Annual Financial Statements

The financial statements have been prepared in accordance with the legal requirements set out in Title 9, Book 2 of the Dutch Civil Code (Burgerlijk Wetboek, BW) and the authoritative pronouncements included in the Dutch Accounting Standards (Richtlijnen voor de jaarverslaggeving) issued by the Dutch Accounting Standards Board (Raad voor de Jaarverslaggeving). These provisions apply pursuant to the Regulation on Annual Reporting in Education (Regeling Jaarverslaggeving Onderwijs). Unless otherwise indicated, amounts in the financial statements are stated in millions of euros. The accounting policies for measurement and determination of results used have not changed compared to last year.

 These financial statements cover the financial year 2024, which ended on 31 December 2024.

These annual financial statements have been prepared using the going concern basis of accounting.

Related parties are all legal entities over which dominant control, joint control or significant influence can be exercised. Legal entities belonging to the same group are also related parties. In addition, legal entities that can exercise control are classified as related parties. The members of the board under the Articles of Association, other key officers involved in the management of the company, the parent company of the company or of other legal entities in the same group and close relatives are also related parties.

Related party transactions are disclosed to the extent that they are not entered into under normal market conditions. For these transactions, the nature and extent of the transaction and other information necessary to provide insight are explained.

The consolidation scope includes the financial information for the institution and its group companies. Group companies are legal entities in respect of which the institution can directly or indirectly exercise control because it holds the majority of the voting rights or is in some other way able to control the entity’s financial and operating activities. Newly acquired participating interests are consolidated as soon as the institution is able to exercise influence over the policies of the investee in which it has acquired the participating interest. Divested participating interests are included in the consolidation scope until the time when such influence ends. 

The assets and liabilities and income and expenditure of group companies are fully consolidated. The third-party share of group equity and the third-party share of the group result for the year are presented separately. Pursuant to Section 2:407(1) of the Dutch Civil Code, group companies may in some cases be excluded from the consolidated financial statements. The obligation to consolidate does not apply to information relating to companies to be consolidated whose combined significance is negligible within the group as a whole. 

Intercompany transactions, intercompany profits and amounts receivable and payable between group companies and other consolidated legal entities are eliminated. All of these intercompany transactions were entered into at arm’s length. Accounting policies of group companies have been adjusted where necessary to align with the accounting policies applicable in the group. All group companies as well as the investees qualify as related parties. 

See the explanation in the section on consolidated parties for an overview of parties that are or are not consolidated. If consolidation is not mentioned, the significance of the entity concerned is negligible for the legally required insight. 

Erasmus MC

All income from Education and Research (Onderwijs en Onderzoek, O&O) of Erasmus MC, the expenses of the faculty tasks attributable to Education and Research and the income and expenditure of the medical cluster’s E&R satellite organisations to be consolidated have been included in the consolidated financial statements in accordance with the Regulation on Annual Reporting in Education. There is responsibility for the Education and Research activities based on the Higher Education and Research Act (WHW) and the Joint Implementing Body (GUO) set up pursuant to this Act, and for this reason the costs and revenues from Education and Research activities have been consolidated. In view of the covenant agreed with Erasmus MC to this end, the balance sheet data have not been incorporated into this annual report. This course of action is consistent with previous years. 

The financial information in respect of O&O Erasmus MC as included in the EUR consolidated financial statements covers the costs and revenue of the following legal entities:

• Erasmus MC O&O Holding BV
• LentiCure BV 
• ViroNovative BV 
• Eurza Arbo BV
• MI&EUR Implementation and Exploitation BV 

The covenant signed by EUR and the Erasmus MC medical cluster includes financial management conditions (Clause 4). The covenant also includes an ‘Information Protocol’ addendum regarding financial information provided and reported by the bodies responsible for governance of the education and research activities of Erasmus MC, resulting from their management function. This reporting is in line with Dutch Accounting Standard (RJ) 660 (Special topics).

