets and liabilities denominated The cash flow statement is presented presented, unless the information is salaries, commissions, bonuses, share-
in foreign currency, are recognized under according to the indirect method commen- considered immaterial to the economic based payments, and other sales employee
financial income or financial expenses. cing with the profit for the year. The cash decision making of the users. related costs, travel and meeting expenses,
flow statement shows how changes in items marketing expenses, withholding taxes,
Other operating income in the statement of financial position and Operating costs depreciation and amortization, and indirect
Other operating income consists of income income affect cash and cash equivalents. Operating costs are allocated into cost of costs such as technological infrastructure
of a secondary nature relative to the sales, research and development, sales directly or indirectly attributable to the
activities of the Group, including gains on Cash and cash equivalents consist of cash and marketing costs, and administrative Group’s sales and marketing activities.
sale of intangible assets and property, plant at bank and in hand. Cash flows in other expenses.
and equipment and government grants. currencies are translated into EUR at the Administrative expenses comprise salaries,
Government grants relate to research and average exchange rate for the respective Cost of sales cover costs incurred to bonuses, share-based payments and other
development funding in the United Kingdom year. achieve the year’s revenue, including costs employee costs and expenses, office costs,
and job growth incentive in Singapore. As of delivering and implementing systems, depreciation and amortization, expected
the grant is compensation for costs Cash from operating activities is assessed hosting and infrastructure costs, third loss allowance, and indirect costs such
incurred, it is recognized as other operating by converting income statement items from party costs, courses, and support. These as technological infrastructure directly or
income in the period in which it is accrual to cash basis accounting. Starting primarily comprise salaries, share-based indirectly attributable to the Group’s
receivable. with net profit, non-cash items are reversed, payments, other employee costs, external administrative activities.
and actual payments included. In addition, implementation consultants, hosting costs
Other operating costs the change in working capital and contract and other third-party costs, depreciation Accounting estimates and judgments
Other costs comprise all the non-operating assets is taken into consideration as it and amortization, and indirect costs, such While applying the Group’s accounting
costs incurred for the supporting business represents cash withheld in the statement as technological infrastructure. policies, in addition to estimations,
operations. of financial position. management makes other judgments that
Research and development costs comprise may impact the application of accounting
Statement of comprehensive income Cash from investing activities are related to salaries, share-based payments, other policies and reported amounts of assets,
Other comprehensive income consists of the sale and purchase of long-term employee related costs, depreciation and liabilities, costs, cash flows, and related
income and costs not included in the investments, including subsidiaries, fixed, amortization, and other costs directly disclosures at the date of the financial
income statement, including exchange rate intangibles and financial assets. attributable to the Group’s research and statements.
adjustments arising from the translation of development activities. Research and
foreign subsidiaries’ financial statements Materiality development costs are expensed in the
into presentation currency, and actuarial The financial statements separately year in which they are incurred when they
gains or losses on defined benefit pension present items considered individually do not qualify for capitalization. For
plans. material. Individually immaterial items are capitalization criteria see note 5.2.
aggregated with other items of similar
nature in the statements or in the notes.

The estimates and judgments applied are New financial reporting standards Where a line item is not defined in the
based on assumptions which management SimCorp has adopted relevant new or ESEF taxonomy, an extension has been
believes to be reasonable, but which are amended standards (IFRS) and interpretation created and anchored to elements in the
inherently uncertain and unpredictable. (IFRIC) as adopted by the EU and which are ESEF taxonomy, except for extensions
Such assumptions may be incomplete or effective for the financial year 1 January which are subtotals. The annual report
inaccurate, and unexpected events or – 31 December 2022. SimCorp has assessed submitted to the Danish Financial
circumstances may arise. that the new or amended standards and Supervisory Authority consists of the
interpretations have not had any material XHTML document together with certain
In addition, the company is subject to risks impact on SimCorp’s annual report in 2022. technical files.
and uncertainties encountered in the
ordinary course of business that may New financial reporting standards not Non-IFRS measures
cause actual results to deviate from the yet adopted Certain measures disclosed regarding the
estimates. The notes to the financial The IASB has issued a number of new Group’s financial performance, financial
statements contain information about the standards and amendments not yet in position and cash flows are not defined in
assumptions and the uncertainty of effect or adopted by the EU and therefore IFRS.
estimates at the statement of financial not relevant for the preparation of the 2022
position date involving the risk of changes consolidated financial statements. SimCorp These are defined under other non-IFRS
that could lead to adjustments to the expects to implement the standards and measures and may not be defined and
carrying amounts of assets or liabilities amendments when they take effect. calculated by other companies in the same
within the upcoming financial year. manner and may therefore not be
None of the new standards issued are comparable.
Management considers the following to be currently expected to have signifcant
key accounting estimates and assumptions impact on the Group’s financial statements
used in the preparation of the financial when implemented amendments.
statements:
iXBRL reporting
• Revenue (note 2.1) The 2022 Annual report is prepared in the
• Tax and deferred tax (Section 4) XHTML format which can be displayed in a
standard browser in line with the new
Risk factors specific to the Group are European Single Electronic Format (‘ESEF’).
described in the management report on The primary statements are tagged using
pages 31-35 and in note 6.2. inline eXtensible Business Reporting
Language (iXBRL) and comply with the
ESEF taxonomy.

Financial ratio definitions Other non-IFRS measures definitions
Revenue growth revenue current year x 100 / revenue last year License base accumulated order value for SimCorp Dimension clients
EBITDA earnings before interest, tax, depreciation, and amortization Order intake value of initial and additional licenses contracts, subscription services
agreements and client driven development agreements entered into during
EBITDA margin (%) EBITDA / revenue x 100
the reporting period
EBIT margin (%) operating profit (EBIT) / revenue x 100 Order book accumulated order intake value, where revenue could not be recognized
Invested capital total assets – cash and cash equivalents – provisions – prepayments yet, but deferred to future periods because either the license has not been
from clients – trade payables and other payables delivered, the software functionality has not been developed, released or
accepted by client yet, or certain conditions must be met before delivery
ROIC (return on invested EBITDA / average invested capital x 100
capital) Revenue signed total revenue commitment for licenses, software updates and support fee,
professional services, as a service offering, etc.
Receivables turnover ratio revenue / receivables at year-end
Revenue, operating cost, effect of exchange rate movements is excluded by restating the measure
Equity ratio (%) equity at year-end / total assets at year-end x 100 and EBIT growth and for the current period at the previous year’s average rates when calculating
Return on equity (ROE) (%) profit for the year / average equity x 100 margin in local currencies growth
Organic revenue, operating effect of acquisitions, and exchange rate movements are excluded when
Share performance cost, and EBIT growth and calculating growth and EBIT margin by restating the measure for the
definitions margin in local currencies current period at the previous year’s average rates and by excluding the
effect of acquisitions in the first year the acquired company is included in
Cash flow per share (CFPS) cash flow from operating activities / average number of diluted shares
the reported numbers
Book value per share (BVPS) equity at year-end / average number of shares
CAPEX purchase of intangible fixed assets + purchase of property, plant, and
Dividends per share (DPS) dividends paid / number of shares at year-end equipment – proceeds from sale of property, plant, and equipment
Dividends payout ratio (%) dividends paid / profit for the year x 100 Net cash position cash and cash equivalents less bank loan/credit facility
Total payout ratio (%) dividends paid plus value of share buybacks / Free cash flow net cash from operating activities less CAPEX less principal payment on
profit for the year x 100 lease liabilities
Average number of shares number of shares issued, excluding treasury shares, as an average for Cash conversion (%) free cash flow / profit for the year x 100
the year Total contract value (TCV) total contact value subscription-based solutions
Average number of diluted number of shares issued, excluding treasury shares, as an average for Annualized contract value (ACV) total contract value dived by contract term
shares the year plus the average dilutive impact of outstanding restricted Annual recurring revenue (ARR) total revenue – total license fee + subscription based license fee
stock units (backward-looking) – implementation services – other non-recurring fees.
ARR is measured for last twelve months
Market value ratio definitions Annual recurring revenue (ARR) Annual recurring revenue is the total of the average monthly revenue of all
Price / Book value per share (P/ price / book value (BVPS) (forward-looking) contracts in force at a point in time multiplied by 12
BV) ARR (backward-looking) as share ARR (backward-looking) / total revenue x 100
Price / Diluted price earnings price / diluted earnings per share of total revenue (%)
(P/E Diluted) ARR (forward-looking) as share ARR (forward-looking) / total revenue x 100
Price / Cash flow (P/CF) price / cash flow per share (CFPS) of total revenue (%)
Ratable revenue reported revenue adjusted for the change in Contract Assets (Contract
Assets Closing Balance – Contract Assets Opening Balance)
Section 2 2.1 Revenue

SimCorp is updating its revenue segmenta- Subscription agreements give the right to
tion to reflect new structure for reporting use the software for a determined period
Revenue and clients revenue. The segmentation below show the of time, which can be extended at the end
This section provides information related to contracts with new segmentation. of the initial term. Standard perpetual
clients. This includes information on how revenue is classified software licenses provide clients with the
Revenue types right to use the software whilst the soft-
and recognized, segments and information about client
Revenue is categorized into three main ware updates and support contract
related balances in the statement of financial position. types: Revenue from clients operating and remains in force. License fees also include
maintaining their SimCorp solution On- revenue from Client Driven Development
Accounting policies which relate to a particular note to premise, revenue from clients that are on agreements and standard platform offer-
the income statement have been included within each a SaaS (Software as a Service) solution ings, and furthermore includes license fees
and Professional Services. On-premise derived from agreements from the partner
individual note.
revenue is derived from license fees and eco-system licenses.
software updates and support fees. SaaS
In this section, the following notes are presented: revenue is derived from SaaS license fees Software updates and support fees relate
and SaaS services which covers services to contracts made on perpetual and sub-
2.1 Revenue and software updates fees, operating scription-based license terms. Software
2.2 Segment information services including platform as a service/ updates and support fees include both on-
hosting fees and BPaaS (business processes premise license and SaaS license-based
2.3 Future performance obligations
as a service) fees. Professional Service fees software updates and support fees.
2.4 Contract balances is derived primary from implementation. Performance obligations include: unspeci-
2.5 Receivables fied future upgrades, maintenance and
License fees can be derived from subscrip- helpline support.
tion or from perpetual license agreements.
2022
License revenue split 2022 11%

Type 2022 2021 13%
Conversions 46% 21% 46%
Additional regular license 19% 32%
Renewals 13% 14% 19%
Initial license 11% 16%
11%
Other license 11% 17%
2.1 Revenue (continued)

SaaS revenue is derived from SaaS license a single commercial objective, whether the Operational Services (IOS), Data Manage- require judgment in determining whether
revenue and SaaS services. SaaS service amount of consideration on one contract is ment Services, Regulatory Reporting such options provide a material right to the
offerings provide the client with updates dependent on the performance of another Platform Services (RRP), and other services, client which the client would not receive
and support, infrastructure services, data contract, or if some or all offerings in the and furthermore licenses and services fees without entering into that contract. In this
management services, client reporting contract are a single performance obligation. from the partner ecosystem and fees from judgment it is considered whether the
services and other services enabled from implementation and onboarding services options entitle the customer to a discount
the partner ecosystem required to Additional agreements with existing clients constitute the main performance obligations. that exceeds the discount granted for the
maximize the outcome of the SimCorp can be a new contract or a modification to The fees allocated to the different perfor- respective subscription fees, license fees,
Dimension solution. existing contracts. Judgments making this mance obligations are recognized software updates and support fees sold
determination consider: the presence of a separately. with the option.
Professional services can include multiple connection between the new agreement
performance obligations. The performance and pre-existing contracts, whether The only performance obligation related to Transaction price
obligations are: implementation services subscription fees, license fees, software license agreements has been identified Estimate is applied in determining the
and other non-recurring services. updates and support fees or services as the right to use the software. The right amount to which SimCorp expects to
under the new agreement are highly to use software license is considered a be entitled in exchange for transferring
Accounting policies, interrelated with the subscription fees, separate performance obligation when it licenses, and software updates and
judgments and estimates license fees and software updates and satisfies the following conditions: can be support and services to a customer.
support fees or services sold under prior delivered separately from other services,
Contract Identification agreements, and how the subscription can be installed by a third party, can be The consideration attributable to license
Contracts can include several components, fees, license fees and software updates used without upgrades, and is functional fees in subscription-based agreements are
in this situation, the total contract considera- and support fees or services under the without upgrades or technical support. discounted to net present value when the
tion is allocated to the separate performance new agreement are priced. Conversion of a value of the financing element is deemed
obligations for the purpose of revenue perpetual license agreement to a subscrip- Judgment is required in determining whether significant. If the period between licenses
recognition. tion-based license agreement is accounted a component is considered a separate transfer, software updates and support
for as a termination of the perpetual performance obligation, in particular, and payment from the clients is a year or
Separate contracts with the same client license agreement and a new subscription professional services for implementation less no financing component is recognized.
are treated as one contract if entered into license agreement. and onboarding activities. Consideration is
at or near the same time and economically given as to whether the services significantly A hierarchy has been established to identify
interrelated. Contracts closed more than 6 Performance obligation identification integrate, customize, or modify the software the standalone selling prices used to allo-
months apart are not considered to be Contracts often include several compo- or platform as a service offering. In general, cate the transaction price of a customer
entered at the same time. nents. License fees from new clients and implementation services and onboarding contract to the performance obligations in
to existing clients, software updates and activities go beyond setup and qualify as a the contract.
In determining whether the various contracts support fees, fees from platform as a separate performance obligation.
are interrelated judgment is required. service, and fees from Client Reporting
Considerations include: whether the Services, Digital Portal Services, Investment Options to acquire additional components
contracts were negotiated as a package with Accounting Services (IAS), Investment such as renewals or additional volumes
2.1 Revenue (continued)

Where standalone selling prices for a Once the standalone price for other compo-
performance obligation are observable and nents are estimated, an apportionment is
reasonably consistent across customers, applied to allocate the price between
estimates are derived from SimCorp’s license and software updates and support
pricing history. Using this approach, after deducting other performance obliga-
professional services stand-alone value is tions from the total consideration as follows:
determined based on the hourly billing rate
for the relevant market unit. Platform as a Revenue recognition
service is assumed to be quoted to the Revenue recognition requires an agreement
client at their stand-alone value if it is with the client which creates enforceable
equal to or above costs. rights and obligations between the parties,
has commercial substance, and identifies
payment terms. In addition, it must be
Apportionment applied probable that the consideration determined
Dimension Coric Gain Sofia in the contract will be collected.
Licenses 50% 75% 50% 50%
Software Revenue is recognized when the client has
updates and obtained control of the license or service Revenue
support 50% 25% 50% 50% and has the ability to use and obtain Revenue Share of Share of growth
Total substantially all the benefits from the revenue revenue Revenue local
apportionment 100% 100% 100% 100% EUR '000 2022 2022 2021 2021 growth currencies
license or service.
On-premise initial licenses 14,045 2.5% 15,679 3.2% -10.4% -4.6%
SimCorp has therefore assessed that the On-premise additional licenses 117,612 21.0% 84,107 16.9% 39.8% 37.4%
Where sales prices are not directly observ- client obtains control of the license when On-premise other licenses 8,411 1.5% 12,403 2.5% -32.2% -33.5%
able or are highly variable across customers, all the following criteria are met: a binding On-premise software updates
estimation techniques are applied, such as contract is entered into; the license is and support 168,367 30.0% 164,645 33.2% 2.3% -1.2%
a cost-plus-margin approach. This approach delivered; and the client has the right to Total on-premise revenue 308,435 55.0% 276,834 55.8% 11.4% 8.9%
is often applied to third party products. use it. License revenue is therefore SaaS initial licenses 3,831 0.7% 5,854 1.2% -34.6% -39.2%
generally recognized at that point-in-time. SaaS additional licenses 7,784 1.4% 8,399 1.7% -7.3% -14.9%
If not renewable, with highly variable
SaaS other licenses 5,371 1.0% 3,466 0.7% 55.0% 45.5%
pricing, and no substantial direct costs to When the contract contains functionality
Saas services incl. software
estimate based on a cost-plus margin gaps or requires client acceptance of updates and support 71,704 12.8% 49,944 10.1% 43.6% 36.8%
approach, allocation is achieved by functionality, the revenue recognition will
Total SaaS revenue 88,690 15.9% 67,663 13.7% 31.1% 24.2%
applying a residual approach. We use this be deferred until the time of delivery or
Professional services 163,843 29.1% 151,777 30.5% 7.9% 3.9%
technique in particular for license and acceptance.
Total revenue 560,968 100.0% 496,274 100.0% 13.0% 9.4%
software updates and support.
2.1 Revenue (continued) 2.2 Segment information

