ANNUAL REPORT 2020 | 2021 C h a n g i n g ﬁ n a n c e s f o r t h e b e t t e r.
2 E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | F a c t s & F i g u r e s The ﬁscal year 2020/21 in brief 792.5 MM EUR revenue earned by EOS Consolidated. 289.1 MM EUR 534.3 MM EUR EOS Consoli- dated invested in receivables. 25 MM EUR 312.4 MM EUR 17 x A RATING in Earnings Before Interest, Taxes, Depre- ciation and Amortization (EBITDA). In 2021, Scope Hamburg awarded EOS an A rating for the 17th time in a row. in revenue makes Germany the strongest performing region once again. investments in innovative technologies and IT processes pave the way for a state-of-the-art collection system. TABLE OF CONTENTS 24–29 The Focus Areas Increase in productivity: Investments in portfolio acquisitions, digital anchoring and global networking are focal points of business activities. 30–31 The View Forward Positive perspective: In view of the predicted recovery of the global economy, the EOS Board ventures a cautiously optimistic forecast. 4–7 The Business Model A look behind the scenes: EOS works toward a debt-free world according to clear principles for long-term value cre- ation and sustainable business success. This beneﬁts clients, their customers and employees alike. 8–15 The Sustainability Strategy “Changing for the better”: EOS actively assumes responsibility for sustainable debt reduction, better collaboration, value-driven debt collection and climate protection. 16–23 The 2020/21 Fiscal Year The year in numbers: An overview of major key ﬁgures on business performance and assessments by the EOS Board on the overall result and performance in individual regions.
E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | A t a G l a n c e 3 EOS at a glance We are living in challenging times. For EOS too, 2020/21 tions in the future. Responsible conduct has always been was not an easy financial year. In a world shaped by the deeply rooted in the identity of the parent company Otto pandemic, we saw instability in many markets and encoun- Group and thus also at EOS. In keeping with its mission, tered numerous hurdles in everyday business routines. the company wants to make a positive contribution to the Employees in almost all areas have rarely had to deal with functioning of the business cycle and to change itself and so many challenges. They had to question, postpone or its environment for the better. The EOS Group has embed- completely rethink many previously defined goals, action ded this aspiration strategically across the company for plans and processes. The last financial year also was a the first time, organizing it into four action areas: Respon- time of rapid change and fast action across the entire sible Collection, Joint Progress, Environmental Protection range of sectors and services. It made clear that beyond and Financial Sustainability. cost-saving measures, exceptional situations call for solidarity, the assumption and delegation of responsibility, Continuous strategic development has helped the EOS respectful collaboration and employee empowerment. Group to weather last year’s crisis and remain successful internationally. Against the backdrop of the crisis year, EOS resolved to intensify efforts to meet its corporate responsibility obliga-
4 E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e B u s i n e s s M o d e l A strong identity Exemplary investor and receivables manager A strong identity gives a company strength and credibility and provides the workforce with orientation: What does EOS stand for? What does the company want to accomplish and how? With last year’s stable result, EOS has shown that having a clear direction, strategy and vision pays off and that stringent cost management helps, especially in times of crisis. In pursuit of a debt-free world, EOS conducts itself according to firm value-based principles. The company’s working methods and attitudes are aimed at long-term value creation and realizing the company’s ambitious aspiration of making a specific positive contribution that is summed up in “Changing finances for the better”. As an important part of the financial sector, receivables Strategic priorities with leverage effect management greatly affects the financial well-being of The EOS Group is always moving and evolving, pro- companies and people. EOS is aware of this responsibil- actively adapting to increasingly faster changes and ity and has firmly embedded corporate responsibility in digital developments. Targeted strategic priorities its business model. The focus on fair collection helps to function as a lever to efficiently accelerate the Group’s drive the development of the sector in a more sustaina- performance, advance all aspects of the digital transfor- ble direction, with a direct effect for clients and default- mation, and encourage cultural change. ing payers. O ur Services c A ervicin g bt S e D S t r a t egic Directions c e l e r a t e Performanc e O u r Purpose d e bt-free w o r l Our Vision d F o r a EOS is a globally connected financial investor driven by technology and entrepreneurial spirit. C h a n g i n r e t et f o r t h e b E n a b l e C u l t u r a l C h g finance s Our Propo s i i o n t Corporate Resp o n s i b i l i t y o B a n g e Asset Manag e m e n t N P L I n v e s t m e n t n o i t a o st Digitaliz
E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e B u s i n e s s M o d e l 5 Banks Fiduciary collection Cross-border services E-commerce B2C Telecommunications Secured debt purchase Mobility/ Transport Utilities Data-based analytics Real estate exploitation B2B Insurance International receivables management Unsecured debt purchase Mail order business Continuous development in a complex environment This systematic, value-based and forward-looking approach is a major factor in the success of the EOS Group, particu- larly in such a complex environment. For more than 45 years, EOS has been helping its clients to focus on their core business, improving their liquidity and minimizing risks to their reputation. As a leading technology-driven financial investor, EOS offers expertise in the processing of outstanding receivables. The company’s fields of activity include the purchase of receivables in default, with secured and unsecured non-performing loans, and the acquisition of real estate in need of restructuring. Its most important target sectors are banks, real estate, telecommunications, energy utilities, and e-commerce.