The cash flow statement is prepared on the basis of the indirect method. The funds in the cash flow statement consist of the cash and cash equivalents. Interest and dividends received and paid are recognised in cash flow from operating activities. Investments in group companies are measured at acquisition cost less cash present in the acquired company.

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported value of assets and liabilities, and of income and expenditure. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis.   Changes to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods. 

If necessary in order to provide the information required to comply with Section 2:362(1) of the Dutch Civil Code, the nature of these judgements and estimates, including the related assumptions, is included in the notes to the relevant items in the financial statements.

Transactions conducted in foreign currencies are translated to the relevant functional currency of the group companies at the exchange rate applying on the date of the transaction. As at balance sheet date, any monetary assets and liabilities denominated in foreign currencies are translated to the functional currency at the foreign exchange rate that applies at that date. Currency exchange rate differences arising on the settlement of monetary items or on translating monetary items into foreign currencies are recognised in the statement of income and expenditure in the period in which they arise.

Financial instruments include investments in shares and bonds, trade and other receivables, cash, loans and borrowings, and trade and other payables. Financial instruments are initially recognised at fair value. Subsequently, financial instruments not held for trading are measured at amortised cost using the effective interest method, less any impairment losses. 

EUR exclusively applies primary financial instruments that serve to finance its operating activities or that arise directly from its activities, such as (non-current) receivables and payables. EUR does not use any derivatives or any other form of active hedging to mitigate financial risks. 

Due to the low values of loans issued to or drawn by third parties, the EUR is exposed to very little interest rate risk. Interest rate risk is the risk that the value of a financial instrument will fluctuate due to changes in market interest rates. EUR is also not exposed to cash flow risk. Cash flow risk is the risk that future cash flows associated with a monetary financial instrument will fluctuate in amount. 

Due to EUR’s robust liquidity position, we consider it virtually impossible that any liquidity risk will arise. Liquidity risk is the risk that the legal entity will not be able to obtain the financial resources needed to meet its obligations. 

Given the characteristics of the parties with whom EUR trades, in particular the Dutch government, public bodies and the EU, EUR is exposed to limited credit risk on receivables. Credit risk is the risk that one contracting party to a financial instrument will not meet its obligations, resulting in a financial loss for the legal entity. 

EUR is exposed to limited currency risk because most transactions are done in euros.

The fair value of the financial instruments recognised in the balance sheet, presented under the various balance sheet items, approximates their carrying amount.

An asset is recognised in the balance sheet when it is probable that future economic benefits will flow to the educational institution and its value can be reliably measured. A liability is recognised in the balance sheet when it is probable that its settlement will be accompanied by an outflow of resources embodying economic benefits, the amount of which can be measured reliably. 

Assets and liabilities are measured at the acquisition or manufacturing cost or (lower) current value. If no specific measurement basis is stated, the item is measured at its acquisition cost. References are included in the balance sheet, statement of income and expenditure and cash flow statement. For these references, please refer to the notes. Foreign currency items are measured at closing rates.

Translation differences are recognised directly in the result. 

If a transaction involving an asset or liability recognised on the balanced sheet does not result in a significant change in economic substance with respect to the asset or liability, the asset or liability continues be recognised on the balance sheet. 

If a transaction leads to the transfer to a third party of all or substantially rights to future economic benefits and all or substantially all risks relating to an asset or liability, the asset or liability is no longer recognised in the financial statements. Furthermore, an asset or liability is no longer recognised in the balance sheet if it no longer meets the conditions with regard to the probability or reliable measurement of the future economic benefits.

On each balance sheet date, the university assesses if there are any indications that an asset may be subject to impairment. If such indications are present, the recoverable amount of the asset is determined. An impairment exists when the carrying amount of an asset exceeds its recoverable amount; the recoverable amount is the higher of net realisable value and value in use. An impairment loss is recognised directly as an expense in the statement of income and expenditure with a simultaneous reduction in the carrying amount of the related asset. 