Revenue from software updates and Professional services fees are recognized From the reported licenses on-premise The Group’s revenue arises primarily from
support agreements is recognized on a based on work performed for time and SaaS – additional sales EUR 10.8 million is the sale of software licenses and related
straight-line basis over the contract period. material contracts. Fixed fee agreements derived from perpetual sales (2021: EUR services, and updates and support to
are recognized based on percentage of 23.9 million). The Group has no client clients refer section 2.1. The Group’s
Client-driven development entails direct share of completion unless client accept- contributing revenue of more than 5.8% operations are managed and organized into
cooperation between SimCorp’s develop- ance is required. (2021: 4.0%) of total revenue. business units regularly reviewed by the
ment team and the client for a client- Executive Management Board, who is
defined software. Such agreements are The percentage-of-completion method responsible for assessing the Group’s
individually evaluated to determine if requires estimation of total revenue and performance and making resource
revenue is recognized at a point in time or the stage of completion. The assumptions, allocation decisions.
over time. estimates, and uncertainties inherent in
determining the stage of completion affect The sales organization comprises four
SaaS services covering infrastructure the timing and amounts of revenue business units. Three business units have
services, operating services, Digital Portal recognized. been identified based on countries that
services, Investment Accounting Services share the same market conditions and one
(IAS), Investment Operational Services Changes in estimates of progress towards is dedicated to Sofia software.
(IOS), Data Management Services and completion and of contract revenue and
Regulatory Reporting Platform Services costs are accounted for as cumulative In addition, the research and development
(RRP) are revenue recognized over the term catch-up adjustments to the reported business unit is responsible for all software
of the service. revenue for the applicable contract. development, except for Sofia. This segment
derives revenue mainly from fees charged to
other business units for the right to
Revenue allocation distribute SimCorp Dimension software.
2022 2021
by country (significant)
EUR '000 % EUR '000 %
Finally, the Group reports on corporate
Germany 103,847 18.5% 68.049 13.7% functions, which include shared services
USA 83,404 14.9% 81,695 16.5% comprising administration, marketing,
Switzerland 45,500 8.1% 40,429 8.1% internal systems, global support and
France 25,293 4.5% 31,665 6.4% services division. These are managed on
Canada 36,326 6.5% 31,184 6.3% corporate level and costs are principally
Italy 31,182 5.6% 30,566 6.2%
allocated and charged based on an
allocation key for the segments. Consulting
Netherlands 26,466 4.7% 30,103 6.1%
and support are charged on an hourly
Denmark 31,140 5.6% 25,885 5.2%
basis. External revenue originates from
Other 177,810 31.6% 156,698 31.5% courses to clients.
Total 560,968 100.0% 496,274 100.0%
2.2 Segment information (continued)

Segment information Asia and North SimCorp Research and Corporate Elimination/
EUR '000 EMEA Australia America Sofia development functions Not allocated Group
2022
On-premise initial licenses 10,304 2,341 1,285 115 - - - 14,045
On-premise additional licenses 92,241 9,805 11,648 3,918 - - - 117,612
On-premise other licenses 6,276 654 1,481 - - - - 8,411
On-premise software updates and support 128,173 11,471 21,827 5,242 1,364 290 - 168,367
Total on-premise revenue 236,994 24,271 36,241 9,275 1,364 290 - 308,435
SaaS initial licenses 509 388 2,934 - - - - 3,831
SaaS additional licenses 2,289 724 4,771 - - - - 7,784
SaaS other licenses 2,172 261 2,938 - - - - 5,371
SaaS services incl. software updates and support 37,929 8,507 24,718 550 - - - 71,704
Total SaaS revenue 42,899 9,880 35,361 550 - - - 88,690
Professional services 93,540 18,400 38,172 13,731 - - - 163,843
External revenue 373,433 52,551 109,774 23,556 1,364 290 - 560,968
Revenue between segments 45,056 5,410 10,328 34 194,591 49,097 -304,516 -
Total segment revenue 418,489 57,961 120,102 23,590 195,955 49,387 -304,516 560,968
EBITDA 75,864 4,967 15,369 10,599 104,860 -70,920 - 140,739
Depreciation and amortization 3,985 699 1,591 1,199 3,241 4,168 - 14,883
Segment operating profit (EBIT) 71,879 4,268 13,778 9,400 101,619 -75,088 - 125,856
Financial items, net - - - - - - 2,292 2,292
Profit before tax - - - - - - - 128,148
Total assets 316,081 58,706 112,150 50,217 60,418 3,554 3,202 604,328
Research and Development, corporate functions and elimination / not allocated are not operating segments but part of reconciliation of the segment data to the group income statement.
2.2 Segment information (continued)

Segment information Asia and North SimCorp Research and Corporate Elimination/
EUR '000 EMEA Australia America Sofia development functions Not allocated Group
2021
On-premise initial licenses 11,687 1,473 2,519 - - - - 15,679
On-premise additional licenses 64,961 4,914 7,692 6,540 - - - 84,107
On-premise other licenses 7,537 1,474 3,392 - - - - 12,403
On-premise software updates and support 126,100 12,891 19,365 4,840 1,224 225 - 164,645
Total on-premise revenue 210,285 20,752 32,968 11,380 1,224 225 - 276,834
SaaS initial licenses 711 607 4,536 - - - - 5,854
SaaS additional licenses 1,779 107 6,513 - - - - 8,399
SaaS other licenses 599 115 2,752 - - - - 3,466
SaaS services incl. software updates and support 24,347 5,323 19,904 198 116 56 - 49,944
Total SaaS revenue 27,436 6,152 33,705 198 116 56 - 67,663
Professional services 84,616 16,901 39,115 11,145 - - - 151,777
External revenue 322,337 43,805 105,788 22,723 1,340 281 - 496,274
Revenue between segments 35,238 2,480 9,113 887 204,079 52,816 -304,613 -
Total segment revenue 357,575 46,285 114,901 23,610 205,419 53,097 -304,613 496,274
EBITDA 46,301 2,319 10,969 11,890 118,879 -42,562 - 147,796
Depreciation and amortization 4,414 694 1,321 1,413 1,812 5,725 - 15,379
Segment operating profit (EBIT) 41,887 1,625 9,648 10,477 117,067 -48,287 - 132,417
Financial items, net - - - - - - 5,001 5,001
Profit before tax - - - - - - - 137,418
Total assets 254,817 46,265 103,216 50,962 60,605 3,100 7,347 526,312
Research and Development, corporate functions and elimination / not allocated are not operating segments but part of reconciliation of the segment data to the group income statement.
2.2 Segment information (continued) 2.3 Future performance obligations

Accounting policies Segment income and costs consist of The amount of a customer contract’s Accounting estimates
transactions between the segments. Such transaction price that is allocated to the and judgments
The accounting policies of the reported transactions are made on market terms. remaining performance obligations
segments are the same as the Group’s represents contracted revenue that has This estimation is judgmental, as it needs
described throughout the notes. Segment Research and development and Corporate not yet been recognized. Including amounts to consider estimates of possible future
reporting shows revenue and operating functions are not operating segments, and recognized as contract liabilities and contract modifications and the timing of
profit together with total assets that the disclosure forms part of the recon- amounts that are contracted but not yet satisfaction of performance obligations.
can be directly related to the individual ciliation to Group totals rather than being delivered. The amount of transaction price allocated
segments. Unallocated assets are head- information about operating segments. to the remaining performance obligations,
quarters’ assets, cash, and investments in The transaction price allocated to perfor- and changes in this amount over time, are
associates. Segment reporting is prepared Information about liabilities and additions mance obligations that are unsatisfied or impacted by, among others, currency
in accordance with the Group’s internal to assets by segment are not regularly partially unsatisfied as of December 31, fluctuations and possible contract
management reporting structure for perfor- provided to the Executive Management 2022 is EUR 718.8 million (2021: EUR 554.8 modifications.
mance management and resource allocation. Board. million). This amount mostly comprises
obligations to provide software updates, Under the percentage-of-completion
agreements which require client accept- method used for fixed fee services
ance of functionality, and support or agreements, recognition of profit is
hosting subscriptions and support, as the dependent upon the accuracy of a variety
Non-current asset allocation 2022 2021
respective contracts typically have of estimates. Such estimates are based on
by country (significant) EUR '000 % EUR '000 % durations of multiple years. various judgments with respect to multiple
Austria 56,905 40.8% 58,929 40.8% factors and are difficult to accurately
Italy 28,379 20.3% 29,633 20.5% Management expects that EUR 212.8 million determine until the project is significantly
Denmark 22,150 15.9% 23,707 16.4% in 2022 (2021: EUR 141.3 million) of the underway. Due to uncertainties inherent in
United Kingdom 10,853 7.8% 7,257 5.0% amount allocated to the future performance the estimation process, it is possible that
obligations as of December 31, 2022 will be the actual timing of completion may vary
recognized during 2023. EUR 445.0 million from estimates.
(2021: EUR 342.3 million) is expected to be
Geographical allocation of fixed assets is Non-current assets comprise intangible recognized as revenue within 2 to 5 years.
based on the country in which economic assets and property, plant and equipment The remaining part is expected to be
benefits are derived from the asset. owned by the segment/country, even if the recognized as revenue after 5 years. The
income is earned outside the segment/ Group applies the practical expedient in
Significant countries are defined as country that owns the asset. Furthermore, paragraph 121 of IFRS 15 and does not
countries representing 5.0% or more of the they include non-current financial assets disclose information about remaining
Group’s non-current assets. other than deferred tax assets. performance obligations that have original
expected durations of one year or less.
2.4 Contract balances

Contract balances consist of client-related million) and finance income recognized EUR prepayments from clients for unsatisfied or estimated sales value of the proportion of
assets and liabilities. 2.2 million (2021: EUR 2.0 million). Foreign partially satisfied performance obligations the contract completed at the statement of
exchange as well as adjustments also had in relation to licenses, software updates financial position date.
Contract assets a positive impact partly off-set by deduction and support, and services. Software
Contract assets relate to the Group’s rights of expected credit loss provision with updates and support and hosting billing Periodic fixed fees for subscription services,
to consideration for software licensed to overall positive impact of EUR 6.6 million generally occurs at periodic intervals (e.g. software updates and support services, and
clients under subscription agreements with (2021: EUR 8.6 million). The overall balance quarterly or yearly) prior to revenue other multiperiod agreements are typically
future payments, when that right is was reduced by invoiced subscription- recognition, resulting in liabilities. invoiced yearly or quarterly in advance.
conditional on SimCorp’s future performance. based license fees of EUR 70.8 million Such fee prepayments account for the
(2021: EUR 50.3 million). The majority of license agreements are majority of our contract liability balance.
If the timing of payments specified in the recognized as revenue in the year of sale.
contract provides the client with a significant Contract liabilities However, contracts with functionality gaps Fees based on actual transaction volumes
financing benefit, the transaction price is When a client pays consideration in or acceptance criteria may have revenue for SCDaaS subscriptions and fees charged
adjusted to reflect this financing component. advance, or an amount of consideration is recognition deferred, resulting in a contract for non-periodical services are invoiced as
due contractually before transferring of the liability when payment has occurred. the services are delivered. While payment
Contract assets increased by EUR 71.9 license or service, then the amount received terms and conditions vary by contract type
million with subscription-based licenses in advance is presented as a liability. Contracts in progress relating to fixed fee and region, our terms typically require
adding EUR 133.9 million (2021: EUR 45.1 Contract liabilities represent mainly professional services are measured at the payment within 30 to 60 days.
Changes in contract assets Invoiced Financing Invoicing of contract assets

Opening from opening Net income Closing
EUR '000 balance balance additions Adjustments1 recognized balance EUR '000 2022 2021
1 to 6 months 45,821 31,893
2022
7 to 12 months 31,461 24,057
Contract assets (gross) 226,977 -59,815 131,514 6,135 - 304,811
13 to 24 months 68,839 50,456
Contract interest element -4,717 - -8,582 440 2,183 -10,676
25 to 36 months 56,523 44,944
Loss allowance -1,260 - 28 - - -1,232
37 to 48 months 40,046 32,656
Contract assets (NPV) 221,000 -59,815 122,960 6,575 2,183 292,903
49 to 60 months 28,623 20,603
2021 After 60 months 33,498 22,368
Contract assets (gross) 182,537 -39,434 74,610 9,264 - 226,977 Total contract assets (gross) 304,811 226,977
Contract interest element -5,435 - -624 -700 2,042 -4,717
Loss allowance -1,174 - -86 - - -1,260
Contract assets (NPV) 175,928 -39,434 73,900 8,564 2,042 221,000
1 Adjustments include: reclassifications, cancellations and foreign exchange adjustments and cumulative catch-up adjustments (including those arising from change in estimate
of transaction price and contract modifications), change in time frame for a right to consideration to become unconditional or for a performance obligation to be satisfied.
2.4 Contract balances (continued)

Revenue
Changes in contract liabilities recognized
Opening Net from liability Closing
EUR '000 balance additions opening balance Adjustments1 balance
2022
Contract liabilities – licenses 3,123 1,618 -2,444 7 2,304
Contract liabilities – software updates and support 6,597 5,634 -6,178 -5 6,048
Contract liabilities – services 7,860 14,531 -6,568 137 15,960
Contract liabilities – other 13,659 10,834 -12,904 74 11,663
Contract liabilities (prepayments from clients) 31,239 32,617 -28,094 213 35,975
2021
Contract liabilities – licenses 3,573 1,965 -2,474 59 3,123
Contract liabilities – software updates and support 7,429 6,513 -7,376 31 6,597
Contract liabilities – services 5,338 7,282 -4,902 142 7,860
Contract liabilities – other 9,891 13,616 -9,883 35 13,659
Contract liabilities (prepayments from clients) 26,231 29,376 -24,635 267 31,239
1 Adjustments include: reclassifications, cancellations, foreign exchange adjustments and cumulative catch-up adjustments (including those arising from change in measurement of progress).
Accounting policies, provision is measured at the estimate of and whether the customer is expected to sales commissions concurrently with
judgments and estimates the lifetime expected credit losses. pay the contractual fees. In this judgment, revenue recognition.
trading history is considered both with the
Amounts invoiced on account in excess Expected loss rates between 0.03% - 13.69% respective customer and more broadly. Costs to fulfill customer contracts
of work completed are included in are applied (2021: 0.03% - 14.13%), based on The Group does not capitalize costs incurred
prepayments under current liabilities. average default rates by region as published Incremental costs of obtaining customer to fulfil customer contracts. Direct costs for
by Standard & Poor. For additional contracts custom development and standard plat-
Contract assets from contracts with information refer to note 6.2 Risk. The Group expenses the incremental costs form are expensed as incurred.
customers are measured at amortized cost of obtaining a customer contract as
less expected credit losses. Contract Judgment is required in determining whether incurred. The incremental costs of obtaining
assets are within the scope of impairment a right to consideration is conditional a customer contract primarily consist of
requirements in IFRS 9. and thus qualifies as contract assets. sales commissions earned by the sales
Estimates are made as to whether and to force. Commissions are typically related to
For contract assets the simplified what extent subsequent concessions or the license fee which is recognized upfront
approach is used, and the expected loss payments may be granted to customers upon delivery, consequently, we expense
2.5 Receivables
Receivables Accounting policies Additionally, allowances for individual
receivables are recognized if there is
EUR '000 2022 2021
Receivables are recognized when control objective evidence of credit impairment.
Trade receivables from clients 67,157 56,060
over licenses or services, etc. is transferred Account balances are written off either
Accrued revenue 43,310 38,018
to a client before the client pays consider- partially or in full if judged that the
Loss allowance -81 -116 ation and the right to consideration is likelihood of recovery is remote.
Other receivables 1,992 2,581 not conditional on SimCorp’s future
Total receivables at December 31 112,378 96,543 performance. Expected loss allowance and impairments
Aging of trade receivables from clients at December 31 are recognized in the income statement
Not due 49,386 42,248 Trade receivables represent receivables under operating expenses. No security has
Overdue between 1 and 30 days 8,827 9,184
which have been invoiced to clients and been received with respect to trade
remain outstanding. Accrued revenue receivables.
Overdue between 31 and 90 days 6,983 3,760
consists mainly of revenue from the sale
Overdue over 90 days 1,961 868
of perpetual software licenses and For information about how the default risk
Total trade receivables from clients 67,157 56,060
receivables from professional services for trade receivables is analysed and
contracts in progress which are yet to be managed, how the loss rates for the
invoiced. Other receivables are mainly provision matrix are determined, how credit
sales and payroll taxes. impairment is determined and what the
criteria for write offs are, see the section
Trade receivables for performance obliga- on credit risk in note 6.2.
tions satisfied over time are recognized
steadily, as the performance obligation is No impairment was recognized for trade
satisfied and in full once the invoice is due. receivables in 2022 (2021: 0.0 million).
Receivables are initially recognized at The Group’s exposure to currency and

fair value, and subsequently carried at credit risk for trade receivables is disclosed
amortized cost less expected loss allow- in note 6.2 Risk.
ance. Expected loss allowance is recorded
on a portfolio basis. The simplified
approach is applied and on initial
measurement of receivables, all credit
losses expected during the lifetime of
the receivables are considered.
Section 3 3.1 Employee cost

Employee costs consist of salaries, sales Management expects commissions paid to
commissions, bonuses, pensions and employees as a result of signing new client
Employees social costs, share-based payments, contracts to be recoverable. Such commis-
This section provides information related to employee vacation pay, and other benefits. sions are deferred and expensed when the
compensation arrangements and it should be read in related revenues are recognized. Deferred
commissions are presented under prepay-
conjunction with the Remuneration Report and note 7.2
Accounting policies ments in the statement of financial position.
on related party transactions.
Salaries, bonuses, pensions and social Where SimCorp provides long-term incen-
Accounting policies which relate to a particular note to costs, share-based payments, vacation tives and benefits, costs are accrued to
the income statement have been included within each pay, and other benefits are recognized in match the rendering of services by the
the year in which the associated services employees. The accounting policy for share-
individual note.
are rendered by the employees. based remuneration is described in vw.
In this section, the following notes are presented:

Employee cost
3.1 Employee cost EUR '000 2022 2021
3.2 Share based remuneration Salaries 224,559 197,601
3.3 Pension and similar liabilities Defined contribution pension plans 6,876 4,299
3.4 Provisions Defined benefit pension plans 1,058 801
Share-based payments 10,144 10,035
Social security and other costs 20,385 19,291
Total employee cost 263,022 232,027
Number of employees at the end of the year 2,245 1,998
Average number of employees – FTE 2,067 1,871
Average number of employees by function 45%

9%
Function 2022 2021
Professional services 45% 42%
Research and development 32% 35%
Internal support and service 14% 15%
Sales and sales support 9% 8% 32% 14%
3.1 Employee cost (continued) 3.2 Share based remuneration