6 E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e B u s i n e s s M o d e l : C l i e n t F o c u s For better or for worse EOS fulﬁlls individual client wishes Banks, telecommunications providers and energy utilities are just some of the many sectors represented by the EOS Group’s 20,000 clients. Their requirements for a debt collection service are naturally highly varied. In the last financial year in particular, many companies were affected by significant changes. Now more than ever, it is important to have a partnership based on trust and open, fair interaction. EOS makes a genuine difference, thanks to its extensive knowledge of client needs. WHAT DO CLIENTS THINK OF EOS? Client feedback is taken very seriously at EOS. Open and transparent dialog makes it possible to work as partners and achieve success in the long-term. FRANCE SWITZERLAND “For several years now, EOS has been a strong partner to ENGIE and has provided us with great “We have been working with EOS in Switzerland in the field of receivables management for more than support. The COVID-19 crisis underlined how im- portant it is to have EOS at our side. Despite the unprecedented situation, EOS was and continues to be amazingly agile and flexible. We are particularly impressed by the speedy response of the opera- tional teams, who satisfy our needs and exceed our expectations. We are heading in the same direction together and it’s a great pleasure to work with EOS on a day-to-day basis.” Magali Odienne, ENGIE 15 years. Our collaboration is based on a strong partnership. The EOS team interacts with our clients’ patients re- spectfully and professionally and takes into account their financial circumstances. This is especially important in the healthcare sector.” David Pravato, Swisscom Health
E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e B u s i n e s s M o d e l : C l i e n t F o c u s 7 Important client needs FAIRNESS & FLEXIBILITY: Clients value a fair and respectful interaction with defaulting payers and customized solutions based on their customers’ particular circumstances. INNOVATION & DIGITALIZATION: Innovative forms of collaboration and digital, data-based services are in high demand. CLIENTS TRANSPARENCY & SERVICE: Clients expect open, trusting and solution- driven communication just as much as a transparent and comprehensive exchange of information. WHAT DO CLIENTS THINK OF EOS? SLOVENIA CZECH REPUBLIC “GS1 Slovenija was one of the first companies to work with EOS in Slovenia. Our longstanding partnership has been very successful to date, because together we have been able to substantially improve the payment discipline of GS1 members. EOS operates fairly and professionally, ensuring responsible debt collection practices. Our members appreciate that as well, and it has helped us to maintain good payment practices even during the pandemic.” Zdenka Konda, GS1 Slovenija “We know EOS as a highly professional and reliable partner. The company not only works more efficiently than other debt collection service providers we have worked with, but also interacts with our defaulting customers in a fair and transparent way. Thanks to the consistently helpful communication with EOS staff, our issues are resolved quickly and profession- ally. Although we have a lower portfolio volume than other companies in the market, EOS, one of the largest debt collection companies in the Czech Republic, always gives us the feeling that we are an important client.” Kateřina Jiráková, Twisto
8 E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e S u s t a i n a b i l i t y S t r a t e g y Changing for the better Binding standards and critical discourse As one of the leading companies in its sector, EOS is aware of its responsibilities. The company wants to change things for the better, for clients, business partners and defaulting payers, but also for the company itself and its em- ployees. Beyond its core business, EOS is committed to society and to a better, sustainable future. To that end, Corpo- rate Responsibility (CR) must be lived from within and based on clear-cut binding standards that are continually scru- tinized and developed in critical discourse with all stakeholders. Therefore, EOS puts people at the heart of everything it does. The company’s ambitious aspiration has to be put into practice with one clear goal in mind – “Changing for the better”. Four key CR areas for a sustainable future EOS actively assumes responsibility and focuses on four action areas: “HOW CAN WE CHANGE DEBT-FILLED “HOW CAN WE CHANGE SOCIETY LIVES FOR THE BETTER?” FOR THE BETTER?” RESPONSIBLE COLLECTION: JOINT PROGRESS: EOS is committed to respectful and fair interaction EOS assumes social responsibility, within its own with defaulting payers and to solution-driven, company by promoting empowerment, diversity and sustainable debt relief. inclusion and also in society through its educational initiatives. CHANGING FOR THE BETTER “EOS is improving the financial situation of clients, business partners and defaulting payers and is striving to change the world in which we work for the better.” “HOW CAN WE CHANGE CLIMATE FOR THE BETTER?” ENVIRONMENTAL PROTECTION: EOS is working with focused and quickly implementable measures to achieve its goal of climate neutrality by 2030. “HOW CAN WE CHANGE THE DEBT COLLECTION BUSINESS FOR THE BETTER?” FINANCIAL SUSTAINABILITY: EOS strongly advocates strict and binding standards in the industry and responsible codes of conduct.
E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e S u s t a i n a b i l i t y S t r a t e g y 9 Membership in the UN Global Compact EOS is a signatory to the UN Global Compact, the world’s largest initiative for responsible corporate governance. By joining the Compact, EOS has committed to an inclusive and sustainable global economy to benefit all people, societies and markets, now and in the future. The worldwide network is made up of more than 15,000 companies, non-governmental organizations and representatives from politics and science from 160 countries. Fairness is the key to success EOS Group CEO Klaus Engberd- ing is the patron of the company’s corporate responsibility strategy. He explains why this issue is so important for the company and for him personally. What does CR have to do with What is especially important What are you particularly business performance? to you in this context? proud of when it comes to CR The starting point for the debt It is important that we formulate at EOS? collection process is often a conflict. standards and make them transpar- In a sector that is not always free of Our job is to help resolve that ent, tangible and realistic. Only when criticism, EOS has always counted conflict. In doing so, we mediate the they leave the paper, so to speak, on ethical, fair practices and respect conflict between the creditor’s inter- and become part of the DNA, not for all parties involved. We also pur- est in being paid and the defaulting just of the organization but of every sue unexpected ways. For example, payer’s desire for fair and respectful individual within it, responsible debt employees in an internal workshop treatment. The better we meet the collection can be brought to life. Per- came up with the idea of promoting requirements of both parties, the sonally speaking, I want to work only financial literacy as a way of prevent- more successful we are in receiva- in a company that works decently. ing excessive personal debt. That bles management. We have defined four central areas of action accord- ing to criteria for “significant and powerful levers”. Klaus Engberding explains how EOS becomes “future fit” in the following video led to the establishment of our finlit foundation. It is just one example among many that make me really proud. Behind every important issue at EOS is an entire team of dedicat- ed people. Social responsibility is a genuine and very personal concern for all of us.
1 0 E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e S u s t a i n a b i l i t y S t r a t e g y How can we change society for the better? Financial literacy as a way to prevent excessive personal debt EOS assumes social responsibility for the financial environment, society and its own workforce. EOS uses a fair collection system to help defaulting payers with outstanding debts. But why offer help when it is actually too late? Lack of basic financial knowledge is one of the main reasons for payment problems and excessive personal debt. People need to learn how to handle money and manage finances properly – the earlier the better. To counteract excessive debt, EOS is tapping its debt collection expertise in its own initiatives for better financial education. The EOS Group’s social responsibility for staff members involves developing their skills, ensuring employee health and empowerment, pursuing diversity and promoting inclusion within the Group. ﬁnlit foundation for more ﬁnancial literacy The EOS initiatives to promote financial literacy goal of improving financial literacy – the knowl- use preventive means to keep people from edge and use of financial skills – in everyday falling into the debt trap in the first place. It life. The idea is to remove the taboos from the all started with the first non-profit company at topics of money and debt as a way to improve EOS. Employees established the finlit founda- the financial literacy of young people and to tion in Germany in November 2019 with the prevent excessive personal debt. Sebastian Richter Managing Director of the ﬁnlit foundation gGmbH Our ideal of a debt-free world obliges us to act, but we cannot achieve it through our business operations alone. We need to take a pro-active approach to excessive debt through social commitment in the field of financial literacy.
