PH171006_1

Inter IKEA Group balance sheet

The Inter IKEA Group financial position improved during FY20. Inventories and debts went down, and the equity ratio increased from 39% to 45%. The consolidated balance sheet shows an overview of Inter IKEA Group’s assets, equity, and what is due to suppliers, partners and other organisations.

NRS Table 2
Note to reader: the included abbreviated financial statements are an a bridged version of the consolidated financial statements of Inter IKEA Holding B.V. as included in the Annual Report for the financial year 2020. An unqualified auditor’s report dated 29 October 2020 was issued on these financial statements. Inter IKEA Holding B.V.’s consolidated financial statements , from which these abbreviated financial statements have been derived, have been prepared in accordance with Part 9 of Book 2 of the Dutch Civil Code.

Intangible fixed assets

In general terms, fixed assets are business property intended for long-term use. Intangible fixed assets are assets that lack physical form like patents, concepts and intellectual property. Intangible fixed assets form much of Inter IKEA Group overall assets.

Most Inter IKEA Group intangible fixed assets are so-called proprietary rights for the IKEA trademarks and intellectual property. These rights were acquired for EUR 11.8 billion. As these rights are expected to provide a positive return over a long period of time, these costs are spread over a period of 45 years.

Tangible fixed assets

Inventories and receivables

FY209_11
Receivables is money owed to the Inter IKEA Group by business partners. Most receivables are for franchise fees and products sold and invoiced to IKEA franchisees.

This year Inter IKEA Group supported franchisees by delaying payment obligations for goods sold. The company also extended loans to several IKEA suppliers to ensure they could re-start production after the lockdowns. Money owed under these agreements are reflected in this year’s receivables.

 

Group equity, provisions and liabilities