Obligations related to contribution-based The Group Management Committee with 13 SimCorp’s Board of Directors has adopted Upon resignation employees forgo all
pension schemes are recognized in the members in 2021 has changed to The an overall policy for remuneration and unvested RSUs, these are reported as
income statement under employee costs in Group Executive Management Committee incentive programs. The policy has been canceled. The number of the RSUs is
the period for which the related service is with 7 members in 2022, incl. The Executive approved by shareholders at the Annual adjusted when performance conditions are
provided. Management Board. General Meeting with the overall objective only partly met, such adjustments are
being to promote awareness of profitable reported under performance adjustments.
The accounting treatment for defined Remuneration to the Executive Management growth and the Group’s long-term goals. All adjustments are recognized in the
benefit plans is described in note 3.3. Board, the Executive Management income statement as employee cost.
Committee and Board of Directors is given
below: Accounting policies In the 2022 financial year, EUR 10.1 million
was charged to the income statement in
Share-based payments comprise equity- respect of share-based remuneration: EUR
Remuneration to Executive Management Board, settled restricted stock units (RSUs) issued 4.8 million related to issued RSUs, EUR 5.2
Executive Management Commitee and Board of Directors to employees. The fair value of RSUs is million related to corporate bonus 2022
measured at the grant date, adjusted for provision, and EUR 0.2 million related to
EUR '000 2022 2021
estimated dividends and recognized in the shares to the Board of Directors (2021: EUR
Salaries 1,913 2,494
income statement as employee cost over 10.0 million charged to the income statement,
Other benefits (short-term benefits) 110 171
the vesting period. Expenses are recog- of which EUR 5.3 million from RSUs, EUR
Share-based payment 1,525 3,260 nized as employee share-based payments 4.5 million from corporate bonus 2021
Performance-related bonus (short-term benefits) 956 1,513 and classified in the consolidated income provision and EUR 0.2 million from shares
Executive Management Board total 4,504 7,438 statements according to the activities that to the Board of Directors).
Salaries 1,032 3,341 the employees perform. The counter entry
Other benefits (short-term benefits) 78 167 is recognized directly in equity. As a result of the equity-settled share-based
payments transactions, a commitment exists
Share-based payment 391 1,080
Most of these awards are described in to grant SimCorp shares to employees.
Performance-related bonus (short-term benefits) 282 1,122
detail below. Other share-based payment SimCorp meets these commitments using
Executive Management Committee total1 1,783 5,710
plans not described below, are, individually treasury shares to fulfil these obligations.
Board fees 508 568 and in aggregate, immaterial to our
Fees for committee work (short-term benefits) 162 123 consolidated financial statements. Shares to the Board of Directors
Travel allowance (short-term benefits) 106 18 Members of the Board of Directors receive
Share-based payment 171 175 Assumptions are made in estimating the shares as a part of their overall remune
Board of Directors total 947 884 fair values for share-based payments, ration. Shares are granted subject to
Total 7,234 14,032 including number of RSUs expected to vest approval at the Annual General Meeting.
and number of employees estimated to In the financial year January 1 to December
1 The Group Executive Management Committee with 3 members in 2022 has changed from The Group Management
Committee with 9 members in 2021.
become entitled to RSUs. 31, 2022, a cost of EUR 171 thousand (2021:
EUR 175 thousand) was charged to the
income statement in respect of this program.
3.2 Share based remuneration (continued)

The company will allot 2,532 treasury granted to Executive Management Board 2022. EUR 1.7 million was charged to the incentive programs. Fair value at grant date
shares after publication of the Annual (2021: 21,459), 745 RSUs were granted to income statement in 2022 (2021: EUR 1.6 was EUR 0.3 million.
Report to members of the Board of employee elected members of the Board of million). These are not included in the
Directors (2021: 1,697 treasury shares). Directors (2021: 228) and 35,661 RSUs were specification on the next page. The RSUs will vest after three years subject
granted to other employees (2021: 19,991). to continued employment and certain
Restricted stock units (RSUs) Fair value at grant date was EUR 4.8 million Other incentive programs performance conditions for the financial
The Group grants RSUs to its employees (2021: EUR 4.3 million), and EUR 1.2 million RSUs with particular vesting conditions are years 2022 to 2025.
and Executive Management Board (EMB) as was charged to the income statement for occasionally granted to key personnel upon
part of its three incentive programs: long- 2022 (2021: EUR 1.1 million). hiring as a part of a sign-on agreement, Vested 2022
term incentive program, corporate bonus, special performance incentives, or similar In 2022, 15,654 RSUs related to other
and special retention programs. The table Corporate bonus program incentives. A short description of particular incentive programs vested, including 5,959
which follows on the next page shows a The annual corporate bonus program is vesting conditions is provided below. Other RSUs to Christian Kromann.
summary of changes in the balance of linked to two key financial metrics: share-based payment plans not described
outstanding RSUs from January 1, 2021 to ARR growth/business growth and Group below, are, individually and in aggregate, Canceled 2022
December 31, 2022. EBIT. Employees have the following options: immaterial to our consolidated financial 24,306 RSUs were canceled due to
receive the year’s corporate bonus in cash; statements. employees discontinuing their employment
Long-term incentive program or waive their corporate cash bonus and with SimCorp in 2022.
RSUs are granted annually to members of elect to receive RSUs at a discount of 67%. Granted 2022
the EMB and key employees as part of the Based on the waived bonus amount, the In December 2022, 9,515 RSUs were
long-term incentive program. These vest company grants RSUs to employees of the granted to Michael Bjergby in connection
three years after being granted subject to Parent company and its foreign subsidiaries. with his appointment as CFO. The fair value
continuing employment and conditions One third of these RSUs vest after one of these RSUs amounted to EUR 0.6 million.
with respect to average annual minimum year, a further one third after two years, The RSUs will vest 1/3 after three years, 1/3
ARR growth/business growth and net and the remaining third after three years, after four years and 1/3 after five years
operating profit after tax for the three subject to continuing employment. conditional upon continued service and
consecutive financial years, including the investment by Michael Bjergby of EUR 0.3
year of grant. If the two last conditions are In 2022, 117,966 RSUs were granted million in SimCorp shares. The investment
only partially satisfied, the undertaking including 1,067 RSUs to employee elected was completed.
with respect to the number of shares members of the Board of Directors. Fair
transferred after three years is reduced value at grant date was EUR 5.8 million In addition, 446 restricted stock units were
(performance adjustment) and may (2021: EUR 6.7 million). EUR 3.4 million was granted to Michael Bjergby for the 2022
possibly lapse completely. charged to the income statement for 2022 LTIP program.
(2021: EUR 2.8 million).
Upon resignation employees forgo all Furthermore during 2022, 6,438 RSUs were
unvested RSUs. These are reported as In March 2023, the company will grant granted to senior employees in the Group
canceled. In 2022, 24,267 RSUs were RSUs as part of its corporate bonus for as part of sign-on agreements and
3.2 Share based remuneration (continued)

RSUs
Long term Corporate Board of Executive Other
Number of RSUs incentive bonus Other Total Directors1 Management Board employees
2022
Outstanding January 1, 2022 138,671 128,074 58,865 325,610 1,606 96,289 227,715
Granted 60,673 117,966 15,953 194,592 1,812 33,782 159,575
Vested -51,032 -64,620 -15,654 -131,306 -1,101 -15,940 -114,631
Canceled/transferred -4,775 -6,740 -12,791 -24,306 -1,115 -54,033 30,631
Outstanding December 31, 2022 143,537 174,680 46,373 364,590 1,202 60,098 303,290
of which vesting:
2023 44,854 79,687 3,053 127,594 516 9,680 117,398
2024 39,876 57,440 19,659 116,975 367 14,631 101,977
2025 58,807 37,553 13,464 109,824 319 25,590 83,915
2026 - - 7,026 7,026 - 7,026 -
2027 - - 3,171 3,171 - 3,171 -
2021
Outstanding January 1, 2021 166,532 154,232 26,712 347,476 1,853 93,961 251,662
Granted 41,678 61,609 39,349 142,636 689 40,268 101,679
Vested -64,651 -81,516 -4,052 -150,219 -936 -37,940 -111,343
Canceled/transferred -4,888 -6,251 -3,144 -14,283 - - -14,283
Outstanding December 31, 2021 138,671 128,074 58,865 325,610 1,606 96,289 227,715
of which vesting:
2022 51,032 65,263 18,044 134,339 735 30,847 102,757
2023 46,576 42,737 3,197 92,510 488 23,930 68,092
2024 41,063 20,074 26,062 87,199 383 29,950 56,866
2025 - - 5,781 5,781 - 5,781 -
2026 - - 5,781 5,781 - 5,781 -
Charge to the income statement EUR million

2022 3.80 3.44 1.05 8.29
2021 4.44 2.77 0.91 8.12
1 Board of Director’s restricted stock units are acquired in the capacity of employees of SimCorp.
3.3 Pension and similar liabilities

The Group has entered into pension and Accounting policies, Pensions and similar liabilities
similar agreements with most employees. judgments and estimates
EUR '000 2022 2021
Obligations relating to defined-contribution
Pension liabilities
plans are recognized in the income For defined-benefit plans, annual actuarial
At January 1 13,395 15,593
statement in the period in which they are calculations are made of the net present
earned, and payments due are recognized value of future benefits to be paid under Foreign exchange adjustment and other adjustments 257 508
in the statement of financial position under the plan. The net present value is Employee contributions 348 304
other payables. calculated based on assumptions of the Expensed in the income statement 1,058 801
future developments of salary, interest, Calculated interest 96 74
For defined-benefit plans, the net present inflation, and mortality rates. Actuarial loss/(gain) change in demographic assumptions - -782
value is only calculated for those benefits Actuarial loss/(gain) change in financial assumptions -3,618 -762
earned to date by employees. The present Assumptions are assessed at reporting
Actuarial loss/(gain) change in experience -945 -258
value of future pension payments is date and changes in these assumptions
Payroll taxes -62 -67
estimated actuarially and shown net of the may significantly affect the liabilities and
Settlements - -2,367
fair value of any plan assets in the statement pension cost under defined benefit plans.
of financial position as pension obligations. Benefits paid through pension assets -318 351
The pension obligations of the Parent Present value of pension liabilities at December 31 10,211 13,395
Differences between estimated pension company and most foreign subsidiaries (all Fair value of plan assets
assets and liabilities and their realized those with defined-contribution plans) are At January 1 10,969 11,299
values are termed actuarial gains and covered by insurance. For a few foreign Foreign exchange adjustment 219 340
losses. Actuarial gains and losses are subsidiaries (those with defined benefit
Calculated interest 78 55
recognized in the statement of other plans), the pension obligations are not
Return on plan assets in addition to calculated interest -3,295 138
comprehensive income. covered or only partly covered by insurance.
Employee contributions 415 368
Changes in benefits earned to date are Under defined-benefit plans, the employer Employer contributions 846 811
actuarially calculated and expensed is obliged to pay a defined benefit (for Settlements - -2,367
immediately when the employees have example a fixed percentage of an Benefits paid through pension assets -318 351
already earned the right to the changed employee’s final salary) to the employee Other -34 -26
benefits. Otherwise, they are recognized in after retirement. Under a defined-benefit Fair value of plan assets at December 31 8,880 10,969
the income statement over the period plan, the Group carries the risk in respect Net liability included in the statement of financial position 1,331 2,426
during which the employees earn the right of future developments in interest rates,
to the benefits. inflation, mortality, or disability.
3.3 Pension and similar liabilities (continued)

The plan entitles employees to defined Asset allocation
future benefits. These primarily depend on (latest available) Switzerland Norway Belgium
number of years of service, salary level at 2022 2021 2022 2021 2022 2021
retirement age, and the size of the national Shares - - 6.8% 6.8% 3.5% 3.5%
pension. Bonds - - 63.7% 63.7% 83.7% 85.1%
Property - - 16.1% 16.1% - -
The actuarial assessments of assets and
Other financial assets - - 13.4% 13.4% 12.8% 11.4%
liabilities in the Norwegian defined-benefit
plan have been prepared by Storebrand Assets held at Allea Ltd (Switzerland) 100.0% 100.0% - - - -
Pensjonstjenester AS (Norway). Total 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
For the Swiss defined-benefit plan, the Most important assumptions

actuarial assessments of assets and for actuarial calculations Switzerland Norway Belgium
liabilities have been prepared by Allea Ltd 2022 2021 2022 2021 2022 2021
(Switzerland).
Discount rate 2.0% 0.4% 3.2% 1.5% 3.7% 0.9%
Future salary increases 2.0% 1.3% 3.8% 2.5% - -
For the Belgian defined-benefit plan, the
actuarial assessments of assets and
liabilities have been prepared by Willis Sensitivity analysis on
Towers Watson (Belgium). reported pension liabilities Switzerland Norway Belgium
EUR '000 2022 2021 2022 2021 2022 2021
Sensitivity analysis Discount rate +1% -710 -941 -134 -371 -552 -948
Significant actuarial assumptions for the Discount rate -1% 1,040 1,336 175 500 650 1,202
determination of the pension benefit Future remuneration +1% 183 230 61 225 - -
liability are discount rate and expected
Future remuneration -1% -164 -207 -54 -195 - -
future remuneration increases. The sensiti-
vity analysis below has been determined
based on reasonable likely changes in
assumptions occurring at the end of the
period.
another assumption (although this is not For defined-contribution plans, the For a defined-contribution plan, the
The analysis considers the single change always the case). employer is obliged to pay a defined con Group runs no risk in respect of future
shown in the table with all other assump- tribution (for example a fixed percentage of developments in interest rates, inflation,
tions assumed to remain unchanged. In The Group expects to pay EUR 770 thousand an employee’s salary) to independent mortality, or disability.
practice, changes in one assumption may to the defined-benefit pension plans in 2023 insurance companies.
be accompanied by offsetting changes in (2021: EUR 739 thousand for the year 2022).
3.4 Provisions
Accounting policies, Termination pay is calculated as 6.9% of Provisions
judgments and estimates each year’s annual salary, revalued on the Anniversary Termination
basis of 75% of the inflation rate plus a EUR '000 bonuses Pension indemnity Other Total
A provision is recognized when the Group fixed rate of 1.5% during the period of
2022
has a legal or constructive obligation as a accrual, and is paid as a lump sum when
Liability at January 1 2,529 2,426 3,285 1,935 10,175
result of a past event and it is probable the employees leaves or transferred to
that an outflow of the Group’s resources private pension fund. The cost is accrued Foreign exchange a
djustment 3 38 - -17 24
will be required to settle the obligation, and on a monthly basis representing 1/13 of the Used during the year -144 - -387 -658 -1,189
a reliable estimate can be made of the annual cost per month. Reversal of unused liabilities -104 -426 - -340 -870
amount of the obligation. Provisions for the year 584 -707 991 1,135 2,003
Pension Total provisions 2,868 1,331 3,889 2,055 10,143
In valuing provisions, the costs estimated Refer to note 3.3 Pension and similar
to settle the liability are discounted if such liabilities. Expected due dates for p
rovisions:
discounting would have a material effect Falling due within 1 year 220 - 341 450 1,011
on the measurement of the liability. A Other Falling due within 2 to 5 years 977 883 648 376 2,884
pre-tax discount rate is used that reflects Other provisions contain, among others, Falling due after 5 years 1,671 448 2,900 1,229 6,248
the level of interest rates with the liability. the obligation to re-establish leased offices Total provisions 2,868 1,331 3,889 2,055 10,143
Changes in the discount element during when the premises are vacated.
the year are recognized as financial expen- 2021
ses. The present value of defined-benefit The present value of the re-establishment Liability at January 1 2,293 4,294 3,142 2,109 11,838
obligations and the related current service obligation is included in the cost of the Foreign exchange a
djustment 11 169 - 37 217
cost and past service cost were measured property plant and equipment and Used during the year -46 - -361 -340 -747
using the projected unit credit method. depreciated accordingly.
Reversal of unused liabilities -521 -1,894 - -20 -2,435
Provisions for the year 792 -143 504 149 1,302
Anniversary bonuses Uncertainties exist with respect to pension
This provision results from the Group’s obligation’s timing as well as timing and Total provisions 2,529 2,426 3,285 1,935 10,175
commitment of one month’s pay in amount of re-establishment costs and Expected due dates for p
rovisions:
connection with employees’ 25th and termination indemnity. Judgment is used to
Falling due within 1 year 181 - 76 175 432
40th anniversary. determine when and whether such
Falling due within 2 to 5 years 964 - 304 759 2,027
obligations will crystallize.
Falling due after 5 years 1,384 2,426 2,905 1,001 7,716
Termination indemnity
In Italy, upon termination of employment for Total provisions 2,529 2,426 3,285 1,935 10,175
any reason, employers must pay a leaving
indemnity (‘Trattamento di fine Rapporto’ or
TFR).
Section 4 4.1 Income tax

Accounting policies The tax deduction on share-based remu-
neration for the year is recognized as
Tax The income tax for the year comprises taxable income in the income statement
This section contains all relevant disclosures and details current and deferred tax, including adjust- to the extent that the tax deduction is
regarding corporate income tax recognized within the ments to prior years. Tax is recognized in attributable to the share-based payment
the income statement, except to the extent expenses recognized in the income state-
financial statements. The total tax on Group profit for the
it relates to items recognized in other com- ment. The value of the excess tax reduc-
year was EUR 28.9 million compared with EUR 27.4 million in prehensive income or directly in equity. tion, if any, is recognized directly in equity.
2021.
Income tax
The Group’s effective tax rate has increased to 22.5% in 2022 EUR '000 2022 2021
from 20.0% in 2021. Comparing effective tax rate exclusive Tax for the year:
other adjustments 2022 is in line with 2021 at 22.6%. Tax on profit 28,894 27,426
Tax on other comprehensive income 275 397
4.1 Income tax Total tax 29,169 27,823