E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e S u s t a i n a b i l i t y S t r a t e g y 11 Early prevention with comprehensive educational offerings Effective initiatives are already running in several countries ManoMoneta: Pilot project of the Financial School: Knowledge ﬁnlit foundation in Germany transfer in Slovenia It is crucial to support young people in particu- In partnership with the financial magazine lar and to act when the important foundations “Moje Finance”, EOS in Slovenia is supporting can be laid for the responsible handling of the “Financial School” project, which conducts money. That is precisely what the first workshops on money management for differ- finlit initiative named “ManoMoneta” is doing. ent age groups. During the three-day training The free program to promote the financial workshops, EOS experts teach the basics of education of children aged 9–12 was launched the causes and consequences of excessive in October 2020 and has since reached almost debt and potential solutions. The mission is to 20,000 children in more than 300 schools. use preventive measures for a world with less Working with experienced educators, finlit de- indebtedness. velops curriculum-oriented, everyday learning content for teachers that can be integrated easily into classroom instruction. In addition to analog materials, there is also an online of- fering that can be used in hybrid and distance learning via the digital learning platform – a result of the pandemic. Putting social responsibility into practice in-house ManoMoneta: International To make a positive contribution to society, EOS adaptations supports and encourages its own employees. The The international finlit community of 47 point is to make better use of individual strengths, colleagues from 24 countries is committed to capabilities and personalities and give employees improving financial literacy. For example, EOS greater visibility. This goal is largely driven by the in the Czech Republic is developing a version employees themselves, who have developed their based on “ManoMoneta” materials but adapted own initiatives like “Queer@EOS” and “W:isible” to the Czech school system and lifestyle habits. that specifically encourage diversity and equality. The test phase is currently in full swing and will be completed by the end of the current financial year. Tijen Onaran with tips on diversity in the company
12 E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e S u s t a i n a b i l i t y S t r a t e g y How can we change debt-ﬁlled lives for the better? Focus on the individual to achieve sustainable debt relief EOS is pursuing the goal of a debt-free world. Driven by this vision, the company is already making a huge difference in everyday life. The fair treatment of defaulting payers is nothing new for EOS, but rather standard operating procedure. EOS stands for responsible debt collection and focuses on the interests of defaulting payers through sustainable debt relief, for instance. Goals are achieved by communicating with defaulting payers on an equal footing and offering them personalized solutions such as fair installment agreements. EOS thus fulfills its responsibilities by reconciling the needs of clients and defaulting payers. No pressure and sound judgment lead to their life circumstances? The many reasons for to success payment problems include serious illness and occu- EOS in Bulgaria is working very successfully with the pational disability. Treating consumers fairly involves “nudge method”. Last year the company motivated almost considering the immutable circumstances of people 3,000 previously unreachable defaulting payers to take who are willing to pay but permanently incapable of action to settle their debts. That represents an increase of doing so. For that purpose, EOS in Germany has es- five percent. The aim is to engage in constructive dialog tablished the “hardship case community”. Colleagues without any pressure at all. Defaulting payers are given a with special awareness of the issues involved take nudge in the right direction to positively influence their be- over hardship cases and, with the help of established havior. The communication with hard-to-reach defaulting technical processes, ensure that they are handled in payers takes place in three phases designed to encour- the best possible way. These community colleagues age them to contact EOS to reach a mutually acceptable have extensive knowledge of sustainable debt re- solution. The success of the concept and the commitment duction issues and have the exceptional social and of the employees are positively influenced by negotiation professional skills required for such work. In the first training EOS provides. year EOS helped 600 people. Work is now being done Individual solutions for difﬁcult tools to use. In the future an Artificial Intelligence life circumstances (AI) system will automatically identify the cases that on extending the community and putting analytical What happens when defaulting payers are not able require special handling. to settle their outstanding debts in the long term due When we take a holistic view of the interests of our clients, of defaulting payers who are willing to pay, and of our own, we will be able to find a practicable and sustainable solution that can lead to a complete elimination of debt. That is entirely in the spirit of our overarching objective ‘Changing finances for the better’. Ben Kleinebrecht Team Lead Debtor Centricity and Communication at EOS and co-founder of the “hardship case community”
E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e S u s t a i n a b i l i t y S t r a t e g y 1 3 Fair debt collection practices with recommended data-based actions EOS uses machine learning algorithms to evaluate collection processes and continuously improve its own service, always keeping the interests of defaulting payers in mind. Data-driven collection is about combining process-optimized receivables management with personalized case handling. AI allows more accurate prediction financially overwhelming the defaulting payers. Using of successful outcomes data-based collection, EOS can achieve long-term debt A robust database helps determine the “best next action” reduction that works for all parties and takes individual in the collection process. The system considers which needs into consideration. In this process EOS is working collection step makes the most sense for each defaulting intensely on the question of what is ethically correct in payer and when it should be taken. All parties benefit the use of data. In addition, unnecessary activities based equally from the realistic payment plans devised by this on analytics are avoided, which saves important resourc- process. Based on a comprehensive list of possible es. This technological innovation is a practical com- actions and a case analysis, the collection software plement to service portals where people can pay their suggests the most expedient approach for the respective outstanding bills easily and without outside help individual. It draws on criteria like creditor requirements, in a process centered on their needs. communication channels available and previous reactions of the defaulting payers. Because the software contin- ues learning, it can provide increasingly more accurate predictions of what is best to encourage action without FOCUS 2030 EOS is working with the Otto Group on the achievement of climate neutrality by 2030. Environmental Protection: “How can we change climate for the better?” A responsible attitude to the environment and the use of resources is also an important part of the EOS corporate responsibility strategy. To date, EOS has defined steps to be implemented in the short term, including the switch to “green” electricity for greater energy efficiency, reduced office space for better use of resources, e-mobility in the company car fleet and digital communication channels for an improved carbon footprint.
