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Leases
12 Months Ended
Dec. 31, 2020
Presentation Of Leases For Lessee [Abstract]  
Leases

19

Leases

19.1

Amounts Recognized in the Consolidated Statements of Financial Position

Right-of-Use Assets

The following amounts are presented as right-of-use assets within the consolidated statements of financial position as of the dates indicated:

 

(in thousands)

 

December 31,

2020

December 31,

2019

Buildings

 

€80,875

€54,956

Equipment, tools and installations

 

3

7

Automobiles

 

108

55

Production facilities

 

7,202

-

Advance payments

 

10,800

-

Total

 

€98,988

€55,018

 

Additions to the right-of-use assets during the year ended December 31, 2020 were €22.1 million (during the year ended December 31, 2019: €10.0 million) including advanced payments of €10.8 million related to embedded leases under contract manufacturing agreements that not yet commenced. Since the advanced lease payments have already been settled, the amounts are not included in the lease liability presented below.

Lease Liability

The following amounts are included in interest-bearing loans and borrowings as of the dates indicated:

 

(in thousands)

 

December 31,

2020

December 31,

2019

Current

 

€6,127

€3,485

Non-current

 

78,031

54,126

Total

 

€84,158

€57,611

 

The Group has various lease contracts that have not yet commenced as of December 31, 2020. The future lease payments for these non-cancellable lease contracts are €2.8 million for the year 2021 and €10.2 million for the years 2022 and beyond.

Several lease contracts include extension and termination options. These options are negoiated by management to provide flexibility in managing the leased-asset portfolio and align with the Group’s business needs. Management exercises significant judgement in determining whether these extension and termination options are reasonably certain to be exercised.

19.2

Amounts Recognized in the Consolidated Statements of Operations

Depreciation Charge of Right-of-Use Assets

 

 

Years ended

December 31,

(in thousands)

 

2020

2019

2018

Buildings

 

€4,628

€4,614

€2,751

Equipment, tools and installations

 

4

25

60

Automobiles

 

45

40

35

Production facilities

 

1,613

-

-

Total depreciation charge

 

€6,290

€4,679

€2,846

 

 

 

 

 

Interest on lease liabilities

 

€2,003

€1,718

€1,721

Expense related to short-term leases

(included in other expenses)

 

875

442

431

Expense relating to leases of low-value assets that are not short-term leases (included in other expenses)

 

300

90

90

Total amounts recognized in profit or loss

 

€9,468

€6,929

€5,088

19.3

Amounts recognized in the Consolidated Statements of Cash Flows

During the year ended December 31, 2020, the total cash outflow for leases amounted to €14.7 million (during the year ended December 31, 2019: €4.8 million; during the year ended December 31, 2018: €2.3 million).

19.3

Extension Options

The Group has several lease contracts that include extension options. These options are negotiated by management to provide flexibility in managing the leased-asset portfolio and align with the Group’s business needs. Management exercises judgement in determining whether these extension options are reasonably certain to be exercised. The undiscounted potential future lease payments, which relate to periods after the exercise date of renewal options and are not included in lease liabilities, amount to up to €38.3 million until 2049.