GN Store Nord (GN) AGM 2021 summary

Opening remarks and agenda

• Fully digital AGM held on March 17, 2021, under the agenda announced February 23; agenda covered the annual report, discharge, profit allocation, remuneration, elections, and Board and shareholder proposals.

Financial performance review

• FY2020 revenue was DKK 13.4bn, with 9% organic growth; EBITA was DKK 1.9bn, down 20%, including DKK 114m from legal settlements and litigation; cash conversion was 100%.

• Hearing revenue was DKK 4.7bn, down 24% organically; EBITA was DKK 41m, down 97%, and cash flow was DKK 127m excluding M&A.

• Audio revenue was DKK 8.7bn, up 42% organically; EBITA was DKK 2bn, up 68%, including DKK 114m in legal settlement and litigation gains; cash flow was DKK 1.7bn excluding M&A.

• R&D investment rose from DKK 1.1bn in 2019 to DKK 1.3bn in 2020; new product launches included ReSound Key, announced in February 2021.

• The Board report and Annual Report 2020 were adopted, and discharge was granted to the Board and Executive Management.

Board and executive committee updates

• Per Wold-Olsen, Jukka Pekka Pertola, Hélène Barnekow, Montserrat Maresch Pascual, Wolfgang Reim, Ronica Wang and Anette Weber were re-elected as directors.

• Per Wold-Olsen was elected Board chair and Jukka Pekka Pertola deputy chair; Wold-Olsen chairs the remuneration and nomination committees, Anette Weber chairs audit, and Wolfgang Reim chairs strategy.

• Five of the seven shareholder-elected directors were considered independent; Per Wold-Olsen and Wolfgang Reim were proposed for continuity despite tenure-related non-independence.

• The Board held 32 meetings in 2020, compared with 13 in 2019; evaluation covers contribution, management cooperation, composition, committee work, and Board materials.