Tax on profit for the year breaks down as follows:
4.2 Deferred tax
Current tax 16,816 22,809
Deferred tax 12,145 4,200
Prior-year adjustments 11 372
Changes in tax rates -78 45
Total tax on profit for the year 28,894 27,426
Tax paid during the year 22,251 23,329
Tax calculated on the year's pre-tax profit, 22% (2021: 22%) 28,975 30,144
Difference in tax in subsidiaries relative to 22% (2021: 22%) 1,194 1,703
Changes in tax rates -78 45
Tax effect:
Non-taxable income -2,246 -2,141
Non-deductible expenses 1,161 1,282
Other, including prior-year adjustments -112 -3,607
Effective tax excl. Other, incl. prior-year adjustments, rate 22.6% 22.6%
Effective tax rate 22.5% 20.0%
4.2 Deferred tax

Accounting policies, Deferred tax reflects assessment of future Deferred tax
judgments and estimates taxable income across all legal entities.
EUR '000 2022 2021
Actual future taxes may deviate from these
Deferred tax at January 1 -30,030 -24,150
Deferred tax is calculated using the liability estimates.
Foreign exchange adjustment -4 139
method on all temporary differences
between the accounting and taxable In some jurisdictions the tax treatment Net change of deferred tax, profit and loss -12,145 -4,200
values of assets and liabilities. Deferred tax related to the adoption of IFRS 15 is yet to Prior-year adjustment, profit and loss -762 173
assets are assessed yearly and recognized be determined, management assesses the Change in tax rates 78 -45
only to the extent that it is more likely than tax treatment for those legal entities yearly. Adjustment of deferred tax, other comprehensive income -275 -397
not that they can be utilized. Management assessed that, for those Adjustment of deferred tax, equity -703 -1,550
jurisdictions, the most likely outcome is a Net deferred tax (liability)/asset at December 31 -43,841 -30,030
Deferred tax assets, including the tax value deferred income of subscription-based
Recognized in the statement of financial position as follows:
of tax losses carried forward, are license fees for tax purposes, related income
Deferred tax assets 2,755 3,091
recognized as other non-current assets tax is thus recognized as deferred tax.
and measured at the amount at which they Deferred tax liabilities -46,596 -33,121
are expected to be realized. These are The uncertainty of the tax treatment of Net deferred tax (liability)/asset at December 31 -43,841 -30,030
either offset against deferred tax liability or IFRS 15, to be classified as deferred tax,
against tax on future earnings within the amounts to approximately EUR 40 million
same legal entity or a jointly taxed entity. (2021: EUR 28 million), related to Parent
company.
Deferred tax is measured based on the tax Tax risks Bilateral APAs
legislation and statutory tax rates in the The Group recognizes deferred tax assets SimCorp operates in more than 20 An APA is an agreement between a
respective countries that will apply under relating to losses carried forward, if countries through sales companies, while taxpayer and a tax authority determining
the legislation in force on the statement of management assesses that these can be development is carried out in a few the transfer pricing method for a taxpayer’s
financial position date when the deferred offset against taxable income in the fore- countries, mainly Denmark and Ukraine, international transactions for future years.
tax asset is expected to crystallize as seeable future. and support and services are delivered The APA is for a certain period and based
current tax. Changes in deferred tax locally as well as from shared centers in on certain terms and conditions. SimCorp
resulting from changes in tax rates are Tax value of the capitalized tax losses are primarily Poland and India. This leads to has entered into bilateral APAs, which
recognized in the income statement. expected to be realized within the foresee- transactions between Group Companies. means agreements that are negotiated
able future, as the affected subsidiaries SimCorp follows the OECD principles in between tax authorities of the two countries
For jurisdictions where IFRS 15 is not expect a sufficient future taxable income. In setting internal transfer prices for these that the transactions cover.
applicable for tax purposes, the revenue is 2023, EUR 0.7 million (2022: EUR 0.3 million) transactions. This implies a tax risk, as the
deferred, and the related income tax is of the deferred tax assets are expected to transactions are subject to judgment in An APA provides assurance with respect to
recognized as deferred tax. be utilized within the next 12 months. The each country. SimCorp has reduced its the tax outcome for the international
tax value of tax losses not capitalized is risk using bilateral advanced pricing transactions, by determining in advance
EUR 0.6 million (2021: EUR 0.8 million). agreements (APAs). arm’s length pricing.
4.2 Deferred tax (continued)

Deferred tax Recognized in:
Foreign Other
Balance exchange Profit comprehensive Balance SimCorp has entered into bilateral APAs
EUR '000 January 1 adjustment and loss income Equity December 31 with the tax authorities in the countries
where internal transactions are most
2022
significant. Transactions covered by APAs
Intangible assets -534 29 96 - - -409
are internal transactions between Denmark
Property, plant, and equipment, owned -6,660 -20 436 - - -6,244
and the US and Germany, respectively.
Property, plant, and equipment, right-of-use -8,888 -4 438 - - -8,454
Contract assets -31,167 -22 -13,012 - - -44,201 Withholding tax
Lease liabilities, current 2,149 -13 119 - - 2,255 SimCorp is subject to withholding taxes
Current liabilities 3,258 46 158 - - 3,462 from various countries. The most signi-
Lease liabilities, non-current 7,814 25 -1,316 - - 6,523 ficant withholding tax impact relates to
Provisions, non-current 49 -58 725 -275 - 441
France.
Share-based payment 2,640 - -311 - -703 1,626

R&D tax credit
Tax losses carry-forward 1,309 13 -162 - - 1,160
R&D Tax credit is based on tax incentive
Total -30,030 -4 -12,829 -275 -703 -43,841 from the Danish Government. In 2021 and
2021
2022, the qualifying R&D expenses can be
deducted with 130%. The qualifying devel-
Intangible assets -7,024 -42 6,532 - - -534
opment must meet criteria’s such as being
Property, plant, and equipment, owned -1,030 11 -5,641 - - -6,660
new technological developments for the
Property, plant, and equipment, right-of-use -9,417 -211 740 - - -8,888 company, innovative and entail uncertainty.
Contract assets -27,029 -19 -4,119 - - -31,167
Lease liabilities, current 2,536 56 -443 - - 2,149 SimCorp has applied the R&D tax credit of
Current liabilities 2,561 88 609 - - 3,258 130% for certain R&D expenses.
Lease liabilities, non-current 7,698 176 -60 - - 7,814
Provisions, non-current 1,076 30 -660 -397 - 49
Share-based payment 3,964 1 225 - -1,550 2,640
Tax losses carry-forward 2,515 49 -1,255 - - 1,309
Total -24,150 139 -4,072 -397 -1,550 -30,030
Section 5 5.1 Acquisition of enterprises

Accounting policies, Provisional values are used for initial recog-
judgments and estimates nition where there is uncertainty regarding
Invested capital the identification and measurement of
This section comprises notes which offer a thorough Business combinations acquired assets, liabilities, and contingent
understanding of the Group’s non-current assets. Additions Newly acquired or newly established liabilities at the date of acquisition. Such
enterprises are recognized in the conso- provisional values can be adjusted or
in invested capital include separate asset acquisitions or
lidated financial statements from the additional assets or liabilities included until
business combinations. Furthermore, in this section are effective dates of acquisition. 12 months after the acquisition date if new
disclosed all lease related disclosures, including liabilities. information is available regarding circum-
The takeover method is applied for stances that existed at the time of acquisi-
Additions to property, plant, and equipment amounted to acquisitions if the Parent company gains tion and which would have affected the fair
control of the entity. value at the time of acquisition, had the
EUR 10.5 million in 2022 (2021: EUR 7.0 million). Additions in
information been known. Thereafter, no
2022 comprise mainly lease extensions and purchase of The net aggregate value of identifiable adjustments are made to goodwill, and
equipment. assets and liabilities is measured in changes in estimates of contingent con-
accordance with IFRS 3 Business sideration relating to business combinations
In this section, the following notes are presented: Combinations. are recognized in the income statement.
Transaction costs related to acquisitions SimCorp did not enter into acquisitions in
5.1 Acquisition of enterprises
are charged to the income statement as 2022 or 2021.
5.2 Intangible assets administration expenses at the time of
5.3 Property, plant, and equipment acquisition.
5.2 Intangible assets

Accounting policies, Proprietary software for resale Client relationships
judgments and estimates Costs of development projects for software Acquisition related client relationships are
for resale are recognized as intangible initially recognized at fair value at the
Goodwill assets where they are clearly defined and acquisition date and subsequently carried
Initially, goodwill is recognized at cost. identifiable, where there are sufficient at cost less accumulated amortization and
Subsequently, goodwill is measured at cost resources to implement the projects, and any accumulated impairment losses. The
less accumulated impairment. Goodwill is where it is probable that identifiable future value of client relationships is amortized on
not amortized. income or cost reductions will cover the a straight-line basis, based on the estimated
development and future operating costs. duration of the acquired relationship or
The carrying amount of goodwill is tested other relevant period if deemed appropriate.
for impairment at least annually. Impairment Capitalized development costs comprise
losses are recognized directly in profit for salaries plus overheads. Overheads The carrying values of other intangible
the year and are not subsequently reversed. comprise staff costs, IT, and communications assets are reviewed annually for impairment
and amortization. Development costs to assess if there is an indication of
Other intangible assets comprise costs attributable to the Group’s impairment beyond what is expressed
Intangible assets with limited economic lives development functions, including salaries, through normal amortization. If the carrying
are measured at cost less accumulated and other employee costs and amortization. amount exceeds its recoverable amount,
amortization and impairment losses. To the extent that the development costs the carrying amount of the asset is written
Intangible assets include proprietary and are not capitalized, they are recognized as down to the recoverable amount.
acquired software as well as client rela research and development costs in the
tionships. Amortization is provided on a income statement.
straight-line basis over the estimated useful
lives of the assets, which are as follows: Acquired software
Software acquired is measured at cost less
• Software up to 10 years accumulated amortization and
• Client relationships up to 20 years accumulated impairment losses.
5.2 Intangible assets (continued)

Intangible assets Amortization
Client Intangible
EUR '000 Goodwill Software relationships assets total EUR '000 2022 2021
Cost of sales 1,294 1,135
2022
Research and development costs 931 1,031
Cost at January 1 61,645 24,158 28,628 114,431
Sales and marketing costs 576 827
Foreign exchange adjustment -379 -196 -179 -754
Administrative expenses 407 541
Disposals - -191 - -191
Total amortization 3,208 3,534
Cost at December 31 61,266 23,771 28,449 113,486
Amortization at January 1 - 14,357 7,383 21,740
Foreign exchange adjustment - -168 -87 -255 All intangible assets apart from goodwill Determination of the useful life of client
Amortization - 1,641 1,567 3,208 are considered to have limited useful relationships at up to 20 years and
Disposals - -191 - -191 economic lives. software at up to 10 years is based on
Amortization at December 31 - 15,639 8,863 24,502 estimates regarding the period over which
Carrying amount at December 31 61,266 8,132 19,586 88,984 For the SimCorp Group, the measurement such assets are expected to produce
of intangible assets, including goodwill, economic benefits to the Group.
2021 could be affected by significant changes in
Cost at January 1 61,367 23,899 28,393 113,659 judgment and assumptions underlying their Impairment test
Foreign exchange adjustment 278 261 235 774 calculation. Goodwill is tested for impairment once a
Disposals - -2 - -2 year, other intangible assets are tested
Cost at December 31 61,645 24,158 28,628 114,431 The estimated useful life reflects the when there is indication of impairment.
period over which the Group expects to No indication of impairment beyond what is
Amortization at January 1 - 12,428 5,506 17,934
derive economic benefit from intangible expressed through normal amortization has
Foreign exchange adjustment - 189 85 274
assets. been perceived in relation to software and
Amortization - 1,742 1,792 3,534
client relationships.
Disposals - -2 - -2
Amortization at December 31 - 14,357 7,383 21,740
Carrying amount at December 31 61,645 9,801 21,245 92,691 Carrying amounts and assumptions
Up to Up to
Discount Annual
Amortization period 10 years 20 years
Goodwill rate after tax average growth
EUR '000 2022 2021 2022 2021 2022 2021
SimCorp Dimension 37,091 37,470 7% 7% 10% 10%
SimCorp Sofia 24,175 24,175 7% 7% 0% 0%
Total carrying amount 61,266 61,645
Discount rate before tax: SimCorp Dimension 9% (2021: 9%), SimCorp Sofia 10% (2021:10%).
5.2 Intangible assets (continued) 5.3 Property, plant, and equipment

When performing the impairment test, Dimension was assessed for business unit The Group chose to present right-of-use Leases
an assessment is made as to the ability of SimCorp Dimension and the expected assets together with the underlying assets The Group leases vehicles and equipment
individual cash generating units (CGUs) to performance of SimCorp Sofia was of the same nature which it owns. with lease terms of three to five years.
generate sufficient positive net cash flow assessed for SimCorp Italiana S.r.l. in order Agreements might include options to
in the future to support the value of the to verify if sufficient to offset the carrying Accounting policies purchase assets at the end of the contract
unit-value in use. The discount rate used in amount of the cash generating units. term or guarantees in relation to the
determining the value in use is based on the Property, plant, and equipment are residual value of the leased asset at the
weighted average cost of capital (WACC). The impairment test at December 31, 2022 measured at cost less accumulated end of the contract term. The use of
showed no indication of impairment for depreciation and accumulated impairment. vehicles and equipment is monitored and
Cash generating units are defined as the 2022 (2021: nil). Management’s assessment Right-of-use assets are initially measured the estimated amount payable reassessed
smallest group of identifiable assets which is that currently no changes in key assump- at cost consisting of the amount of the at the reporting date to remeasure lease
together generate incoming cash flow from tions are reasonably likely to reduce the initial measurement of the leases liability, liabilities and right-of-use assets.
continued operations. We have identified value in use below the carry value for any plus any lease payments made to the
SimCorp Dimension and SimCorp Sofia as of the cash generating units. lessor at or before the commencement None of the Groups’ right-of-use assets
the CGUs. date less any lease incentives received and meet the definition of investment property.
For SimCorp Dimension, the expected the initial estimate of refurbishment costs
For SimCorp Dimension the impairment growth rate is based on SimCorp’s own and any initial directs costs incurred by Extension and termination options are
testing for the intangible assets is based market intelligence process, through which SimCorp as the lessee. included in a number of property and
on testing for the business unit SimCorp information is collected from all key markets equipment leases across the group. These
Dimension and for SimCorp Sofia the to form the basis for future market growth Leasehold includes right of use assets are used to maximize operational flexibility
impairment testing is based on testing the expectations. The internal expectations are related to the rental of premises as well as in terms of managing the assets used in
business unit. then verified against available market data improvements. The Group leases land and the group’s operations. The majority of
from external resources, including global buildings for its office space for three to extension and termination options held are
The future cash flows are based on market intelligence and research ten years. exercisable only by the group and not by
budgets and management’s estimates of companies. the respective lessor. The Group assesses
expected developments over the next five Technical equipment includes IT and other at the lease commencement date whether
years. Revenue growth assumptions, EBIT, For SimCorp Sofia, the estimated growth equipment owned and leased. it is reasonably certain to exercise such
and discount rate constitute the most rate is based on management’s Other equipment includes leased cars and options and reassesses if there is a
material parameters in the calculations. expectations. owned fixtures and fittings. significant event.
At December 31, 2022, the carrying amount Additionally, some leases provide for
of goodwill was tested for impairment. The additional payments based on changes to
expected performance of SimCorp local price indices, these amounts are
generally determined annually.
5.3 Property, plant, and equipment (continued)

Payments associated with short-term Lease liabilities arise from the adoption of Depreciation Impairment, depreciation, and amortization
leases and leases of low-value assets are IFRS 16. Details on lease liabilities, amounts The basis of depreciation is calculated are recognized in cost of sales, research
recognized on a straight-line basis as an recognized in the income statement and with due consideration to estimated and development costs, sales and marketing
expense in the income statement. Short- statement of cash flow in relation to leases residual value after the end of useful life costs, or administrative expenses. Property,
term leases are leases with a term of 12 follow. and any prior impairment write down. The plant, and equipment are depreciated on a
months or less. Low-value assets comprise estimated useful life and the residual value straight-line basis over the estimated
IT-equipment and small items of office after the end of useful life of each asset is useful lives of the assets, which are as
furniture. determined at the date of acquisition and follows:
reassessed annually. When the estimated
residual value after the end of useful life • L
easehold over the lease term
Lease liabilities
value equals the carrying amount of the up to 10 years
EUR '000 2022 2021 asset, the asset ceases to be depreciated. • Technical equipment up to 3 years
Payable within 1 year 9,895 8,577 Any change in depreciation period or scrap • Other equipment, fixtures, and fittings
Payable within 2 to 5 years 24,892 24,194 value is recognized as a change in up to 5 years
Payable after 5 years 5,085 8,191 accounting estimate.
Total undiscounted lease liabilities 39,872 40,962
Total lease liabilities included in the statement of financial position 38,838 40,665
Depreciation
Current 9,401 8,577
Non-current 29,437 32,088 EUR '000 2022 2021
Cost of sales 4,710 3,758
Research and development costs 3,389 3,476
Amounts recognized in the income statement
Sales and marketing costs 2,095 2,787
EUR '000 2022 2021 Administrative expenses 1,481 1,824
Interest on lease liabilities 533 530 Total depreciation 11,675 11,845
Variable lease payments not included in the measurement of lease liabilities 296 1,043
Expenses related to short-term lease 108 72
Expenses related to low-value assets 6 4
Total recognized in profit and loss 943 1,649
Amounts recognized in the statement of cash flow

EUR '000 2022 2021
Repayment of lease liability 11,661 10,808
Total recognized in statement of cash flow 11,661 10,808