If it is not possible to determine the recoverable amount of the individual asset, the recoverable amount of the cash-generating unit to which the asset belongs is determined. The net realisable value is initially derived from a binding sale agreement; if there is no such agreement, the net realisable value is determined using the active market, normally with the current offer price as the market price. Costs to be deducted when determining net realisable value are based on the estimated costs directly attributable to the sale and necessary to realise the sale. To determine the value in use, future net cash flows from the continued use of the asset/cash-generating unit are estimated. These cash flows are then discounted.   The interest rate was determined based on participation in the borrowing capacity based on treasury banking with a 0.1% mark-up. If it is established that an impairment recognised in the past no longer exists or has decreased, the increased carrying amount of the related assets is not set higher than the carrying amount that would have been determined if no impairment had been recognised for the asset.

Buildings and land are measured at acquisition cost plus additional costs or manufacturing cost, less straight-line depreciation over the estimated useful life. Land is not depreciated. The impairment expected on the balance sheet date is taken into account. Tangible fixed assets that have not yet been completed are not depreciated. Depreciation is applied from the date of their completion. The cost of life-extending maintenance is charged to the statement of income and expenditure via depreciation from the first time of capitalisation. 

The component method is used for tangible fixed assets when significant individual components of the tangible fixed assets (such as buildings) are distinguishable from each other, and is applied from initial recognition. These components are depreciated separately, to take account of differences in useful life or expected patterns of use. This also applies, where applicable, to major maintenance costs. These are capitalised and depreciated for all types of tangible fixed assets in the same way. No major maintenance provision has been made for future major maintenance costs of commercial buildings. 

The tangible fixed assets of which the company and its group companies have beneficial ownership under a finance lease are capitalised. The obligation arising from the finance lease is recognised as a liability. The interest included in future lease instalments over the term of the finance lease is charged to the result.

Participating interests in investees over which significant influence can be exercised are measured using the net asset value method. In determining whether the organisation exercises significant influence over the business and financial policies of an investee in which it has a participating interest, the entirety of the factual circumstances and contractual relationships (including any potential voting rights) is considered. 

Participating interests in investees over which EUR exercises joint control with other parties (joint ventures) are measured according to the same method. 

The net asset value is calculated in accordance with the accounting policies applicable to these financial statements; for participating interests for which insufficient data is available for adjustment according to these policies, the accounting policies of the respective investee are used. If the net asset value of a participating interest is negative, it is measured at nil. If and to the extent that EUR in this situation guarantees some or all of the debts of the investee, or has a constructive obligation to enable the investee to pay its debts, a provision is recognised equal to the total amount in payments expected to be made by the investee. The amount of this provision is recognised primarily to the debit of the accounts receivable from the investee, with any remainder being presented under the provisions. 

Upon initial recognition, acquired participating interests are measured at the fair value of the identifiable assets and liabilities at the date of acquisition. For subsequent measurements, the accounting policies applicable to these financial statements are applied based on the value upon initial recognition. Participating interests in investees over which no significant influence is exercised are measured at acquisition cost or lower recoverable amount. If there is a definite intention to divest, measurement is based on the expected sale price if lower. The write-down is charged to the statement of income and expenditure. 

Upon initial recognition, the receivables from and loans to (non-consolidated) investees included under financial fixed assets are measured at the fair value of the amount provided, which is usually the nominal value, less any provisions deemed necessary. Subsequently, such receivables are carried at amortised cost, less any provisions deemed necessary. 

The ‘Other securities’ presented under financial fixed assets mainly concern investments in funds in the context of knowledge valorisation. These investments, which are not held for trading, are measured (per fund) at fair value with value changes recognised directly in the statement of income and expenditure. 

Impairments are taken into account (see the section Impairment of fixed assets).

General

Current receivables are stated at the fair value of the consideration, which is usually the nominal value. Provisions for bad debts are deducted from the carrying amount of the relevant receivable. Balance of the provision is calculated statically. 