14 E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e S u s t a i n a b i l i t y S t r a t e g y How can we change the debt collection business for the better? Value-based and respectful interaction with stakeholders EOS acts as a role model in the debt collection sector and advocates strict mandatory standards. This approach is reflected in the company’s involvement in several organizations and associations. Its participation in the UN Global Compact means committing to the same kinds of goals and principles for responsible corporate governance as required by the Otto Group’s own “Code of Ethics” or the principles of the “Value Balancing Alliance”. Standards for clearly structured risk management and effective risk prevention apply externally and internally. In addition, the Group- wide whistle-blowing policy allows violations of compliance regulations and the company’s own “Code of Conduct (CoC)” to be reported anonymously. Potential irregularities can thus be identified and addressed at an early stage. Code of Conduct – foundation The importance of such an orientation framework is and guideline increasingly demonstrated by requests from customers For EOS itself, the CoC defines clear principles and rules and partners. How does the company deal with precau- to be implemented in the company’s day-to-day business. tions against money-laundering and corruption and what It is primarily the foundation and guide for the conduct of does it do to promote compliance and good governance, employees. For all external stakeholders, it is a reliable ecological sustainability and data protection? The CoC reference point that they can draw on in their interactions and associated implementation guidelines provide au- with EOS. thoritative answers about these and many other issues. They also encourage employees to ask themselves and their business partners these questions. Sibylle Weingart Senior Compliance Ofﬁcer of the EOS Group The basic framework of the ‘Code of Conduct’ has been firmly established and does not change. Nevertheless, we do regard it as a living document. It should always reflect changes in our corporate culture and the communities in which we live and work. Implementation guidelines therefore need to be adapted accordingly and new priorities set. We want to make the CoC a recurring topic of conversation and scrutinize it critically from different perspectives on an ongoing basis. Read the “Code of Conduct” here
E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e S u s t a i n a b i l i t y S t r a t e g y 15 Association work for high standards Through its membership of numerous national and FENCA represents the interests of the European international associations, EOS is actively working to credit management, debt collection and debt pur- help design and implement ethical and technological chasing sector at the European level. The federa- standards in the industry. Two such memberships are the tion coordinates exchanges and communication BDIU (Federal Association of German Debt Collectors) with EU institutions, stakeholders in the European and FENCA (Federation of European National Collection financial services industry, consumer groups, and Associations). The aim is to offer creditors, clients and the European public. FENCA’s 23 national member consumers alike the best possible and responsible ser- associations represent 75 percent of all credit man- vice and to ensure liquidity throughout the economy. agement, debt collection and receivables purchas- ing companies in Europe, and their members hold an 80 percent market share within the EU. ASSOCIATION STATEMENTS “As a company we share responsibility for the “Our role as a pioneer in the industry means that rules and values under which a sector operates. it is up to us to unite the various players and set The challenge is to help incorporate them into standards for ethical and professional conduct. day-to-day collection practice and support To do this we need to enter into a dialog with all member companies in the process. Our policymakers and with the public, make the debt objective is to increase acceptance of the debt collection business even more transparent, and collection sector as a partner that operates fairly ensure equal legislative rights for lenders and and is a fundamental component of the eco- consumers.” nomic cycle. That can be achieved if companies practice what they preach at all times. It is the only way to establish and consolidate trust.” Kirsten Pedd President of the BDIU, Chief Compliance Ofﬁcer and Head of Public Affairs of the EOS Group Rayna Mitkova-Todorova President of the Association of Bulgarian Debt Collection Companies and Managing Director of EOS Matrix in Bulgaria
1 6 E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e F i s c a l Y e a r 2 0 2 0 / 2 1 The year in numbers Revenue and earnings remain stable despite slight losses The financial year 2019/20 was one of the most successful in the history of EOS Consolidated. Even in fiscal 2020/21, which was dominated by the COVID-19 crisis, the company remained clearly profitable despite a slight decrease in earnings. Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) were EUR 312.4 million. At EUR 792.5 million (–7.1 percent), consolidated rev- enue remained at a high level even when compared with the excellent result from the previous year. “In light of the difficult conditions and challenges of the past year, this positive result was by no means a given. In a declining market, our core competence allowed us to continue to perform well and remain successful internationally. I am so proud of the outstanding performance of our teams, their dedicated cooperation and mutual support.” Klaus Engberding, CEO of the EOS Group Revenue development over the last four years (in EUR million): 795.0 813.7 853.1 792.5 2017/18 2018/19 2019/20 2020/21 Earnings (EBITDA) over the last four years (in EUR million): 279.8 283.6 343.4 312.4 2017/18 2018/19 2019/20 2020/21
E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e F i s c a l Ye a r 2 0 2 0 / 2 1 17 Successful development despite difﬁcult market situation Some of the greatest challenges of the pandemic year were government-imposed moratoriums on Non- Performing Loans (NPLs) and the high price volatility that severely constrained sales activities. Other influential factors were a low level of NPL volumes, a generally sharply declining market, and fundamental market changes, such as the greater number of BPO (Business Process Outsourcing) transactions. Combined with the basic effects of the COVID-19 pandemic on the operations, all of this had a significant impact on the business. EOS responded by taking appropriate measures. In 2020/21, the positive drivers of the continued stability of EOS included: • Market: Strong investment in receivables purchases, with record-breaking deals in some countries • Technology: Investments in IT to improve business operations and provide greater connectivity • Organization: Continued development of the focus areas, innovative recovery strategies and intensive training of staff EOS awarded an A-rating Scope Hamburg (formerly Euler Hermes Rating), one of Europe’s leading rating agencies, has again awarded EOS Holding an A-rating for the fiscal year 2020/21. For the 17th time in a row, the auditors were convinced by the company’s excellent credit standing, thanks to its very high earnings and the stability of the cash flow generated. Scope Hamburg rates the company's financial risk as low, despite the COVID-19 crisis. The auditors expect the earn- ings situation to develop positively again in the current fiscal year. The rating rationale highlighted the extensive experience of EOS in evaluating, acquiring and recovering non-performing receivables, its market leadership in Germany and strong market position in Europe.