Property, plant, and equipment Other equipment, fixtures,
Leasehold Technical equipment fittings and prepayments
Property,
plant, and
EUR '000 Right-of-use Improvements Right-of-use Owned Right-of-use Owned equipment total
2022
Cost at January 1 64,359 7,707 459 8,792 2,823 5,100 89,240
Foreign exchange adjustment -526 -26 6 -126 -5 -34 -711
Additions 8,023 412 92 961 486 563 10,537
Transfer - 258 - - 0 -258 0
Disposals -6,230 -1,318 -11 -993 -310 -862 -9,724
Cost at December 31 65,626 7,033 546 8,634 2,994 4,509 89,342
Depreciation at January 1 26,170 5,801 189 8,202 1,483 3,703 45,548
Foreign exchange adjustment -245 -18 2 191 -10 -10 -90
Depreciation 9,500 564 183 343 622 463 11,675
Transfer - 14 - - - -14 -
Disposals -6,068 -1,318 - -781 -312 -771 -9,250
Depreciation at December 31 29,357 5,043 374 7,955 1,783 3,371 47,883
Carrying amount at December 31 36,269 1,990 172 679 1,211 1,138 41,459
2021
Cost at January 1 59,363 7,270 401 8,452 2,232 4,899 82,617
Foreign exchange adjustment 1,474 269 14 139 4 110 2,010
Additions 4,850 421 54 436 795 403 6,959
Disposals -1,328 -253 -10 -235 -208 -312 -2,346
Cost at December 31 64,359 7,707 459 8,792 2,823 5,100 89,240
Depreciation at January 1 17,663 5,286 64 7,726 919 3,309 34,967
Foreign exchange adjustment 492 294 2 109 1 83 981
Depreciation 9,343 474 133 588 712 595 11,845
Disposals -1,328 -253 -10 -221 -149 -284 -2,245
Depreciation at December 31 26,170 5,801 189 8,202 1,483 3,703 45,548
Carrying amount at December 31 38,189 1,906 270 590 1,340 1,397 43,692
Depreciation period Up to 10 years Up to 3 years Up to 5 years

Section 6 6.1 Equity, treasury shares, and dividends

Accounting policies Except for the cases specified in the
preceding period, the company’s existing
Equity, capital structure, and financing items Treasury shares acquired by the Parent shareholders shall have a right to subscribe
This section presents how SimCorp manages its capital company are recognized in the statement of new shares proportionately to their existing
structure. SimCorp’s capital structure management aims financial position at zero value. Dividends holdings. The new shares shall be negotiable
from such shares are recognized in equity. instruments, and no restrictions shall apply
primarily to support business growth. It is the Group’s policy
to the transferability of the shares. No
that any excess capital present after 1) funding growth On December 31, 2022, the share capital shareholders shall be under an obligation
opportunities and 2) leaving remaining cash reserves that amounted to DKK 40,500,000 divided into to have their shares redeemed in full or in
cover at least 10% of the following year’s cost, be returned 40,500,000 shares (unchanged from 2021). part by the company or any other party.
to investors. The company’s shares are traded on Nasdaq
Copenhagen in denominations of DKK 1. No Unless Danish legislation provides for a
shares confer any special rights upon any greater majority or unanimity, the adoption
In this section, the following notes are presented: shareholder. No shares are subject to restric- of resolutions regarding amendments to
tions on transferability or voting rights. the company’s articles of association and
6.1 Equity, treasury shares, and dividends the company’s dissolution or merger with
6.2 Risk The share capital may be increased in one or another company requires a majority of not
6.3 Financial assets and liabilities more issues by a total nominal amount of up less than two thirds of all the votes cast as
to DKK 4,000,000 (4,000,000 shares of DKK well as of the voting share capital represen-
6.4 Financial income and expenses
1 nominal value) as directed by the Board of ted at the relevant general meeting, and
Directors with respect to time and terms. that not less than 50% of the share capital
is represented at the general meeting.
This authority is valid for a period of five Should less than 50% of the share capital
years, expiring on March 1, 2025, and may be represented at the general meeting, and
be extended by the shareholders for one or the resolution is adopted by not less than
more periods of up to five years at a time. two thirds of the votes cast as well as of
the voting share capital represented at the
The capital increase may be affected by general meeting, another general meeting
cash payment or otherwise. The capital may be called within 14 days after the
increase may be affected without pre- preceding general meeting. At the new
emption rights to the company’s existing general meeting, the resolution can be
shareholders, if the shares are issued at adopted by not less than two thirds of the
market price or as consideration for the votes cast as well as of the voting share
company’s acquisition of an existing capital represented at the general meeting.
operation or specific assets of a value that Refer to pages 41 to 44 for additional
equals the value of the shares issued. information.
6.1 Equity, treasury shares, and dividends (continued) 6.2 Risk

Treasury shares 794.17 per share). In 2022, SimCorp A/S including the requirement for cash, credit Due to the nature of its operations,
The market value of treasury shares at delivered 133,829 treasury shares as part of facilities, and equity. investments, and financing, the Group is
December 31, 2022 was EUR 79.0 million the share-based remuneration program for exposed to changes in exchange rates and
(2021: EUR 103.1 million). The treasury a nominal value of DKK 133,829 (2021: DKK SimCorp intends to pay dividends of at least interest rates.
shares are carried at EUR 0.0 million (2021: 152,806) calculated at an average market 40% of the Group free cash flow. In addition,
EUR 0.0 million) in the financial statements. price of DKK 586.26 per share (2021: DKK the company buys treasury shares provided The Group’s policy is to direct financial
813.55 per share), equal to a calculated price that it does not anticipate specific cash management towards the management of
The Board of Directors has been authorized of EUR 10.5 million (2021: EUR 16.7 million). requirements. financial risks related to operations and
to let the company acquire treasury shares finance. The Group’s financial risks are
of up to a total nominal value of 10% of the The company acquires treasury shares to SimCorp is predominantly equity financed and managed centrally by the group finance
company’s share capital, including the reduce share capital and to cover obligations its guiding principle is that excess capital after according to policies committed in writing
company’s current holding of treasury shares. arising from restricted stock unit programs. funding of organic and acquisitive growth and approved by the Board of Directors.
opportunities should be returned to investors. The purpose is to ensure efficient liquidity
In 2022, SimCorp A/S acquired 289,795 Capital structure and management and management. Excess liquidity is trans-
treasury shares for EUR 20.0 million, at an dividends policy In 2022, SimCorp acquired EUR 20.0 million ferred to SimCorp A/S which operates as
average price of DKK 514.47 per share (2021: The Board of Directors regularly assesses in SimCorp shares as part of a share the internal bank for the Group.
EUR 40.1 million at an average price of DKK the need to adjust the capital structure, buyback program (2021: EUR 40.1 million). In
2023, there will be no share buyback. The scope and nature of the Group’s
financial instruments appear from the
Treasury shares Acquisition Percentage Distribution of dividends to shareholders income statement and the statement of
Number value of share
of shares EUR '000 capital
has no tax consequences for the company. financial position in accordance with the
accounting policies applied.
2022 The Board of Directors intends to recommend
At January 1 1,072,118 85,609 2.6 to the shareholders at the Annual General This note provides information about
Foreign exchange adjustment - -26 - Meeting that dividends of approximately factors that may influence amounts, time of
Purchases 289,795 20,049 0.7
EUR 39.7 million (2021: EUR 39.9 million), payment, or reliability of future payments,
equal to DKK 7.50 (2021: DKK 7.50) per 1 where such information is not provided
Used RSU program -133,829 -7,507 -0.3
share, be distributed and that the company directly in the financial statements.
At December 31 1,228,084 98,125 3.0
be authorized to acquire treasury shares for
2021 up to 10% of the company’s share capital. This note addresses only financial risks
At January 1 849,449 52,627 2.1
directly related to the Group’s financial
instruments as detailed in note 6.3
Foreign exchange adjustment - 209 -
Financial assets and liabilities.
Purchases 375,475 40,102 0.9
Used RSU program -152,806 -7,329 -0.4
At December 31 1,072,118 85,609 2.6
6.2 Risk (continued)

Currency exposure 2022 2021 Currency exposure, subsidiaries
Contract Cash/ Net Contract Cash/ Net EUR '000 2022 2021
EUR ‘000 Receivables assets equivalents Debt position Receivables assets equivalents Debt position
EUR/DKK 84,076 44,854
USD/GBP 2,231 20,140 540 1,543 21,350 3,629 13,915 1,483 1,888 17,139
USD/DKK 50,181 41,720
EUR/DKK 7,591 7,914 3,721 5,586 13,640 6,869 1,393 2,516 1,433 9,345
SGD/DKK 27,454 21,323
USD/SGD 1,077 12,242 34 - 13,353 - 12,931 61 - 12,992
CHF/DKK 15,912 17,639
CHF/EUR -707 7,331 -229 221 6,174 -848 7,160 -2,769 6 3,537
GBP/DKK 15,288 15,821
CHF/GBP 64 1,824 - - 1,888 - 1,824 - - 1,824
AUD/DKK 10,434 3,176
CAD/USD 596 530 604 -42 1,772 524 669 56 189 1,060
CAD/DKK 9,041 13,715
USD/DKK 1,780 - 2,410 2,537 1,653 1,780 - - 2,603 -823
SEK/DKK 7,292 9,676
EUR/SEK 56 1,581 68 211 1,494 408 2,310 91 126 1,683
USD/EUR 76 359 1,051 - 1,486 - 492 802 - 1,294
The Group’s most important operational translated from their functional currency to The currency exposure for the Group is In addition, the Group has currency
and commercial risk factors are described EUR at the exchange rates ruling on the shown in the table above and the currency exposure on the Parent company trade
in more detail on pages 31-35 of the annual dates of underlying transactions. The exposure for the Subsidiaries is shown in receivables with its subsidiaries, in which
report. average exchange rate for the month is the table to the right. much of the cross-currency exposure
used to reflect the transaction dates’ comes from USD/DKK: EUR 50.2 million
Currency risk exchange rates. The exposure for the Group relates (2021: EUR 41.7 million) and SGD/DKK: EUR
Currency risk is the risk that arises from predominantly to USD/GBP and USD/SGD, 27.5 million (2021: EUR 21.3 million).
changes in exchange rates and affects the SimCorp A/S, the parent company, trades as the subsidiaries in the UK and Singapore
Group’s result. with it subsidiaries in their functional have entered into several contracts in USD. Based on the net exposure of the Group,
currencies, and is therefore also exposed the hypothetical impact of exchange rate
The Group’s foreign subsidiaries are not to and impacted by currency fluctuations. The Group‘s currency exposure (excluding fluctuations on the profit before tax for the
severely impacted by foreign exchange translation exposure) based on the year and equity would be EUR 2.1 million
fluctuations, as both income and costs are SimCorp A/S has entered into distribution functional currencies of the individual (2021: EUR 1.7 million) for a 10% change in
generally settled in the functional (local) agreements with its subsidiaries for Group companies shows that the majority the USD/GBP exchange rate and EUR 1.3
currency of the individual entity and SimCorp Dimension and received a product of the cross-currency exposure comes million (2021: EUR 1.3 million) for a 10%
material cash balances are transferred to fee related to their distribution activities. from the USD/GBP exchange rate: EUR 21.4 change in the USD/SGD exchange rate
SimCorp A/S. SimCorp's subscription based agreements million (2021: EUR 17.1 million) and the USD/ (an appreciation of the USD in relation to
with clients have a duration of 5 to 10 SGD exchange rate: EUR 13.4 million (2021: the GBP and the SGD would have positive
The consolidated income statement is years, SimCorp A/S' trade receivables with EUR 13.0 million). impact, a depreciation would have a nega-
impacted by changes in exchange rates. the subsidiaries have matching terms. tive impact).
The results of foreign subsidiaries are

Based on the net exposure of the Group on Change in average exchange rate Interest risk Credit facilities/loans
the Parent company trade receivables with in relation to EUR The Group’s interest rate risks are generally In 2022, SimCorp has renewed the
its subsidiaries the hypothetical impact of related to its bank deposits and credit committed credit facility to EUR 37.0 million
2021 2020
exchange rate fluctuations on the profit Functional currency to 2022 to 2021 facilities. matures July 2025 with the opportunity to
before tax for the year and equity would AUD 4.17% 5.01%
extend with one year, and a seasonal credit
be EUR 5.0 million (2021: EUR 4.2 million) Deposits facility of EUR 33.6 million covering the
CAD 8.18% 3.82%
for a 10% change in the USD/DKK exchange The Group had cash deposits of EUR 40.5 period from March 15 to October 15, with
CHF 7.88% -0.80%
rate and EUR 2.7 million (2021: EUR 2.1 million on December 31, 2022 (2021: EUR same terms.
million) for a 10% change in the SGD/DKK DKK -0.04% 0.22% 47.7 million) carrying a variable rate of
(an appreciation of the DKK in relation to GBP 0.44% 3.60% interest based on the money market rate. On December 31, 2022, there was EUR 6.7
the USD and the SGD would have negative NOK 0.50% 6.12% The effective rate of interest varies with million drawn on the credit facilities, and
impact, a depreciation would have a SEK -4.70% 3.22% the currency and, made up at the statement EUR 1.8 million was utilized for various
positive impact). SGD 9.76% -0.54% of financial position date, fluctuated guarantees. The Group had unused credit
USD 12.73% -3.06% between -0.5% and 0.0% in 2022 (2021: facilities in banks of EUR 28.5 million (2021:
The Group’s foreign exchange management -0.5% and 0.0%) for significant cash EUR 36.6 million).
policy is to balance incoming and outgoing deposits.
payments in local currencies as much as SimCorp’s cash flow is by nature impacted
possible and generally seek to ensure that by the annual dividend payment, the
an increasing number of contracts entered seasonal credit facility is used to optimize
Revenue by currency
into are EUR-denominated. the debt structure. See note 6.3 Financial
Currency 2022 2021 17% 40% assets and liabilities for additional
When placing surplus funds, the Group information.
EUR 40% 38%
generally seeks to minimize its net exposure
USD 17% 18%
in individual currencies. To match part of Sensitivity
the USD surplus, we use USD in Ukraine for DKK 8% 7% 3% Exposure to interest risk arises from cash
salaries. CHF 8% 8% deposits and from draws on, the credit
GBP 8% 8% 8% 3% facility and seasonal facility. If interest rates
Currency exposures from investments in SGD 5% 5% increased by one percentage point, it would
subsidiaries have not been hedged. The AUD 4% 3% have a positive impact of EUR 0.3 million
related exchange rate adjustments are 4% (2021: positive impact of EUR 0.5 million).
CAD 4% 5% 8% 8%
recognized in other comprehensive income.
NOK 3% 3%
The table at the top shows the change in

SEK 3% 4% 5% 4%
average exchange rate for the main
currencies impacting the Group’s operating
profit. The table at the bottom shows the
Group Revenue split by currency.

A corresponding decrease in interest rates Credit risk exposure The main banking relationship is with
would have the opposite impact. The impact Nordea Bank and their S&P rating is AA-.
EUR '000 2022 2021
of change in interest levels on the equity of
the Group does not deviate significantly Cash and cash equivalents 40,546 47,692 Receivables and contract assets
from the impact on the profit and loss for Trade receivables from clients 67,157 56,060 In assessing expected credit loss of trade
the year. Accrued revenue 43,310 38,018 receivables and contract assets which
Contract assets (gross) 304,811 226,977 comprises many small balances, the
Liquidity risk Other receivables 1,992 2,581 Group uses an allowance matrix. Expected
Group liquidity is managed by Group loss rates are calculated separately for
Maximum credit exposure 457,816 371,328
Treasury, with the objective of ensuring exposures in different segments based on
effective liquidity management by obtaining common credit risk characteristics in
sufficient committed credit facilities to relation to geographical region. Two factors
provide adequate financial resources. It is adequately in case of unforeseen sector. Under the Group’s policy for are therefore considered when estimating
the Group’s policy that cash reserves must fluctuations in cash. Current and non- assuming credit risk, all major clients and expected loss rates: the actual credit loss
exceed 10% of the coming year’s expected current financial liabilities are depicted other business partners are assessed prior experienced over the past seven years and
costs. Cash reserve and expected cash below: to any contract being signed. a factor which reflects differences
flow for 2023 are considered to be adequate between economic conditions during the
to meet the obligations of the Group as Credit risk The Group primarily enters financial period over which the rates were collected,
they fall due. The maximum exposure to credit risk instruments and transactions with the current conditions, and the Group’s view of
equals the following carrying amounts: Group’s relationship banks. Group treasury economic conditions over the expected life
Cash reserve comprises cash and cash The Group is not exposed to significant monitors the Group’s gross credit exposure of the receivables.
equivalent and unutilized credit facilities. risks concerning individual clients or to banks and operates with individual limits
The Group aims to have sufficient cash business partners as clients are generally on banks based on rating and access to Accumulated average corporate default
reserves to allow it to continue to operate major investment managers in the financial netting of assets and liabilities. rates by region as published by Standard
& Poor are used as proxy for probability of
loss as these provide an indication on
Financial liabilities – December 31 Current Non-current counterpart default risk by region of origin.
1 to 6 months 7 to 12 months 2 to 5 years Later than 5 years Higher expected loss rates are used for
EUR '000 2022 2021 2022 2021 2022 2021 2022 2021 certain balances if individual assessment
Lease liabilities 4,662 4,491 4,739 4,086 24,274 23,997 5,163 8,091 indicates a higher probability of default.
Credit facility 6,724 - - - - - - - Initially, an expected loss rate from 0.03%
up to 2.44% (2021: 0.03% up to 2.50%) is
Trade payables 28,153 24,785 5,198 959 - 3,382 - -
applied for clients with investment grade
Other payables 51,079 49,993 - - - - - -
rating depending on the length of the
Total financial liabilities 90,618 79,269 9,937 5,045 24,274 27,379 5,163 8,091
asset’s lifetime and location.