Receivables from OC&W

Current receivables also include a cash rebate on the central government grant applied by the Ministry of Education, Culture and Science. This concerns the portion of the central government grant that will not be paid until the following calendar year. 

Projects in progress commissioned by third parties

The measurement of projects in progress concerns the amounts received less direct material and labour costs, plus a mark-up for indirect fixed and variable costs relating to the provision of services, plus a mark-up for indirect costs relating mainly to premises, administration and general management. Declared instalments are deducted from projects in progress. 

Project progress is determined in proportion to eligible project costs incurred compared to total estimated eligible project costs. For these projects, losses are recognised as an expense at the time they are foreseen. The principle of prudence is the starting point when accounting for a loss provision for projects. 

Revenues, costs and profit margins on projects in progress are allocated by reference to the progress of the project. 

Depending on whether it is a debit or credit balance, the balance in respect of projects in progress is accounted for under ‘Project receivables’ (as an asset) or ‘Instalments on projects invoiced and received in advance’ (as a liability).

Cash and cash equivalents consist of cash, bank balances and demand deposits with maturities of less than twelve months. These items are measured at nominal value.

Equity consists of general reserves and earmarked reserves and/or funds. These items are segmented into public and private funds. Earmarked reserves are reserves with a more limited spending scope, which has been designated by the Executive Board.

Earmarked funds are reserves with more limited spending scope, which has been designated by third parties.

General

Provisions are recognised for present legal or constructive obligations and losses existing as at the balance sheet date, the amount of which is uncertain but which can be reliably estimated, and when it is probable that an outflow of resources will be required to settle the obligation. Unless specified otherwise, the provisions are stated at the present value of the expenditure expected to be required to settle the obligations. The interest rate was determined based on participation in the borrowing capacity based on treasury banking with a 0.1% mark-up. 

If the time value of money is material and the period over which the expenditure is discounted is more than one year, provisions are measured at the present value of the best estimate of the expenditure expected to be necessary to settle the liabilities and losses. Provisions are measured at nominal value if the time value of money is not material or the period over which the expenditure is discounted is less than one year. 

If determined at present value, the unwind of the discount is expressed separately in the movement of the related provision (as disclosed in the notes). If materially applicable, the present value determination also takes into account price effects (such as inflation). A present value determination was applied for the following provisions recognised in the balance sheet: employee benefit provisions and environmental provisions. For the remaining provisions, no present value determination was applied because the duration over which the total expenditure extends is less than one year and/or because the time value of money was not considered material (relative to the size of the total provisions). 

Unemployment contribution

This provision is measured at nominal value and comprises the liabilities for statutory and supplementary Unemployment Insurance Act (Werkloosheidswet, WW) benefits, and is determined based on the maximum benefit entitlements for benefits already in payment. Potential unemployment benefit entitlements for future inflows are not taken into account. 

Social policy, reorganisation and matters relating to legal position

This provision has been made for obligations arising from reorganisations about which the competent authority has taken and communicated a decision before the balance sheet date. The liabilities consist of future redundancy costs that may arise due to the reorganisations, as well as the costs of social plans and other arrangements put in place to prevent compulsory redundancies and to reduce benefit costs, and costs relating to staff who are exempted from service. 

Entitlement under the accumulated leave scheme & sabbatical leave 

This provision was created for obligations related to the long-term saving of leave days, based on the actual hourly rate per employee. 

Long-service awards provision

This provision hedges future employer obligations in respect of long-service awards (anniversary bonuses). The provision is determined per individual employee. In addition, indexation of 6% (2023: 6%) is taken into account. 

Transition payment

This provision was created for the obligations arising from the Balanced Labour Market Act (Wet arbeidsmarkt). Since 1 July 2015, employers are obliged to make a transition payment to employees at the end of every employment contract that has lasted at least two years. From 1 January 2020, this obligation will also apply to employment contracts of less than two years. 

Long-term sick leave

The provision for long-term sick leave has been created for employees who are on long-term sick leave on the balance sheet date and who are not expected to make a partial or full return to active service. The provision is calculated for a period of up to two years after the first sickness report.