18 E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e F i s c a l Ye a r 2 0 2 0 / 2 1 Financial performance Gratifying development sends a strong message Despite the decline in revenue of 7.1 percent, fiscal 2020/21 was a good year for EOS Consolidated. Earnings before taxes were at an encouraging level overall. At EUR 534.3 million, the investment volume in receivables purchasing was lower than in the previous year (EUR 651.3 million) and was also less than planned as a result of the pandemic, but from a Group perspective continues at a consistently high level. Income statement (summary) As in the previous year, the bottom line remained stable in fiscal 2020/21. EOS Consolidated reported net income of EUR 223.8 million, just 17.1 percent below the previous year’s result despite the pandemic. Due to the difficult market situation, sales revenues declined by 7.1 percent or EUR 60.6 million compared with previous year. At the same time the EBITDA decreased by 9 percent. However, the EBT (–17 percent), comparable to the previous year and net income (–17.1 percent) fell more sharply in relation to revenue. This is attributed to a one-time effect in the previous year, which had a positive impact on the financial results. Revenue Total operating income Earnings Before Interest, Taxes, Depreciation, and Amoritization (EBITDA) Earnings Before Tax (EBT) Net income For accounting reasons tables and text may contain rounding differences. 2020/21 2019/20 EUR EUR 792,522 804,003 312,406 253,805 223,822 853,090 869,054 343,427 305,695 269,892
E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e F i s c a l Ye a r 2 0 2 0 / 2 1 1 9 Assets The total assets of EOS Consolidated increased by 3.7 percent over prior year to EUR 2.3 billion. One reason was the inventory of purchased debt portfolios and real estate which grew to EUR 1.9 billion (previous year: EUR 1.8 billion) despite lower total investment during the financial year. This was mainly caused by disproportionately high investment toward the end of the financial year, associated with lower repayments in the reporting period. Other drivers were record investments in Spain and France and an increase in investments in Eastern Europe. Purchased portfolios account for 75.1 percent and real estate in inventories 8 percent of total assets. Fixed assets Purchased receivables and real estate in inventories* Receivables Cash and cash equivalents Other assets Total assets 28 Feb. 2021 29 Feb. 2020 EUR % EUR % 234,620 1,898,522 60,964 50,211 39,161 10.3 83.1 2.7 2.2 1.7 263,548 1,834,308 22,002 43,286 39,684 12.0 83.3 1.0 2.0 1.8 2,283,478 100.0 2,202,828 100.0 * Includes portfolio investments reported as loans receivable for structural reasons (financial presentation) Equity and ﬁnancing In the last financial year, the total financing developed favorably compared with the previous year. The company’s equi- ty increased by EUR 65 million, due in part to a partial profit retention from the previous year’s result. The equity-to- assets ratio of 35.1 percent is at a relatively high level for a financial services provider and is 1.6 percent higher than the previous year. While borrowing from banks decreased, the EOS Group’s refinancing needs, which are covered by the parent company, increased compared to the previous year. Equity Provisions Liabilities with banks Liabilities with related parties and companies Trade payables Other liabilities Total financing 28 Feb. 2021 29 Feb. 2020 EUR % EUR % 802,131 100,355 162,043 1,010,266 42,147 166,537 35.1 4.4 7.1 44.2 1.8 7.3 737,220 105,510 222,839 925,484 46,177 165,598 33.5 4.8 10.1 42.0 2.1 7.5 2,283,478 100.0 2,202,828 100.0
2 0 E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e F i s c a l Ye a r 2 0 2 0 / 2 1 Results in the regions The revenue of EOS Consolidated for the 2020/21 ﬁnancial year by individual region: 5.9 % at EUR 46.6 million North America 26.1% at EUR 207.1 million Western Europe 36.5 % at EUR 289.1 million Germany 31.5 % at EUR 249.7 million Eastern Europe Total revenue 2020/21 EUR 792.5 million In this financial year Germany is once again the region with the highest turnover within EOS Consolidated. Overall, each region recorded a decline as the result of the widespread consequences of the pandemic. Moratoriums and uncertainty in the markets caused a temporary reduction in the volume of non-performing loans and a corresponding decline in investment. Nevertheless, some countries, primarily in Western and Eastern Europe, were able to achieve positive results. For example, Spain reported record investments especially in the second half of the year. France, Belgium and Germany held their ground as leading providers for debt purchasing in what was a weakened market environment. Moreover, the previous year’s investment level was exceeded in some Eastern European countries, espe- cially in Russia and Poland. The ﬁgures in detail: Difference from previous year 2020/21 2019/20 Germany Eastern Europe Western Europe North America EOS Consolidated For accounting reasons tables and text may contain rounding differences. in % – 4.7 – 6.4 –10.7 – 8.7 –7.1 EUR EUR 289,124 249,719 207,104 46,575 792,522 303,335 266,741 231,975 51,039 853,090
E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e F i s c a l Ye a r 2 0 2 0 / 2 1 2 1 Success factors and local highlights TOP HIGHLIGHTS EASTERN EUROPE Despite a decrease in revenue to EUR 249.7 million, Eastern Europe was once again the strongest per- forming region at EOS Consolidated. Targets exceeded: In Russia, Slovenia, Slovakia and Poland the previous year’s results were exceeded. The level of investment was also higher than that of the previ- ous year in Croatia, Poland, and Bosnia and Herzegovina. High investment level: The NPL investment level from the previous financial year was not just maintained but increased by around three percent to EUR 195.3 million. The highest NPL investments as a proportion of the total investment in NPLs were made in Croatia (30 %), Poland (27 %) and Russia (14 %). Ongoing transformation of the organization: The international collection software “Kollecto+” was rolled out in other countries and an international human resources department was established in Hungary. In the future it will be dedicated to strategic and international cultural and HR issues within the framework of the EOS strategy. TOP HIGHLIGHTS GERMANY Many years of experience and a good reputation secured Germany the regional top spot with 36.5 percent of total EOS Consolidated revenues. Strengthening market position: The market for debt purchases was characterized by revolving debt purchas- es, with an increase in the receivables volume processed in trust. Stable investment: Overall, the investment level was stable at a total EUR 168.2 million. Operational excellence: EOS continues to advance digitalization and cultural change. Even during the pan- demic, digitalization initiatives continued in spite of the difficult environment and incoming payments remained at a high level. For EOS, the client’s interests are always at the forefront of all changes. TOP HIGHLIGHTS WESTERN EUROPE Consistently stable business performance delivered a good result with a 26.1 percent share TOP HIGHLIGHTS NORTH AMERICA of total EOS Consolidated revenue. Despite the lower revenue of EUR 46.6 million, Market leadership confirmed: The regional EOS EOS significantly increased turnover from the companies in France and Belgium also held their ground purchase of receivables. again in fiscal 2020/21 as leading providers for debt Solid investments in the US: On the earnings side, purchasing. the debt purchasing segment result was considerably Transformations and record investments: In Spain, higher than in the previous year. The services segment EOS shifted its focus from fiduciary collection to debt improved substantially over the previous year. purchasing. With the increased number of NPL portfoli- Very positive result for EOS in Canada: Strict os negotiated from October 2020 in Spain, EOS built a cost discipline in fiscal 2020/21 helped the company strong market position as a buyer of debt portfolios and to further improve on the strong performance from the closed the year with record investment levels. previous year despite the pandemic.
