4. Revenue from contracts with customers
| in thousand EUR | 2023 |
2022 (restated) |
||
|---|---|---|---|---|
| Sale of timber and roundwood | 63 427 | 72 569 | ||
| Sale of energy | 1 876 | 3 593 | ||
| Sale of certified emission reductions (CERs) | – | 91 | ||
| Sale of shipment services | 2 559 | 3 963 | ||
| Sale of goods and services | 67 862 | 80 216 | ||
| Freight expenses and sales commissions | –11 461 | –14 350 | ||
| Net revenues | 56 401 | 65 866 |
The presentation of prior year’s total revenues was restated to correspond to the presentation as of 31 December 2023. ‘Sale of goods and services’ as well as ‘Freight expenses and sales commissions’ are restated and presented gross while prior year’s presentation was net.
Accounting policies
The Group generates revenues from sale of logs and sawn timber products and recognizes the revenue at a point in time when the goods are at the point the customer purchases them. Payment of the transaction price is due immediately at the point the customer purchases the goods, or within 30 days for account holding customers. For international sales the Group recognizes the revenue for goods at a point in time, according to the agreed Incoterms (International Commercial Terms).
MIL Energia Renovável (former BK Energia Itacoatiara) – a subsidiary of Precious Woods – generates electricity and CERs (Certified Emission Reductions) with its biomass power plant in the Amazon region of Brazil. The electricity produced is fed into the regional state electricity grid and measured on a monthly basis. The revenue is recognized at that point in time. Payment of the transaction is due within 30 days by the grid owner. The CERs are purchased by Precious Woods Holding. The produced CERs are recognized as inventory and valued at the lower of cost or net realizable value as long as the certification is not yet achieved, and sold afterwards.