For unrated clients and clients that do not The table below depicts information about
have investment grade rating, an expected exposure to credit risk and expected credit
loss rate from 0.34% up to 13.69% (2021: loss for trade receivables, accrued revenue
0.36% up to 14.13%) is applied depending on and contract assets (gross) on December 31:
the length of the asset’s lifetime and the
client’s geographical location. A higher rate
might be applied to certain clients after Credit risk exposure on receivables 2022 2021
individual assessment resulting in the and contract assets Weighted Weighted
weighted average expected loss rates average Loss Carrying average Loss Carrying
depicted on the credit risk exposure on expected allowance amount expected allowance amount
loss rate EUR '000 EUR '000 loss rate EUR '000 EUR '000
receivables and contract assets table.
Not due 0.33% 1,280 385,545 0.44% 1,316 301,170
If there is no reasonable expectation of Not more than 30 days 0.19% 17 8,810 0.58% 53 9,131
recovery, the gross carrying amount is More than 30 days but not more than 90 days 0.07% 5 6,977 0.11% 4 3,757
written-off. Indicators that there is no More than 90 days1 0.56% 11 1,957 0.33% 3 903
reasonable expectation of recovery include, Total 0.33% 1,313 403,289 0.44% 1,376 314,961
amongst others, the failure of a debtor to
1 Includes allowance resulting from individual assessment of outstanding balances.
engage in repayment plan with the Group,
and a failure to make contractual payments
for a period greater than three hundred
and sixty days past due. The expected loss allowance has
developed as follows:
No client represents more than 6.0% (2021:
4.4%) of total receivables from clients.
Expected loss allowance
Expected timing of invoicing for the contract
EUR '000 2022 2021
assets balance can be found in note 2.4.
Balance at January 1 1,376 1,425
Foreign exchange adjustment 31 -18
Net loss allowance recognized -94 -31
Balance at December 31 1,313 1,376
6.3 Financial assets and liabilities

Accounting policies, derecognition of the original liability and Financial assets
judgments and estimates the recognition of a new liability. Financial assets comprise other financial
assets, deposits, receivables and cash and
All financial assets and liabilities are The difference in the respective carrying cash equivalent. For additional information
measured at amortized cost. The carrying amounts is recognized in the income on receivables refer to note 2.5.
amount of these approximate fair value. statement. After initial recognition, interest-
Financial assets which have been modified bearing loans and borrowings are Deposits are primarily related to the leasing
or renegotiated during the period are subsequently measured at amortized cost of offices. Security deposits which will not
assessed individually for impairment. using the effective interest rate method. be returned within one year of the statement
of financial position date are recognized as
Financial liabilities SimCorp has access to: 1) a multi-currency non-current assets. Commitments which
Financial liabilities comprise lease liabilities, committed credit facility of EUR 37.0 million require a deposit will initially be recorded to
borrowings, trade payables and other expiring July 31, 2025, 2) a seasonal facility the deposit asset account. If the deposit is
payables. of EUR 33.6 million covering the period from not recovered, it is charged to the income
March 15 to October 15 expiring July 31, statement.
Lease liabilities 2025. Together, they are available for
Lease liabilities arise from the adoption of general corporate purposes of the Group. Other financial assets comprise investments
IFRS 16. For additional information on lease in shares of unlisted entities.
liabilities refer to notes 5.3. On December 31, 2022, the Group had a
committed credit facility of EUR 37.0
Loans million, of which EUR 6.7 million had been Deposits
Loans is initially recognized at fair value drawn and EUR 1.8 million used for
EUR '000 2022 2021
less transaction cost. Fair value does not guarantees.
Cost at January 1 2,123 2,031
materially differ from carrying amount since
interest payable is close to current market Trade payables and other payables Foreign exchange adjustment 11 24
rates. Other payables include bonus and com- Additions 1,477 82

mission accruals, vacation pay obligations, Disposals -94 -14
A financial liability is derecognized when the payroll taxes and VAT. Payables are Carrying amount at December 31 3,517 2,123
obligation under the liability is discharged or measured at cost.
canceled or expires. When an existing
financial liability is replaced by another Exposure to currency and liquidity risk for
from the same lender on substantially trade and other payables as well as
different terms, or the terms of an existing borrowings is disclosed in note 6.2.
liability are substantially modified, such an
exchange or modification is treated as the
6.3 Financial assets and liabilities (continued) 6.4 Financial income and expenses
Financial assets and liabilities by measurement category Accounting policies Borrowing cost, except for commitment
Measured fees on credit facilities, are recognized in
at amortized Carrying Financial income and expenses include: profit or loss using the effective interest
EUR ‘000 cost amount interest income, interest expense, method. Commitment fees on credit
amortization of borrowing issue costs, facilities are recognized on a straight-line
2022
realized and unrealized exchange gains and basis over the term of the agreement.
Deposits 3,517 3,517
losses, refunds under the Danish tax
Other financial assets 4,843 4,843 prepayment scheme, changes to the fair Dividends on investments in associates
Non-current financial assets 8,360 8,360 value of derivative financial instruments, are recognized in the Group’s income
Receivables 112,378 112,378 withholding tax, amortization of financial statement in the financial year in which
Cash and cash equivalent 40,546 40,546 assets and liabilities, as well as surcharges the dividends are declared.
Current financial assets 152,924 152,924 under the Danish tax prepayment scheme.
Lease liabilities 29,437 29,437
Non-current financial liabilities 29,437 29,437
Lease liabilities 9,401 9,401 Financial income
Trade payables 33,351 33,351
EUR '000 2022 2021
Other payables 51,079 51,079
Interest income, financial assets carried at amortized cost 80 5
Current financial liabilities 93,831 93,831
Dividends from associates 134 91
2021 Foreign exchange gains, net 2,977 5,678
Deposits 2,123 2,123 Total financial income 3,191 5,774
Other financial assets 4,843 4,843
Non-current financial assets 6,966 6,966
Receivables 96,543 96,543 Financial expenses
Cash and cash equivalent 47,692 47,692 EUR '000 2022 2021
Current financial assets 144,235 144,235 Interest expenses, financial assets carried at amortized cost 35 32
Lease liabilities 32,088 32,088 Interest expenses, financial liabilities carried at amortized cost 329 303
Non-current financial liabilities 32,088 32,088 Interest expenses, pension 16 16
Lease liabilities 8,577 8,577 Interest expenses, lease 533 570
Trade payables 29,126 29,126 Interest expenses, re-establishment 13 11
Other payables 49,993 49,993 Other financial expenses 95 15
Current financial liabilities 87,696 87,696 Total financial expenses 1,021 947
Section 7 7.1 Earnings per share

Earnings per share (EPS) and diluted
earnings per share (EPS-D) are measured
Other disclosures according to IAS 33.
This section contains other required disclosures relevant
for the understanding of the Groups’ financial statements,
Earnings per share
but which are not essential for the understanding of the
individual themes in the previous sections. It includes 2022 2021
information pertaining to the Executive Management Profit for the year (EUR´000) 99,254 109,992
Average number of shares 40,500,000 40,500,000
Board, Board of Directors and other corporate governance
Average number of treasury shares -1,170,078 -646,387
related topics.
Average number of shares in circulation 39,329,922 39,853,613
Average dilutive impact of outstanding restricted stock units 333,799 291,766
In this section, the following notes are presented:
Average number of diluted shares in circulation 39,663,721 40,145,379
Earnings per share – EPS (EUR) 2.52 2.76
7.1 Earnings per share Diluted earnings per share – EPS-D (EUR) 2.50 2.74
7.2 Related party transactions
In 2022, the performance conditions for the 2020 LTIP was met, i.e. no adjustment made in 2022 (2021: no performance
7.3 Special items adjustment). No adjustments to allotted restricted stock units in 2021 and 2022 programs as the conditions stipulated in
7.4 Auditors’ remuneration note 7.1 are expected to be met. See also the Management report concerning share-based remuneration on pages 43-44.
7.5 Contingent liabilities

7.6 Events after statement of financial position date
7.7 Associates
7.8 Subsidiaries
7.2 Related party transactions

SimCorp’s related parties exercising a by the employees are elected among all Refer to pages 45-47 for additional information
significant influence comprise the company’s SimCorp Group employees every third year. on Board of Directors members. Interest in the
Board of Directors and Executive Manage Election was held in March 2022, the next company of members of the Board of Directors
ment Board as well as relatives of these election will be held in March 2025. and the Executive Management Board:
persons. Related parties also comprise
companies in which the individuals Shareholdings, Board of Directors and Executive Management Board
mentioned above have material interests.
Number of shares 2022 2021
Board of Directors
Other related parties are considered to be
Group’s associates. All agreements relating Peter Schütze 13,367 12,819
to these transactions are based on market Morten Hübbe 7,878 7,470

price (arm’s length). Simon Jeffreys 12,542 12,241
Adam Warby 2,245 1,845
Trade from associates amounted in 2022 to Joan A. Binstock 1,679 1,179
EUR 1,268 thousand compared with EUR 833 Susan Standiford 521 169
thousand in 2021.
Herve Couturier - 9,456
Charlotte Søndergaard Klausen1 521 -
The Group did not enter into any agreements,
deals, or other transactions in 2022 in which Neil Cook1 1,220 -
the Parent company’s Board of Directors or Sven Rinke1 1,370 -
Executive Management Board had a Else Braathen2 - 8,642
financial interest, except for transactions Vera Bergforth2 - 2,606
following from the employment relationship. Hugues Chabanis2 - 2,740
See note 3.2 and the Remuneration Report. Board of Directors, total 41,343 59,167
Executive Management Board
Key Management Personnel (cf. IAS 24)
Christian Kromann 14,852 7,472
consists of the Board of Directors and the
Georg Hetrodt 115,277 110,000
Executive Management Board. Remuneration
to members of the Board of Directors and the Michael Bjergby3 4,758 -
Executive Management Board is disclosed Michael Rosenvold4 - 17,524
in note 3.1 and the Remuneration Report. Klaus Holse5 - 90,111
Executive Management Board, total 134,887 225,107
Members of the Board of Directors are Total shareholdings by members of the Board of Directors
elected by the shareholders at the Annual and the Executive Management Board 176,230 284,274
General Meeting for terms of one year.
1 Elected 24 March, 2022. 4 Resigned 30 November, 2022.
Members of the Board of Directors elected 2 Resigned 24 March, 2022. 5 Resigned 31 December, 2021.
3 Appointed 1 December, 2022.
7.2 Related party transactions (continued) 7.5 Contingent liabilities 7.6 Events after statement
Restricted stock units, Board of Directors and Executive Management Board The Group is party to legal proceedings of financial position date
and inquiries from authorities when investi-
Number of restricted stock units 2022 2021 In January 2023 SimCorp A/S has invested
gating various issues. The outcome of such
Board of Directors in Artega Investment Administration.
is not expected to have a significant effect
Charlotte Søndergaard Klausen 218 - SimCorp A/S share is 20%.
on profit for the year and the assessment
Neil Cook 901 - of the Group’s financial position.
No other material events have occurred
Sven Rinke 83 -
after December, 31 2022, that has
Else Braathen - 448 SimCorp A/S has financial commitments
consequences for the annual report 2022.
Hugues Chabanis - 1,158 with suppliers for EUR 54 million (2021: EUR
Board of Directors, total 1,202 1,606 65 million) mainly related to infrastructure
Executive Management Board
services for the cloud solutions.
Christian Kromann 36,534 29,680
7.7 Associates
Georg Hetrodt 13,603 13,394 Associates
Michael Bjergby 9,961 - The Group holds an ownership interest of
Michael Rosenvold - 21,443 24.8% in Dyalog Ltd and 24.99% in Opus
Klaus Holse - 31,772 Nebula Ltd. SimCorp’s investment in Dyalog
Ltd, United Kingdom is a strategic investment
Executive Management Board, total 60,098 96,289
as the company is an important supplier.
Total restricted stock units granted to members of
the Board of Directors and the Executive Management Board 61,300 97,895
The Group purchases APL licenses from
Dyalog Ltd. both for SimCorp Dimension
and SimCorp Sofia.
7.3 Special items 7.4 Auditors’ remuneration 7.8 Subsidiaries

In 2022, the Group had one-off consultancy In 2022, audit fees included the audit of the Fees to independent auditors In 2022, the Group established two new
cost of EUR 2.7 million (2021: EUR 0 million) consolidated and local financial statements, EUR '000 2022 2021
subsidiary, SimCorp Philippines Inc. in the
and redundancy cost of EUR 4.3 million including additional audit procedures due Philippines and SimCorp Advanced for
Audit fees 557 521
(2021: EUR 0 million) to ensure that SimCorp to implementation of a new ERP system. In Information Technology in Saudi Arabia.
Tax and VAT advice fees 17 34
has the right structure and people as it 2021, audit fees included the audit of the
transforms to a SaaS company. consolidated and local financial statements, Other service fees 62 71
including additional audit procedures due to Total auditors’ remuneration 636 626
implementation of a new ERP system. Tax fees Non-Audit Services (NAS)/
related primarily to tax compliance service. Audit fee ratio 14% 20%
Other service fee primarily related to advice
on sustainability reporting.
7.8 Subsidiaries (continued)

Group’s subsidiaries are at December 31, 2022 and December 31, 2021.
Subsidiaries Ownership interest
Name Registered office 2022 2021 Share capital
SimCorp Ltd. London, United Kingdom 100% 100% 100,000 GBP
SimCorp GmbH Bad Homburg, Germany 100% 100% 102,258 EUR
SimCorp Österreich GmbH Vienna, Austria 100% 100% 17,500 EUR
SimCorp Norge AS Oslo, Norway 100% 100% 1,000,000 NOK
SimCorp Sverige AB Stockholm, Sweden 100% 100% 100,000 SEK
SimCorp Benelux SA/NV Brussels, Belgium 100% 100% 62,000 EUR
SimCorp USA Inc. New York, USA 100% 100% 7,010,000 USD
SimCorp Schweiz AG Zurich, Switzerland 100% 100% 100,000 CHF
SimCorp Asia Pty. Ltd. Sydney, Australia 100% 100% 999,992 AUD
SimCorp Singapore Pte. Ltd. Singapore, Singapore 100% 100% 1 SGD
SimCorp Ukraine LLC Kiev, Ukraine 100% 100% 2,968,254 UAH
SimCorp Canada Inc. Vancouver, Canada 100% 100% 8,500,001 CAD
SimCorp France S.A.S Paris, France 100% 100% 500,000 EUR
SimCorp Hong Kong Ltd. Hong Kong, China 100% 100% 14,000,002 HKD
SimCorp Coric Ltd. Wolverhampton, United Kingdom 100% 100% 120 GBP
SimCorp Iberia S.L. Barcelona, Spain 100% 100% 3,000 EUR
SimCorp Italiana S.r.l. Milan, Italy 100% 100% 2,100,000 EUR
SimCorp Sp z.o.o. Warsaw, Poland 100% 100% 5,000 PLN
SimCorp Luxembourg S.a.r.l. Luxemburg, Luxemburg 100% 100% 44,636 EUR
SimCorp Japan KK Tokyo, Japan 100% 100% 1 JPY
SimCorp India LLP Noida, India 100% 100% 100,000 INR
SimCorp Philippines Inc. Manila, Philippines 99.99% - 5,000,000 PHP
SimCorp Advanced for Information Technology Riyadh, Saudi Arabia 100% - 38,000 SAR
SimCorp Ltd. has a branch in the United Arab Emirates and in Azerbaijan.
SimCorp Sverige AB has a branch in Finland.
SimCorp Sverige AB owns 1% of SimCorp Benelux SA/NV and 1% of SimCorp India LLP.
SimCorp Benelux SA/NV has branches in the Netherlands, Luxembourg and France.
SimCorp USA Inc. has a branch in Canada.
SimCorp Coric Ltd. has a 100% owned subsidiary in the USA, SimCorp Coric Inc.
SimCorp Italiana S.r.l. had a 100% owned subsidiary in Italy; Sofia Online S.r.l. (merged at 31.12.2021).
SimCorp Luxembourg S.a.r.l has 100% owned subsidiaries in Luxemburg, Switzerland and Austria, and UK (under liquidation).
SimCorp Philippines Inc 0.01% is owned by management of the company.
SimCorp Annual Report 2022 Financial statements of SimCorp A/S 102
Financial statements
of SimCorp A/S
102 — 123
SimCorp Annual Report 2022 Financial statements of SimCorp A/S 103
Financial statements
of SimCorp A/S
Statements Section 2 Section 4 Section 6

Revenue and clients Tax Financing items
104 Income statement 109 2.1 Revenue 114 4.1 Income tax 120 6.1 Financial assets and liabilities
104 Statement of comprehensive income 109 2.2 Future performance obligations 115 4.2 Deferred tax 121 6.2 Financial income and expenses
105 Cash flow statement 110 2.3 Contract balances
106 Statement of financial position 111 2.4 Receivables
107 Statement of changes in equity
108 Notes
Section 1 Section 3 Section 5 Section 7

Basis of preparation Employees Invested capital Other disclosures
108 1.1 Accounting policies, estimates, 112 3.1 Employee cost 116 5.1 Investments in associates and 122 7.1 Related party transactions
and judgments 113 3.2 Provisions subsidiaries 123 7.2 Auditors’ remuneration
117 5.2 Intangible assets 123 7.3 Contingent liabilities
118 5.3 Property, plant, and equipment 123 7.4 Events after statement of
financial position dates
SimCorp Annual Report 2022 Financial statements of SimCorp A/S Statements 104
Financial statements of SimCorp A/S