2 2 E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e F i s c a l Y e a r 2 0 2 0 / 2 1 How the ﬁscal year unfolded in the regions Top management sums up GERMANY “Even in this challenging year, the EOS Group in Germany continued pursuing its goal of shaping the future through digitalization and cultural change. Our success comes from our operational excellence and solid understanding of our clients’ needs, both of which make us a strong and reliable partner. The greatest challenge for each of our employees was to master the significant changes in day- to-day work routines personally and professionally, whether working from home or dealing with special challenges related to the pandemic. I am proud to say that the measures we took to protect our staff and the prudent actions they took proved to be very effective. Our collaboration went smoothly as always, thanks to our strong team spirit.” Andreas Kropp Member of the EOS Group’s Board of Directors responsible for the German market EASTERN EUROPE “I am delighted that we mastered the challenges together, especially in this COVID-19 year. The health of our workforce was always our top priority, and yet from an economic perspec- tive, we were able to achieve an absolutely outstanding result of more than EUR 100 million. In future, the focus of the EOS Group in Eastern Europe will remain on the successful conclu- sion of secured and unsecured NPL transactions. At the same time, the ongoing digitalization of the region and the rollout of the international collection software Kollecto+ will be crucial. One new aspect is the systematic and strategic focus on HR and culture. We have worked with my colleague Dr. Andreas Witzig to establish a central ‘HR Hub’ in Hungary, which will devote itself to international culture and HR issues and incorporate them in our strategy.” Marwin Ramcke Member of the EOS Group’s Board of Directors responsible for the Eastern European region
E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e F i s c a l Ye a r 2 0 2 0 / 2 1 2 3 WESTERN EUROPE “Thanks to our longstanding experience and hands- on mentality, we were a preferred partner for our clients in the entire region, despite a lower volume of NPLs in a challenging fiscal year. For example, EOS in Spain evolved from a fiduciary collection company into a purely debt purchasing operation. Moreover, thanks to further process optimization, EOS in Denmark increased collections on its existing inventory of NPL packages com- pared with the previous year. In partnership with the vari- ous countries, the EOS Group in Western Europe pressed ahead with the digitalization process and significantly improved remote working and cross-border collaboration, aided by the international rollout of Microsoft 365. We are therefore in a good position and are convinced that we will be able to expand our receivables purchasing activities in the new financial year.” NORTH AMERICA “The COVID-19 crisis hit the North American market hard, which severely affected new business. The man- agement in the USA was able to offset the considerable loss of revenue through massive cost savings, although very painful measures were required. From this position we want to achieve significant growth in both revenue and earnings in the new financial year. Canada too was badly affected by the crisis. Management nevertheless succeeded in winning new customers and maintaining revenue at close to the lev- el of the previous year. We aim to build on this development and enter the next financial year on a positive note.” Dr. Andreas Witzig Member of the EOS Group’s Board of Directors responsible for the Western European and North American regions 1,070 WESTERN EUROPE 649 NORTH AMERICA Regional team sizes (number of employees) 1,932 GERMANY 6,805 TOTAL 3,154 EASTERN EUROPE
2 4 E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e F o c u s A r e a s Seizing opportunities EOS investments remain at a high level EOS Consolidated faced much greater investing challenges in the various markets compared with the previous year. Despite significantly fewer portfolios on offer and a smaller selection of good investments, EOS nevertheless invested a total of EUR 534.3 million in secured and unsecured receivables and real estate in fiscal 2020/21. In Eastern Europe especially and in parts of Western Europe there was an increase in investment volumes in the unsecured debt segment of 21 and 28 percent, respectively. Investments in receivables purchases and real estate by country (in EUR million) 1.5 Debt Collection 4.0* 3.0 North America 166.3 Western Europe Total EUR 534.3 million For accounting reasons, tables and text may contain rounding differences. * EOS also buys non-performing loans in countries without their own subsidiary. Here, partners take over the servicing. 195.3 Eastern Europe 168.2 Germany EUR 810 MILLION EUR 98.2 MILLION EUR 83.4 MILLION SPAIN FRANCE CROATIA EUR 810 million was the volume of EUR 98.2 million is the nominal value EUR 83.4 million is the nominal value receivables from three NPL portfolios that of two debt packages with a total of of the two largest portfolios with a total EOS in Spain purchased from Bankinter, 1,725 receivables that EOS in France of 17,000 receivables EOS in Croatia CaixaBank, S.A. and Bankia, S.A. at the purchased from CEPAC and Banque purchased from Croatian banks in the end of 2020. The debt portfolios contain a de Tahiti. last ﬁscal year. total of 232,000 receivables.
