Moncler Group | Annual Report 2024 Consolidated Financial Statements 394  | 

As far as the currency transactions are concerned,

it should be noted that a + / -1% change in their exchange rates

would have the following ef fects:

With reference to the provisions of IFRS 13, it should be pointed

out that the category of f inancial instruments measured

at fair value are mainly attributable to the hedging of exchange

rates risk. The valuation of these instruments is based

on the discounting of future cash f lows considering the exchange

rates at the reporting date (level 2 as explained in the section

related to principles).

Interest rate risk

The Group's exposure to interest-rate risk is mainly related

to cash and cash equivalents and it is centrally managed.

9.2 Credit risk

The Group has no signif icant concentrations of f inancial assets

(trade receivables and other current assets) with a high credit

risk. The Group's policies related to the management of f inancial

assets are intended to reduce the risks arising from non

solvency of wholesale customers. Sales in the retail channel

are made through cash and credit cards. In addition, the amount

of loans outstanding is constantly monitored, so that the Group's

exposure to bad debts is not signif icant and the percentage

of writeof fs remains low. The maximum exposure to credit risk

for the Group at 31 December 2024 is represented by the carrying

amount of trade receivables reported in the Consolidated

Financial Statements

As far as the credit risk arising from other f inancial assets

other than trade receivables including cash and shortterm bank

deposits is concerned the theoretical credit risk for the Group

arises from default of the counterparty with a maximum exposure

equal to the carrying amount of f inancial assets recorded

in the Consolidated Financial Statements as well as the nominal

value of guarantees given for third parties debts or commitments

indicated in note 7 of the Explanatory Notes The Group

operates with banks and f inancial institutions of primary standing

and has policies that limit the amount of credit exposure

in dif ferent banks

9.3 Liquidity risk

Liquidity risk arises from the ability to obtain f inancial resources

at a sustainable cost in order for the Group to conduct its daily

business operations. The factors that inf luence this risk are related

to the resources generated/absorbed by operating activities,

by investing and f inancing activities and by availability of funds

in the f inancial market.

Following the dynamic nature of the business, the Group

has centralised its treasury functions in order to maintain

the f lexibility in f inding f inancial sources and maintain

the availability of credit lines. The procedures in place to mitigate

the liquidity risk are as follows:

•centralised treasury management and f inancial planning.

Use of a centralised control system to manage the net

f inancial position of the Group and its subsidiaries;

•

obtaining adequate credit lines to create an adequate

debt structure to better use the liquidity provided

by the credit system;

•

continuous monitoring of future cash f lows based

on the Group budget.

Management believes that the f inancial resources available today,

along with those that are generated by the current operations

will enable the Group to achieve its objectives and to meet

its investment needs and the repayment of its debt at the agreed

upon maturity date

It should also be noted that with reference to the provisions

of IFRS 13 f inancial liabilities relating to commitment

to purchase minority interests are accounted for at fair value

based on valuation models primarily attributable to level 3

as explained in the section related to the basis for measurement

DETAILS OF THE TRANSACTIONS EXPRESSED IN FOREIGN CURRENCY

EUR/000 JP Yen US Dollar CN Yuan HK Dollar KR Won GB Pound Other

Effect of an exchange rate increase amounting to +1%

Revenue 3,485 3,595 6,088 636 2,878 892 2,370

Operating prof it 2,270 1,785 3,558 314 1,647 429 889

Effect of an exchange rate decrease amounting to -1%

Revenue(3,416)(3,524)(5,968)(623)(2,821)(874)(2,323)

Operating prof it(2,225)(1,750)(3,488)(307)(1,615)(420)(871)

()

.

.

,'

.

:

•;

•

;

•;

•;

•

.

––

/

-

,,,,,,

––

/

,,,

 —,,,

 —(,)(,)(,)