1. Basis of presentation, consolidation and general accounting policies

Basis of presentation

The unaudited interim condensed consolidated financial statements of Precious Woods Group (hereinafter „interim financial statements”) for the six months ended 30 June 2024, have been prepared in accordance with IAS 34 Interim Financial Reporting and were authorized for issue by the Board of Directors on 13 August 2024. The interim financial statements do not include all information and disclosures required in the annual financial statements, and should be read in conjunction with the Group’s annual financial statements as at 31 December 2023. They mainly focus on new activities, events and circumstances and do not duplicate information previously reported.

The reporting currency is Euro (EUR). Due to rounding, numbers presented throughout this report may not add up precisely to the totals provided. All ratios and variances are calculated using the underlying amount rather than the presented rounded amount.

Reorganization within scope of consolidation

The structure of the subsidiaries in Gabon was optimized at the end of June 2024, with retroactive effect from 1 January 2024. The subsidiary Precious Woods Tropical Gabon Industrie S.A. (TGI) was merged into Precious Woods Compagnie Equatoriale des Bois S.A. (CEB).

Significant accounting judgments, estimates and assumptions

The preparation of the interim consolidated financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and of revenues and expenses during the reporting period. The resulting accounting estimates will, by definition, rarely equal the related actual results.

The estimates and assumptions made by management in applying the Group’s accounting policies and the key sources of estimation uncertainty were the same as those described in the last annual financial statements.

General accounting policies

These statements have been prepared according to the same accounting policies as those followed for the Group’s annual financial statements 2023. The effects of changes to International Financial Reporting Standards are explained in Note 2.