E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e F o c u s A r e a s 2 5 Why EOS remained clearly proﬁtable even in the corona crisis year Justus Hecking-Veltman, CFO of the EOS Group, explains how EOS remains financially stable in times of crisis and how the company plans to take advantage of new opportunities after this unusual year. How did the financial year combine what was good before the products. The growth in collat- 2020/21 go? pandemic with what we have recent- eralized receivables in particular The Corona crisis has affected the ly learned, we will make a great leap contributed to that. In the area of IT whole world. That also applies to us. forward. Particularly in our operations, we investments, successful conversions of the core operating systems are were confronted with a wide range Which investments have occurring in many places, enabling of constraints that were responsible contributed to strategic us to manage our operating busi- for the decline in new business and development? ness even better and more digitally. noticeable drops in sales – espe- Two forms in particular were es- cially in spring 2020. No one knew sential for us in 2020/21. Firstly, What is your forecast for the how the situation would develop. investments in debt purchases and, current fiscal year? We had to assess the impact of the secondly, in our IT and the further I am an optimist. The situation will crisis, make the right investments, or development of the organization. slowly calm down and we will gradu- adjust costs. We had to proceed with In the area of debt purchases, any ally get the crisis under control. After caution for some time and make signed transaction is the result of the declining market, I expect new short-term adjustments, which kept careful evaluation and contract work. business to grow significantly again, the decline in results within reason- We are proud of every single one. especially from 2022. As an organi- able limits. But we also learned a Overall, it is important to emphasize zation, we will emerge stronger from great deal! Over the course of the that we have once again invested the crisis with new market opportu- year, we were able to adapt quickly over half a billion euros. We effec- nities, more digital capabilities, new and, for example, improve our digital tively managed our risk exposure by technologies, new recovery strate- communications and Group-wide further diversifying our investments gies and automated processes. collaboration. If we now manage to – both in terms of countries and You can read the entire interview here
2 6 E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e F o c u s A r e a s Innovation is part of the DNA are working on the development and implemen- tation of digital processes. ABOUT 615 EMPLOYEES Internationally successful with customized, technology-driven services For more than 45 years, EOS has combined a progressive entrepreneurial mindset with cutting-edge technology on a global scale. The approach is based on the company’s extensive data-based analytical expertise as part of its business model. Real-time communication and individualized solutions make up the core of the company’s day-to-day business. The focus is on communicating on equal terms with customers and defaulting payers, man- aging innovative projects and maintaining a highly efficient infrastructure. The past year has underscored the importance of technology-driven services. EOS invested in upgrading its IT core systems. EUR 25 MILLION Top Technology Projects 2020/21 • EOS global networking: Remote working and • EOS cybersecurity: When it comes to information collaboration across national borders are also the security, EOS does not rely solely on its sophisticated new normal at EOS, thanks to its international roll-out individual solutions, but also uses a cyber risk man- of Microsoft 365. The migration of the software has agement tool. It continually measures the company’s already taken place at 13 of the company’s 17 national own cybersecurity performance and puts EOS at the subsidiaries. forefront of the industry in security. • EOS debt collection systems: The collection soft- • EOS AI: To provide a complete service around the ware Kollecto and the new web-based software ver- clock, EOS offers chatbots in several countries that sion Kollecto+ standardize processes for even more automatically answer simple or frequently asked efficient receivables management in 12 countries. Last questions. These virtual co-workers like “Lea” or “Tom” year, EOS in Germany recorded an eightfold increase successfully handle receivables issues like outstand- in the number of users of its FX collection software, ing payments or fees. As the number of users is which the company developed in-house. EOS Survey “What’s the value of data?” As the examples show, EOS has long since recognized the importance and value of data and has made strategic investments in data-based innovations. There is still a lot of untapped potential for companies in this area. That was one of the findings from the EOS Survey “What’s the value of data?” Thirty-four percent of consumers in Europe, 50 percent in Russia and 33 percent in the USA said they would be prepared to share their data with companies if they were compensated for it. For more details of the survey and other results click here
E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e F o c u s A r e a s 2 7 Digital facts & ﬁgures in ﬁscal 2020/21 4 MILLION SHEETS OF PAPER have been saved by working digitally in Germany alone.* 41 and a 44 percent increase in the number of payments PERCENT HIGHER INCOMING PAYMENTS were generated via the “EOS serviceportal” in Germany compared to the previous year. 10.4 TB 2,100 OF DATA AND USERS have already migrated to Microsoft 365. Source references: *March 2020 to February 2021 Data-based to success 1. More efficient with real-time data: EOS in France is working together with the Center of Analytics (CoA) on a central, cloud-based repository. The sophisticated infrastructure increasing on a daily basis, EOS plans to extend the automatically combines the collected data from chatbot service to other countries. • EOS 24/7 service: Online portals offer fast and easy all operational core systems and makes them directly analyzable. The information obtained is access to EOS services. Defaulting payers can conven- used throughout the company to optimize the iently settle their outstanding bills via service portals. collection process. The goal is to roll out the In 2020/21, the payment receipts generated by this EOS analytics system across the group. system in Germany alone increased by 41 percent compared with the previous year. PayPal, the latest 2. More successful through AI-based decision support: With the help of a payment method to be added, is particularly popular. robust database, the most effective approach in Business customers also enjoy secure and transparent the collection process is determined and used access to their receivables management at all times via to suggest the ideal action to take. EOS in self-service platforms. The German business custom- Denmark is currently working with colleagues er portal “EOS Space” provides an overview of four from the CoA to develop a model for success- modules: status of claims, cases needing clarification, fully predicting the outcomes of judicial collec- payment notifications and accounting documents. tion processes, to avoid futile proceedings and save costs for EOS and defaulting payers. 3. Better outcomes through machine learning algorithms: EOS analyzes the data from its own collection processes using an AI-based system to determine the “best next action” to take. Thanks to “smart col- lection”, defaulting payers benefit from realistic payment plans with optimal installment rates that let them to pay off their debt sooner without becoming financially overwhelmed.