Income statement Statement of comprehensive income
EUR ’000 Note 2022 2021 EUR '000 Note 2022 2021
Revenue 2.1 263,438 250,191 Profit for the year 92,387 94,948
Cost of sales 3.1,3.2,5.2,5.3 84,517 81,660 Other comprehensive income
Gross profit 178,921 168,531 Items that will not be reclassified
subsequently to the income statement:
Other operating income 36,490 29,945
Foreign currency translation differences for foreign operations 73 128
Research and development costs 3.1,3.2,5.2,5.3 79,233 58,491
Other comprehensive income after tax 73 128
Sales and marketing costs 3.1,3.2,5.2,5.3 13,762 19,066
Total comprehensive income 92,460 95,076
Administrative expenses 3.1,3.2,5.2,5.3 48,035 35,458
Proposed distribution
Operating profit (EBIT) 74,381 85,461
Dividends 39,732 39,888
Financial income 6.2 34,903 25,842
Transferred to retained earnings 52,728 55,188
Financial expenses 6.2 811 588
92,460 95,076
Profit before tax 108,473 110,715
Tax on the profit for the year 4.1 16,086 15,767

Cash flow statement
EUR ’000 Note 2022 2021
Amortization and depreciation 5.2, 5.3 3,821 3,982
Financial income 6.2 -34,903 -25,842
Financial expenses 6.2 811 588
Tax on profit for the year 4.1 16,086 15,767
Other included in operating income -23 3,810
Adjustment share-based remuneration 13,527 11,332
Changes in provisions 268 -268
Changes in contract assets -10,265 2,388
Changes in working capital -48,556 -36,784
Financial income received 917 130
Financial expenses paid -596 -358
Income tax paid 4.1 -12,143 -12,377
Net cash from operating activities 21,331 57,316
Investment in subsidiaries, net 5.1 -93 1
Purchase of property, plant, and equipment 5.3 -333 -149
Sale and purchase of financial assets, net -44 -4,420
Dividends from associates 6.2 68 50
Dividends from subsidiaries 6.2 31,487 20,275
Net cash used in investing activities 31,085 15,757
Dividends paid -39,836 -40,086
Purchase of treasury shares -20,049 -40,102
Repayment of lease liability 5.3 -3,458 -3,433
Loan proceeds 26,891 -
Loan repayment -20,167 -
Net cash used in financing activities -56,619 -83,621
Change in cash and cash equivalents -4,203 -10,548
Cash and cash equivalents at January 1 15,927 26,583
Foreign exchange adjustment of cash and cash equivalents 0 -108
Cash and cash equivalents at December 31 11,724 15,927

Statement of financial position December 31
EUR ’000 Note 2022 2021 EUR ’000 Note 2022 2021
Assets Liabilities and equity
Software 2 11 Share capital 5,441 5,441
Total intangible assets 5.2 2 11 Retained earnings 291,547 245,878
Leasehold 19,338 20,881 Proposed dividends 39,732 39,888
Technical equipment 374 174 Total equity 336,720 291,207
Other equipment, fixtures, fittings and prepayments 952 1,199 Lease liabilities 5.3 16,179 18,023
Total property, plant, and equipment 5.3 20,664 22,254 Deferred tax 4.2 36,763 23,274
Investments in subsidiaries 5.1 137,967 137,874 Provisions 3.2 2,183 1,991
Investments in associates 5.1 141 138 Total non-current liabilities 55,125 43,288
Other financial assets 4,843 4,843 Bank loan/credit facility 6,724 -
Deposits 6.1 1,483 1,442 Lease liabilities 5.3 3,319 2,899
Total other non-current assets 144,434 144,297 Prepayments from clients 2.3 3,232 2,626
Total non-current assets 165,100 166,562 Debt to subsidiaries 24,526 16,148
Receivables 2.4 250,948 192,274 Trade payables 13,521 15,014
Contract assets 2.3 18,270 8,107 Other payables 13,292 14,205
Income tax receivables 3,899 - Income tax payables - 4,489
Prepayments 6,681 7,092 Provisions 3.2 162 86
Cash and cash equivalents 11,723 15,927 Total current liabilities 64,776 55,467
Total current assets 291,521 223,400 Total liabilities 119,901 98,755
Total assets 456,621 389,962 Total liabilities and equity 456,621 389,962

Statement of changes in equity Proposed
Share Retained dividends for
EUR '000 capital earnings the year Total
2022
Equity at January 1 5,441 245,878 39,888 291,207
Net profit for the year - 92,387 - 92,387
Total other comprehensive income - 73 - 73
Total comprehensive income for the year - 92,460 - 92,460
Dividends paid to shareholders - 52 -39,888 -39,836
Share-based payment - 13,527 - 13,527
Tax, share-based payment - -589 - -589
Purchase of treasury shares - -20,049 - -20,049
Proposed dividends to shareholders - -39,732 39,732 -
Equity at December 31 5,441 291,547 39,732 336,720
2021
Equity at January 1 5,441 219,738 40,125 265,304
Net profit for the year - 94,948 - 94,948
Total other comprehensive income - 128 - 128
Total comprehensive income for the year - 95,076 - 95,076
Dividends paid to shareholders - 39 -40,125 -40,086
Share-based payment - 11,332 - 11,332
Tax, share-based payment - -317 - -317
Purchase of treasury shares - -40,102 - -40,102
Proposed dividends to shareholders - -39,888 39,888 -
Equity at December 31 5,441 245,878 39,888 291,207
SimCorp Annual Report 2022 Financial statements of SimCorp A/S Section 1 108
Section 1 1.1 Accounting policies, estimates, and judgments

General Foreign currency translation New financial reporting standards not
SimCorp A/S is a public limited company Foreign exchange adjustments of intra- yet adopted
Basis of preparation based in Denmark. The Annual Report for group accounts are recognized in the A number of new standards and interpre
the period January 1 – December 31, 2022 income statement in SimCorp A/S’ financial tations not applicable/mandatory for the
includes the financial statements of statements. Foreign exchange adjustments preparation of the 2022 annual report have
SimCorp A/S, the Parent company. of intra-group accounts between SimCorp been published. The Parent expects to
A/S and subsidiaries are considered part implement the new applicable and approved,
Statement of compliance of the net investment in the subsidiaries not yet effective accounting standards and
SimCorp A/S financial statements are pre concerned. Settlement of intra-group interpretations, as they take effect.
sented in accordance with International balances considered part of the net invest-
Financial Reporting Standards (IFRS) as ment are not, per se, considered a partial None of the other changed standards or
endorsed by the EU and additional divestment of a subsidiary. interpretations are expected to have
requirements in the Danish Financial significant monetary effect on the
Statements Act. Financial assets statements of the Parent’s results, assets
Investments in subsidiaries and associates and liabilities or the equity.
The financial statements are presented in are measured at cost in the Parent
EUR, which is the presentation currency of company’s financial statements.
the activities of the Parent, rounded to the
nearest EUR 1,000. The functional currency Other operating income
of the Parent company SimCorp A/S is DKK. Other operating income comprises income
of a secondary nature relative to the
Accounting policies are unchanged from activities of the Parent, including gains on
last year. the sale of intangible assets and property,
plant, and equipment and income from
The accounting policies are the same as subsidiaries for delivered services.
for the consolidated financial statements,
with exceptions described below. For a Risk
description of the accounting policies of For information on risk refer to note 6.2 of
the Group, please refer to the consolidated the consolidated financial statements and
financial statements. overview of risk factors in “Risk
management”, pages 31-35.
Section 2 2.1 Revenue

Revenue
2.2 Future performance
obligations
The transaction price allocated to perfor-
EUR '000 2022 2021
Revenue and clients On-premise initial licenses 21 78
mance obligations that are unsatisfied or
partially unsatisfied as at December 31,
On-premise additional licenses 15,988 4,874
2022, is EUR 34.1 million (2021: EUR 19.7
On-premise other licenses 709 590 million). This amount mostly comprises
On-premise software updates and support 21,191 20,187 obligations to provide software updates
Total on-premise revenue 37,909 25,729 and support, agreements which require
SaaS initial licenses - 2 client acceptance of functionality, and
SaaS additional licenses 26 387 support or hosting subscriptions and
SaaS other licenses 12 43
support, as the respective contracts
typically have durations of multiple years.
SaaS services incl. software updates and support 2,847 2,463
Total SaaS Revenue 2,885 2,894
Management expects that EUR 15.2 million
Professional services 6,285 7,208
(2021: EUR 7.3 million) of the amount
External revenue 47,079 35,831 allocated to the future contract obligations
Revenue from subsidiaries 216,359 214,361 as of December 31, 2022 will be recognized
Total revenue 263,438 250,191 during 2023. EUR 18.9 million (2021: EUR
12.5 million) is expected to be recognized as
revenue within 2 to 5 years.
For accounting policies, estimates and

judgments, please refer to the consolidated
financial statements note 2.3.
2.3 Contract balances

Contract balances consist of client-related For accounting policies, estimates and Changes in contract assets
assets and liabilities. judgments please refer to the consolidated Invoiced
financial statements note 2.4. Opening Net from opening Closing
EUR '000 balance additions balance Adjustments1 balance
Contract assets relate to the Parent rights
to consideration for software licensed to Significant changes in contract assets and 2022
clients under subscription agreements with liabilities during the period are presented Contract asset (gross) 8,116 14,213 -4,194 159 18,294
future payments, when that right is below.
Loss allowance -9 -15 - - -24
conditional on SimCorp’s future
Contract asset (NPV) 8,107 14,198 -4,194 159 18,270
performance. Contract assets are expected to be realized
within the Parent’s normal operating cycle, 2021
Contract liabilities represent mainly pre 29.4% (2021: 49.1%) of it is expected to be Contract asset (gross) 10,582 1,075 -3,511 -30 8,116
payments from clients for unsatisfied or realized within the next twelve months, 70.6%
Loss allowance -16 7 - - -9
partially satisfied performance obligations (2021: 50.9%) within the next 2 to 5 years.
Contract asset (NPV) 10,566 1,082 -3,511 -30 8,107
in relation to licenses, software updates
and support, and services. Software 1 Adjustments include: reclassifications, foreign exchange adjustments, cumulative catch-up adjustments (including
those arising from change in measurement of progress, change in estimate of transaction price and contract
updates and support and hosting billing modifications), change in time frame for a right to consideration to become unconditional or for a performance
generally occur at periodic intervals (e.g. obligation to be satisfied.
quarterly or yearly) prior to revenue
recognition, resulting in contract liabilities. Revenue
Changes in contract liabilities recognized
Opening Net from opening Closing
The majority of licenses agreements is EUR '000 balance additions balance Adjustments balance
revenue recognized in the year of sale.
However, contracts with functionality gaps 2022
or acceptance criteria may have revenue Contract liabilities – licenses 908 197 -338 - 767
recognition deferred, resulting in a contract Contract liabilities – software updates and support 712 812 -712 - 812
liability when billing has occurred. Contract liabilities – services 666 564 -137 - 1,093
Contract liabilities – other 340 514 -292 -2 560
Contracts in progress relating to fixed fee
Contract liabilities (prepayments from clients) 2,626 2,087 -1,479 -2 3,232
professional services are measured at the
estimated sales value of the proportion of 2021
the contract completed at the statement of Contract liabilities – licenses 321 908 -321 - 908
financial position date. Amounts invoiced
Contract liabilities – software updates and support 524 712 -524 - 712
on account in excess of work completed
Contract liabilities – services 1,237 379 -950 - 666
are included in prepayments under current
liabilities. Contract liabilities – other 98 339 -97 - 340
Contract liabilities (prepayments from clients) 2,180 2,338 -1,892 - 2,626
2.4 Receivables
Accounting policy
When estimating expected credit loss on An expected loss rate of 0.03% - 0.82%
receivables from subsidiaries, the three- (2021: 0.03% - 0.91%) is applied, based on
stage approach is applied while making use corporate investment grade 1-year average
of the exception for low credit risk financial default rates by region as published by
assets. Standard & Poor.
Receivables
EUR '000 2022 2021
Trade receivables from clients 4,820 3,950
Accrued revenue 2,280 4,532
Loss allowance -3 -3
Receivables from subsidiaries 243,273 183,795
Other receivables 578 -
Total receivables at December 31 250,948 192,274
The aging of trade receivables from clients was at December 31:
Not due 3,829 3,226
Not more than 30 days 165 168
More than 30 days but not more than 90 days 541 21
More than 90 days 285 535
Total trade receivables from clients 4,820 3,950
Section 3 3.1 Employee costs

Employee costs consist of salaries, sales costs, share-based payments, vacation pay, For additional disclosures on share-based
commissions, bonuses, pensions and social and other benefits. remuneration refer to note 3.2 of the
Employees consolidated financial statements. Please
Employee costs see remuniation report for further details.
EUR '000 2022 2021

Salaries 74,156 69,274
Defined contribution pension plans 1,807 1,729
Share-based payments 10,144 10,035
Social security costs 184 169
Total employee costs 86,291 81,207
Number of employees at the end of the year 618 587
Average number of employees 573 553
Remuneration to the Executive Management

Board and Board of Directors is given below:
Remuneration to Executive Management Board and Board of Directors

EUR '000 2022 2021
Salaries 1,913 2,494
Other benefits 110 171
Share-based payment 1,525 3,260
Performance-related bonus 956 1,513
Executive Management Board total1 4,504 7,438
Board fees 508 568
Fees for committee work 162 123
Travel allowance 106 18
Share-based payment 171 175
Board of Directors total 947 884
Total 5,451 8,322
1 In 2022, Executive Management Board were 3 members (2021: 4 members)

3.2 Provisions
Provisions Re-establishment Re-establishment provisions cover the
costs for rented Anniversary costs of restoring leasehold premises.
EUR '000 premises bonuses Total
2022 Provisions for anniversary bonuses result

from the Company’s commitment of one
Liability at January 1 663 1,414 2,077
month’s pay in connection with employees’
Used during the year - -101 -101
25th and 40th anniversaries.
Reversal of unused liabilities - -90 -90
Provisions for the year 79 380 459
Total provisions 742 1,603 2,345
Expected due dates for p
rovisions:
Falling due within 1 year - 162 162
Falling due within 2 to 5 years - 477 477
Falling due after 5 years 742 964 1,706
2021
Liability at January 1 656 1,689 2,345
Foreign exchange adjustment - 1 1
Used during the year - -3 -3
Reversal of unused liabilities - -521 -521
Provisions for the year 7 248 255
Expected due dates for p
rovisions:
Falling due within 1 year - 86 86
Falling due within 2 to 5 years - 514 514
Falling due after 5 years 663 814 1,477
Section 4 4.1 Income tax

Income tax
EUR '000 2022 2021
Tax Tax for the year:
SimCorp A/S’ income taxes Tax on profit 16,086 15,767
amount to EUR 16.1 million Total tax 16,086 15,767
relative to EUR 15.8 million in Tax on profit for the year breaks down as follows:
2021. Current tax 4,515 13,206
Deferred tax 11,793 2,565
SimCorp A/S’ effective tax Prior-year adjustments -222 -4
rate increased to 14.8% from Total tax on profit for the year 16,086 15,767
14.2%. Tax paid during the year 12,143 12,377
The Danish corporate tax rate Tax calculated on the year's pre-tax profit, 22% (2021: 22%) 23,865 24,295
Dividends from subsidiaries and associates -6,944 -4,472
was 22% in 2022, which was
Tax effect:
unchanged from 2021.
Non-taxable income -2,110 -2,749
Non-deductible expenses 1,602 1,417
Deferred tax has changed to
Other, including prior-year adjustments -327 -2,724
EUR 36.8 million in 2022 from
EUR 23.3 million in 2021, which
Effective tax rate 14.8% 14.2%
mainly relates to increases in
deferred tax on contract
assets.
For accounting policies,

estimates, and judgments,
please refer to Section 4 of
the consolidated financial
statements.
4.2 Deferred tax

Deferred tax Deferred tax
EUR '000 2022 2021 Foreign Recognition
Net deferred tax (liability)/asset at January 1 -23,274 -19,121 Balance exchange in profit Recognition Balance
EUR'000 January 1 adjustment and loss in equity December 31
Foreign exchange adjustment - -9
Net change of deferred tax, profit and loss -11,793 -2,565 2022
Prior-year adjustment, profit and loss -993 -29 Intangible assets -2 - 3 - 1
Adjustment of deferred tax, equity -703 -1,550 Property, plant and equipment,
360 - -43 - 317
owned
Net deferred tax (liability)/asset at December 31 -36,763 -23,274
Property, plant and equipment,
Recognized in the statement of financial position as follows: -4,563 - 321 - -4,242
right-of-use
Deferred tax liabilities -36,763 -23,274
Contract assets -27,683 - -12,809 - -40,492
Net deferred tax (liability)/asset at December 31 -36,763 -23,274
Lease liabilities, current 637 - 93 - 730
Current liabilities 982 - 276 - 1,258
Lease liabilities, non-current 3,965 - -406 - 3,559
Provisions, non-current 390 - 90 - 480
Share-based payment 2,640 - -311 -703 1,626
Total -23,274 - -12,786 -703 -36,763
2021
Intangible assets -27 - 25 - -2
277 - 83 - 360
owned
-5,095 -2 534 - -4,563
right-of-use
Contract assets -24,961 -9 -2,713 - -27,683
Lease liabilities, current 689 -1 -51 - 637
Current liabilities 976 - 6 - 982
Lease liabilities, non-current 4,565 2 -602 - 3,965
Provisions, non-currrent 491 - -101 - 390
Share-based payment 3,964 1 225 -1,550 2,640
Total -19,121 -9 -2,594 -1,550 -23,274
Section 5 5.1 Investments in associates and subsidiaries

