[28] Equity

Subscribed capital and capital reserves

As at December 31, 2022, the Company’s share capital amounted to €131.2 million, which was unchanged on the figure a year earlier and was fully paid up. It was divided into 131,198,647 no-par-value shares.

The Executive Board is authorized by the Annual General Meeting held on July 16, 2020 to increase the Company’s share capital by up to €0.3 million by issuing up to 279,353 new no-par-value bearer shares for cash (2020 Authorized Capital).

The total number of shares outstanding as at December 31, 2022 was 131,124,771 no-par-value shares (December 31, 2021: 131,102,423 no-par-value shares). Due to the issue of 22,348 bonus shares under KEEP 2019 (KEEP 2018: 15,953 bonus shares), KION GROUP AG held 73,876 treasury shares at the reporting date (December 31, 2021: 96,224). These treasury shares are not dividend-bearing and do not confer any voting rights. Further details on the KEEP Employee Equity Program can be found in note [46].

Retained earnings

The changes in retained earnings are shown in the > table ‘Consolidated statement of changes in equity’. The retained earnings comprise the net income (loss) for the current period and past contributions to earnings by the consolidated entities, provided they have not been distributed.

The distribution of a dividend of €1.50 per share (2021: €0.41 per share) to the shareholders of KION GROUP AG resulted in an outflow of funds of €196.7 million in May 2022 (2021: €53.7 million).

Appropriation of profit

The Executive Board and the Supervisory Board will propose to the Annual General Meeting to be held on May 17, 2023 that the distributable profit of KION GROUP AG for the 2022 financial year amounting to €111.0 million be used for the distribution of a dividend of €24.9 million. This equates to €0.19 per dividend-bearing share, representing a dividend payout rate of around 25 percent of net income. It is also proposed that a further sum of €85.0 million be transferred to other retained earnings and that €1.1 million be carried forward to the next accounting period.

Accumulated other comprehensive income (loss) and non-controlling interests

The overall composition of, and changes in, equity are shown in the > table ‘Consolidated statement of changes in equity’.

The currency translation adjustment contains the exchange differences arising from the financial statements prepared in a foreign currency of foreign subsidiaries, associates, and joint ventures.

The gains/losses on the defined benefit obligation are the result of remeasuring defined benefit pension obligations (see also note [29]).

The gains/losses on hedge reserves are the effective portion of the changes in the fair value of hedging instruments in formally documented hedges. The gains/losses on financial investments relate to the remeasurement of the equity investments Shanghai Quicktron Intelligent Technology Co., Ltd, Zhejiang EP Equipment Co., Ltd., and Balyo SA at fair value (FVOCI category under IFRS 9).

The unrealized gains/losses from equity-accounted investments contain the share of other comprehensive income (loss) from associates and joint ventures accounted for under the equity method.

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