WGA excess

The Return to Work (Partially Disabled Persons) Scheme (WGA) excess provision was created for employees who are on long-term sick leave and not expected to return. This provision is calculated for the period from 2 to 10 years after the employee first reported sick. The provision was first created in 2024 due to the termination of the WGA excess insurance. 

Vitality

The vitality provision is a legal obligation arising from the collective labour agreement. A liability has been recognised for scheme participants for the salary supplement resulting from the partial compensation of salary reduction due to reduction of working hours in the period prior to the retirement date. 

Environmental obligations

The provision for environmental obligations has been created in connection with asbestos to be removed and is stated at present value.

Liabilities with a remaining term of more than one year are referred to as non-current. The repayment amount for the current year is recognised under current liabilities. 

Non-current liabilities are initially recognised at fair value and subsequently measured at amortised cost. The following is recognised upon initial recognition: the amount received, taking into account any premium or discount, net of transaction fees. 

The difference between the determined carrying amount and the ultimate repayment value, along with the interest due, is determined in such a way that the effective interest rate is recognised in the statement of income and expenditure over the term of the loan.

Current liabilities are initially recognised at fair value and subsequently measured at amortised cost.

income and expenditure are allocated to the financial year to which they relate. Profits are only recognised to the extent that they have been realised at the balance sheet date. Losses and risks originating before the end of the reporting year are taken into account if they became known before the adoption of the financial statements.

Central government grants

The central government grant (lump sum) is recognised in income at fair value based on the annual allocation. The non-prescriptive central government grant is attributed to the period in which the expenditure is made; the income follows the expenditure. The unspent portion is recognised under the ‘Prepayments’ item in the balance sheet (accruals and deferred income). Spending plans have been drawn up for the unspent portion. 

Tuition and course fees

Tuition fees are recognised in income at fair value and allocated to the year to which they relate, assuming that regular education tasks are spread evenly throughout the academic year. 

Provision of services

Revenue from the rendering of services is recognised in income at fair value by reference to the stage of completion of the services to be rendered. The amount recognised is based on the services performed up to the balance sheet date, in relation to the total services to be performed. 

Project revenues and project costs

For projects in progress of which the results can be reliably determined, the project revenue is recognised at fair value under Income from work commissioned by third parties in proportion to project progress. Project progress is determined in proportion to eligible project costs incurred compared to total estimated eligible project costs. 

If the result cannot (yet) be reliably estimated, the project revenue is recognised under Income from work commissioned by third parties up to the amount of the project costs incurred that is likely to be recovered. Project costs are recognised in the period in which they are incurred. 

The result is determined as the difference between the project revenues and project costs.   Project revenues are the contractually agreed amounts including contract variations, claims and reimbursements, to the extent that they are likely to be realised and can be reliably determined. Project costs are the direct, indirect and allocated costs related to the activities that are contractually attributable to the client. 

Losses are recognised directly as an expense in the statement of income and expenditure at the time they are foreseen. The principle of prudence is the starting point when accounting for a loss provision for projects.

Other income, comprising income from leases, staff secondments, donations, sponsorships, participant contributions, student contributions and other income, is measured at fair value and recognised under income.

Operating grants are recognised as income in the statement of income and expenditure in the year in which the subsidised costs were incurred or revenues were lost, or when a subsidised operating deficit was incurred. Income is measured at fair value if it is probable that it will be received and the institution can demonstrate that it meets the conditions for its receipt. 

Grants related to investments in tangible fixed assets are deducted from the related asset.

Intangible and tangible fixed assets are depreciated pro rata temporis and on a straight-line basis. The buildings included under tangible fixed assets are depreciated on a straight-line basis over the expected future useful life of the asset from the completion date. Land is not depreciated. Tangible fixed assets are depreciated from the date of being put into use. If there is a change in their estimate useful life, the future depreciation charges are adjusted accordingly.