The Parent accounts for its investments in Additions to investments in subsidiaries in
subsidiaries and associates at cost. 2022 related to capital injection to SimCorp
Invested capital Philippines Inc. in the Philippines and
Please refer to note 7.7 in the consolidated SimCorp Advanced for Information
financial statements for a list of subsidiaries. Technology in Saudi Arabia.
Investment in associates
EUR '000 2022 2021
Cost at January 1 138 157
Foreign exchange adjustment - 1
Disposals/adjustments 3 -20
Cost at December 31 141 138
Carrying amount at December 31 141 138
Investments in subsidiaries
EUR '000 2022 2021
Cost at January 1 137,874 137,825
Additions 93 -
Transfers - -1
Cost at December 31 137,967 137,874
Carrying amount at December 31 137,967 137,874
Dividends received 31,487 20,275
5.2 Intangible assets

For a description of the accounting
policies, please refer to the consolidated
financial statements note 5.2.
Intangible assets – software

EUR '000 2022 2021
Cost at December 31 8,053 8,053
Depreciation at January 1 8,042 7,929
Depreciation 9 110
Depreciation at December 31 8,051 8,042
Carrying amount at December 31 2 11
Amortization
EUR ‘000 2022 2021
Cost of sales 2 28
Research and development costs 4 51
Sales and marketing costs 1 7
Total amortization 9 110
5.3 Property, plant, and equipment

For a description of the accounting policies, Property, plant, and equipment Other equipment, Property,
please refer to the consolidated financial Technical fixtures, fittings plant, and
Leasehold equipment and prepayments equipment
statements note 5.3. Lease liabilities,
amounts recognized to the income EUR '000 Right -of-use Improvement Right-of-use Owned Right-of-use Owned total
statement and amounts recognized in the
2022
statement of cash flow are presented
Cost at January 1 29,708 2,570 74 6,306 545 2,663 41,866
below.
Additions 1,690 - - 323 198 10 2,221
Disposals -922 - - -278 -187 - -1,387
Cost at December 31 30,476 2,570 74 6,351 556 2,673 42,700
Depreciation 3,175 58 26 97 142 313 3,811
Disposals -922 - - -278 -187 - -1,387
Depreciation at December 31 11,508 2,200 60 5,991 251 2,026 22,036
Carrying amount at December 31 18,968 370 14 360 305 647 20,664
2021
Cost at January 1 29,697 2,569 74 6,212 415 2,605 41,572
Foreign exchange adjustment 11 1 - 2 - 1 15
Additions - - - 92 268 57 417
Disposals - - - - -138 - -138
Cost at December 31 29,708 2,570 74 6,306 545 2,663 41,866
Foreign exchange adjustment 2 1 -3 2 -6 1 -3
Depreciation 3,096 58 25 219 166 308 3,872
Disposals - - - - -108 - -108
Depreciation at December 31 9,255 2,142 34 6,172 296 1,713 19,612
Carrying amount at December 31 20,453 428 40 134 249 950 22,254
Depreciation period Up to 10 years Up to 3 years Up to 5 years


Depreciation Amounts recognized in income statement
EUR ‘000 2022 2021 EUR '000 2022 2021
Cost of sales 915 989 Interest on lease liabilities 206 223
Research and development costs 1,820 1,808 Variable lease payments not included in the measurement of lease liabilities 21 27
Sales and marketing costs 194 246 Total recognized in profit and loss 227 250
Total depreciation 3,811 3,872
Amounts recognized in the statement of cash flow

Lease liabilities EUR '000 2022 2021
EUR '000 2022 2021 Repayment of lease liability 3,458 3,433
Payable within 1 year 3,414 3,069 Total recognized in statement of cash flow 3,458 3,433
Payable within 2 to 5 years 12,415 11,805
Payable after 5 years 3,889 6,806
Total undiscounted lease liabilities 19,718 21,680
Total lease liabilities included in the statement of financial position 19,498 20,922
Current 3,319 2,899
Non-current 16,179 18,023
Section 6 6.1 Financial assets and liabilities

All financial assets and liabilities are Commitments which require a deposit will
measured at amortized cost. The carrying initially be recorded to the deposit asset
Financing items amount of these approximate fair value. account, if the deposit is not recovered it is
Financial assets which have been modified charged to the income statement.
or renegotiated during the period are
assessed individually for impairment. Other financial assets comprise invest-
ments in shares of unlisted entities.
Financial assets
Financial assets comprise deposits of EUR Financial liabilities
1.5 million (2021: EUR 1.4 million), receivables Financial liabilities comprise lease liabilities
of EUR 250.9 million (2021: EUR 192.3 of EUR 19.5 million (2021: EUR 20.9 million),
million), and cash and cash equivalents of and trade payables and other payables of
EUR 11.7 million (2021: EUR 15.9 million). For EUR 26.8 million (2021: EUR 29.2 million).
additional information on receivables refer
to note 2.4. Trade payables and other payables
Other payables include bonus and commis-
Deposits are primarily related to leasing of sion accruals, vacation pay obligations,
offices. Security deposits which will not be payroll taxes and VAT. Payables are
returned within one year of the statement measured at cost.
of financial position date are recognized as
non-current assets.
Deposits
EUR '000 2022 2021
Additions 47 -
Disposals -6 -
Carrying amount at December 31 1,483 1,442
6.2 Financial income and expenses

Financial income
EUR '000 2022 2021
Interest income, subsidiaries 873 130
Interest income, financial assets carried at amortized cost 44 -
Dividends from subsidiaries 31,487 20,275
Dividends from associates 68 50
Foreign exchange gains, net 2,431 5,387
Total financial Income 34,903 25,842
Financial expenses
EUR '000 2022 2021
Interest expenses, subsidiaries 175 46
Interest expenses, financial liabilities carried at amortized cost 296 245
Interest expenses, financial assets carried at amortized cost 35 32
Interest expenses, lease 206 223
Interest expenses, reestablishment 9 7
Other financial expenses 90 35
Total financial expenses 811 588
Section 7 7.1 Related party transactions

For the Parent company, in addition to identical to those made with the Parent
transactions with other related parties company’s and the Group’s clients and
Other disclosures depicted in note 7.2 of the consolidated suppliers.
financial statements, related parties also
comprise subsidiaries and associates in Trading with subsidiaries and associates is
which SimCorp A/S has a controlling or conducted on arm’s length terms. Ownership
significant influence. interests are shown in note 7.7 of the
consolidated financial statements.
The Parent company’s outstanding balance
with subsidiaries comprises receivables of Interest on outstanding balances with
EUR 243.3 million, current account EUR 97.1 subsidiaries and associates is specified in
million and non-current group contract note 6.2 in the financial statements of the
asset EUR 146.2 million (2021: EUR 183.8 Parent company. In 2022, the Parent
million, current account EUR 44.4 million company has received dividends of EUR
and non-current group contract asset EUR 31.5 million (2021: EUR 20.3 million) from
139.4 million) and payables of EUR 24.5 subsidiaries and dividends of EUR 0.07
million (2021: EUR 16.1 million). million from associates (2021: EUR 0.05
million).
Balances with subsidiaries and associates
comprise ordinary trade balances relating The Parent company has provided delivery
to the purchase and sale of services. bonds to certain clients of its subsidiaries,
and the Parent company has issued letters
The current account balance carry interest of support to certain subsidiaries, see note
and are subject to terms and conditions 7.3.
Trading with subsidiaries and associates

EUR '000 2022 2021
Purchases of services from subsidiaries 71,425 62,110
Purchases of services from associates 872 533
Sale of services to subsidiaries 252,469 224,064
7.2 Auditors’ remuneration 7.3 Contingent liabilities and other financial liabilities
In 2022, audit fees included the audit of In 2021, audit fees included the audit of the As part of building long-term client Bank guarantees have been provided for
the Parent company’s financial statements. Parent company’s financial statements, relationships, the company has made a rent commitments in Australia, Belgium,
including additional audit procedures due commitment to, in some contracts, provide France, Germany, Luxembourg, and USA.
to implementation of a new ERP system. SimCorp Dimension product supports for up
to ten years from the date of the contract. The Parent company is from time to time
party to legal proceedings and inquiries
Auditors' remuneration SimCorp A/S has issued guarantees for its from authorities when investigating various
EUR '000 2022 2021 subsidiaries’ delivery commitments to clients issues. The outcome of such is not
for a total of EUR 39.4 million (2021: EUR expected to have a significant effect on
Audit fees 203 210
49.2 million). profit for the year and the assessment of
Other service fees 56 68
the company’s financial position.
Total 259 278
The Parent company expects to issue
Non-Audit Services (NAS)/Audit fee ratio 28% 32% letters of support to certain subsidiaries. SimCorp A/S has financial commitments
with suppliers for EUR 54 million (2021: EUR
The Parent company has provided guarantee 65 million) mainly related to infrastructure
for credit facilities totalling EUR 4.8 million services for the cloud solutions.
(2021: EUR 4.4 million) to certain subsidiaries.
7.4 Events after statement of financial position date

In January 2023 SimCorp A/S has
completed its investment in Artega
Investment Administration. SimCorp A/S
share is 20%.
No other material events have occurred

after December, 31 2022, that has
consequences for the annual report 2022.
SimCorp Annual Report 2022 Financial statements of SimCorp A/S Addresses 124
Addresses
SimCorp Corporate Headquarters SimCorp GMBH SimCorp Iberia S.L. SimCorp Gain (Austria) GMBH SimCorp APAC
Justus-von-Liebig-Straße 1 Travessera de Gracia no. 11 Invalidenstrasse 2, 6th floor
SimCorp A/S 61352 Bad Homburg Barcelona 08021 1030 Vienna SimCorp Singapore PTE. Ltd.
Weidekampsgade 16 Germany Spain Austria 18 Robinson Road #21-02
2300 Copenhagen S Phone +49 6172 9240-0 Phone: +33 1 5535 5454 Phone: +43 1 5120099 Singapore 048547
Denmark Singapore
Phone +45 35 44 88 00 SimCorp Österreich GMBH SimCorp France S.A.S. SimCorp Advanced for Phone +65 6916 0483
Invalidenstrasse 2, 6th floor, 19-23 Bis rue de Vienne Information Technology
SimCorp Europe and Middle East 1030 Vienna 75008 Paris Hamad Tower, 4th floor SimCorp Asia PTY. Ltd.
Austria France King Fahd Branch Road, Al Olaya Level 17, 68 Pitt Street
SimCorp Ukraine LLC Phone +43 1 5120099 Phone +33 1 5535 5454 Riyadh, 12212 2000 Sydney NSW
V. Stusa 35-37, 2nd floor Saudi Arabia Australia
03142 Kiev SimCorp Schweiz AG SimCorp Luxembourg S.a.r.l. Phone +61 2 9240 3500
Ukraine Sihlquai 253 rue Eugène Ruppert 20 SimCorp North America
Phone +380 44 594 95 60 8005 Zurich 2453 Luxembourg SimCorp Hong Kong Ltd.
Switzerland Luxembourg SimCorp USA Inc. Level 19, Two International Finance
SimCorp Sp. Z O.O. Phone +41 44 360 59 00 Phone +352 26 49 35 65 One State Street Plaza Centre, 8 Finance Street, Central,
Ul. Puławska 182, 4th floor 1 State Street, 29th Floor Hong Kong
02-670 Warsaw SimCorp Benelux SA/NV SimCorp Ltd. New York, NY 10004 Phone: +852 3101 7954
Poland Avenue Louise 143 Level 12 USA
Phone: +48 22 104 81 100 1050 Brussels Two London Wall Place Phone: +1 212 994 9400 SimCorp Japan
Belgium London, EC2Y 5AU Level 27 Tokyo Sankei Building
SimCorp Sverige AB Phone +32 2 213 30 00 United Kingdom SimCorp Canada Inc. 1-7-2 Otemachi, Chiyoda-ku
Torsgatan 13 Phone +44 20 7260 1900 100 Wellington Street West 100-0004 Tokyo
111 23 Stockholm SimCorp Netherlands TD West Tower, Suite 2204 Japan
Sweden (Dutch branch of SimCorp Benelux SimCorp Ltd. Abu Dhabi (PO Box 123) Phone: +81 3 3242 3263
Phone +46 8 528 015 00 SA/NV) World Trade Center, Level 17 Toronto, Ontario M5K 1H1
Gustav Mahlerplein 109-111 The Office World Trade Center Tower Canada SimCorp Philippines Inc.
SimCorp Finland 1082 MS Amsterdam (Arabtec Building), Central Market Al Phone +1 647 591 9200 24th Floor,
(Finnish branch of SimCorp Sverige AB) The Netherlands Markaziya, PO Box: 3876 Fort Legend Tower 3rd Avenue Corner
C/O Spaces Tripla, Workery West Phone: +31 (0)20 708 57 64 Abu Dhabi SimCorp Coric Inc. 31st Street
6th floor, Firdonkatu 2 T 63 Phone: +971 2 654 4004 100 Summer Street Taguig City1634
00520 Helsinki SimCorp Italiana S.R.L. Suite 1950, 19th Floor Philippines
Finland Via Monferrato, 1 SimCorp Coric Ltd. Boston, MA 02110
Phone +358 9685 2010 20144 Milano Level 12 USA SimCorp India LLP
Italy Two London Wall Place Phone: +1 617 588 5141 Unit No. 402 A 13/2/3, Highway Tower
SimCorp Norge AS Phone: +39 02 4855871 London, EC2Y 5AU II Sector 62 Noida Gautam Buddha
Biskop Gunnerusgate 14A United Kingdom Nagar UP 201309 IN
0051 Oslo Phone +44 20 7260 1900 India
Norway Phone: +91-120-2401088
Phone +47 23 10 41 0
www.simcorp.com
info@simcorp.com
About SimCorp
SimCorp offers industry-leading, integrated investment management solutions. Our
platform and ecosystem, comprising partners, services, and third-party connectivity
empowers us to provide 40% of the world’s top 100 financial companies with the efficiency
and flexibility needed to succeed. With over 25 offices around the world, and more than
2,200 employees, we are a truly global, collaborative team that connects every continent
and industry seamlessly.
For more information, please visit www.simcorp.com
Legal notice
The contents of this publication are for general information Without limiting rights under copyright, no part of this
and illustrative purposes only and are used at the reader’s document may be reproduced, stored in, or introduced
own risk. SimCorp uses all reasonable endeavors to ensure into a retrieval system, or transmitted in any form,
the accuracy of the information. However, SimCorp does by any means (electronic, mechanical, photocopying,
not guarantee or warrant the accuracy, completeness, recording, or otherwise), or for any purpose without the
factual correctness, or reliability of any information in express written permission of SimCorp A/S. SimCorp,
this publication and does not accept liability for errors, the SimCorp logo, SimCorp Dimension, and SimCorp
omissions, inaccuracies, or typographical errors. The views Services are either registered trademarks or trademarks
and opinions expressed in this publication are not of SimCorp A/S in Denmark and/or other countries.
necessarily those of SimCorp. © 2023 SimCorp A/S. Refer to www.simcorp.com/trademarks for a full list of
All rights reserved. SimCorp A/S trademarks. Other trademarks referred to in
this document are the property of their respective owners.

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Annual

Company reg. no: 15505281

That is why the SimCorp platform is designed to empower

→ Learn more at simcorp.com

4 — 53 54 — 101 102 — 123

05 SimCorp at a glance 54 Statements 104 Statements

they need to succeed in an increasingly complex world.

More than More than USD

Performance and progress

SimCorp delivered solid performance Transforming to a full SaaS provider

1 SimCorp Dimension only.

Solid financial performance Recurring and non-recurring revenue

23.4% 9.4% 12.1%

EBIT margin Revenue growth ARR (backward- 0 0

(in local currencies) (in local currencies) 2020 2021 2022

Financial highlights and key figures

Equity 375,557 323,107 278,250 230,020 169,059 0

Receivables 112,378 96,543 82,513 81,804 79,165

1 2018 does not include right-of-use-assets.

Financial highlights and key figures (continued)

Order book value (EUR ’000)

Organic revenue growth (%)

Financial highlights and key figures (continued)

2022 2021 2020 2019 2018 Earnings per share (EUR)

Market and trends SimCorp market shares and

Macroeconomic and geopolitical turmoil impacted the investment

our market profile and our capacity to further boost our

Global investment management is

Overall, 2022 emphasized the constantly evolving need for

Business model Enhanced and expanded

SimCorp’s business model empowers global

Based on our Integrated data

Integrated data and workflows

Strategy update 2022

As our transformation accelerates, we In 2022, we accelerated our SaaS transformation, making

progressing on our priorities, achieving

Platform leadership Management, Front Office, Operations and Accounting and

Ecosystem scaling Through our platform, we offer interoperability and

“ADIA has continued to adapt to the

Outlook for the financial year 2023

Business unit review

SimCorp generated revenue of EUR 2022 review

At year-end 2022, the average length of subscription-based

Income statement 2022

Research and development costs increased by 15.8% to EUR

At December 31, 2022, SimCorp held 1,228,084 treasury

The parent company SimCorp A/S

As SimCorp operates in a continually

The Board of Directors and management are deeply

Risk category Risk mitigation

In order to map where we lack critical resources, a company-wide capability review

To ensure SimCorp’s business is conducted in accordance with corporate values, a

Risk category Risk mitigation

Risk category Risk mitigation

Larger complex implementation contracts are evaluated, approved, and monitored

SimCorp regularly receives independent assurance reports from our third-party

Risk category Risk mitigation

Furthermore, SimCorp has adopted significant safeguards

All new and existing employees will participate in training

1 SimCorp Dimension only.

1 2018 does not include right-of-use-assets.

→ Sustainability Report 2022

Section 1 1.1 Accounting policies, estimates, and judgments

1.1 Accounting policies, estimates, and judgments (continued)

1.1 Accounting policies, estimates, and judgments (continued)

1.1 Accounting policies, estimates, and judgments (continued)