2 8 E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e F o c u s A r e a s A valued partner across borders Flexible and reliable support, even in times of crisis The EOS Group is represented in more than main reasons: Firstly, business in many sectors such as 180 countries worldwide, either through its own transport, travel and gastronomy declined significantly companies or trusted local partners. As many as 83 as a result of worldwide lockdowns. Secondly, given the partnerships ensure the best possible service, even in exceptional situation and out of consideration for the countries where EOS itself does not have a local pres- financial state of consumers, some creditors refrained ence. The Hamburg-based EOS Cross-border Center from handing over receivables to debt collection agen- manages the diverse range of processes involved with cies. Nevertheless, the virtual platform maintained coop- the help of the international IT platform “EOS Global eration between EOS and its national subsidiaries and Collection”. business partners. With important information provided by the regions, everyone could adapt to regulations or The pandemic imposed various challenges on the laws that had been amended. Such professional collabo- company’s globally networked receivables management ration is what distinguishes the partnerships at EOS and system. The EOS Cross-border team points to two earns the appreciation of our business partners: “The economic crisis hit Mexico and Latin America particularly hard. Even now, many companies are still closed and can pay outstand- ing bills only to a limited extent. EOS is absolutely invaluable, especially in such times of crisis. More than ever, it creates a bridge for us between companies, countries and continents. The new virtual and hybrid era that lies ahead of us will intensify international collaboration to an even greater extent and reinforce the need for reliable global partners.” David Zannoni, Cobroamericas S.A. de C.V. in Mexico “We very much appreciate that the communication and col- laboration with EOS always went smoothly before and during the lockdown. Our contacts at EOS are only a supportive phone call away and the platform too is very user-friendly. This enables us to work effectively with one another even under difficult circumstances. We feel part of the EOS family.” George Yiangou, George Yiangou Ltd. in Cyprus
E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | T h e F o c u s A r e a s 2 9 “During the lockdown our entire collection service was badly affected and is still recovering. The communication with EOS, on the other hand, was always excellent. For example, interactive sessions were held on different topics and with different participants, which is very stimulating and enlightening. The Cross-border team ensures great collabo- ration and seamless service. Its strong ethical values of shared growth and fair treatment, along with its business acumen, make EOS an exceptionally valuable partner for us.” Prashant Shukla, ATS Services in India “In these difficult times EOS has demonstrated great resiliency and has also encouraged all of its partners to pursue this strategy. Thanks to the contact via virtual platforms, information was shared regularly with us in the re- gions, so changes to laws and regulations could be taken into account in a timely manner. In addition, EOS is an incredibly professional partner that uses various knowledge-sharing formats to help us improve our capabilities, advance our shared goals and thus improve efficiency. It’s a win-win situation for all parties.” Meera Nair, AL WADI Holding in the United Arab Emirates Global EOS figures 2020/21: In the last fiscal year, EOS processed collections in 167 COUNTRIES. 498 EMPLOYEES all over the world handled cross-border collections, 274 at EOS companies. 61,250 NEW CROSS-BORDER CASES were processed worldwide. 59,391 PAYMENTS were received via the global network. 1,623 CUSTOMERS used the international collection services of EOS; 698 WERE NEW CUSTOMERS. 65 PERCENT of all payments worldwide took the form of installments. The users of the EOS Global Collection platform exchanged a total of 193,274 MESSAGES. 99 PERCENT of all successful cross-border collections could be settled out of court.
3 0 E O S A n n u a l R e p o r t 2 0 2 0 / 2 0 2 1 | L o o k i n g f o r w a r d Outlook 2021/22 Successfully investing in the future We are happy to venture a look into the future. After all, we learned in the past year that when we work together, we can survive and even thrive in unpredictable and challenging times. It also became very clear to us that the market for traditional receivables management and NPL portfolios will remain attractive in the long term. The fundamental elements in our corporate strategy – the timely identification, analysis and exploitation of opportunities – have paid off. In the future, we will keep the focus on the highly promising debt purchasing segment and securing the company’s position as a globally networked investor. We envisage major growth opportunities in the medium term, above all in the non-performing receivables segment. Despite presumably high competitive pressure, we expect significant catch-up business in transactions. We are going to emerge from the crisis stronger, with prospects for increased earnings in fiscal year 2021/22. Our goal is to achieve or strengthen our leadership position in all established markets except the USA. We will continue pressing ahead with the digitalization process, invest even more in our workforce, and, with the help of our corporate responsibility measures, assume greater responsibility for changing the world around us for the better. For us, focusing on digitalization means building on progress to date and implementing other technologically innovative solutions for efficient organizational development. Critical to our efforts are the Center of Analytics, state-of-the-art collection systems, and a new collaborative, flexible working environment. Having a highly competent, strong and committed team is more important than ever before! That we already have such a team at EOS became abundantly clear to us in 2020/21. We take this opportunity to express our sincere gratitude. Now it is essential to implement targeted programs and professional development measures to support and empower our employees and offer them new prospects. Above all, our focus will be on the systematic development and improvement of industry standards for value-driven financial services and fair collection methods and on our efforts in all four action areas of corporate responsibility. Klaus Engberding Justus Hecking-Veltman Andreas Kropp Marwin Ramcke Dr. Andreas Witzig
3 1 EOS Group’s Board of Directors from left: Dr. Andreas Witzig, Marwin Ramcke, Andreas Kropp, Klaus Engberding, Justus Hecking-Veltman EOS Annual Report 2020/2021 Publisher: EOS Holding GmbH, Disclaimer This report contains forward-looking statements based on assumptions and projections made by management. Although we assume that these statements are realistic, there may be discrepancies due to emerging risks and existing uncertainties. EOS Holding GmbH assumes no liability or guarantee for any editorial errors or omissions in any part of the report. We do not plan to update, amend or supplement the annual report, nor are we obliged to. However, EOS Holding GmbH reserves the right to independently update the report at any time without special notice. In the event of inconsistencies between the German and the English version, the German version shall take precedence. Responsible under German Press Law, section 55 paragraph 2 of the German State Broadcasting Treaty (Rundfunkstaatsvertrag – RStV): Lara Flemming, EOS Holding GmbH, Steindamm 71, 20099 Hamburg, Germany. As of: August 2021 EOS Annual Report 2020/21 as download: https://eos-solutions.com/annual-report Corporate Communications, Steindamm 71, 20099 Hamburg, Germany www.eos-solutions.com Responsible: Lara Flemming, Roxana Herfort Concept & Editorial ofﬁce: EOS Holding GmbH, Corporate Communications; Klenk & Hoursch AG, www.klenkhoursch.com Concept & Design: LlEBCHEN+LlEBCHEN Kommunikation GmbH www.LplusL.de Photo credits: Jann Klee; GettyImages Editing & translation: Kate Simmons; SKS Sprachen Komplett Service Printing: D+L Printpartner GmbH
Website: https://eos-solutions.com EOS Group EOS Group @eos_solutions EOS Group