Gains and losses on the sale of tangible fixed assets are recognised under depreciation costs.

Employee benefits

Wages, salaries and social insurance contributions payable pursuant to employment contracts are recognised in the statement of income and expenditure to the extent these are owed to employees. Employee benefits are allocated on the basis of the service rendered in exchange. To the extent they have not yet been paid, employee benefits are recognised as a liability on the balance sheet. If the amounts already paid exceed the employee benefits due, the excess is recognised as an asset (prepaid expense) to the extent that this prepayment will lead to repayment by employees or will be settled against future payments by EUR. 

Other personnel expenses

Other personnel expenses, leave entitlement under the accumulated leave scheme (spaarverlofregeling) and long-service awards, etc., are recognised or accrued from the time when the obligation arises.

 Pensions

Pension contributions are recognised under employee benefits when they fall due. If pension contributions already paid exceed the contributions due, the excess is recognised as an asset (prepaid expense) to the extent that this prepayment will lead to a refund or a reduction in future payments. 

EUR has a pension plan with the pension fund ABP that qualifies as a defined benefit plan. Pursuant to the pension administration agreement with this fund and the pension agreement with its employees, EUR has no obligation other than paying the applicable annual pension contributions. Pension is accrued on the basis of a career average scheme. Indexation is conditional. Pensions are not indexed. If ABP’s funding ratio drops below a certain limit, ABP may, among other things, charge a mark-up on the contribution. The actual funding ratio as at the balance sheet date was 111.9%. The average funding ratio for 2024 was 113.1%. The rules require the policy coverage ratio to be at least 126%. The law also stipulates that the policy coverage ratio cannot be below 104.2% for more than five years.

Interest income and expenses

Interest income and expenses are recognised in the reporting period to which they relate on a pro rata temporis basis, taking into account the effective interest rate of the relevant assets and liabilities. When accounting for interest on loans, the transaction costs on loans are taken into account. In addition, ‘Financial income and expenditure’ includes the interest due on current loans, as well as lease liabilities. 

Changes in the value of financial fixed assets and securities

Changes in the value of securities held for trading are recognised directly in financial income and expenditure.

The leased asset (and the related liability) is recognised in the balance sheet at the start of the lease term at the lower of the fair value of the leased asset and the present value of the minimum lease payments. Both values are determined at the start of the lease agreement. The discount rate to be used in calculating the present value of the minimum lease payments is the interest rate implicit in the lease. If it is not practicable to determine this interest rate, the incremental borrowing rate is used. The initial direct costs are included in the initial measurement of the leased asset. 

Lease payments are split into the interest expenses and principal payments in respect of the outstanding lease liability. The interest expenses are allocated over the lease term to each period in such a manner that this reflects a constant, regular rate of return on the remaining outstanding lease liability in respect of the finance lease. Contingent lease payments are recognised as an expense in the period in which the conditions for payment are met.

Lessee 

If the company acts as lessee in an operating lease, the leased item is not capitalised. Payments received as incentives to enter into an agreement are recognised as a reduction of the lease costs over the lease term. Lease payments and fees relating to operating leases are recognised in the income statement on a straight-line basis over the lease term, unless a different allocation system is more representative of the pattern of the benefits obtainable from the leased item. 

Lessor 

Under an operating lease, the lessor should recognise the asset on the balance sheet, according to its nature. The asset should be depreciated systematically over its economic life in accordance with the accounting principles applied for similar fixed assets intended for the company’s own use. 

Lease income (excluding payments for service costs such as repair and maintenance costs) as a component of lease payments should be recognised by the lessor in the income statement on a pro rata (straight-line) basis over the lease term, unless another method of attributing the income generated by the leased item is more representative of the manner in which the economic benefits of the leased item diminish in value. The same treatment applies to amounts paid by the lessor to the lessee or third parties as incentives for entering into an agreement. 

The instalments to be received from the lessee are recognised as receivables at maturity (under current assets) and included in the income statement in the period to which they relate. The income is recognised by the lessor as net revenue where leasing activities are part of normal business activities. For further guidance on the composition of net revenue. 

Service costs such as repair and maintenance costs, whether included in the lease term or not, are accounted for in accordance with the income recognition criteria in Dutch Accounting Standard (RJ) 270 (Provision of services).

The institution’s share of the results of participating interests where it exercises significant influence over the business and financial policies is recognised under ‘Result from participating interests’. This result is determined on the basis of the accounting policies for measurement and determination of the result applied at EUR. In the case of participating interests where no significant influence is exercised over the business and financial policies, the dividend is classified as income. This is recognised in ‘Financial income and expenditure’.

Tax on profits or loss is calculated on the result before tax in the statement of income and expenditure, taking into account available, tax-offsettable losses from previous financial years and exempt profit components and after addition of nondeductible expenses.

• On 8 September 2020, the Erasmus Sport Foundation (Stichting Erasmus Sport) offered to guarantee the annual interest and principal payment due on the loan provided to the Rotterdam student football club Antibari by the municipality of Rotterdam. Signed in 2011 and 2020. Erasmus Sport guarantees a sum of € 0.2 million. The term of the loan (and guarantee) is 15 years, from 2020 to 2035.
  

Other off-balance sheet obligations

Erasmus Enterprise BV provided €1.0 million to the Graduate Entrepreneur Fund Cooperative UA. This concerns an investment in the context of knowledge valorisation. The resources available in the fund are mainly used to help start-ups and scale-ups of Rotterdam and Delft students and alumni. As at year-end 2024, the remaining investment obligation amounted to €0.6 million. 

Tax group

Together with EUR, EUR Holding BV, Erasmus Enterprise BV and RSM BV are members of the tax group for corporate income tax and turnover tax. Under the Collection of State Taxes Act (Invorderingswet), the company is jointly and severally liable for the taxes payable by the members of the tax group.

Accounting policies for preparing the annual financial statements

The financial statements have been prepared in accordance with the legal requirements set out in Title 9, Book 2 of the Dutch Civil Code (Burgerlijk Wetboek, BW) and the authoritative pronouncements included in the Dutch Accounting Standards (Richtlijnen voor de jaarverslaggeving) issued by the Dutch Accounting Standards Board (Raad voor de Jaarverslaggeving). These provisions apply pursuant to the Regulation on Annual Reporting in Education (Regeling Jaarverslaggeving Onderwijs). Unless otherwise indicated, amounts in the financial statements are stated in millions of euros.

 Accounting policies for measurement and determination of results

The accounting policies for measurement and determination of the result for the separate financial statements are the same as for the consolidated financial statements. For the accounting policies for the measurement of assets and liabilities and determination of the result, please refer to the notes to the consolidated balance sheet and statement of income and expenditure.

Insofar as items from the separate balance sheet and the separate statement of income and expenditure are not explained below, please refer to the accounting policies for the consolidated balance sheet and the consolidated statement of income and expenditure.

 Participating interests

Participating interests in group companies and other investees over which significant influence can be exercised are measured using the net asset value method. In any case, significant influence is assumed to be applicable if 20% or more of the voting rights can be cast. 

Accounting policies for the WNT

Pursuant to the Senior Executives in the Public and Semi-Public Sector (Standards for Remuneration) Act (Wet normering topinkomens, WNT), both the remuneration and any severance payments are subject to maximum limits. The statutory remuneration maximum in 2024 was €233,000. This maximum is composed of the components remuneration, taxable fixed and variable expense allowances and remuneration payable in the future. The WNT sets out that a maximum amount of € 75,000 gross may be agreed as severance pay for an executive.

• EUR has several lease agreements with related parties.

• EUR agreed with YES!Delft BV, in which it holds a 20% interest, that EUR will pay an annual shareholder contribution of €150,000.

Senior executives, whether or not on the payroll, from the 13th month of serving in their position, or former senior executives.